Thursday, September 23, 2010

Xocai Scam? Business Opportunity Review


Xocai needs to be evaluated properly to determine if it's a scam or not. An opportunity may or may not be a scam...but you can confidently say that any network marketing opportunity is setup by design because the company and the owners are in competition with its distributors for the commission dollar. Don't get me wrong, a company needs to be profitable to stay in business, but an opportunity needs to be fair and balanced for the company and the distributors.

How many commission dollars per total sales the company is willing to give up to its distributors is a key factor in determining if the business opportunity is a scam.

Regardless of how good or bad an opportunity seems, there are TWO things you need to do well when you work at home in a home based business. I'll get to those a little later but let's do a quick review of Xocai to determine at a company level if it's a scam or not.

Company: Xocai is a division of MXI Corp that is based out of Reno, NV. The company produces several healthy chocolate products through a distributor network, also known as network marketing. At the time of this article, Xocai is privately owned and debt free. No questionable past was found for any of the owners or leadership.

Product: The Company produces a line of chocolate health products that are made primarily from unprocessed cacao and acai berry to produce an un-matched level of antioxidant support. Antioxidants and their ability to fight off free radicals to support anti-aging is a growing trend that will only get bigger.

Compensation Plan: The Xocai business opportunity contains a binary compensation plan with a payout of up to 50% on commissionable volume paid in infinity bonuses, matching bonuses, leadership pools, and more.

I dug a little deeper and found an interesting fact.

In Xocai, every $1 of product sold generates 1 PV (Point Volume) in commissionable volume. This is VERY RARE in a network marketing opportunity.

There are other network marketing companies who will pay up to 50% payout on PV to the distributor field. However, they will only put 100 PV in for $130 in sales (1PV : $1.30). And as I stated earlier, this kind of tactic is by design which gives the impression of 50% commission on total sales to the field when in reality it's around 38.5%.

Because Xocai puts 1 PV for every $1 in sales, this tells me there isn't any trickery going on in the compensation plan and the owners designed it this way to set their company apart from competing opportunities.

Scam Rating: An overview of the facts show that Xocai Chocolate is a sound opportunity with a product that everyone loves. Who doesn't like chocolate, right? When you find a solid company, a compelling product (healthy chocolate that tastes good), and a compensation plan that actually does pay 50% to the field for every $1 sold...I would rate this as an excellent opportunity.

However, even with an excellent opportunity behind you, it's important to understand that you can get into the Xocai Chocolate opportunity and not be successful. This will leave you with the feeling that it was a scam.

How can you avoid feeling scammed?

As stated earlier, there are TWO things you need to do well in a network marketing opportunity.

1) Give VALUE to prospects and business associates around you as you build your business, which should be your You Inc.

2) Learn how to drive TARGETED traffic to your You Inc.








To learn how to drive TARGETED traffic to your You Inc and give VALUE to those around you in a home based business, visit John's Xocai website.

About the Author: John Samarin is a top internet marketer, coach and mentor who works with people around the world who want to be successful and work from home. To work with John, visit his home business website or go to TopMentorSecrets.com for more information.


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