I'll let Dennis introduce Send Out Cards for those that aren't familiar with the program - though I'm sure the majority of the people have heard of them by now:
A quick primer on SendOutCards.com: It is a MLM scheme, like many other MLM schemes. It just happens to be one of the newest, and it’s popular with stay at home parents who can’t work outside their homes. The idea is that you can send greeting cards to friends, family, coworkers and whoever without ever going to the store to buy a card; you just type the message into a form on a website and the card gets printed and sent without you having to do anything else. It actually sounds like a pretty decent product – except that’s not actually the point of the program. The object of Send Out Cards is to find more distributors and get more people selling, because the more people sell the more you make. Classic.
Since Dennis wrote that article 7 months ago, there have been 279 comments on his piece, totaling over a hundred thousand words.
What's interesting are the latest numbers on SOC that Dennis provides in this recent update:
I could have chosen to analyze any MLM scheme, but Send Out Cards readily published their numbers, so it was an interesting exercise in math. Since then, SOC has published the 2010 figures. Not much has changed.
There are now a few “Eagles”– 0.0001 to be exact. That’s 0.01%, which is 1% of 1%, no matter how you justify it (“the cards are great”, “people aren’t doing it to get rich”, “all success requires hard work”, “all advertising is misleading, so ours is therefore okay”, and every other flavor).
But run and hide from math as you may, it’s hard to argue the cold, hard math. SOC notes that the average (arithmetic mean) income last year was $457.51, while the median was only $20. That’s $1.67 a month or about a nickel a day. For those who have remember high school stats, the arithmetic mean is much higher than the median because there are a few folks at the top of the pyramid that skew the average.
Were I more enterprising, I’d add in a cartoon here with two Egyptians standing in front of the Great Pyramids– one remarking, “This is NOT a pyramid scheme! It’s Send Out Bricks!”
I haven't checked SOC's numbers - I'm taking them on face value from what Dennis published. I'm sure they're accurate.
Thanks for the great article, Dennis!