What is ?

3. What is? A sales channel incentive structure based on • Extensive goal-setting incentive research • Patented GoalQuest®program results* • Pay-for-growthperformance design • Proprietary program database & guidelines * GoalQuest is the only incentive design that has ever been awarded a US patent

4. Structure Participants have two ways to earn • Base program Earn per sales unit/dollar amount starting at baseline or any other designated point • Challengepoint goal Select and achieve an incremental goal Base program earnings are not ‘at risk’ Challengepoint goal earnings are ‘at risk’ • Awards are only paid if you reach your goal

5. Base Earnings Structure Define a unit of measure and payout ratio • 10 AwardperQs per $ 1,000 in sales • 20 AwardperQs per unit sold • 50 AwardperQs per 1% percent increase Define an earnings starting point • Personal baseline • “X” dollars or units • Percent of baseline • Zero

6. Base Earnings Structure Participants earn AwardperQs at the established ratio once they reach the earnings starting point • If they reach their earnings starting point any AwardperQs they earn in the base program are not “at risk” Base program earnings continue through the end of the program period • Acts as an on-going incentive even after their goal is reached

7. Challengepoint Goal Structure • Participants select a personal goal • Rewards escalate rapidly to encourage selecting the highest goal achievable • All-or-nothing goal achievement • Personal baseline-related goals • Audience segmentation • Focused behavior • Short program duration • Focused program target • Frequent program communications

8. Baseline + 30% 120 AwardperQs 60 AwardperQs Baseline + 20% 20 AwardperQs Baseline + 10%

11. as a Product Complete end-to-end product: • Program-specific website • Built-in communications plan • Progress reporting for authorizedmanagers Participant Home page Challengepoint flash communication

12. Program Financials • Setup, website hosting, communications and reporting are provided at BI’s expense • Standard website reports • Program sponsor pays for awards earned by participants who achieve their goal • The Challengepoint database allows us to estimate results during planning and measure them precisely after the program

13. Included and Billable Items Included items: • Program design • Website setup • Website hosting • Award brochures (if used) • Standard communications • Project management Items billed to the sponsor: • AwardperQs earned by participants • Actual postage for mailing the brochures if used • Any custom reports or communications

14. Implementation Steps Design phase • Initial discovery conversation to determine • Audience, measurement metric, management participation • Revenue and gross margin • Baseline (run rate) data files • Review design model(s) and estimates • Alter and re-model as needed 12 working days prior to launch we need • Approval of the rules document for the website • The company or program logo for the website • Participant load file with baselines and hierarchy 1-2 days prior to launch • BI website testing • Walk-thru website Launch day • Announcement emails sent, goal selection begins

15. Communications Calendar