1. Marketing Plan

2. 2 What is direct sale? It is the commercialisation of products and services where the Distributor promotes in person to the consumers at their home, work place or other places other than a commercial establishment. The main characteristic is the relation and great costumer service. (Ps. In many countries provides higher income than part time jobs)

3. 3 What is direct sale? Wholesale Dealer Final Consumer Final Consumer Independent Distributor Independent Distributor Traditional distribution chain Direct Sale distribution chain Producer

4. 4 Income Models Single level The independent Distributor purchases from the company and retails to customers Company Customer Model Distributor

5. 5 Income Models Multi-level The independent Distributor, apart from buying and reselling the products, earns commissions and bonuses from the sales of other Distributors in their organisation Company Customer Model Distributor Herbalife is multi-level

6. 6 Advantages of the Herbalife Marketing Plan To own your business; Money in the pocket daily; To create an extra income; To build up a team and to earn royalties and bonuses; To build up lifetime and hereditary profits; Recognition and the possibility of development; To work within family; To realize your dream; Financial freedom; International opportunities and many more...

7. 7 Founder Curriculum Chairman’s Club President 50K President 30K President 20K President’s Team Team of Millionaires Team of GET World team Supervisor Qualified producer Success Builder Senior Consultant Distributor MARKETING PLAN Your next step is to know where you want to go in the Marketing Plan 25% 35% 42% 50%+ + Bonus

8. 8 12 34 PROFIT ON RETAIL 25% to 50% PROFIT ON WHOLESALE Up to 25% ROYALTIES Up to 5% on 3 levels of your Organisation BONUS 2 to 7% bonus on the Organisational production Ways of earning

9. 9 Marketing Plan Important concepts: What are the “Volume Point”? – Volume Points (VP) are universal “currency” adopted by our company to indicate a consistent value of the products in different countries around the world. – The more VPs you accumulate during a month, the higher your discount, resulting in higher retail profits when selling products to the customer. Example: 1 F1 Shake = 23,95 volume points

10. 10 Volume Points Distributors purchase products at 25-50% discount depending on the VP accumulated in the given month and their status in the company. The price list provides information on VP, prices and discounts for all products. Accumulation of Volume Points (your group’s and your own) will enable you to move up the Marketing Plan.

11. 11 Distributor Senior Consultant 25% 500 VP 35% Supervisor Qualified Producer 1000 VP 42% 2500 PPV in 3 months 42% 4000 VP in 1 month (or 2500 x 2) 5000 VP in 3-12 months 50% Success Builder Marketing Plan Distributor to Supervisor

12. 12 Marketing Plan How to become a distributor? – Buying the IBP Benefits: – Discounts from 25% to 50% when buying the products, leading to profit on retail sales – The right to sponsor (recruit) other distributors and earn commissions on their product sales

13. 13 Marketing Plan What is the next step? – Decide on how do you want to develop your business based on what do you want to achieve: Extra Income Financial independency All the benefits that the money can bring into your life and also with time to enjoy it You decide!

14. 14 Senior Consultants can achieve a 35% retail profit in 2 ways: 1.Accumulate 500 Volume Points in 1 month, then your next order is at 35% discount, OR 2. Purchase a 500 Volume Point order at 35% discount Once you have qualified to become a Senior Consultant, all orders will be placed at 35% discount until you become eligible for a higher discount Senior Consultants can achieve a 42% retail profit until end of month by accumulating 2,000 Volume Points or more in 1 month Note: Supervisor must have at least 2,000 VP for Senior Consultant to purchase at 42%. Senior Consultant

15. 15 All Distributors and Senior Consultants have an opportunity to place a single order of 1,000 Volume Points purchased at 42% discount – This qualifies them to become a Success Builder Benefits: – Receive 42% discount on your Success Builder order – Receive 42% discount on additional orders purchased during the same Volume Month Success Builder

16. 16 All Distributors or Senior Consultants have the choice to qualify as a Qualified Producer (QP) by personally purchasing 2,500 Volume Points in sales within 1 to 3 Volume Months Benefits: – Achieve Qualified Producer level and 42% discount beginning 1 st of the month following qualification and for all months as long as you requalify annually – Opportunity to receive split commissions from Herbalife (shared with Supervisor) from orders placed by downline Distributors and Senior Consultants at 25% and 35%) – Split commissions range from 7% to 17% on downline purchases – PPV is also counted towards accumulated 5K Supervisor qualification – Only orders placed directly with Herbalife count for this qualification – QP is an optional step in the Marketing Plan between SC and SP Note: October 2009 is the first Volume Month that counts toward QP. This level does not apply in Korea or China. Qualified Producer

17. 17 The volume bought by a Distributor directly from Herbalife on his own ID number is called PPV = Personally Purchased Volume The PPV can be Monitored by the Distributor and the Supervisors of ascendant line on MyHerbalife.com, HerbalifeCentral.com or Bizworks The only way to qualify as Qualified Producer or Supervisor Cumulative 5K is through the PPV Marketing Plan What is PPV?

18. 18 Example of Qualified Producer Qualification 500 PPV @ 35% 950 PPV @ 35% 1050 PPV @ 42% (Success Builder order) Total = 2,500 QP @ 42% JAN OctNovDec PPV = Personally Purchased Volume

19. 19 The Next Step, Supervisor!

20. 20 To qualify to Supervisor, there are 3 ways: 1.One-month qualification: achieve 4,000 Volume Points in one Volume Month (1,000 of those 4,000 Volume Points are Unencumbered*) 2.Two-month qualification: achieve 2,500 Volume Points in each of two consecutive months (1,000 of those 2,500 Volume Points each month are Unencumbered* for each month) * Unencumbered Volume is Volume that is not being used by anyone in your downline for qualification or requalification purposes. Note: All of your Distributor Sales Volume plus your own Personally Purchased Volume counts toward your Total Volume for these two methods. Supervisor

21. 21 3rd way to qualify to Supervisor… 3. 5K Accumulated Qualification: Accumulate 5,000 Personally Purchased Volume (PPV) within 12 Volume Months. All Personally Purchased Volume (PPV) must be Unencumbered* for the upline Supervisor Minimum of 3 months is required for this qualification January 2010 is the first month to begin recognizing new Supervisors who qualify with this accumulated method (for those who begin accumulating PPV in October 2009) * Unencumbered Volume is Volume that is not being used by another Distributor for qualification or requalification purposes. NOTE: October 2009 is the first Volume Month that counts toward 5K Accumulated Supervisor Qualification. This method has been tested in Russia, CIS countries, Israel, South Africa and Chile. Supervisor

22. 22 Supervisor (SP) qualification is awarded the 1 st of month following completion of qualification NOTE: October 2009 is the first Volume Month that counts toward 5K Accumulated Supervisor Qualification. Examples: SP1,500 5001,500#4 SP2,0001,00005001,500#3 SP03,0002,000#2 SP1,9001,200900500 #1 AugJulJunMayAprMarFebExample 5K Accumulated Supervisor Qualification

23. 23 Supervisor Requalification Three ways to requalify between February 1 and January 31: 1.Achieve 4,000 Volume Points in one month, with 1,000 Volume Points Unencumbered*. 2.Achieve 2,500 Volume Points in two consecutive months, with 1,000 Volume Points Unencumbered* each month. 3.Accumulate 4,000 Unencumbered* Volume Points at any time during the requalification period. Using this method, your downline Supervisor lineages will be moved to the next upline Supervisor – but you will retain your non-Supervisor downline and your 50% buying privileges. * Unencumbered Volume is Volume that is not being used by another Distributor for qualification or requalification purposes.

24. 24 Simplified Distributor Discount Scale As a Supervisor you are entitled to a 50% discount on every order. Must requalify annually. 50% 1. 4000 VP in 1 month, OR 2. 2500 VP in each of 2 consecutive months, OR 3. Accumulate 5000 Personally Purchased VP within 12 months (3 month minimum required) SUPERVISOR Once 4000 VP are achieved in one Volume Month, additional orders are purchased at a Temporary 50% discount. Temporary 50% Accumulate 4000 VP or more QUALIFYING SUPERVISOR As a Qualified Producer you are entitled to a 42% discount on every order. Must requalify annually. 42% Accumulate 2500 Personally Purchased VP in 1 to 3 months QUALIFIED PRODUCER This order entitles you to a 42% discount on this order and all orders for the remainder of the Volume Month. 42%Minimum 1000 VP in one orderSUCCESS BUILDER Once you have accumulated 2000 VP, you are eligible to place this order and all orders for the remainder of the Volume Month at a 42% discount. 42%Accumulate 2000 VP or more Accumulate 500 VP during the month and then your next order is at 35%, OR Purchase a 500 VP order at 35%. All orders will be placed at 35% discount until you become eligible for a higher discount. 35%Achieve 500 VP or more SENIOR CONSULTANT Until you become eligible for a higher discount.25%0 – 499 VPDISTRIBUTOR ELIGIBILITYDISCOUNTMONTHLY VOLUME POINTS (VP)DISTRIBUTOR LEVEL

25. 25 It depends on your level at the Marketing Plan Supervisor 50% Qualified Producer 42% Distributor 25% 17% 8% Supervisor 50% Qualified Producer 42% Senior Consultant 35% 7% 8% Supervisor 50% Distributor 25% Marketing Plan Wholesale profit

26. 26 It depends on your personal volume and the activities of your supervisors in the first 3 levels YOU Sup. 1 st level Sup. 3 rd level Sup.2 nd Level = 10.000 PV (5%) = 500 = 2.500 PV personal + 5% in 3 levels = 1.500 R/O = 10.000 PV (5%) = 500 Marketing Plan Royalties

27. 27 And there is more... Participate on the next supervisors Workshop to learn about the next Levels in the Marketing Plan