SALES COMPENSATION PLAN PRESENTATION

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Presentation transcript:

SALES COMPENSATION PLAN PRESENTATION

SALES COMPENSATION PLAN EMEA Nu Skin® is the difference. demonstrated. By partnering with you, we continue to distinguish ourselves as the true leaders in global compensation. Our vision is perfectly clear – to become the world’s leading direct sales company by generating more income for our Distributors than any other company. This presentation is an overview only. Complete details are available online by visiting our website (www.nuskin.com) and clicking on Opportunity.

GETTING STARTED PSV and CSV: which is which? IMPORTANT TERMS TO UNDERSTAND step 1 PSV and CSV: which is which? Personal Sales Volume (PSV) is the monthly point value of the products and services you and your retail customers purchase from the company. Group Sales Volume (GSV) represents the total PSV in your Circle Group, including your own PSV, for a given month. Commissionable Sales Value (CSV) is the value used to calculate monthly commissions. It is equal to the wholesale price of a product or service minus any taxes, Fast Start Payments (FSP) and discounts (ADR, web, etc.).

GETTING STARTED Each product is assigned a PSV and a CSV. IMPORTANT TERMS TO UNDERSTAND step 1 Each product is assigned a PSV and a CSV. You fulfil Executive Maintenance Requirements and other qualification requirements using PSV and GSV. You will be paid on CSV, utilising the principles of the Wealth Maximiser Sales Compensation Plan.

GETTING STARTED BEGIN BUILDING YOUR CONSUMER AND DISTRIBUTOR NETWORK step 1 EARNING POTENTIAL As a new Distributor* there are three ways to get paid: Earn up to 30% profit on retail customer sales**. Earn an L1 Bonus of 5% based on the monthly CSV of all personally sponsored Distributors and Preferred Customers. Earn Fast-Start Payments (Payment from the sale of Fast-Start Product Packages). RETAIL CUSTOMER YOU DISTRIBUTOR PREFERRED CUSTOMER LEVEL 1 (L1) Note: Commissions and sales bonuses are paid only to active Distributors. See glossary in Sales Compensation Plan for explanation of Active Requirements, including retail sales requirements. * The only requirement to become a Distributor is a registration fee. There are no bonuses paid for recruiting. All bonuses are paid only when products are sold. ** You are free to set your own resale prices.

FAST-START PAYMENTS MAXIMISE YOUR EARNINGS* step 1 Fast-Start Product Packages are designed to get new Distributors off to a flying start: They contain a selection of the best-selling Nu Skin Enterprises products at an attractive price. Additionally, they offer extra earning potential. As a Distributor you can earn: Example: Up to 30% profit on retail customer sales. L1 Bonus of 5% based on the monthly CSV of all personally sponsored Distributors and Preferred Customers. Fast-Start Payments (Payment from the sale of Fast-Start Product Packages). €250 Price of the Product Package 200 PSV 150 CSV €50 Fast-Start payment * The content, price, Personal Sales Volume (PSV) and Fast-Start Payment may vary between countries. Please contact your local office for details. The purchase and retailing of Fast-Start Product Packages is optional.

3-MONTH EXECUTIVE QUALIFICATION LEADERSHIP DEVELOPMENT EXECUTIVE QUALIFICATION PROCESS step 2 YOU RETAIL CUSTOMER DISTRIBUTOR PREFERRED CUSTOMER Build your organisation to become an Executive leader and see your earnings multiply.** 3-MONTH EXECUTIVE QUALIFICATION EARNING POTENTIAL MONTH 1 (LOI) During Executive Qualification you can earn: Up to 30% profit on retail customer sales. L1 Bonus of 5% based on the monthly CSV of all personally sponsored Distributors and Preferred Customers. Fast-Start Payments (Payment from the sale of Fast-Start Product Packages). 100 PSV + 1,000 GSV* MONTH 2 (Q1) 100 PSV +1,500 GSV MONTH 3 (Q2) 100 PSV + 2,000 GSV In order to earn commissions, Letter of Intent (LOI) and above must have a monthly, minimum 50 PSV Automatic Delivery Rewards (ADR) after discount included into their monthly PSV. * GSV or Group Sales Volume represents the total PSV in your Circle Group, including your own PSV, for a given month. ** For a summary of earnings/bonuses paid to Distributors at all levels within the Sales Compensation Plan, please visit our website (www.nuskin.com) or contact your local Account Manager.

LEADERSHIP DEVELOPMENT INCREASE YOUR BONUS POTENTIAL step 2 EXECUTIVE BONUS EARNING POTENTIAL Your GSV You earn As an Executive you can earn: The same as a Qualifying Executive. PLUS A monthly Executive Bonus (EB) on your total circle group CSV. The opportunity to participate in the EMEA Executive Duplication Bonus. 2,000-2,999 GSV 9% 3,000-4,999 GSV 10% 5,000-9,999 GSV 11% 10,000-14,999 GSV 12% 15,000-24,999 GSV 13% 25,000-49,999 GSV 14% 50,000+ GSV 15% In order to earn commissions, Letter of Intent (LOI) and above must have a monthly, minimum 50 PSV Automatic Delivery Rewards (ADR) after discount included into their monthly PSV. Note: Executive Maintenance Requirements are a minimum of 100 PSV and 2,000 GSV.

Provisional Executive EXECUTIVE LEADERSHIP EARNINGS WHO COUNTS WHOM? step 2 The following chart explains who in your downline you may count towards your GSV requirement as you proceed through qualification and for additional bonuses. Volume/points generated by Preferred Customers in your Circle Group will always be included in your GSV. YOUR TITLE DOWLINE TITLE Distributor LOI (month 1) Q1 (month 2) Q2 (month 3) Executive Provisional Executive * LOI (month 1) Q1 (month 2)   Q2 (month 3)

Breakaway Executive Bonus MAXIMISE YOUR BONUS POTENTIAL NU SKIN®’S REVOLUTIONARY WEALTH MAXIMISER ENSURES THE MAXIMUM PAYOUT FOR YOU step 3 DEPTH MAXIMISER: Breakaway Executive Bonus VOLUME MAXIMISER: EEB Bonus + DBLG1 Bonus OR WEALTH MAXIMISER DEPTH VOLUME Volume Maximiser: Earn an Extra Executive Bonus PLUS a Double G1 Bonus. Depth Maximiser: Earn up to 5% commission on the CSV of every Breakaway Executive in your organisation up to six generations deep. WEALTH MAXIMISER MAXIMISE YOUR BONUS POTENTIAL Increase your earning potential as Nu Skin® pays you the maximum commission possible. EARNING POTENTIAL With Wealth Maximiser earn: Commissions from Steps 1 and 2, PLUS The method that pays you the most from the 2 Wealth Maximiser calculations. EXTRA EXECUTIVE BONUS (EEB) MIN. GSV BONUS % 3,000 5% on your CSV + DOUBLE G1 BONUS (DBLG1) 10% on your CSV TITLE GOLD LAPIS RUBY EMERALD DIAMOND BLUE DIAMOND Number of G1 Breakaway Executives 1 2,3 4,5 6,7 8,9,10,11 12 5% 2 3 4 5 6

NU SKIN®’S REVOLUTIONARY WEALTH MAXIMISER AUTOMATICALLY PAYS THE CALCULATION THAT EARNS YOU THE MOST step 3 Ruby Executive (you) 100 PSV, 3,000 GSV, 2,250 CSV Executive 3,000 GSV, 2,250 CSV GOLD Executive G2 - Total CSV: 4,500 G1 - Total CSV: 9,000 VOLUME MAXIMISER EEB at 5% €112.50 DBLG1 at 10% €900 G2-G6 at 0% €0 TOTAL €1,012.50 DEPTH MAXIMISER G1 at 5% €450 G2 at 5% €225 TOTAL €675 OR WEALTH MAXIMISER €1,012.50 € 675

EXECUTIVE MAINTENANCE REQUIREMENTS Monthly Executive Maintenance Requirements: To earn commissions: a minimum of 100 PSV, 2,000 GSV + an ADR with a minimum 50 PSV after discount (included in the 100 PSV) is needed.  What happens if an Executive fails to maintain the maintenance requirements? Maintenance requirements: What happens? Title: Payout: Not reached in May Pin Title Grace Month (available once per 12-month period) Executive L1 Bonus (if Executive has 100 PSV + ADR, Fast-Start Payments and retail profits, but not the Executive bonuses) Again not reached in July Provisional Executive status for up to 3 months (available once per Executiveship) Provisional Executive* (counts as a Breakaway Executive for upline) (same as above) Reached in September Promotion in September Paid as Executive Not reached in October Demotion in October Demoted Executive (if Distributor has 100 PSV + ADR, Fast-Start Payments and retail profits) Distributor completes qualification process again Re-entry** (if achieve within 6 months, original Breakaway Executives are regained) * Allowed once per Executiveship, however, Distributor must wait 12 months after the completion of the Provisional Executive cycle before using it again. ** Executives who enter Executive Re-entry to retain their previous Executiveship, will not be eligible to reuse Provisional Executive status.

EMEA Executive Duplication Bonus Pool Criteria EXECUTIVE DUPLICATION BONUS* EARN A SHARE OF THE EMEA SUCCESS Executives and above with 3,000 monthly GSV can qualify to earn a share of the EMEA monthly commissionable sales volume through the Executive Duplication Bonus**: EMEA Executive Duplication Bonus Pool Criteria Passing Qualifying Executive Month 2 (Q2) 1 Share New Executive Month 1 with 3000 GSV New Executive Month 2 with 3000 GSV 2 Shares New Executive Month 3 with 3000 GSV 3 Shares Note: The Qualifying Executives and Executives must be from one of the EMEA markets in order to count as a share for the upline. * The Executive Duplication Bonus is a temporary incentive and is not a part of the Sales Compensation Plan, it may be modified or discontinued at any time with 30 days notice. ** In order to qualify, Distributors must meet the minimum bonus and sales criteria in effect at the end of each commission period and fulfil the Active Requirements of the Sales Compensation Plan.

THANK YOU