Why Success Week? Leaders Success Summit Education Week - Spring 2013 12 Monthly Health Webinars 48 Natural Health Education Seminars
All webinar resources can be found at www.nspwebinars.com A phone recording of this webinar is available at 1-712-432-0453 PIN 1544987 (Not a toll-free call)
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Easier Than You Thought: How to Maximize NSP’s Compensation Plan Aaron Wengert
Time for a Marketing Plan POP Quiz! True or False: The Classic Marketing Plan pays you for higher volume and the Legacy Marketing Plan pays your for greater depth. A. True B. False
Time for a Marketing Plan POP Quiz! Choose the best answer: In the Classic Marketing Plan, how many first level Managers do you need to be an Area Manager? A. Three B. Four C. Five D. Ten
Time for a Marketing Plan POP Quiz! True or False: To receive any type of compensation from NSP, you must personally buy $100 dollars in a given month. A. True B. False
Ground Rules & Definitions
Ground Rules Today’s discussion will only contain information that reflects the normal marketing plan (Classic & Legacy). We won’t be discussing Parties, Sunshine Rewards, etc. You must have 100 personal QV in a given month to receive any compensation from NSP. Let’s define the following: Direct Cost, QV, Group, Manager.
Definition: Direct Cost This is the price that you pay when you purchase product directly from Nature’s Sunshine. Important note: You may never sell your products for less than direct cost.
Definition: QV “Qualification Volume” This is the volume we use to determine your pay, your qualification for events, rank advancements and more. Typically, one dollar equals one QV point, but not always.
Definition: Group Your “group” is everyone that you have personally sponsored and everyone they have sponsored into NSP. No Managers exist between you and them. Group QV equals all of your personal purchases PLUS the purchases of those in your group, who haven’t achieved Manager rank.
Your Group QV is: 775 Your rank is: Member You 100 Jon 300 Tim 200 Sara 175 Your Group QV is: 775 Your rank is: Member
Definition: Manager Someone who has achieved 1,000+ Group QV in a given month. As a reminder, Group QV consists of your purchases PLUS those in your group, excluding Managers. As a Manager, you can now receive overrides on the Managers you and others develop. You can also increase in rank and receive other benefits.
Your group QV is: 1,025 Your rank is: Manager You 100 Jon 300 Tim 375 Sara 250 Your group QV is: 1,025 Your rank is: Manager
NSP’s Marketing Plan: Extremely Unique & Versatile
Unique & Versatile There are numerous ways you can make money with the marketing plan. You get to take advantage of the method that best fits your business model. With NSP’s Marketing Plan, you can be rewarded for volume AND depth! Classic = rewards higher volume Legacy = rewards greater depth
Unique & Versatile After today, you’ll understand the Marketing Plan and use it to your advantage. You’ll also be able to go home and teach those in your group so they can take advantage of the benefits and teach others as well!
Retail Profits
Retail Profits You can earn money by purchasing product at direct cost and selling it at retail pricing. The MSRP is approximately 50% greater than the direct cost. You can choose a markup percentage that best fits your market & situation. Turn to page 2 in your booklet and let’s do an example together.
$12 $18 $6 $16 $24 $8 $14
Retail Profits If you purchase $1,000 in a given month and mark it up 50%, how much have you earned in retail profits after all your inventory is sold? $1,000 x 50% = $500 If you purchase $1,000 in a given month and mark it up 30%, how much have you earned in retail profits after all your inventory is sold? $1,000 x 30% = $300
Rebates
Rebates The money you receive back when purchasing directly from Nature’s Sunshine. (100 QV+) Think of rebates as your pay without a group. We always pay rebates first to anybody who earns one. Your rebate % is determined by your QV, not actual $ spent in a given month. Let’s look at some tables and do a few examples together. Go to pg 4.
Rebate & Commissions Table - Classic Plan QV Points 100-299 300-599 600-999 1,000-2999 3,000+ Payout % 10% 12% 18% 27% 30% 300 12% $36 $36
Rebate & Commissions Table - Classic Plan QV Points 100-299 300-599 600-999 1,000-2999 3,000+ Payout % 10% 12% 18% 27% 30% 1,250 27% $337.50 $337.50
Rebate & Commissions Table - Classic Plan QV Points 100-299 300-599 600-999 1,000-2999 3,000+ Payout % 10% 12% 18% 27% 30% Rebate & Commissions Table - Legacy Plan QV Points 100-499 500-999 1,000+ Payout % 10% 15% 20% If your business model will encourage high volume, which plan will be more advantageous to you for rebates & commissions? The Classic Plan. You can earn up to 30% with Classic and 20% with Legacy.
Rebates & Commissions
Commissions The dollar amount you earn from your group members’ purchases in a given month. Excludes Managers. The difference between your group QV % and a particular group member’s rebate %. Think of this as your pay with a group. Let’s do an example on page 4 of your book.
Rebate & Commissions Table - Classic Plan QV Points 100-299 300-599 600-999 1,000-2999 3,000+ Payout % 10% 12% 18% 27% 30% 1,290 27% $81 $121.30 $202.30 300 90 200 700 Kim John Ann 0% 10% 18% $0 $20 $126 27% 17% 9% $24.30 $34 $63 $121.30
Rebate & Commissions Table - Classic Plan QV Points 100-299 300-599 600-999 1,000-2999 3,000+ Payout % 10% 12% 18% 27% 30% 1,290 27% $81 $121.30 $202.30 300 90 200 700 Kim John Ann 0% 10% 18% $0 $20 $126 27% 17% 9% $24.30 $34 $63 $121.30
Manager Overrides
Manager Overrides Manager: Someone who achieves 1,000+ group QV in a given month When you have a manager “breakout” of your group, you’re paid differently on their organization. This pay “overrides” the normal rebate and commission schedule. Let’s look at some examples.
Your group QV is: 1,025 Your rank is: Manager You 100 Jon 300 Tim 375 Sara 250 Your group QV is: 1,025 Your rank is: Manager
You 100 Bob 300 Jess 150 Dan 450 Joe 200 Jon 650 Tim 375 Sara 250 Who is your new Manager? 12% if Jon is Classic 10% if Jon is Legacy
You will earn commissions from these group members as you did before. Bob 300 Jess 150 Dan 450 Joe 200 Jon 650 Tim 375 Sara 250 12% if Jon is Classic 10% if Jon is Legacy You will earn commissions from these group members as you did before.
12% 4% 2% 1% 10% 7% 6% 5% 1% Classic Legacy If I have a C/L Manager on the _______ level, I get paid _______ %*. Classic Legacy Level 1 12% Level 2 4% Level 3 2% Level 4 Level 5 1% Level 1 10% Level 2 7% Level 3 6% Level 4 5% Level 5 Level 6 Level 7+ 1% *Varies with Rank.
12% 4% 2% 1% 10% 7% 6% 5% 1% Classic Legacy Level 1 12% Level 2 4% Level 3 2% Level 4 Level 5 1% Level 1 10% Level 2 7% Level 3 6% Level 4 5% Level 5 Level 6 Level 7+ 1% If your business model produces great depth, which plan will benefit you more? Legacy – it pays higher overrides on more levels.
Let’s assume everyone here is a Manager, and you are an Area Manager – what % do you get paid on each Manager? You Classic Bob Jess Legacy Dan Joe Jon Tim Sara 12% 10% 12% 12% 7% 7% 2%
Let’s assume everyone here is a Manager, and you are an Area Manager – what % do you get paid on each Manager? You Legacy Bob Classic Jess Dan Joe Jon Tim Sara 12% 10% 12% 12% 7% 7% 2%
Classic 1,600 12% $192 Legacy 2,400 7% $168 Legacy 1,250 6% $75 $435
SmartStart Sponsoring Bonuses
SmartStart Sponsoring is one of the lifelines of your business, and we reward you for it! New member must buy 100-299 QV in the sign-up month; anything outside this range, normal marketing plan applies. Let’s look at a few examples.
5% 5% 10% 30% or 40% 3rd Upline 2nd Upline 1st Upline You New Member (L/L = 40%) 100-299 QV Sign-up month 15 Sunshine Points
$7.50 $7.50 $15 Classic 30% $45 Classic 150
What Have We Learned?
What Have We Learned? NSP’s marketing plan is unique and versatile: it rewards you for volume AND depth. You get to take advantage of the marketing plan in a way that best fits your business model. Building your business requires duplication – which means you need to teach others what you know and do!
Questions & Answers
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Live Giveaway Winners
Thank You for Joining Us! Our next webinar is on December 4 11:00 am MDT Healthy Aging & Energy