Forced matrix compensation plans are typically described by two numbers: the width times the depth. This means a 3 x 8 matrix allows you to sponsor 3 frontline distributors and pays 8 levels deep. Any distributors that you sponsor beyond your first 3 must be placed underneath others in the matrix. A 5 x 7 matrix is 5 wide (front line) and 7 levels deep. On paper, a forced matrix comp plan looks like a “perfect” example of a unilevel compensation plan. Here is what a completely full 3 x 5 matrix looks like:
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Another disadvantage occurs when distributors drop out. If they haven’t sponsored anyone, then you can just start building again at that spot. However, if they have sponsored other reps, their vacancy now creates a “hole” in the matrix that you can’t plug. This is a position for which you can never get paid. But there’s a catch. Some matrix plans feature compression, which will pull one (or more) reps up from below to fill the hole. Now your matrix is once again full – or at least empty at the bottom where new reps can join.
Second, since some people will sponsor more than the maximum number of distributors, the concept of spillover comes into play. In a 3 x 8 matrix, you can only have 3 distributors on your frontline. The fourth distributor that you sponsor will spill over into the matrix, and be placed under one of your frontline distributors. Spillover is important in narrow width plans, such as a 3 x 8 matrix, but much less important in a wide width plan, such as a 5 x 5 matrix.
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