Today I’m writing up another MLM company review in hopes to answer many questions such as, is stream energy a scam. There has much that has been said in regards to stream energy but today I will cover the MLM business opportunity that was founded in 2005.
What Is Stream Energy?
Stream energy is an American energy provider that offers energy to about 6 different states. When it first came out it was advertised through word of mouth or as you might know it, direct sales. There wasn’t many energy companies in Texas where the stream energy head quarters was at which there wasn’t much competition. I will concentrate on what it’s Multi Level Marketing are and if they are beneficial to join this opportunity.
Some Statistics That You Should Know
Rarely anyone succeeds within stream energy MLM opportunity . In fact, 90% of all distributors don’t even make enough to break even. This means no profit at all for 90% of everyone that joins these can be a pretty intimidating number to look at but let’s take a look at the other 10% . Less than one percent make enough money to live of this stream energy opportunity and about less than 9 percent make just about minimum wage.
The Product Overview
There is an issue with the opportunity/product as a whole right off the bat that I noticed, there is a limited market to advertise in. There was some competition in the area but they set themselves from the crowd by offering the right products and services.
Stream energy thrives in the markets where there are deregulated energy sources. They persuaded customers to switch from there former providers into stream energy. They were offered many bundle packages that had them saving much more than they would have in other energy companies.
They offered home life services plans including credit monitoring, identity theft, and even computer and network support.
The Financial MLM Opportunity
As you can imagine many distributors actually began off as customers and then were offered the opportunity to promote these products and services. Now like every other MLM company out there offering these opportunities what it boils down to is their compensation plan.
These compensation plans are very complicated to say the least but they usually involve how deep your team is. In other words, it depends on how many recruiters you can bring into your team. It’s based on percentages and how far your down line runs through.
The Rewards Feature
The customers that refer 15 people to stream energy gain free natural gas and electricity. These are people that will be rewarded by being “loyal” customers.
Stream energy does a nice job of offering you different ways to earn money for instance starter bonus of $100 for getting 4 sign ups in the first month. In your start up kit you are given your website but you need to pay an initial $329 and $29 monthly fee for maintenance afterwards.
There will 8 different compensation levels 5 for associates and 3 for leaders. Based on these different levels is the amount that you can be getting.
I don’t feel many people succeed in this type of business and well, the statistics sure back up my statements. It takes much more than some quick training to succeed in this type of business. You need extensive knowledge of the products you are referring and most important you need to be very determined knowing that you might not even succeed. I’ve said it before, MLM is not for me because you never know for sure if you will reach that financial freedom that we all seek.
Is this a pyramid scheme ? I’m sad to say this but yea it truly is that is why I have to name this opportunity a scam.
You will need a very big network ! Like most MLM companies you will be asked to promote their products and services to family and friends as they are the easiest to reach and convince. I prefer to stay in the world of affiliate marketing as it’s a much easier road traveled.