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11
Celebrating Amway’s Golden Jubilee 1959 - 2009 3 GOLDEN YEARS OF SALES, PRODUCTIVITY, PROFITABILITY AND A SUSTAINABLE BUSINESS GROWTH

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Are you the one going for the bestin life. Here you are go for the Gold get in touch with No.09898020023

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Page 1: GIP brochure

Celebrating

Amway’s

Golden Jubilee

1959 - 2009

3 GOLDEN YEARS OF

SALES, PRODUCTIVITY,

PROFITABILITY AND

A SUSTAINABLE

BUSINESS GROWTH

Page 2: GIP brochure

It’s been an eventful year with some mega product launches, the unforgettable Mediterranean Cruise, the new Value Added Business Opportunity and a year in which Amway India for the very first time is expected to achieve the land mark figure of Rs. 700 Crores.

To help you steer through the next 3 Golden Years of sales, productivity, profitability and a sustainable business growth; Amway India is extremely delighted to present “A Growth Incentive Program” (GIP), for a period of three years starting September 1, 2006 till August 31, 2009.

So Dream Big, make a plan with your upline and go for GOLD!!!

Read on to get all the details of this GIP…

This Growth Incentive Program has two parts to it;

Part 1: The Annual Program

• Business Volume Growth Program: It rewards growth in Business Volume over the last performance year’s (PY) baseline business volume.

• Break a Pin Program: Rewards uplines for breaking off new pins within their personal groups.

This program has been designed separately for:

• Platinums, through the Platinum Growth Incentive Program* • Emeralds, through the Emerald Growth Incentive Program • Diamonds and above through the Diamond Growth Incentive Program.

This Program would run concurrently, every year, for the next three years; each ABO PY, September – August, being considered separately.

Part 2: The Golden Jubilee Bonanza in 2009

• Encourages the building of a long term sustainable, profitable Amway business.

• Rewards consistency in the Amway business.

3 GOLDEN YEARS OF

SALES, PRODUCTIVITY,

PROFITABILITY AND

A SUSTAINABLE

BUSINESS GROWTH

* Sapphire ABOs would also be covered through the Platinum GIP.

Page 3: GIP brochure

CriteriaIn order to participate in this program;

• You must be a new/re-qualified Platinum in PY September 2006 - August 2007 and in each subsequent PY to continue to participate in this program.

• Your baseline volume at the beginning of every year is the total BV generated in your personal business group during the last PY, down to, but excluding the next downline qualified Platinum or above.

• To calculate your current year’s business volume, you, as a Platinum can count all BV down to, but excluding, the next downline qualified Platinum in the current PY.

• Volume only from in-market legs would be considered for the purpose of calculating growth.

How does this Annual program work?a. Business Volume Growth Program:This annual program is designed to incentivise all qualified Platinums on the incremental business volume over the previous year’s baseline business volume.

3 Easy steps to success…

1. Get your baseline volume from AIE at the start of every PY.

2. Plan and set a growth goal along with your upline.

3. Go for the Goal!!! You will be paid Re. 1 for every additional 25 BV of growth over your baseline business volume.

b. Break a Pin Program:When you break a New Platinum from within your personal Platinum group, you as the immediate upline qualified Platinum or above would receive a One Time Cash Award (OTCA) of Rs. 50,000/-*.

*However; please note:• For you, as the immediate upline qualified Platinum or above, to receive the entire OTCA

amount of Rs. 50,000/- the New Platinum must qualify for at least 6 months @ 10,000 Award

PV (QV qualification).

• You, as the immediate upline qualified Platinum or above would earn half of the OTCA amount

i.e. Rs. 25,000/-, if the New Platinum qualifies through a Q1 structure (Q1 + 4000 Award PV).

• You, as the immediate upline qualified Platinum or above would earn the following if the New

Platinum qualifies through a mix of Q1,Q2 and QV:

o The full OTCA of Rs. 50,000/- if the New Platinums’ award volume (side volume)* is more

than or equal to 72,000 PV in the PY.

o Half the OTCA i.e. Rs. 25,000/-, if the New Platinums’ award volume is less than 72,000 PV

in the PY.

* Award volume is any volume besides your qualified leg.

• For the purpose of calculating the GIP award volume, if an ABO does a “Q” month on a Q2

basis then 10,000 PV would be assigned for his second qualified leg if that leg is a Silver

Producer or Gold Producer leg at the end of the PY.

• The immediate upline qualified Platinum or above of any ABO who is a non re-qualified

Platinum as on September 1 of each PY, for the period of the GIP, but was a Platinum at some

point in time, would get half the OTCA amount i.e. Rs. 25,000/-, if any such ABO subsequently

re-qualifies as a Platinum in the PY – regardless of the structure.

• When a New Emerald or a New Diamond breaks within a Platinum group, the immediate

upline Platinum would not be entitled for any OTCA through the Emerald or Diamond Break a

Pin Program and the entire OTCA for the new Emerald and new Diamond would move upline

to the first eligible upline Emerald or upline Diamond respectively.

• When a New Platinum breaks off, the tracking volume and the baseline volume of the upline

Platinum would automatically get reworked. To calculate the growth volume of the upline

Platinum (on which he would get paid), we would exclude the volume of the new Platinum

from both the current year as well as from the previous baseline year.

• The OTCA will be paid on the downlines highest new/re-qualified pin at the end of the

performance year.

Part

1: T

he A

nnua

l Pro

gramAnnual Growth Incentive

Program for Platinums

Q1: 4,000 PV over 1 qualified leg; Q2: Two qualified legs; QV: Qualified volume at 10,000 PV

3 GOLDEN YEARS OF

SALES, PRODUCTIVITY,

PROFITABILITY AND

A SUSTAINABLE

BUSINESS GROWTH

GROWTHINCENTIVEPROGRAM

2007 - 09

Page 4: GIP brochure

CriteriaIn order to participate in this program;

• You must be a new/re-qualified Emerald bonus recipient in PY September 2006 – August 2007 and in each subsequent PY to continue to participate in this program.

• Your baseline volume at the beginning of every year is the total BV generated in your personal business group during the previous PY, down to, but excluding the next downline qualified Emerald bonus recipient.

• To calculate your current year’s business volume, you, as an Emerald can count all BV down to, but excluding the next downline qualified Emerald or above in the current PY.

• Volume only from in-market legs would be considered for the purpose of calculating growth.

How does this Annual program work?a. Business Volume Growth Program:This annual program is designed to incentivise all qualified Emeralds on the entire incremental business volume over the previous year’s baseline business volume.

3 Easy steps to success…

1. Get your baseline volume from AIE at the beginning of every PY.

2. Plan and set a growth goal along with your upline.

3. Go for the Goal!!! You will be paid Re. 1 for every additional 30 BV of growth over your baseline business volume.

b. Break a Pin Program:When you break a New Emerald within your personal Emerald group, you as the immediate upline qualified Emerald bonus recipient or above would receive an OTCA of Rs. 1,50,000/-*.

However; please note:• * The upline qualified Emeralds or Diamonds of any ABOs who are non re-qualified Emeralds

as on September 1 of each PY for the period of the GIP, but were Emeralds or above at some

point in time previously, would get an OTCA amount of Rs. 1,00,000/- if any such ABO

subsequently re-qualifies as an Emerald.

• When a New Emerald breaks off, the tracking volume and the baseline volume of the upline

Emerald would automatically get reworked. To calculate the growth volume of the upline

Emerald (on which he would get paid), AIE would exclude the volume of the new Emerald

from both the current year as well as from the previous baseline year.

• When a New Platinum breaks directly under an Emerald, the upline qualified Emerald would

also be entitled for an OTCA through the Platinum Break a Pin Program. However, when a New

Diamond breaks within the Emerald group the upline Emerald would not be entitled for any

OTCA through the Diamond Break a Pin Program and the entire OTCA would move up to the

first eligible upline Diamond bonus recipient.

• An Emerald can only participate in the Emerald Growth Incentive Program.

• The OTCA will be paid on the downlines highest new/re-qualified pin at the end of the PY.

Part

1: T

he A

nnua

l Pro

gramAnnual Growth Incentive

Program for Emeralds

3 GOLDEN YEARS OF

SALES, PRODUCTIVITY,

PROFITABILITY AND

A SUSTAINABLE

BUSINESS GROWTH

GROWTHINCENTIVEPROGRAM

2007 - 09

Page 5: GIP brochure

CriteriaIn order to participate in this program;

• You must be a new/re-qualified Diamond bonus recipient in PY September 2006 – August 2007 and in each subsequent PY to continue to participate in this program.

• Your baseline volume at the beginning of every year is the total BV generated in your personal business group during the previous PY, down to, but excluding the next downline qualified Diamond bonus recipient.

• To calculate the current year’s business volume, you, as a Diamond or above can count all BV down to, but excluding the next downline qualified Diamond or above in the current PY.

• Volume only from in-market legs would be considered for the purpose of calculating growth.

How does this Annual program work?a. Business Volume Growth Program:This annual program is designed to incentivise all qualified Diamonds on the entire incremental business volume over the previous year’s baseline business volume.

3 Easy steps to success…

1. Get your baseline volume from AIE.

2. Plan and set your goals.

3. Go for the Goal!!! You will be paid Re. 1 for every additional 35 BV of growth over your baseline business volume.

b. Break a Pin Program:When you break a New Diamond within your personal Diamond group, you as the immediate upline qualified Diamond or above would receive an OTCA amount of Rs. 3,00,000/-*.

However; please note:• * The upline qualified Diamond of any ABO who is a non re-qualified Diamond as on

September 1 of each PY, for the period of the GIP, but was a Diamond and above at some

point in time previously, would get an OTCA amount of Rs. 2,00,000/- if any such ABO

subsequently re-qualifies as a Diamond.

• When a New Diamond breaks off, the tracking volume and the baseline volume of the upline

Diamond or above would automatically get reworked. To calculate the growth volume of the

upline Diamond (on which he would get paid), AIE would exclude the volume of the new

Diamond from both the current year as well as from the baseline year.

• When a New Platinum or a New Emerald breaks directly under a Diamond, then the upline

Diamond or above would also be entitled for an OTCA through the Platinum and Emerald

Break a Pin Program.

• Diamonds and above can only participate in the Diamond Growth Incentive Program.

• The OTCA will be paid on the downlines highest new/re-qualified pin at the end of the PY.

Part

1: T

he A

nnua

l Pro

gramAnnual Growth Incentive

Program for Diamonds

3 GOLDEN YEARS OF

SALES, PRODUCTIVITY,

PROFITABILITY AND

A SUSTAINABLE

BUSINESS GROWTH

GROWTHINCENTIVEPROGRAM

2007 - 09

Page 6: GIP brochure

This annual program provides additional incentives for all qualified Diamond bonus recipients and above who qualify for the Diamond Growth Incentive Program.

CriteriaIn order to participate in this program;

• You must be a qualified/re-qualified in-market Diamond bonus recipient and above at the end of the PY.

• This plan is linked to the growth of Amway India’s sales turnover* each year.

• Only Diamonds participating in the Diamond Growth Incentive program can participate in the Multiplier Program.

*Excluding the turnover of any of the subsidiary companies.

Program DetailsBased on AIE’s growth every year, additional cash rewards would be calculated as announced by Amway India at the beginning of each PY.

For PY 2007, if AIE grows by 15% or above - DGIP payout would be Doubled*.

However; please note:• * Multiplier Plan is effective only on the earnings from the Business Volume

Growth Program and not on the earnings from the Break a Pin Program.

Part

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Multiplier Plan

This three year block program, starting September 1, 2006 till August 31, 2009, is designed to reward consistency and to increase profitability of ABOs by bringing in continuous improvements and growth in their businesses over 3 years. This program will also create the necessary excitement in the businesses of ABO’s by regular pin changes, within their group.

Criteria

• All new Emerald bonus recipients and above as on August 31, 2009 can participate in this program.

• All legs should be in-market legs.

How does the “Golden Jubilee Bonanza work”?

• The objective of this program is to add an additional qualified 21% leg at the end of each PY for the next three years, thus adding three additional new 21% legs by the end of PY 2008-09.

• Each new qualified 21% leg should have been a non-qualified leg as on August 31, 2006 and has to stay qualified for at least 6 months in each PY.

• Each new qualified 21% leg has to qualify in each PY till the end of PY 2008-09 to help the ABO qualify in the “Golden Jubilee Bonanza in 2009”.

• An ABO can add all the three new 21% legs within one PY, but would have to maintain the structure till the end of PY 2008-09.

Bonanza in 2009!!!

3 GOLDEN YEARS OF

SALES, PRODUCTIVITY,

PROFITABILITY AND

A SUSTAINABLE

BUSINESS GROWTH

GROWTHINCENTIVEPROGRAM

2007 - 09

Page 7: GIP brochure

What does an ABO get on qualifying for this program?

Based on the ABO’s performance in each PY, an ABO who qualifies as:

• New Emerald would get GOLD worth Rs. 3 Lakhs, at the current value of Gold* as at the beginning of the 3 year GIP.

• Diamond would get GOLD worth Rs. 5 Lakhs, at the current value of Gold* as at the beginning of the 3 year GIP.

• EDC with 9 qualified legs, would get GOLD worth Rs. 10 Lakhs, at the current value of Gold* as at the beginning of the 3 year GIP.

• Double Diamond would get GOLD worth Rs. 15 Lakhs, at the current value of Gold* as at the beginning of the 3 year GIP. (Can also achieve through FAA Program.)

• Triple Diamond would get GOLD worth Rs. 25 Lakhs, at the current value of Gold* as at the beginning of the 3 year GIP. (Can also achieve through FAA Program.)

• Crown would get GOLD worth Rs. 50 Lakhs, at the current value of Gold* as at the beginning of the 3 year GIP. (Can also achieve through FAA Program.)

• Crown Ambassador/Founders’ Council Member would get GOLD worth Rs. 1 Crore, at the current value of Gold* as at the beginning of the 3 year GIP. (Can also achieve through FAA Program.)

*The current rate of Gold is to be decided at the sole discretion of Amway India Enterprises.

However; please note: • Qualifications of Double Diamond and above can also be achieved through the FAA route but

for all other new qualifications, one has to add 3 new 21% legs within this 3 year period i.e.

September 1, 2006 to August 31, 2009.

• Payments to all qualified ABO’s would be made at the end of the program i.e. in 2008-2009.

Part

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�e Golden JubileeBonanza in 2009!!! Go for Gold!!!

• All payout for the annual program would be made at the end of each PY and payouts for the “Golden Jubilee Bonanza” would be made by the end of the PY 2008-09.

• All new qualifications for the purpose of this GIP, have to start and end in the same PY i.e. September – August.

• All examples of OTCA for the “Break a Pin Program” are based on the assumption that the new qualifiers are first time qualifiers with full award volume.

• All payments for the “Annual Program” and the “Golden Jubilee Bonanza Program” are subject to all applicable taxes and levies as prevailing from time to time and shall be borne by the ABOs.

• An upline ABO can only earn the OTCA through the “Break a Pin Program” ONCE from a particular downline through the block of 3 years for the same pin level.

• This program is a discretionary program and is liable to be changed or amended by Amway India Enterprises at it’s sole discretion any time during the period of the program, without any prior notice.

• For further clarifications please get in touch with your Business Development Manager.

Qualifying Pre-requisite:Amway’s Growth Incentive Program is a discretionary program and is not a guaranteed part of the Amway Sales and Marketing Plan. It will be paid out only to those ABOs who are in good standing with the Company and Amway’s Rules of Conduct & Code of Ethics. The final decision with respect to payment or non-payment will rest with Amway India Enterprises.

3 GOLDEN YEARS OF

SALES, PRODUCTIVITY,

PROFITABILITY AND

A SUSTAINABLE

BUSINESS GROWTH

GROWTHINCENTIVEPROGRAM

2007 - 09

Page 8: GIP brochure

C D

54,00015%

6,000

36,000

12,000

6%9%

12%

B

A

C D

78,000New Platinum

30,000

84,000New Platinum

48,000

12%15%

21%

B

A

C D

E

96,000

18,000

78,000

1,20,000Platinum

9%

15%21%

21%

B

A

C D

E

4,36,000New Emerald

48,000

1,00,000New Platinum

48,000

1,20,000

1,20,000

15%

21%21%

21%

B

F

A

A

B

C

D

EF

G

H

17,30,000New Diamond

5,00,000Emerald 50,0

1,00,000

1,80,000

2,00,000

3,00,000New Emerald

4,00,000Emerald New Platinum

A

B

C

DE

F

G

5,28,000Emerald

4,00,000Emerald

48,000

1,00,000New Platinum

1,80,000

2,00,000

3,00,000New Emerald

A

C

DE

F

4,88,000Emerald

48,000

1,00,000New Platinum

1,40,000

2,00,000

2,88,000New Emerald

84,000

84,000

1,20,000

BB1

B2

B3

A

C

DE

4,36,000Emerald

48,000

1,00,000

1,20,000

48,000

1,20,000

B

B1

A

B

C

D

EF G

H

I

J

K

23,50,000Double Diamond & 14.5 FAA points

50,00Re-qualifiedDiamond

1,20,000NewDiamond

1,80,000

2,00,000

3,00,0004,00,000Emerald

5,00,000Emerald

6,00,000Emerald

A

B

C

D

EF G

H

I

J

23,60,000EDC & 11 FAA points

NewDiamond

80,000

1,00,000

1,80,000

2,00,0003,00,000New Emerald

4,00,000Emerald

5,00,000Emerald New Platinum

6,00,000Emerald New Platinum

A

B

C

D

EF G

H

I

23,30,000Founders Diamond &8 FAA points

50,000

1,00,000

1,80,0002,00,000

3,00,000New Emerald New Platinum

4,00,000Emerald

5,00,000Emerald

6,00,000Emerald

A

B

C

D

EF G

H

Diamond17,30,000

50,000

1,00,0001,80,000

2,00,000

3,00,000Emerald

4,00,000Emerald

5,00,000Emerald

All values in PV.

Non

Platinum

going

Emerald

Year 0 Year 1

84,000New Platinum

Year 2

Year 0 Year 1 Year 2 Year 3

Year 3

Emerald

going

Diamond

Year 0 Year 1 Year 2 Year 3

Diamond

going

Double

Diamond

Page 9: GIP brochure

Non Platinum going Emerald

Unit At the end of Year 1 At the end of Year 2 At the end of Year 3

Baseline PV (Total Group PV of Previous Year) PV 54,000 - 36,000= 18,000

78,000 - 48,000= 30,000

96,000 + 84,000 + 1,20,000 = 3,00,000

Tracking PV (Total Group PV during the year) PV 78,000 96,000 4,36,000

Growth in PV PV 78,000 - 18,000 = 60,000

96,000 - 30,000= 66,000

4,36,000 - 3,00,000= 1,36,000

Growth in BV (1 PV = 45 BV) BV 60,000 X 45= 27,00,000

66,000 X 45= 29,70,000

1,36,000 X 45= 61,20,000

Income from Baseline Volume Growth Programme@ 25BV = Re.1.00 for Platinums, 30BV = Re.1.00for EMD

Rs. 1,08,000 1,18,800 2,04,000

Income from Break a Pin programme @ Rs.50,000for a new Platinum

Rs. 50,000 50,000 50,000

Income from Golden Jubilee Programme Rs. 3,00,000

Total Income from the GIP over & above the ASMP. Rs. 1,58,000 1,68,800 5,54,000

Total Income from Amway’s GIP over 3 years Rs. 8,80,800

Emerald Going Diamond

Unit At the end of Year 1 At the end of Year 2 At the end of Year 3

Baseline PV (Total Group PV of Previous Year) PV 4,36,000 - 1,68,000= 2,68,000

4,88,000 - 2,00,000= 2,88,000

5,28,000 + 3,00,000 + 4,00,000= 12,28,000

Tracking PV (Total Group PV during the year) PV 4,88,000 5,28,000 1,730,000

Growth in PV PV 2,20,000 2,40,000 5,02,000

Growth in BV (1 PV= 45 BV) BV 99,00,000 1,08,00,000 2,25,90,000

Income from Baseline Volume Growth Programme @ 30 BV = Re.1.00 for Emerald, 35 BV = Re.1.00for Diamond

Rs. 3,30,000 3,60,000 6,45,429

Income from Break a Pin programme Rs.

Rs. 50,000 for a New Platinum Rs. 50,000 50,000 50,000

Rs. 1,50,000 for a New Emerald Rs. 1,50,000 1,50,000 1,50,000

Income from Golden Jubilee Programme Rs. - - 5,00,000

Total Income from the GIP over & above the ASMP. Rs. 5,30,000 5,60,000 13,45,429

Total Income from Amway’s GIP over 3 years Rs. 24,35,429

Diamond Going Double Diamond

Unit Year 1 Year 2 Year 3

Baseline PV (Total Group PV of Previous Year) PV 17,30,000 23,30,000 - 6,00,000= 17,30,000

23,60,000 - 6,00,000= 17,60,000

Tracking PV (Total Group PV during the year) PV 23,30,000 23,60,000 23,50,000

Growth in PV PV 6,00,000 6,30,000 5,90,000

Growth in BV (1 PV = 45 BV) BV 2,70,00,000 2,83,50,000 2,65,50,000

Income from Baseline Volume Growth Programme @ 30BV = Re.1.00 for Emerald, 35 BV = Re.1.00for Diamond

Rs. 7,71,429 8,10,000 7,58,571

Income from Break a Pin programme Rs.

Rs. 50,000 for a New Platinum Rs. 50,000 1,00,000 -

Rs. 1,50,000 for a New Emerald Rs. 1,50,000 1,50,000 -

Rs. 3,00,000 for a New Diamond Rs. 0 3,00,000 3,00,000

Income from Golden Jubilee Programme Rs. - - 15,00,000

Total Income from the GIP over & above the ASMP. Rs. 9,71,429 13,60,000 25,58,571

Total Income from Amway’s GIP over 3 years Rs. 48,90,000

Page 10: GIP brochure

A

B

C

D

EF

G

H

I want to qualify as a... I want to earn through the GIP...

Action PlanComplete this action plan with the help of your upline.

1. Where am I today! (My current structure)

2. Where do I want to go!

3. What is my action plan to “ Shoot” for “GOLD”!

Qualification Goal Financial Goal

PY 07

PY 08

PY 09

Page 11: GIP brochure

Amway India EnterprisesC3, Qutab Institutional Area,

New Delhi 110 016 India

www.amwayindia.com