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Automatic Delivery Rewards Launching May 1 st 2009

Automatic Delivery Rewards Launching May 1 st 2009. Automatic Delivery Rewards, or ADR, is a program where Distributors and Customers can sign up to receive products on a monthly basis.

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Automatic Delivery Rewards Launching May 1 st 2009

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  1. Automatic Delivery RewardsLaunching May 1st 2009 • Automatic Delivery Rewards, or ADR, is a program where Distributors and Customers can sign up to receive products on a monthly basis. • Distributors and Customers who sign up on ADR will receive discounted pricing, shipping, and the ability to earn Product Reward Points which can be redeemed for free product.

  2. Automatic Delivery Rewards Objectives • Provide with a loyalty program that improves retention. • Save subscribers time and money by allowing them to completely manage their account online, eliminating the need to call for support. • Promote the monthly automatic purchase of product.

  3. ADP/ADR…. Why the changes? • Provide MUCH greater value • Increase retention • Expand product use (with free product) • Simplify • All Distributors, in the Americas, Europe, and South Pacific markets, may enjoy simplified benefits • Having one program for all markets creates easier duplication between markets

  4. Differences for South Pacific

  5. Automatic Delivery Rewards Australian ADP vs. ADR Comparison

  6. Why is the New ADR Program Better? It’s simply a MUCH GREATER VALUE! If you currently receive a 10% discount on ADP, you may choose to receive 86% to 144% greater value when you purchase Nu Skin and Pharmanex products by converting to the new ADR program. Below is an example of the greater value you can receive when you purchase LifePak on ADR. AUTOMATIC DELIVERY REWARDS (ADR) (New Program – 1 May) LifePak (Australian Example) $94.50 @ 5% Discount = $89.78 (67.45 PV) Shipping = $6.00 ($12.00) Total = $95.78 Total Savings = $10.72 ($4.72 + $6.00) ADR @ 20% Reward Points (67.45 X 20% = 13.49) Savings of $10.72 and Product Value of $18.00 (13.49 Reward Points) Total Value = $28.72 ADR @ 30% Reward Points (67.45 X 30% = 20.24) Savings of $10.72 and Product Value of $27.00 (20.24 Rewards Points) Total Value @30% = $37.72 AUTOMATIC DELIVERY PROGRAM (ADP)  (Current Program)      LifePak (Australian Example) $94.50@10% Discount = $85.05 (63.90 PV) Shipping = $6.00 ($12.00) Total = $91.05 Total Savings = $15.45 ($9.45 + $6.00) Total Value = $15.45 (Savings) 86% Greater Value Compare the Two Programs 144% Greater Value

  7. Why is the New ADR Program Better? It’s simply a MUCH GREATER VALUE! If you currently receive a 20% discount on ADP, you may choose to receive 51% greater value when you purchase Nu Skin and Pharmanex products by converting to the new ADR program. Below is an example of the greater value you can receive when you purchase LifePak on ADR. AUTOMATIC DELIVERY REWARDS (ADR) (New Program – 1 May) LifePak (Australian Example) $94.50 @ 5% Discount = $89.78 (67.45 PV) Shipping = $6.00 ($12.00) Total = $95.78 Total Savings = $10.72 ($4.72 + $6.00) ADR @ 30% Reward Points (67.45 X 30% = 20.24) Savings of $10.72 and Product Value of $27.00 (20.24 Rewards Points) Total Value = $37.72 AUTOMATIC DELIVERY PROGRAM (ADP) (Current Program) LifePak (Australian Example) $94.50@20% Discount = $75.60 (56.80 PV) Shipping = $6.00 ($12.00) Total = $81.60 Total Savings = $24.90 ($18.90 + $6.00) Total Value = $24.90 51% Greater Value Compare the Two Programs

  8. Automatic Delivery Rewards New Zealand ADP vs. ADR Comparison

  9. Why is the New ADR Program Better? It’s simply a MUCH GREATER VALUE! If you currently receive a 10% discount on ADP, you may choose to receive 103% to 174% greater value when you purchase Nu Skin and Pharmanex products by converting to the new ADR program. Below is an example of the greater value you can receive when you purchase LifePak on ADR. NZ AUTOMATIC DELIVERY REWARDS (ADR) (New Program – 1 May) LifePak (NZ Example) $139@ 5% Discount = $132.05 (83.60 PV) Shipping = $4.50 ($9.00) Total = $136.55 Total Savings = $11.45 ($6.95 + $4.50) ADR @ 20% Reward Points (83.60 X 20% = 16.72) Savings of $11.45 and Product Value of $26.00 (16.72 Reward Points) Total Value = $37.45 ADR @ 30% Reward Points (83.60X 30% = 25.08) Savings of $11.45 and Product Value of $39.00 (25.08 Rewards Points) Total Value @30% = $50.45 NZ AUTOMATIC DELIVERY PROGRAM (ADP)  (Current Program)      LifePak (NZ Example) $139@10% Discount = $125.10 (79.20 PV) Shipping = $4.50 ($9.00) Total = $129.60 Total Savings = $18.40 ($13.90 + $4.50) Total Value = $18.40 (Savings) 103% Greater Value Compare the Two Programs 174% Greater Value

  10. Why is the New ADR Program Better? It’s simply a MUCH GREATER VALUE! If you currently receive a 20% discount on ADP, you may choose to receive 56% greater value when you purchase Nu Skin and Pharmanex products by converting to the new ADR program. Below is an example of the greater value you can receive when you purchase LifePak on ADR. NZ AUTOMATIC DELIVERY REWARDS (ADR) (New Program – 1 May) LifePak (NZ Example) $139@ 5% Discount = $132.05 (83.60 PV) Shipping = $4.50 ($9.00) Total = $136.55 Total Savings = $11.45 ($6.95+$4.50) ADR @ 30% Reward Points (83.60 X 30% = 25.08) Savings of $11.45 and Product Value of $39.00 (25.08 Rewards Points) Total Value = $50.45 NZ AUTOMATIC DELIVERY PROGRAM (ADP) (Current Program) LifePak (NZ Example) $139@20% Discount = $111.20 (70.40PV) Shipping = $4.50 ($9.00) Total = $115.70 Total Savings = $32.30 ($27.80 + $4.50) Total Value = $32.30 56% Greater Value Compare the Two Programs

  11. Automatic Delivery Rewards The Basics

  12. ADR Enrolment Options Distributors and Customers enrol in the new ADR program through the following methods: • Online • Fax/Mail • Phone During enrollment, a monthly date is selected. The ADR order will be shipped automatically, every month, on that date. • Valid shipping dates are between 1st – 24th of the month

  13. ADR Requirements ADR Benefits • Minimum order size of 50 PV • Orders below 50 PV minimum requirement may be set up as recurring orders, but no program benefits will apply. • New Distributors who sign up on ADR with a 50 PV order receive the Business Portfolio for free. • Regular cost of Business Portfolio for new Distributors • Phone: $40.00 • Online: $20.00

  14. ADR Benefits Benefits received on each month’s ADR order • 5% discount off of the wholesale price • 50% discounted shipping and handling rate • Earn Product Reward Points on your ADR PV • 20% Reward Points earned for monthly shipments • 30% Reward Points earned for monthly shipments beginning on the 13th monthly ADR order to ship

  15. ADR Product Reward Points • Product Reward Points are awarded the 1st day of the month for orders placed in the previous month. • A maximum of 75 Product Reward Points can be earned per month • Earn a maximum of 900 Product Rewards Points per year • Product Reward Points not redeemed will expire on the 1st day of the 13th month they were earned • Product Reward Points are awarded based on the monthly ADR order’s PV

  16. ADR Product Reward Points Distributors and Customers can redeem Product Reward Points through the following methods: • Online • Fax/Mail • Phone • Walk-in Centres Product Reward Points are redeemed for free product • If using Product Reward Points products must be paid for in full with points

  17. ADR Management Options • ADR accounts can be managed online and through the call centre • Product, delivery date, frequency, shipping address, and payment method can all be changed • Product Reward Points can be redeemed NB: ADR orders managed through the Call Centre will be charged normal shipping and handling fee. (AU$12.00/NZ$9.00) All ADR orders managed online will be charged 50% of the normal shipping and handling fee (AU$6.00/NZ$4.50)

  18. Existing ADP’s All ADP/ADR participants already enrolled before the new ADR May 1st launch will maintain current pricing and benefits for existing products on their ADP. Shipping rates may change. • Current participants will maintain 10% and 20% discount for current products and quantities already on their ADP. Product Reward Points will not be earned New products added to existing ADP orders after April 30th will receive 5% off wholesale price and earn Product Reward Points.

  19. Existing ADP’s Current ADP participants will have the option to convert to the new ADR and start receiving 20% or 30% in Product Reward Points by contacting the call centre between May 5th and June 30th 2009. Those Distributors who have received monthly ADP orders for 12 months or more will have the opportunity to convert to the new ADR and immediately earn 30% Product Reward Points from their monthly ADR Order.

  20. THANK YOU

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