A Critical And Honest ACN Review - Dont Join Before You Read This!

From The Office Of Jaime Soriano, MLM And Attraction Marketing Coach

ACN (American Communications Network) is a telecommunications-based network marketing company that started in Farmington Hills, Michigan and now is based in concord, North Carolina. It's a very popular company and business opportunity that has been around since 1993. In 1999, the company opened operations in Europe and in 2004, ACN opened up the Asian markets. Currently, ACN operates in 20 countries and has 5 International Headquarters (besides the US based offices). While there are many reports implying that ACN is a scam, ACN is a legitimate business opportunity.  Currently, ACN is a member of the Direct Selling Association (DSA) and has a A+ rating in the Better Business Bureau.

With that said, there are pros and cons associated with the ACN Business Opportunity. Before I go into them, let me BRIEFLY explain it's services and compensation plan.

The Services

While ACN markets several different services that aren't telecom-based (home security devices, broadband internet services and satellite TV), it's main lines of services revolve around telecommunications:

1. Local And Long Distance Service - Because of the deregulation that took place in the phone industry back in 1996, ACN was able to position themselves in front customers who were now able to choose their phone company. It's really a great idea. Why? Because all you, as an ACN rep, have to do is save someone a few dollars a month on a service they're ALREADY and WILL CONTINUE to pay for every single month.

2. Voice Over Internet Protocal (VOIP) - In a nutshell, VOIP technology enables a customer to make phone calls over their internet line. By doing this, they are able to cut their $70-$80 a month local & long distance phone bill down to a $25-$30 a month VOIP bill. Typically, unlimited international calls to several selected countries are also included in this LOW monthly bill.

3. Cellular Phone - ACN resells cell phones from pretty much all the major carriers like Sprint, Verizon and T-Mobile.

4. The Video Phone - The video phone is ACN's flagship product. It's exactly what it sounds like, a VOIP phone that has a screen on it that allows you to see the person you're talking to, assuming they are on a video phone also.

The Compensation Plan (Model)

ACN operates on a UNILEVEL compensation plan platform. While a UNILEVEL comp plan is typically used by older MLM companies and doesn't have the "sexiness" associated with a Binary, it's still a very stable and profitable business model. In fact, UNILEVEL comp plans have had the LEAST complaints when compared to the amount of complaints that Binaries and Matrixes have gotten over the last couple of years.

With that said, the compensation plan can be broken down into two categories:

1. Residual Income - Residual income is earned and built through the acquisition of customers. As you personally acquire customers who get on ACN services, you earn a residual income every month as your customers pay their bills. On top of that, you'll earn an override residual income from every customer that's acquired through your organization.

2. Upfront Bonuses (CAB & T-CAB Bonuses) - Bonuses are paid out in relation to the amount of reps your team brings in on a monthly basis. Keep in mind, that bonuses are ONLY paid out when reps get QUALIFIED within their FIRST 30 days. This QUALIFICATION changes every now and then, but typically it consists of a new rep acquiring 8 customer points, with each service earning a certain amount of customer points. For example, when a new rep acquires a new VOIP customer, that customer gives them 2 customer points.

With that said, there are two MAJOR factors to keep in mind when it comes to ACN's Upfront Bonuses:


1. If a new rep DOESN'T get qualified in their FIRST 30 days, then bonuses are NOT paid out.

2. There are thresholds that have to be passed for reps to earn bigger bonuses. For example, if a new rep needs to hit 10 Qualified Reps to earn a $1,500 Bonus, but they only get 9 Qualified Reps that month, they will earn the bonus given at the lower level (typically for getting 5 people qualified).

Now, Let Me Give You 3 PROS Of The ACN Business Opportunity:

1. As I mentioned earlier, the genius of ACN is you're SIMPLY saving customers money on a service they're ALREADY paying for.

2. ACN is positioned in front of the curve, when it comes to Video Phones. If Video Phones become the next big thing in telecom, it can mean huge opportunity for ACN reps.

3. ACN has some of the BEST network marketing training and trainers that I've seen in the last 13 years that I've been full-time in this industry.

Now, For 3 Of The CONS:

1. The residual income is very small. Now, I'm not saying ACN is a bad company, but there's only so many ways they can pay out residual income on a $25 a month VOIP bill. In order to make significant residual income, you will need to build a HUGE organization with tens of thousands (and hundreds of thousands) of active customers. With that said, there are many producing RVPs making multiple 6-figures a year. The problem is the bulk of their income is from bonuses and NOT residuals. So if they ever slow down, they are in BIG trouble.

2. As I mentioned earlier, CAB Bonuses are ONLY paid out on QUALIFIED reps. In other words, if your team puts in 20 reps, but ONLY 5 of them get QUALIFIED, you'll only get paid for having 5 QUALIFIED reps that month. But yet ACN still takes in the same $500 entry on all the other 15 reps they didn't pay you on. In my opinion, there is a TON of breakage in the comp plan.

3. As great as the concept is, ACN still has a tremendous amount of competition. In the network marketing arena, there are companies like Network Marketing, Network Marketing, Lightyear Wireless and Escape International who are all offering telecom services. But on top of that, they have to compete with the big monopolies like Sprint, Verizon, DishTV, etc.



Should You Join?


As I mentioned before, ACN is a legitimate business opportunity. However, it's critical that you do your research first and identify if it's the opportunity you're looking for. For example, if you're interested in getting a piece of the Video Phone market and like the idea of marketing services that people are already using, them ACN may be for you. But if you're interested in building a significant PURELY residual income (not counting UPFRONT bonuses), then ACN may not be for you.

Whether you decide to partner with ACN or not, if you're interested in successfully building a network marketing business, you MUST learn how to generate endless leads. If you want to learn how to out-sponsor everyone in your company and create multiple income streams from prospects that say NO to your opportunity, click on the picture below and I'll walk you through step-by-step how you can create an incredibly profitable business while adding value to the marketplace.

 

Attraction Marketing System

More Articles From Mastermind Team

Jaime Soriano
Entrepreneur, Marketing Coach & Network Marketing Professional

<< Back To The Mastermind Team Home Page