Unilevel, Binary, and Matrix MLM plans in the realm of multi-level marketing software. Unleash the power of your MLM business with a comprehensive understanding of these popular compensation plans. Explore the flexibility of Unilevel MLM for wide and linear downlines, the balancing act of Binary MLM with spillover potential, and the structured matrix organization of Matrix MLM. Choose the best multi-level marketing software that aligns with your compensation plan and provides features such as commission tracking, genealogy management, and scalability. Empower your MLM success by selecting the right software.

Unilevel, Binary, and Matrix MLM Plans - Understanding the Differences in Multi-Level Marketing Software

  • Jitendra Sharma
  • 10th Jul 2023

Unilevel, Binary, and Matrix MLM Plans - Understanding the Differences

Unilevel, Binary, and Matrix MLM Plans

When it comes to multi-level marketing (MLM) software, there are distinct differences between Unilevel, Binary, and Matrix MLM plans. Here are some key differentiating factors to consider:


  • Unilevel MLM Plan: The Unilevel plan features a simple structure where distributors can build a wide and linear downline organization with no width limitations. Each distributor can directly sponsor an unlimited number of frontline distributors.
  • Binary MLM Plan: The Binary plan follows a two-legged structure where each distributor can have only two frontline distributors, commonly referred to as the left and right legs. This creates a binary tree-like organization.
  • Matrix MLM Plan: The Matrix plan imposes restrictions on both width and depth. Distributors are typically limited to a certain width, such as 3x3 or 5x5, and the depth is also predetermined.

Spillover and Placement:

  • Unilevel MLM Plan: The Unilevel plan does not usually involve spillover or forced placement. Each distributor has the freedom to personally sponsor new distributors wherever they choose in their downline.
  • Binary MLM Plan: The Binary plan often incorporates spillover, which means that distributors can place recruits below their frontline distributors, benefiting the downline. The spillover can come from the upline or the system.
  • Matrix MLM Plan: The Matrix plan may involve forced placement, where new distributors are placed in specific positions within the matrix structure by the system or upline distributors.

Commission Structure:

  • Unilevel MLM Plan: Commissions in the Unilevel plan are typically based on levels, with distributors earning a percentage of the sales volume generated by their downline distributors up to a certain level.
  • Binary MLM Plan: Commissions in the Binary plan often revolve around binary pairs, where distributors earn a set commission for each pairing of distributors in their binary tree structure.
  • Matrix MLM Plan: Commissions in the Matrix plan are typically tied to the specific matrix structure, with distributors earning commissions based on the position of their downline distributors within the matrix.

Earning Potential:

  • Unilevel MLM Plan: The Unilevel plan offers the potential for significant earning opportunities due to its unlimited width and depth. Distributors who build large and active downlines can benefit from the sales volume generated throughout their organization.
  • Binary MLM Plan: The Binary plan emphasizes balancing the two legs of the organization, with potential earnings influenced by maintaining balance and achieving binary pairs.
  • Matrix MLM Plan: The earning potential in the Matrix plan is often limited by the fixed width and depth of the matrix structure. Distributors may need to focus on maximizing the available positions within their matrix.

When selecting MLM software, it's crucial to choose a solution that supports the specific compensation plan you intend to use. Many MLM software providers offer customizable solutions that can accommodate Unilevel, Binary, or Matrix MLM plans, along with additional features for managing distributors, commissions, genealogy tracking, and more. Consider your business goals, compensation structure preferences, and the scalability of the software when making your decision.


Unilevel, Binary, and Matrix MLM Plans - Content Management System


  • AffiliateWP: This plugin provides robust affiliate management features, including tracking referrals, managing commissions, generating referral links, and detailed reporting.
  • WooCommerce Amazon Affiliates: This plugin is designed specifically for Amazon affiliates, enabling you to import and display Amazon products on your site, along with tracking affiliate sales.



  • Affiliate Manager: It offers a comprehensive affiliate management solution within OpenCart, including commission tracking, multi-level marketing, promotional tools, and payout management.
  • Affiliate Coupons: It allows you to create coupon codes for affiliates, track their usage, and provide commission-based incentives for referring customers.



  • Magento Affiliate Pro: This plugin provides an extensive range of affiliate marketing features, including commission tracking, referral link generation, banners, and advanced reporting.
  • Affiliate MLM: It offers a comprehensive affiliate marketing solution with features like multi-level marketing, commission tiers, and detailed reporting for Magento stores.



  • Commerce Affiliate: This module integrates with Drupal Commerce and provides affiliate tracking, commission management, and referral link generation for affiliate marketers.
  • Affiliate: It allows you to create affiliate campaigns, track referrals, and manage commissions within Drupal websites.



  • Laravel Affiliate: This package provides a flexible affiliate marketing solution for Laravel applications, including tracking referrals, managing affiliates, and generating referral links. It offers customizable features to suit your specific requirements.
Content Management System

It's important to note that the availability and compatibility of specific affiliate marketing plugins may vary based on the CMS or framework version you are using. Therefore, it's recommended to research and evaluate the plugins or packages thoroughly based on your specific needs and compatibility with your chosen platform.


Feature of MLM Software - Earn Commission & Bonus

MLM software typically includes a range of commission features to support different types of MLM compensation plans. Here are the features commonly found in MLM software related to various commission types:


Join Commission: This feature allows you to set up a one-time commission for new members or distributors who join your MLM network. It can be a fixed amount or a percentage of the joining package or product value.


Affiliate or Referral Commission: MLM software provides the ability to track and calculate commissions for referrals made by distributors. When a distributor refers someone to join the MLM program, they receive a commission based on the referred person's purchases or activities.


Level or Pair Commission: MLM compensation plans often include multi-level or binary structures where distributors earn commissions based on their downline sales or recruitment efforts. The software should be able to calculate and track commissions based on the specific levels or pairs in the plan.


Company Commission: This commission type allows you to set commissions or bonuses for specific company-wide achievements or targets. It can include overall sales targets, group volume targets, or other performance-based incentives.


Regular Commission: Regular commissions are typically recurring commissions that distributors earn based on their own sales or the sales generated by their downline. MLM software should accurately calculate these commissions based on predefined commission rates or formulas.


Royalty Commission: Royalty commissions are paid to distributors based on their long-term loyalty or performance in the MLM network. MLM software should be capable of tracking and calculating royalty commissions based on predefined criteria, such as achieving a certain sales volume or maintaining a specific rank for a specified period.


Type of Multi-Level Marketing Software

Developing MLM software that integrates with WooCommerce can provide a powerful solution for your e-commerce MLM business. Here's an overview of the MLM plans you mentioned and how they can be implemented with WooCommerce


Binary MLM Plan

In a binary MLM plan, each distributor can have only two frontline positions. With WooCommerce integration, you can track product purchases made by distributors and their downlines. The software should handle commission calculations based on sales volume on both legs of the binary structure.


Unilevel MLM Plan

In an unilevel MLM plan, distributors can build an unlimited number of frontline positions. With WooCommerce integration, you can track product purchases made by distributors and their downlines across multiple levels. The software should handle commission calculations based on sales volume or a percentage of sales made by downline distributors.


Forced Matrix MLM Plan

A forced matrix MLM plan limits the width and depth of the network. For example, a 3x5 matrix plan allows only three distributors on the frontline and a maximum of five levels deep. With WooCommerce integration, you can track product purchases made by distributors and calculate commissions based on matrix positions, level commissions, and sales volume.


Alternatives Relative MLM Software & Free Demo


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Unilevel MLM Plan for LearnPress


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