Joe Midway
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What is Agloco all about?

July 17th, 2007 · No Comments

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I had to write this post because all I keep hearing about is mindless zombies being recruited for Agloco. Before I go into my rants I’ll have to explain what Agloco is for people who don’t know. Agloco is a simple toolbar you install much like the Google Toolbar (). The concept is that Agloco gets money from advertisers, sponsors, etc. and while you surf the web they push ads on you relating to either your search or websites you’re visiting. What Agloco wants you to know though, is that you’ll get paid while you surf the net!Pyramid!

Now all of this seems great and would make sense, but when you start looking into things…well, they start falling apart. For example, you’re supposed to try to “recruit” friends and family (and whoever else on Earth you can) to use Agloco with your referer ID. Now if you’re able to do this, these people will now “work” under you and bring you more profit each month. Someone please explain to me how this would work? It’s a huge pyramid scheme! You eventually run out of people to put “under you” and the people at the bottom suffer since they can’t share in any of the profit.

I’ve seen a few websites with people bragging about how they’ve recruited 500 people, another one with over 2000, and get this, one with over 20,000! Unless you’re the initial investor in Agloco, what are you getting out of this? I think these people think “Well, it’s free, so why not try?”. I should get these people to volunteer for humanitarian missions.

Did I forget to tell you that Agloco hasn’t paid anyone yet? Oh, I did! Well, Agloco hasn’t paid anyone yet. I really think I need to quote their blog here:

When are the cash payouts going to begin?

The simple answer is that it depends on “when AGLOCO makes enough money to both pay Members and be a sustainable business”.

So in other words, they have no definitive plan on telling you when this will happen. How do you determine what a sustainable business is? If you’re able to cover your costs and have a $1 profit, will that $1 go to the members? Agloco has also made the mistake of saying that they will allow their users to collect shares in the company for their work surfing websites. They later retracted this comment. They are a privately-owned company and therefore can not publicly distribute shares, so maybe it’s a good thing they retracted that comment. Being a privately-owned company, they also don’t have to answer to the public on their revenues. So you’ll never really know when and if they’re making a profit or close to it…or if you have any share in their revenue.

I don’t want to go as far as calling Agloco a scam but they’re keeping everything in the dark. On top of this, there’s a huge pyramid-scheme style of marketing going on. On Agloco’s blog, they say they’re already over 500,000 members and their goal is 10 million members. Now let’s put this into REAL numbers for just a second. I don’t know how much it costs to run Agloco but I can’t imagine it’s all that much as it’s mostly software and server (when I say not a lot, you’ll see after we crunch some numbers).

Say Agloco has 500,000 members. Advertisers usually pay either Cost Per Click (CPC), Cost Per Action (CPA), Cost Per Lead (CPL) or Cost Per Thousand (CPM). Rates for these vary greatly depending on ad agency but I would imagine telling advertisers that you can narrow down demographics per person, have an active audience all over the world that is growing and is already past 500,000 members…well they’d be willing to pay. Let’s put the CPC rate at around $0.1 - $0.5 (modest), CPA rate from $0.5 - $5, CPL rate at $0.5 - $1 and CPM at around $0.50.

There’s no easy way to calculate all of this so I’m just going to work this example how I want (isn’t that the easiest and most biased way? ;-) ).

  • 500,000 member base (which is growing so I’m not discounting people not using it)
  • Each member that’s using the system should be making Agloco AT LEAST $0.10 an hour based on advertising rates (VERY modest)
  • 1 member = 4 (average hours person leaves browser ads on a day) x 5 (days of the week, not counting weekends) x 0.10 (hourly rate) x 4 (number of weeks in the month) = $8 a month (this could be lowered to $2 for an extreme example)
  • So, let’s say it is $2 a person for a month and let’s say we cut their members in half to 250,000…what’s 2 x 250,000? $500,000 a month!! That’s rediculous! Can anyone explain how they’re not making enough profit to pay their members?

I also forgot to mention that they somehow think they’re going to pay users hours that they’ve accumulated already. This is once they start showing a profit. If you can’t pay people already with your business, how do you plan to pay people in the future? It’s like starting your business in debt with a huge interest rate…and your debt grows monthly depending on your existing members and new members joining. It just doesn’t make logical sense.

Well, that’s my rant. If they prove me wrong, good for them! I’m sick of the Agloco zombies everywhere sticking up for a company that’s taking advantage of them (as far as I can see it). It’s Multi-level Marketing (MLM) at it’s worse! Have a different opinion or share the same? Share it below!

You can check out Agloco’s blog at: http://blog.agloco.com/index.php/post68/
Algloco’s main website: http://www.agloco.com/

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