The business model absolutely makes sense.
Let's say you want to buy an amazon.com gift card at a shop. You pay $100 for the gift card. The shop owner gets a 10% commission.
You go ahead and purchase an amazon kindle for $100 with said gift card. Where did the $10 suddenly come from?
Would gift cards be classed as pyramid schemes?
Ok, let's apply your business model to the gift card example. So, I come every month to a store and buy $100 amazon gift card, and every time I buy I get $200, which i can't use for another 12 months. After 1 year and spending $1200, now I have $2400 worth of gift cards. I wonder how long will it take for that store to go out of the business? How can that gift card reseller keep up with 100% bonus for every customer?
Two basic characteristics of pyramid scheme are here:
- Big affiliate bonus so people have incentive to do drag their friends and family into this
- Locking up funds to give you some more wiggle room, while new members are paying for the old ones.
I should probably add that the business is interested in the customers going on as many cruises as possible to get the maximum amount of profits. It has signed deals with the big brand cruise providers and we are therefore getting these amazing deals. The cruise providers are interested in consistent business. The company has representatives from the cruise providers who work with us.
