Nu Skin Clear Action

Nu Skin Clear Action System Past, Present , Future Positioning Statement Nu Skin Clear Action focuses on more than just the pimple. It’s a comprehensive system that helps to clear the signs of past and present breakouts and ensures the future health of your complexion. Utilizing advanced technology, Nu Skin scientists and skin care experts developed the Nu Skin Clear Action Acne Medication System to cleanse, tone, and treat problematic skin.

Nu Skin Clear Action System Past, Present , Future Positioning Statement Nu Skin Clear Action focuses on more than just the pimple. It’s a comprehensive system that helps to clear the signs of past and present breakouts and ensures the future health of your complexion. Utilizing advanced technology, Nu Skin scientists and skin care experts developed the Nu Skin Clear Action Acne Medication System to cleanse, tone, and treat problematic skin.

Product Features Uses patented technology to help improve the appearance of uneven texture and skin discoloration from past breakouts. Decrease in oiliness and redness Clinically proven to reduce acne and help keep skin clear of blemishes. Works to prevent future blemishes from forming. Increase in skin clarity Enhancement in skin radiance Refer to slide

Target Audience Acne 101 Acne usually begins in the teens, but can last until the late 20’s or early 30’s. Numerous studies show that even people with mild acne are distressed. 30-50% of adolescents experience psychological distress because of acne Adults with acne are even more profoundly affected Target Audience Men and women in their 20s and 30s who currently have or have experienced blemish-prone skin in the past. What is acne 101? (refer to slide)

Background Acne is a multi-billion dollar market. Acne category grew 10% in the year 2000, making it the fastest growing medicated treatment category that year. 52% of acne sufferers world-wide are adults. How big is your market ? (Refer to slide)

Acne Development Acne is caused by plugging of the hair follicles. Bacteria called Propionibacterium acnes get caught behind the plugs and cause intense inflammation, which appear as pimples. Refer to slide

Development of Acne Initial acne development starts from A) enlargement of sebaceous gland. B) Open comedones – there is a tare at the opening of pore which allows oxidation of sebum. C) Closed comedones – active keratin covers the opening of a pore which block the flow of sebum to the skin surface. D) Excessive sebum with no entry to the skin surface, clog the whole hair follicle and lead to inflammation. E) Bacteria called Propionibacterium acnes get caught behind the plugs and cause intense inflammation, which appear as pimples.

Pore Trouble

Acne Myths Dirt Chocolate Diet Sleep levels Acne is not caused by dirt, chocolate, diet or sleep levels

Worsen by STRESS Non- exam period Exam period Acne can be worsen by stress Non- exam period Exam period

Internal & External Factors Hormones Sunshine Age Refer to slide

Hormones Male hormone, Testosterone convert to DHT with 5alpha reductase enzyme, which attracts androgen receptor to bind. This union stimulate sebaceous gland to produce excessive sebum.

Skin Structure Lets take a closer look at a skin structure, we need some sebum to form the protective layer at the skin surface. However, excessive sebum production may lead to other trouble likes skin roughness and enlargement of skin pores.

Oily Skin Ideal Skin This is a comparison of a healthy sebaceous gland vs. a active sebaceous gland.

Sebaceous Gland A healthy sebaceous gland cell takes 25 –28 days to go thru maturity. However, hormone may caused a premature to these cells thus, lead to production of excessive sebum.

Visible Pores This is the reading of an incidence of skin trouble vs. age group. Form the graph, we have 1.6 per average who has the peak of sebum production at age 35 vs. pores at age 42 at 1.4 per average. This means excessive sebum may leads to enlargement of visible pores in later year.

Problem Caused by Excess Sebum Having an oily skin without proper treatment, has early trouble like roughness and (refer to slide), also future problem in texture, pores and tone.

Sebum Level Vs. Age Age Sebum level Worst, sebum production reduce with biological aging. Insufficient amount of sebum caused thinning of the protective layer, skin barrier against environmental stress weakens. Therefore, leads to wrinkle and fine lines development.

Skin condition in a month As for women, our skin goes thru 3 stages of internal stress monthly. During the luteal phase, with increasing of estrogen & progesterone secretion, and high phase of basal body temperature. Our skin becomes more oily and prone to breakout. Solution, deep cleansing and maintaining good habits of thorough cleansing( GMM, Claypack, Galv ), also pdt with low oil high hydrations. Menstrual period is where our skin is dehydrated and sensitive, avoid scrubbing and testing of new pdt. Maintaining the ideal moisturization is a good way of keeping the skin healthy. Last stage is where our skin is at the most stable condition for any pdt application. During this time, our skin is ready for any treatment and testing of new pdts. Follicular phase Luteal phase Menstrual period

Foaming Cleanser Features Addresses the PRESENT issues: • Contains salicylic acid—a beta hydroxy acid that penetrates pores to eliminate most blemishes.   Addresses the FUTURE issues: • Keeps skin clean so oil will not build up and cause future breakouts. Foaming Cleanser addresses the PRESENT issues of blemish-prone skin with salicylic acid, which penetrates pores to eliminate most blemishes. It also addresses the FUTURE issues of blemish-prone skin by keeping the skin clean so oil will not build up and cause future breakouts.

Key Ingredients Unique post foaming formula TEA-Cocoyl Glutamate Salicylic Acid (0.5%) Usage: Simple 4 steps Dispense a medium-sized coin amount of cleanser into palm of hand. Apply to dry face and neck in a circular motion. Let foam work on skin for one to three minutes while it dissipates from white to clear. Rinse with warm water and towel dry. Avoid contact with eyes Cleanses deep into your pores. Nu Skin Clear Acne Medication Foaming Cleanser is formulated to disrupt the breakout causing union of oil and debris. You know it’s working as the foam bubbles(TEA –Cocoyl Glutamate) and changes from white to clear, working like a pac man eating those impurities. Featuring salicylic acid to clear pores and reduce most breakouts, this cleanser leaves your skin fresh and clean without feeling tight or dry.

Acne Medication Toner Features & Key Ingredients Addresses the PAST issues : • Potassium ascorbyl tocopheryl phosphate restores the natural antioxidant supply that is lost when your skin is fighting breakouts. • Restores vibrancy. Addresses the PRESENT issues : • Contains salicylic acid, a beta hydroxy acid that penetrates pores to eliminate most blemishes. • Licorice extract (dipotassium glycyrrhizate) soothes the skin and helps reduce the appearance of redness. This product addresses the FUTURE issues : • Zinc PCA controls oil, helping prevent shine and future breakouts. Refer to slide

Dipotassium Glcyrrizate Natural skin soothing agent from licorice plant Soothes irritation and reduces redness associated with acne Dipotassium glycyrrhizate sounds like a long technical name but it’s actually a natural agent derived from licorice used to soothe the skin. When applied twice daily this concentration will calm skin and remove the annoying redness that makes acne more obvious.

Zinc PCA Zinc pyrrolidone carboxylate, commonly called zinc PCA, is a 5-reductase inhibitor. Why is this important for acne control? Dr. Kimball mentioned testosterone as one of the causes of acne. Testosterone is converted into dihydrotestosterone by the enzyme 5-reductase. Dihydrotestosterone is responsible for stimulating the follicle to produce sebum. Excess sebum leads to oily skin and contributes to the formation of acne lesions. So to the primary function of Zinc PCA in the toner is to help control sebum production to minimize that shiny complexion and development of future breakouts.

Potassium Ascorbyl Tocopheryl Phosphate Vitamin E Vitamin C When your skin is fighting acne your natural anti-oxidant levels are depleted as they work over time to combat this disease. In order to restore skin vitality and radiance it’s critical to replenish this supply. Knowing this, we selected a relatively new ingredient in the world of cosmetics/cosmeceuticals which we believe has a very promising future. Potassium ascorbyl tocopheryl phosphate is a compound of Vitamin C chemically bonded to vitamin E. This produces a molecule with all of the benefits of both antioxidants, with some additional unexpected activities. The clear benefit to this ingredient is it is both water soluble and oil soluble able to better penetrate the layers of the skin to provide maximum antioxidant benefits.

Day Treatment Features & Key Ingredients Addresses the PRESENT issues : • White tea extract is a powerful antioxidant that restores the skin’s natural resiliency. • Salicylic acid is a beta hydroxy acid that penetrates pores to eliminate most blemishes.   Addresses the FUTURE issues : • Hexapeptide-2 helps reduce the potential development of dark spots. • Supports the skin’s natural resistance, (depleted when fighting acne), to the aging effects of the environment. • Lactic acid helps exfoliate dead skin cells to reveal smoother, clearer skin. Nu Skin Clear Action Acne Medication Day Treatment helps improve breakouts and associated signs caused by the internal and external stresses of life. (refer to slide)

Lactic Acid Assists salicylic acid to exfoliate skin and keep pores clear Reduces discoloration of acne scars This sugar derived AHA is famous for it’s anti-aging benefits but new studies are showing it could prove beneficial beyond the most common uses. Recent research indicates lactic acid may also inhibit biosynthesis of the enzyme tyrosinase, thus reducing the skins ability to form pigments that may result in discoloration of acne scars. This is extremely powerful, and supports our day treatment proposition. Since external stress such as the sun will cause over production or uneven distribution of melanin, lactic acid could/will help minimize the occurrence of dark spots.

Hexapeptide-2 This is a great segue into the next ingredient Hexapeptide-2. Hexapeptide -2 also inhibits hyper pigmentation of acne scars. It blocks the signal telling the cell to produce melanin.

White Tea Extract Antioxidant The catechin content is among the highest of all tea variants Soothes skin Reduces redness White tea extract is an extremely powerful antioxidant and has anti-irritant benefits. In fact, the antioxidant content of white tea has been found to be among the highest of all tea variants. The soothing properties help to reduce stinging associated with lactic acid , and redness associated with acne. You might be wondering why we selected the white variety as opposed to Pharmanex’s TeGreen ? As you know, TeGreen is also an amazing anti-oxidant but is better suited for oral application at this time due to the stability issues around the topical version.

Night Treatment Features Teats the PAST issues : • Helps decrease the appearance of rough texture and discoloration from past acne. • Smooths and evens skin tone, reducing the appearance of discoloration caused by past breakouts. • Helps minimize the appearance of scars.   Treats the PRESENT issues : • Works to eliminate most blemishes Refer to slide

Key Ingredients Salicylic Acid (0.5%) Alpha Lipoic Acid (Thioctic Acid) Cyclodextrin/Retinol Licochalcone-A • Patented alpha lipoic acid—helps decrease the appearance of remnant marks (uneven skin texture and discoloration) associated with past breakouts. • Retinol—works to smooth and even skin tone, reducing the appearance of discoloration caused by past breakouts. • Vitamin E (tocopheryl acetate)—helps minimize the appearance of scars. • Licorice extract—helps soothe the skin and reduce the appearance of skin discoloration. • Salicylic Acid—a beta hyphoxy acid, penetrates pores to eliminate most blemishes.  

70-80% reductions of scarring over 6 months Alpha Lipoic Acid Patented ingredient for reducing erythema, pore size, and scarring associated with acne ( Nick Perricone, M.D.) 70-80% reductions of scarring over 6 months • Alpha lipoic acid is a powerful antioxidant that boosts the positive effects that vitamin C, which works to block the melanin production pathway, has on skin. The result is a reduction in the appearance of dark spots left over from past breakouts and diminishing hyperpigmentation in the skin. • Alpha lipoic acid also stimulates the skin's nutrient intake and removal of wastes, promoting healthy skin cell renewal and scar tissue repair. The result is a smoother appearance and a reduction of scars left from past breakouts.

Cleanser Toner Day Treatment Night Treatment Blemish Treatment Gel Usage Guide OR Cleanser Toner Day Treatment Night Treatment Blemish Treatment Gel

Before After In clinical testing, more than 90% of participants were satisfied with the performance of the Nu Skin Clear ActionAA Acne Medication System. Participants also observed a: • 91% decrease in new breakouts • 85% improvement in skin texture • 79% improvement in skin tone • 82% decrease in shine • 85% decrease in pore size

Review Past Present Future Foaming Cleanser Toner Day Treatment Salicylic acid Toner Potassuim ascotbyl tocopheryl phosphate( Vit C & E) Licorice Extract Zinc PCA Day Treatment Lactic acid Hexapeptide-2 Night Treatment Alpha Lipoic acid BHA Its exfoliation mechanism is known to enhance the renewal process by decreasing the strength of bonds between cells of the stratum corneum. It also said to be effectively deep cleanse the excess sebum and dirt that trap within skin pores. Thickening of old skin cells being reduced therefore it unveils the skin clarity and improves signs of aging.   Making the pores appears smaller, so that the skin becomes extremely fine.

Opportunity “Acne is often the first point of entry into a more sophisticated approach to skin care. With the Nu Skin Clear Action Acne Medication System, we see a great opportunity to introduce a whole new generation of people to Nu Skin.” - Lori Bush, Nu Skin President How big is your market ? (Refer to slide)

Demonstrable Difference Demonstration Type - Sensory Nu Skin Clear Action Acne Medication Foaming Cleanser is the most demonstrable product in the system because the customer can instantly feel the cleanser in action. • Place a small amount of cleanser on the back of the customer’s hand. Instruct the recipient to work cleanser on the back of their hand into a lather. Let them feel that bubbling effect as they watch it change from white to clear. Wipe their hand with a damp washcloth and point out that their skin doesn’t feel tight or stripped, yet it does feel clean.

Cross Promotion

Precision Counseling Target Consumer Consumer Profile Selling Points 1. Nu Skin User (Epoch Blemish Treatment Gel, GMM, Clay Pack, ABC body cleanser) She has major concern on skin blemishes. She experience psychological distress because of acne. Nu Skin Clear Action focuses on more than just the pimple. It’s a comprehensive system that helps to clear the signs of past and present breakouts and ensures the future health of your complexion. 2. Competitor’s Oil Control Series User She has low satisfaction with current skin care product and keeps switching brands to look for better one. This product addresses the PAST, PRESENT and FUTURE issues of blemish-prone skin in the following way: • Restores the natural antioxidant supply and restores vibrancy. Calms the skin, control shines and manages present oil levels, promoting a shine-free, clear complexion. Minimizes the signs of breakouts while you sleep. 3. Non-skin care User Men and women in their 20s and 30s who currently have or have experienced blemish-prone skin in the past. She is cautious and doubtful about the ability of skin care today. Treats and protects your complexion. Nu Skin Clear Action System helps improve breakouts and associated signs caused by the internal and external stresses of life. In clinical testing, more than 90% of participants were satisfied with the performance of the Nu Skin Clear Action Acne Medication System. How big is your market ? (Refer to slide)

7 Tips for Getting the Most out of your Acne Treatment Do NOT pop, squeeze or pick at acne. Gently wash your face twice a day with a mild cleanser and pat dry. Use “noncomedogenic” (does not clog pores) cosmetics and toiletries. Avoid aggravating your acne. Give acne products enough time to do their job. Use medications as directed. Avoid excess exposure to sunlight, and do not use tanning booths or sun lamps. Do NOT pop, squeeze or pick at acne. This can make acne worse by spreading inflammation. With medical treatment, removing lesions is rarely necessary; however, when comedo removal is needed, it should be performed by an experienced healthcare professional.   Gently wash your face twice a day with a mild cleanser and pat dry. Acne is not caused by poor hygiene, and vigorous washing and scrubbing will not clear your skin. In fact, all that scrubbing can irritate your skin and make acne worse. The way to clear acne is with appropriate acne products and good skin care.   Use “noncomedogenic” (does not clog pores) cosmetics and toiletries. When buying cosmetics and other products that you will use on your skin or hair, be sure to look for ones labeled “noncomedogenic.” Makeup, sunscreen and toiletries that are not likely to cause acne state that they are “noncomedogenic” on the product.   Avoid aggravating your acne. Oily hair, sporting equipment that rubs against your skin and airborne grease—all can irritate and make your acne worse. Ways you can avoid these situations include: If you have oily hair, keep it off your face and wash it daily. Avoid using hair care products that contain oil, such as pomades and gels. Wear cotton clothing or moleskin under sporting equipment to avoid skin-to-equipment contact. Give acne products enough time to do their job. Ask a dermatologist (or pharmacist) how much time is needed for each particular product to work. This way you’ll know when you can expect to see clearing and not stop using the product(s) before you see results. As a rule of thumb, it takes 6 to 8 weeks before you begin to see an improvement.   Use medications as directed. Using more medication than directed will not improve results. In fact, it can make acne worse by aggravating the skin. Be sure to read all labels and use accordingly or as instructed by a dermatologist.   Avoid excess exposure to sunlight, and do not use tanning booths or sun lamps. Contrary to popular belief, tanning does not clear acne; it simply masks acne. Tanning also increases one’s risk of developing melanoma and other skin cancers. Additionally, some acne treatments can increase the skin's sensitivity to sunlight and ultraviolet light from tanning booths and sun lamps. If you have acne, it is important to protect your skin by following sun-protection practices, such as wearing sunscreen and avoiding sunburns.

FAQ 1. How long will it be until I see results? 2. Is there a specific reason why we apply the Foaming Cleanser to a dry face with dry hands? What if I choose to apply to a wet face or use wet hands? 3. Does Nu Skin Clear Action Acne Medication Day Treatment have sun protection? 4. What causes the bright yellow color in Nu Skin Clear Action Acne Medication Night Treatment? 5. Nu Skin Clear Action Acne Medication Night Treatment offer sufficient moisturization for my skin? Answer 1. During tests, Nu Skin Clear Action showed significant results after 12 weeks. However, results may be visible earlier. 2. Nu Skin Clear Action Acne Medication Foaming Cleanser is a sensory product and the foaming action diminishes with additional moisture. Having dry hands and applying the product to a dry face allows for more foaming action. If you choose to use with a wet face and wet hands, the efficacy of the product will be the same, but you will lose the sensory experience. 3. We recommend using a sunscreen such as Moisture Restore Day Protective Lotion SPF 15 Combination to Oily Skin or any Nu Skin Sunright SPF product. For women, Skin Beneficial Tinted Moisturizer SPF 15. Limiting sun exposure while on the Nu Skin Clear Action System is also highly recommended. 4. Licorice extract, which soothes the skin and helps reduce the appearance of past redness, causes the bright yellow color.   5. For most people, Nu Skin Clear Action Acne Medication Night Treatment will provide sufficient moisture. However, you may need an additional moisturizer depending on your skin type.