webinar success week 2012 comp plan
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http://www.naturessunshine.com/ Sponsor's Country: BELARUS; Sponsor's Account Number (ID): 1007815TRANSCRIPT
Why Success Week?
1. Leaders Success Summit
2. Education Week - Spring 2013
3. 12 Monthly Health Webinars
4. 48 Natural Health Education
Seminars
All webinar resources can be found
at www.nspwebinars.com
A phone recording of this
webinar is available at
1-712-432-0453 PIN 1544987 (Not a toll-free call)
Type in Your
Questions!
Easier Than You Thought: How to Maximize NSP’s Compensation Plan
Aaron Wengert
Time for a Marketing Plan POP Quiz!
True or False:
The Classic Marketing Plan pays you for higher
volume and the Legacy Marketing Plan pays your
for greater depth.
A. True
B. False
Time for a Marketing Plan POP Quiz!
Choose the best answer:
In the Classic Marketing Plan, how many first
level Managers do you need to be an Area
Manager?
A. Three
B. Four
C. Five
D. Ten
Time for a Marketing Plan POP Quiz!
True or False:
To receive any type of compensation from NSP,
you must personally buy $100 dollars in a given
month.
A. True
B. False
Ground Rules & Definitions
Ground Rules
1. Today’s discussion will only contain information
that reflects the normal marketing plan
(Classic & Legacy). We won’t be discussing
Parties, Sunshine Rewards, etc.
2. You must have 100 personal QV in a given
month to receive any compensation from NSP.
3. Let’s define the following: Direct Cost, QV,
Group, Manager.
Definition: Direct Cost
• This is the price that you pay when you
purchase product directly from Nature’s
Sunshine.
• Important note: You may never sell your
products for less than direct cost.
Definition: QV
• “Qualification Volume”
• This is the volume we use to determine your
pay, your qualification for events, rank
advancements and more.
• Typically, one dollar equals one QV point, but
not always.
Definition: Group
• Your “group” is everyone that you have
personally sponsored and everyone they have
sponsored into NSP.
• No Managers exist between you and them.
• Group QV equals all of your personal
purchases PLUS the purchases of those in
your group, who haven’t achieved Manager
rank.
You 100
Jon 300
Tim 200
Sara 175
Your rank is:
Your Group QV is: 775
Member
Definition: Manager
• Someone who has achieved 1,000+ Group QV
in a given month.
• As a reminder, Group QV consists of your
purchases PLUS those in your group, excluding
Managers.
• As a Manager, you can now receive overrides
on the Managers you and others develop.
• You can also increase in rank and receive
other benefits.
You 100
Jon 300
Tim 375
Sara 250
Your rank is:
Your group QV is: 1,025
Manager
NSP’s Marketing Plan:
Extremely Unique & Versatile
Unique & Versatile
• There are numerous ways you can make money
with the marketing plan.
• You get to take advantage of the method that
best fits your business model.
• With NSP’s Marketing Plan, you can be rewarded
for volume AND depth!
Classic = rewards higher volume
Legacy = rewards greater depth
Retail Profits
Retail Profits
• You can earn money by purchasing product at
direct cost and selling it at retail pricing.
• The MSRP is approximately 50% greater than
the direct cost.
• You can choose a markup percentage that best
fits your market & situation.
• Turn to page 2 in your booklet and let’s do an
example together.
$12 $18 $6
$16 $24 $8
$14
Retail Profits
• If you purchase $1,000 in a given month and
mark it up 50%, how much have you earned in
retail profits after all your inventory is sold?
• $1,000 x 50% = $500
• If you purchase $1,000 in a given month and
mark it up 30%, how much have you earned in
retail profits after all your inventory is sold?
• $1,000 x 30% = $300
Rebates
Rebates • The money you receive back when purchasing
directly from Nature’s Sunshine. (100 QV+)
• Think of rebates as your pay without a group.
• We always pay rebates first to anybody who
earns one.
• Your rebate % is determined by your QV, not
actual $ spent in a given month.
• Let’s look at some tables and do a few
examples together. Go to pg 4.
QV Points 100-299 300-599 600-999 1,000-2999 3,000+
Payout % 10% 12% 18% 27% 30%
Rebate & Commissions Table - Classic Plan
300 12% $36 $36
QV Points 100-299 300-599 600-999 1,000-2999 3,000+
Payout % 10% 12% 18% 27% 30%
Rebate & Commissions Table - Classic Plan
1,250 27% $337.50 $337.50
QV Points 100-299 300-599 600-999 1,000-2999 3,000+
Payout % 10% 12% 18% 27% 30%
Rebate & Commissions Table - Classic Plan
QV Points 100-499 500-999 1,000+
Payout % 10% 15% 20%
Rebate & Commissions Table - Legacy Plan
If your business model will encourage high volume, which plan
will be more advantageous to you for rebates & commissions?
The Classic Plan.
You can earn up to 30% with Classic and 20% with Legacy.
Rebates & Commissions
Commissions
• The dollar amount you earn from your group
members’ purchases in a given month.
Excludes Managers.
• The difference between your group QV % and
a particular group member’s rebate %.
• Think of this as your pay with a group.
• Let’s do an example on page 4 of your book.
Kim John Ann
300
90 200 700
1,290 27% $81
0%
$0
27%
$24.30
10%
$20
17%
$34
18%
$126
9%
$63 $121.30
$121.30 $202.30
QV Points 100-299 300-599 600-999 1,000-2999 3,000+
Payout % 10% 12% 18% 27% 30%
Rebate & Commissions Table - Classic Plan
Kim John Ann
300
90 200 700
1,290 27% $81
0%
$0
27%
$24.30
10%
$20
17%
$34
18%
$126
9%
$63 $121.30
$121.30 $202.30
QV Points 100-299 300-599 600-999 1,000-2999 3,000+
Payout % 10% 12% 18% 27% 30%
Rebate & Commissions Table - Classic Plan
Manager Overrides
Manager Overrides
• Manager: Someone who achieves 1,000+
group QV in a given month
• When you have a manager “breakout” of your
group, you’re paid differently on their
organization.
• This pay “overrides” the normal rebate and
commission schedule.
• Let’s look at some examples.
You 100
Jon 300
Tim 375
Sara 250
Your rank is:
Your group QV is: 1,025
Manager
You 100
Bob 300
Jess 150
Dan 450 Joe 200 Jon 650
Tim 375
Sara 250
12% if Jon is Classic
10% if Jon is Legacy
Who is your
new Manager?
You 100
Bob 300
Jess 150
Dan 450 Joe 200 Jon 650
Tim 375
Sara 250
12% if Jon is Classic
10% if Jon is Legacy
You will earn commissions
from these group members
as you did before.
Level 1 • 12%
Level 2 • 4%
Level 3 • 2%
Level 4 • 2%
Level 5 • 1%
Level 1 • 10%
Level 2 • 7%
Level 3 • 6%
Level 4 • 5%
Level 5 • 5%
Level 6 • 5%
Level 7+ • 1%
Classic Legacy
If I have a C/L Manager on the _______ level, I get paid _______
%*.
*Varies with Rank.
Level 1 • 12%
Level 2 • 4%
Level 3 • 2%
Level 4 • 2%
Level 5 • 1%
Level 1 • 10%
Level 2 • 7%
Level 3 • 6%
Level 4 • 5%
Level 5 • 5%
Level 6 • 5%
Level 7+ • 1%
Classic Legacy
If your business model produces great depth, which plan will benefit
you more? Legacy – it pays higher overrides on more levels.
You
Classic
Bob
Classic
Jess
Legacy
Dan
Legacy
Joe
Classic
Jon
Classic
Tim
Legacy
Sara
Classic
Let’s assume everyone here is a Manager, and you are an Area Manager –
what % do you get paid on each Manager?
12% 10% 12% 12%
7% 7%
2%
You
Legacy
Bob
Classic
Jess
Legacy
Dan
Legacy
Joe
Classic
Jon
Classic
Tim
Legacy
Sara
Classic
Let’s assume everyone here is a Manager, and you are an Area Manager –
what % do you get paid on each Manager?
12% 10% 12% 12%
7% 7%
2%
Classic 1,600 12% $192
Legacy 2,400 7% $168
Legacy 1,250 6% $75
$435
SmartStart
Sponsoring Bonuses
SmartStart
• Sponsoring is one of the lifelines of your
business, and we reward you for it!
• New member must buy 100-299 QV in the
sign-up month; anything outside this range,
normal marketing plan applies.
• Let’s look at a few examples.
3rd Upline
2nd
Upline
1st Upline
You
New Member
100-299 QV
Sign-up month 15 Sunshine Points
30% or 40%
10%
5%
5%
(L/L = 40%)
Classic 150
Classic 30% $45
$15
$7.50
$7.50
What Have We Learned?
What Have We Learned?
• NSP’s marketing plan is unique and versatile: it
rewards you for volume AND depth.
• You get to take advantage of the marketing
plan in a way that best fits your business
model.
• Building your business requires duplication –
which means you need to teach others what
you know and do!
Questions & Answers
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Giveaway
Winners
Thank You for Joining Us!
Our next webinar is on December 4
11:00 am MDT
Healthy Aging & Energy