The Company: Simple Cycler
Founder/ CEO: Mike Peevers
Affiliate Fees: $0 - $400
Recruiting scheme labelled as a simple and fast way to make money. While it is possible to profit with this, the nature of such a scheme ensures the majority of people will lose money in the end. There are much better ways to build an online business than this, by a long shot.
What Is Simple Cycler?
This is Mike Peevers latest matrix cycling program that pays affiliates for recruiting affiliates into their downlines. After reading through the website I was surprised to see that Mike provides people with his full name, the programs he's been involved with and provides a 48 hour refund window on your first purchase which is pretty rare in this space. Unfortunately, Mike embraces a very flawed and unsustainable business model that guarantees the failure of the majority.
For example, he is the creator of CashClubInternational which is very similar and despite claiming it's still operational, this is only half true. The website itself is up, yes. But the scheme has long since collapsed with no one joining or getting paid and no traffic going to the website.
It appears there are other cases like this among his so called 'operational' websites and to me this was a little sneaky. The bottom line is that these schemes don't last and despite Mike's best intentions, this is no different. I also noticed the following statement in the FAQ section which I feel I have to address:
Q: Can I earn without referring others?
A: While it is possible to earn without referring, it is highly unlikely to earn very much. Affiliate marketing programs are normally built on referral commissions. If someone promotes to you saying that referring is not necessary then they are not someone to follow.
I do like how upfront he is about how you'll only make money by referring others. That is honest. However, this is NOT affiliate marketing at all, this is multi level marketing using a matrix cycling structure. Affiliate marketing programs are entirely different and pay affiliates a commission for promoting genuine products and services. For example, as an Amazon affiliate you earn a commission when you send people to their website and those people buy something. This is not a genuine affiliate marketing program, this is a recruting scheme. Plain and simple.
How It Works
This system uses a 2x2 matrix which places you at the top with 2 referrals under you and 2 referrals under them down 2 levels. The end result is a completed matrix 'cycle' of 6 referrals.
The Free System
This is a way to start out for free in a separate matrix system that feeds into the main system. You must complete an offer, then start at matrix 1 and have referrals follow you all the way through to matrix 5 at which point can you earn entry into the $7 matrix. In my opinion, this is a really bad way to go. Why?
By the time you reach the 5th free matrix, you will have an army of recruits under you which means you've slaved away in traffic exchanges for weeks/ months to get them under you. For all of this effort you've done nothing more than saved yourself $7. I cannot overstate how ridiculous this is. If you can't scratch together 7 bucks to start this then you are wasting your time, it is good that there is a free option but it's simply not worth it. That said, I don't recommend joining this either way but it is important to understand this.
The Paid System
Matrix Cycle #1: Costs $7 and pays out $14 if you purchased directly or $12 if you 're-entered' the matrix. This also gives you 1,000 banner and text ad impressions.
Matrix Cycle #2: Costs $13 and pays out $21 if you purchased directly or $18 for re-entry positions. You get 2,000 banner and text ad impressions.
Matrix Cycle #3: Costs $25 and pays out $45 if you purchased directly or $40 for re-entry positions. You get 4,000 banner and text ad impressions.
Matrix Cycle #4: Costs $50 and pays out $95 if you purchased directly or $85 for re-entry positions. You get 8,500 banner and text ad impressions.
Matrix Cycle #5: Costs $100 and pays out $195 if you purchased directly or $175 for re-entry positions. You get 17,500 banner and text ad impressions.
Matrix Cycle #6: Costs $200 and pays out $395 if you purchased directly or $355 for re-entry positions. You get 36,000 banner and text ad impressions.
Matrix Cycle #7: Costs $400 and pays out $1190 if you purchased directly or $1010 for re-entry positions. You get 75,000 banner and text ad impressions.
Progressing Through The System
You must start at the $7 matrix and once you have filled all 6 positions you will complete a cycle and be eligible to move onto the next matrix, or any other matrix you choose. There are 2 options after completing your first cycle:
- Option 1 is to refer people directly into whichever matrix you decide to purchase
- Option 2 is that your existing referrals in your first matrix can 'follow' you through to the next one
In other words, starting at the $7 S1C and progressing through this naturally will require a lot of recruiting. There's also a bunch of re-entry positions you earn whenever you cycle which means you can keep on joining these matrices and cycling again and again.
The Problem With These Schemes
These programs are very enticing and they don't cost very much to get started with, but in my opinion they are a very big waste of your time and money. Why do I say this? Read on.
Low Quality Traffic
The aim of the game is recruiting which means you need tons of quality traffic. The way you are shown to get traffic is among the lowest quality paid traffic source you can possibly get which is why it's so cheap. The 'product' you get with each matrix position is some banner and text ads shown to advertise to the same members which is practically useless to build this business. The other method is a traffic co-op which is just traffic exchange advertising. People viewing traffic exchange ads have seen them all before and if you are one of 10,000's of Simple Cycler affiliates showing the same banner ads... this is not going to do much for you!
Best case you'll end up buying a bunch of guru programs designed to 'teach' you the best tactics to leverage traffic exchanges and waste money and/ or time surfing these platforms to earn advertising credits.
Since this is all about recruiting and not about selling a tangible product, it mathematically guarantees the failure of the majority. How? The only way you are getting paid is from the people that have just joined under you and purchased matrix positions which means there must be an endless supply of new affiliates joining this scheme in order for it to work. This is simply not possible given there are only so many people willing to join programs like this.
Eventually you are left with a ton of people on the lower levels who are eager to make this work and when recruiting inevitably slows those people stop making money. When this happens they naturally drop out just like their upline which triggers the inevitable collapse. This is what happens all the time with these programs. They essentially operate like a ponzi scheme in that you can join and theoretically receive a passive ROI's without recruiting anyone and a pyramid scheme in the sense of recruting affiliates who recruit affiliates.
Either way, these schemes don't last and when the whole system stalls, whatever money you've invested is gone.
What I Liked
- Mike appears more upfront than the average person behind these kinds of systems
- You can start for free (pretty well useless but financially risk free nonetheless)
- 48hr refund policy
What I Didn't Like
- This is not a longterm business model
- Most people end up losing money with these programs
- This is a recruitment scheme as oppose to earning money promoting genuine products
- Low quality traffic methods
The bottom line is that you can make money for a while with these systems but with the amount of time, effort and money you are putting in and how unsustainable the whole thing is, it's not worth it.
The best way to make money online is by genuinely helping people, I know this might sound a little vague but it's true. To be successful online you must be giving people value and establishing relationships built on trust. By recommending questionable programs like this you are not going to be able to build a good rapport with anyone and you certainly aren't giving them value.
There really are better ways to build an online business than joining 'shiny' programs like this which is why this is not something I recommend.