Savings Highway Global (SHG) has resurfaced, marking its third iteration in the MLM landscape. This revised version raises familiar concerns, prompting a closer look at its business model, compensation plan, and potential redflags. While marketed as a discount platform, its true nature — a pyramid scheme — remains unchanged.
Is Savings Highway Global Legit?
The original Savings Highway, reviewed by BehindMLM in 2012, was identified as a pyramid scheme due to its focus on membership recruitment and lack of retail products.
- By 2016, it had collapsed, leading to the launch of “My 1 Dollar Business,” essentially the same model with a $1 monthly fee.
- This too met its demise, followed by “My 20 Dollar Travel Business,” another pyramid scheme centered around travel discounts.
- Now, SHG emerges, rehashing the same problematic model.
The Business Model
SHG offers no retail products or services. Its sole focus is on recruiting affiliates who pay monthly fees for access to discounts and “benefits” provided by third-party vendors. This lack of retail sales solidifies its classification as a pyramid scheme, as outlined by the FTC.
The Compensation Plan
SHG operates on a tiered membership system, with Gold, Platinum, and Titanium levels costing $20, $100, and $199 monthly, respectively. Higher tiers unlock additional discounts and matrix positions for earning residual commissions.
Commissions are generated through two primary avenues:
- Recruitment Commissions: Affiliates earn one-time commissions based on the membership tier of their recruited affiliates.
- Residual Commissions: A 3×12 matrix structure determines residual commissions. Positions within the matrix are filled through direct and indirect recruitment, with affiliates earning 5% of membership fees paid by affiliates within their matrix levels.
Red Flags And Concerns
Several aspects of SHG raise red flags:
- No Retail Sales: The absence of retail customers confirms the pyramid scheme classification.
- “Pay to Play”: Membership fees are mandatory for earning commissions, suggesting recruitment is the primary focus, not product sales.
- No Refunds: The “no refunds” policy for consecutive memberships and annual memberships raises concerns about transparency and potential consumer harm.
- Unsustainable Model: Pyramid schemes inherently collapse when recruitment slows down, leaving newer affiliates at the financial bottom. SHG’s history of reboots demonstrates this cyclical pattern.
With the FTC’s clear stance on pyramid schemes, SHG’s future appears bleak, destined to repeat the cycle of collapse and leave a trail of financial losses in its wake.
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Savings Highway Global Review
Summary
Savings Highway Global, despite its new packaging, remains a pyramid scheme preying on the promise of financial gain through recruitment. Its history of collapses, lack of retail sales, and “pay to play” structure paint a clear picture of a system designed to benefit the few at the top, leaving the majority of participants financially disadvantaged.