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One Team Global. A Group of Worldwide Professionals building Global Businesses. Distribution of Wealth. 95% Dead Or Dead Broke. 4% Get By. 1% Wealthy. Source: Hartford Insurance Study, Social Security Administration – Age 65. The Wealthy 1%. 5% Super Sales Persons. 10% CEO - Stock.
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One Team Global A Group of Worldwide Professionals building Global Businesses
Distribution of Wealth 95% Dead Or Dead Broke 4% Get By 1% Wealthy Source: Hartford Insurance Study, Social Security Administration – Age 65
The Wealthy 1% 5% Super Sales Persons 10% CEO - Stock 1% Athletes Entertainers 74% Business Owners 10% Top Professionals Source: The New Interagency Report: Older Americans 2000: Key indicators of Well-Being, (U.S. Census)
Home Business 1800’s – Entrepreneurs 1900’s – Corporations 2000’s – Entrepreneurs
Timing is Everything Window of Opportunity $1 Billion Momentum Window Stability Critical Mass $500 Million Pioneering $50 Million 2006 2007 2009 2011 New Market
5 Key Points • Market Trends • Unique Products • Company • Leverage • Timing
The Next Trillion! BABIES TEENAGERS 20’s 30’s 40’s 50’s 1950’s 1960’s 1970’s 1990’s 1980’s 2000 BABY BOOM The first time the entireBaby Boom generationis impacting a single market at the same time! Wellness Industry Mortgage Mini-Van Kids Toys Diapers Baby food Fast FoodFast Cars Rock ‘n Roll
Free Radicals They’re Bad! WHY WE AGE Antioxidants Are Good! Antioxidants neutralize free radicals & slow the Ageing Process Free RadicalsCause cell and DNA damage.
Smoking 10 Billion free radicals per cigarette! Free Radicals • Sunlight • Stress • Toxins • Pollution • X-rays • Radioactivity • Airline travel • Medications • Food additives • Environmental Chemicals • Synthetic materials • Household cleaners • Solvents • Pesticides • Herbicides Lots more…
The Facts In a national survey of 21,500 People*, not a Single Personconsumed even the daily RDA amounts for the 10 most important nutrients! *Source: USDA 1994-96 CSFII “We eat Enough to prevent deficiency, but not enough to prevent disease” “Low levels of Antioxidant Vitamins may increase the risk of several chronic diseases.” June 19, 2002 “We recommend that ALL ADULTS take a multi-vitamin daily”
What is Your Level? "The amount of key antioxidants that many different species maintain in their bodies is directly proportional to their lifespan." Dr. Richard Cutler, former Head of the Gerontology Research Institute (GRC) at the National Institutes of Health (NIH) Wash D.C. You MUST SUPPLEMENT! But how do you know if your supplements work?
Breakthrough! BioPhotonic Scanner 1st Ever Non-Invasive, Real Time Measurement of Human Antioxidant Status The Oscars of Business Based on Nobel Prize Winning Science Most Innovative company in USA
Origins of Scanner Sir Chandrasekhar V. Raman Uses a scientific technique called Raman Spectroscopy 70 Years Nobel Prize Winner - 1930 Dr. Werner Gellerman Developed by a team of Physicists at the University of Utah Carotenoid molecules shift laser light from a blue colour to green Primary Investigator
Response • Lester Packer, Ph.D. • Known as“The Father of The Antioxidant Theory” • Pharmanex Scientific Advisory Board Member • Founder of Packer Labs at Berkeley • 70 Books Published – 700 Articles “Everyone should use the Pharmanex BioPhotonic Scanner to measure their optimal Skin Carotenoid Score. Once you have Your score, work to increase it and maintain it with a diet rich in fruits, vegetables and vitamin supplements." Lester Packer, Ph.D - Quoted on CNN/Money.com In the Media :
Response Scanner Called “Secret Weapon” By Investment Newspaper “[NSE/Pharmanex] might have a secret weapon... It's called the BioPhotonic Scanner, a tabletop laser device that through hand scans can measure a person's carotenoid antioxidant levels.“ "You finally have a device that can measure the efficacy of nutrients or dietary supplements you're taking.” -April 16, 2004 http://biz.yahoo.com/ibd/040416/newamer_1.html
Science Based Over 130 PHD level Scientists An Un-Matched Scientific Advisory Board! Unique in the Industry - 6S Quality Process • Selection • Herb Selection • Standardization • Same Product • Year in year out • Sourcing • Raw Material • Procurement • Safety • Toxin Analysis • No dangerous ingredients • Structure • Quality Assurance • Substantiation • Clinical Studies
Lifepak The LifePak Challenge! Our Products will Raise your Antioxidant Score or your Money back! LifePak is FIVE formulas in one: 1. high potency antioxidant formula 2. balanced B-vitamin formula 3. complete bone support formula 4. complete trace element supplement 5. phytonutrient formula with catechins • Most Comprehensive Nutritional & Multivitamin Supplement in the World! • Scientifically Proven & Backed by Double Blind Clinical Studies! • Can be Measured in Your Cells, where it counts!
Lifepak Benefits 95% Surveyed Feel Better: Energy Stamina Endurance Sleep Less Illness
g3 g3 – Most Nutrient Rich Juice Ever Discovered with the Bio Photonic Scanner Unique, Convenient, & Delicious 70 X’s more Lycopene than Tomatoes 60 X more Vitamin C than Oranges* 40 X more Zeaxanthin than Yellow Corn 10 X more Beta Carotene than Carrots
Recorded Benefits • Increases energy • Anti-aging properties • Promotes eye health • Strengthens Immune System • Fights cancer • Improves circulation • Regulates cholesterol • Promotes Prostate health • Facilitates optimal bioavailability of key nutrients • Promotes skin health • Promotes vascular health • Promotes would healing • Protects skin from UV damage • Fights heart disease • Prevents stroke • Stabilizes blood pressure • Promotes better digestion • Promotes prostate health • Bolsters immune system • Promotes liver health • Eases headaches • Promotes sexual health • Promotes vitality
Retention ???? Auto-Re order of LifePak Gives you Free Bio-Scanning for Life MAS 35,000 25,000 16 WEEKS Baseline 8 WEEKS 1st Scan 3rd Scan 5th Scan
Think Range Top Score Ever = 197,000 with g3 User = 55,000 Avg. LP User = 40,000 +++ Avg. Person = 20 - 25,000 Avg. Smoker = 14,000 50,000 to 100,000 40,000 to 50,000 30,000 to 40,000 20,000 to 30,000 10,000 to 20,000 What is your Antioxidant Score? Less than 10,000
Monopoly The Patented Scanner Technology creates a Monopoly for Pharmanex. No one else can measure Antioxidant Status in Real Time in Living Human Tissue for the next 19 Years !
Cutting Edge www.consumerlab.com First Supplement in the World certified as “banned substance free” by the USOC “BSCG is the only certification program in the United States that uses IOC and WADA accredited laboratory for all analyses“ PHARMANEX PRODUCTS ARE IN USA PHYSICIANS DESK REFERENCE: Lifepak, Reishimax, Cordymax, Tegreen 97, Cortitrol, Optimum Omega
Leverage Scan Events All Purchases are Linked to your ID via Automatic Re-Ordering Process
Parent Company Nu Skin Enterprises • USD$1.2 Billion Annual Sales • D&B 5A-1 Rating • 22 Year Track Record • Over 130 PHD Scientists • $600 Million in Paid for Assets • Global Seamless Comp. Plan • $200 Million Cash in Bank • Operating in 44 Countries • Publicly Traded – NYSE (NUS) HQ – Provo Utah
Proven Most Lucrative • Paid USD$5 Billion in Total Commissions to Distributors • Created many hundreds of Millionaires • 20 have earned more than USD$20 Million (More than the rest of the Industry combined!) • 2 have earned more than USD$50 Million
Incomes Average Incomes in 2004 Residual Income, Not A Job!
Support Largest Group in NSE – 56% Majority of NSE Global Market Sharein 2005 with over USD$650 million turnover Strong Presence across all markets: Asia Pacific USA/Canada Europe Because We Use the Most Professional Approach to The Business OTG 56% A Group of Worldwide Professionals building Global Businesses
Success 100 Team Elites, 500 Blue Diamonds and Counting
OTG Advantage • Pre-Market Sign-up ability • OTG Training Centers • Multi Lingual Websites for OTG Members • OTG Global Internet Broadcasts • OTG Videos and CD’s • OTG PowerPoint Presentations & Flipcharts • OTG Training Manuals • OTG Conference Calls • OTG Global Fly-ins – Top Leaders Train You
New Markets Russia Turkey China India Vietnam South Africa
$$$$$$$$ Start Now Start Later Timing is Everything! Leverage off a HUGE New Market Launch Lost Opportunity! Pioneering
Action Plan • Become an Executive immediately and qualify for a BioPhotonic Scanner • Executives make the Big Bucks • OTG will support you to Build Local and International Executives in all Countries. • Teach others How to become Executives • Get to Team Elite ASAP
How to Get Started • A) Lifepak & g3 User and Take the Lifepak Challenge • Step 1: Get on Lifepak & g3 ARO and try our products • Step 2: Get Scanned and Enjoy Free Lifetime Monitoring • or B) Business Builder - Executive Track Step 1: Purchase a Business Builder Starter Kit. Step 2: Undergo your New Distributor Training Step 3: Build a Global Business & Enjoy Leveraged Incomes
Success Leaves Clues Millionaire Success System 60 Day Ruby Plan
YOU 4700 Starter Kit + Executive Ruby Order 1 2 3 4 4700 4700 4700 4700 60 Day Ruby Plan MONTH 1 • Purchase Starter Kit from Sponsor - $1240 Retail • Get on ADP • Purchase Executive Ruby Order • $3460, 2000psv (Includes 4 W/S Starter Kits) • - submit LTP form • 3. Sponsor 4 NEW Business Builders and • retail Starter Kit to each • 4. Build ADP’s in your GSV Commissions: L1 – 8,000 x 6% = US$480 or $672 Starter Bonus I (achieve 3 ADP) $125 Starter Bonus II (achieve 10 ADP) $250 EGB I (LTP)$125 x 4 = $500 Profit on 4 Starter Kits sold = $1500 Net Income = $3,047
YOU 150 1 2 3 4 150 150 150 150 1 2 3 4 1 2 3 4 4700 4700 4700 4700 4700 4700 4700 4700 1 2 3 4 1 2 3 4 4700 4700 4700 4700 4700 4700 4700 4700 60 Day Ruby Plan MONTH 2 • Maintain 150 PSV • Help 4 Business Builders • (from Month 1) each sponsor • 4 NEW Business Builders • 3. Build 18 ADP’s in your GSV Keep Additional Starter Kits On-Hand
60 Day Ruby Plan MONTH 2 • Month 2 Compensation: • Commission: • - 6% of 600 GSV = US$36 $50 • - 14% of 32,750GSV =US$4,585 $6,419 • 5% of 32,750GSV = US$1,637 $2,292 • Starter Bonus III (18 ADP’s) $400 • - EGB II ($525 x 4 new execs) $2100 TOTAL AUD$11,261 PLUS: 5 STAR ALL EXPENSES PAID TRIP TO FIJI FOR YOU & YOUR SPOUSE
60 Day Ruby Plan MONTH 2 MONTH 1 $3,047 MONTH 2 $11,261 FIRST 60 DAYS $14,308 Less Starter kit -$1240 Total Profit $13,068
Disclaimer NU SKIN ENTERPRISES, INC. DISTRIBUTOR COMPENSATION SUMMARY Company Overview Nu Skin Enterprises, Inc. (together with its affiliates, the "Company") is a global direct selling company that operates in more than 30 countries throughout North and South America, Asia and Europe. The Company operates in three divisions: (1) the Nu Skin division markets premium quality skin care and personal care products; (2) the Pharmanex division is a science-based developer of nutrition products; and (3) the Big Planet division markets and distributes Internet, technology, telecommunication and other products. Distributors The Company markets its products through a network of independent distributors. As of December 31, 2003, the Company had a global sales force of approximately 678,000 active independent distributors located throughout its markets. For purposes of this summary, an "Active Distributor" is a distributor who placed an order for products, promotional materials or services or renewed their distributorship during the quarter. In the United States, the Company had an average of 54,356 Active Distributors each quarter in 2003. Compensation There are two fundamental ways in which a distributor can earn compensation: · Through retail markups on sales of products purchased at wholesale prices; and · Through commissions (sometimes called bonuses) paid on one's product sales and the sales of other distributors in one's downline sales network. As with any other sales opportunity, the compensation earned by distributors varies significantly. The cost to become a distributor is very low. People become distributors for various reasons. Many people become distributors simply to enjoy the Company's products at wholesale prices. Some join the business to improve their skills or to experience the management of their own business. Others become distributors but for various reasons never purchase products from the Company. Consequently, many distributors never qualify to receive commissions. Generating meaningful compensation as a distributor requires considerable time, effort, and commitment. This is not a get rich quickly program. There are no guarantees of financialsuccess. Retail Markups Distributors can buy Nu Skin, Pharmanex and Big Planet products from the Company at wholesale prices for resale to customers or for personal consumption. Some Big Planet products are services, such as Internet access, on which there is no retail mark-up earned by distributors. In addition, some Big Planet products are lower margin products offered through Internet mall affiliates. Consequently lower levels of commissions are paid on the sale of such products. The Company's suggested retail markup is 43% on most of its personal care and nutrition products. However, distributors are free to set their own selling price and may personally consume some of the products they purchase. As a result, the Company currently neither provides an estimate of average income from retail sales nor includes distributor retail income in its average commission information.
Disclaimer Commissions Distributors can also earn commissions based on the sale of products by a distributor and his/her downline of sponsored distributors in all markets where the Company does business. The Company also sells promotional materials that do not generate commissions to distributors. In 2003 the Company paid approximately $407 million in commissions and sales compensation globally. In the same period, the Company paidapproximately $68 million in commissions to distributors residing in the United States. The following table shows the average quarterly commissions paid in 2003 to U.S. distributors at the various levels of the Company's sales compensation plan at the end of each quarter, the average percentage of total Active Distributors and the average percentage of Executive-and-above distributors (1) that qualified to receive commissions at each level at the end of each quarter. These figures do not include retail markup income The average commission paid to U.S. Active Distributors each quarter was $306.55 or $1,226.20 on an annualized basis. The average commission paid to U.S. Active Distributors who qualified for commissions in 2003 was $8,943.00 (annualized). Note that these figures do not represent a distributor's profit, as they do not consider expenses incurred by a distributor in promotion of his/her business and do not include retail markup income. An average of 13.69% of U.S. Active Distributors qualified for commissions in 2003 (3) Active Distributors represented an average of 35.22% of Total Distributors.(4) Note that equivalent titles of Executive-and-above distributors vary between the Nu Skin PersonalCare, Pharmanex and Big Planet divisions. If you have any questions concerning this information, please contact Distributor Support at (800) 487-1000. 1 These percentages are calculated by adding the average percentage of total Active Distributors at each level at the end of the quarter for each quarter of 2003 and dividing by four. 2 These numbers are calculated by taking the quarterly average commissions and multiplying by four. 3 This number is calculated by adding the average percentage numbers for each level of distributors in the above table. 4 "Total Distributors" includes all U.S. distributors who either signed an agreement or renewed their distributorship during 2003 irrespective of their purchasing products, promotional materials or services or earning commissions.
LTP 1-6 Months Qualification Min 500 PSV first month Min 150PSV & 1000GSV every month Cumulative 6000GSV Personal min 12 month ADP • LTP Bonus I $125 – 1000GSV + 3 ADPs • LTP Bonus II $250 – 4000GSV + 10 ADPs • LTP Bonus III $400 – 6000GSV + 18 AROs (within 6 mths)