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For those of you who remember AllAdvantage, they just came out with a new and improved system. The new system works basically like the old one: you install a toolbar and as long as the toolbar is active, you’re making money. Another way to make money is by recruiting other people and convincing them to join in. The more people you can recruit, the more money you will make. Before taking a closer look at the new system let’s see why the old AllAdvantage failed.

Why did AllAdvantage failed?

The first reason AllAdvantage didn’t last very long was because it promised its members a fixed amount of money in return, but did not take in consideration their own profit. Hence the company ended up paying more than they were making. Other reasons include:

* spam (there was so much spam generated that the ISPs filtered out all messages related to the program)

* new softwares were created that were meant to cheat the system

* drop in the effectiveness of banner ads from 4% - 6% click-thru rate to 1% (AllAdvantage’s advertising system was based 100% on banners)

What’s different?

According to its founders, the new model,will work this time because advertising targeting technologies are better, and the affiliate model will bring additional revenue. In addition, here are some other improvements that may lead to the program’s success:

* they won’t be paying a fixed amount of money to its members, but rather reimburse them with a portion of the earnings

* they will also be offering stocks in the company to its users

* there is a 5h/month limit for browsing the internet with the toolbar active

* the system will not only be based on banners, but a mix of revenues from affiliates, CPC and CPM

Is it a pyramid scheme?

This is not a pyramid scheme. A pyramid scheme is when people pay money to join, and the money go to the people who referred them.

Should you join?

I know that back in 2000 there were some people making good money with the old AllAdvantage program. It was only because they got a head start, and managed to get many affiliates. I only made because I entered the game late, and it was hard to get new affiliates (the internet was already flooded with AllAdvantage). Having said that, the new system is still in beta testing but I signed-up anyway. I just want to get as many affiliates as possible until everything goes public. It will be harder afterwards to convince or even find new members to join.

The worst-case scenario: You have nothing to loose! Even if you don’t get many affiliates, you could still make a couple of bucks a month, just for browsing the internet for 5 hours/month, which is a pretty good deal to me.

About the Author: For more information on the new system visit Agloco's unofficial blog