SlideShare una empresa de Scribd logo
1 de 40
DELIVERING

W ellnes S
 an introduction to
What We Will Discuss Today
  The Wellness Company
   • Proven Track Record
   • Debt-Free
   • Strong Management

  Exceptional Products That:
   • People Use Every Day
   • Are Safer for Your Home and Environment
   • Are a Better Value Than Grocery Store Brands

  Revenue Sharing at Melaleuca
   • No New Money—Simply Switch Stores
   • High Customer Reorder Rate
   • No Risk


                                                    1
Melaleuca’s
              Heritage


              Our Mission:
              To Enhance the Lives of Those We Touch
              by Helping People Reach Their Goals                 SM




              Since its beginning in 1985, CEO Frank L. VanderSloot’s
              passion for helping the average family has been the driving
              force behind Melaleuca’s mission.
                                                                            2
Melaleuca:
The Wellness               Company
                                                                                ®




                                  SS                  Fin
                               LnE                       An
                             EL                            CiA
                          L W




                                                                   LW
                     A
                  SiC
                                                   Get Out




                                                                     EL
                            Live Longer,




               PHY
                                                 of Debt and




                                                                       LnE
                             Healthier,          Secure Your




                                                                          SS
                            More Vibrant          Financial
                               Lives                Future

                          Achieve Balance,       Make Our
                            Freedom, and       Homes and the
             PE R S


                           Peace of Mind in     Environment




                                                                         E SS
                          Your Personal and    Cleaner, Safer
               On




                             Family Life          Places




                                                                         Ln
                 AL




                                                                     EL
                      W




                                                                   W
                      LL
                                                                    AL
                      E




                           nE
                                SS                              E nT
                                                           nM
                                              E n Vi R O


                                                                                    3
Melaleuca: A Different Kind of Company
                                                    CONSUMER DIRECT MARKETING —
                                                                                                   ®


TRADITIONAL BUSINESS MODEL
                                                   MELALEUCA’S PARTNERSHIP MODEL

                                                                        T   TO THE CUST
                                                                     EC                   OM
                                                                  iR




                                                                                           ER
                                                            D
                                   Each entity
        Manufacturers                takes a
        Procter & Gamble
                                  portion of the
                                                        Melaleuca
        Colgate-Palmolive
                                                        Manufactures
       Johnson & Johnson            revenues
                                                                                     Customer
                                                            and
                      Retail                            Ships Direct
Advertisers        Distribution
      TV
                      Wal-Mart
    Radio
                      Safeway
 Print Media                                                OR
                       Kroger




                                                           W
                                                                                      AL




                                                                                               S
                                                                 DO
                                                                    F MO           RR
                                                                         UTH R EFE



                                                                 The Result?
                                   Customer
The customer is                                         • HIGHER QUALITY PRODUCTS
 outside of the                                         • SAVINGS AND BETTER VALUE
  partnership
                                                        • REVENUE SHARING

                                                                                                       4
Melaleuca’s
                                                                                                                       $850,000,000




Growth Record
                                                                                                                       $800,000,000


                                                                                                                       $750,000,000


                                                                                                                       $700,000,000


                                                                                                                       $650,000,000


                                                                                                                       $600,000,000
Since its beginning in 1985, annual sales have
grown to over $800 million. Melaleuca’s 24-year                                                                        $550,000,000


proven track record of success is unmatched!                                                                           $500,000,000


                                                                                                                       $450,000,000

Each month, over 500,000 households
                                                                                                                       $400,000,000
shop with Melaleuca, a testament
to the quality and value                                                                                               $350,000,000


of our products.                                                                                                       $300,000,000


                                                                                                                       $250,000,000


                                                                                                                       $200,000,000


                                                                                                                       $150,000,000


                                                                                                                       $100,000,000


                                                                                                                        $50,000,000


                                                                                                                                $0
                     ’85 ’86 ’87 ’88 ’89 ’90 ’91 ’92 ’93 ’94 ’95 ’96 ’97 ’98 ’99 ’00 ’01 ’02 ’03 ’04 ’05 ’06 ’07 ’08



                                                                                                                                      5
Melaleuca’s
  Success
Melaleuca is a recipient of
the esteemed Better Business
Bureau Torch Award, granted
only to select companies
that prove a long history of
exemplary business practices.

To see the numerous other
awards Melaleuca has
received over the years, go     Melaleuca appeared on Inc. magazine’s
to MelaleucaAwards.com.         list of fastest-growing companies for 5
                                consecutive years and earned a place
                                in the prestigious inc. 500 Hall of Fame.
                                                                            6
What Melaleuca Does…
  We Deliver Wellness                         ®




We refer customers to shop with Melaleuca.

They shop direct by phone or online.

Approximately 95% of our customers who
shop this month will shop again next month.

Each time they shop, we earn a commission.

The result? We share in the revenue
and earn ongoing commissions called
residual income.


  It’s called Consumer Direct Marketing,
                                       ®

  and only Melaleuca does it.

                                                  7
Simply
                        Switch Stores!
                        • No New Dollars Required
                        • Reduce Your Monthly Budget



Simply switch some of your shopping to Melaleuca,
     where you’ll find better, safer products.

                                                       8
Welcome to a Simpler Way of Shopping—
 Over 300 Exclusive Products You Use Every Day




                                                 9
CLEAnERS




EcoSense: The Safety You Want, the Cleaning Power You Demand

     SAFER                  SAFER                          SAFER
     FOR YOUR FAMILY        FOR YOUR HOME                  FOR THE EARTH
• No chlorine bleach   • Effective, naturally         • Super-concentrated
• No ammonia             derived ingredients          • No fillers
• No aerosols          • No abrasives                 • No phosphates
• No formaldehyde      • pH-balanced (non-alkaline)
                                                                             10
EPA-Approved to
Kill 99.9%
 of Germs
with the Natural Power
of the Herb Thyme


                  Sol-U-Guard Botanical® Disinfectant
                  • Kills household germs like staph, E. coli, and the H1N1 virus
                  • Kills germs on the surfaces we eat from and touch
                  • No chlorine bleach, ammonia, harsh fumes, or harmful residue
                  • Gentle enough to use around children, pets, and food
                  • Available only at Melaleuca
                                                                         2x concentrated
                                                                         to save you money


                                                                                             11
Safer and More
                                   Effective
                                   MelaPower® 6x
                                   The concentrated, pH-balanced formula
                                   washes away stubborn dirt and stains
Diamond Brite®                     but is as gentle to clothes as tap water.
Patented formula gets your         Our concentration technology is patent-
dishes and silverware shiny and    pending and exclusive to Melaleuca.
spot-free without using chlorine
bleach, phosphates, or other       Our proprietary Rinse Guard™ agent
harmful ingredients.               actually keeps dirt from settling back onto
                                   your clothes during the rinse cycle.        12
6X
COnCEnTRATED



                                                             =
                     MelaPower® 6x                                    3 Bottles of 2X Ultra Tide®
                               96 loads                                            96 loads total

                       $15.99
                        PREFERRED CUSTOMER
                                                                 VS              $29.37*
                                                                                    COMPETiTOR PRiCE
                                                                                                                *Competitor product prices from Albertsons.com,
                                                                                                                 Las Vegas, NV and Albertons.com, Seattle, WA,
                                                                                                                 September 28, 2009. Prices may vary. Product
                                                                                                                 names are trademarks of their respective owners.




                 Concentrated Means Less Waste and More Savings


                              =                                                           =
          Clear Power®            3 Bottles of Windex®                Tub & Tile™             6 Bottles of Lime-A-Way®
           Makes 96 fl. oz.               96 fl. oz. total             Makes 96 fl. oz.                96 fl. oz. total

               $5.69
          PREFERRED CUSTOMER
                                 VS       $13.26*                        $5.69
                                                                      PREFERRED CUSTOMER
                                                                                              VS       $22.74*                                            13
                                          COMPETiTOR PRiCE                                             COMPETiTOR PRiCE
Caring for the
Environment Since 1985
if every household in
north America used
concentrated EcoSense™
products instead of
grocery store brands, in
10 years we would save
almost 7 billion pounds
of plastic.

        if that plastic
were turned into laundry
baskets, it would circle
the earth an astonishing
71 times!

                           14
Want More Energy
and Better                                                                         Health?
          THE AnSWER:                                                       Oligo !           ™


                                                                         • Minerals in plants are bound to proteins and fibers—
                                                                           making them easier for our bodies to absorb
                                                                         • However, the minerals in other top-selling
                                                                           supplements have been proven to crystallize
                                                                           during digestion, which inhibits absorption
                                                                         • Just like nature, Oligofructose prebinds minerals to
                                                                           proteins and oligofructose fibers, similar to how they
                                                                           exist in plants and foods

                                                                              THE RESULT?
                                                                              No other mineral form is more absorbable
                                                                              than Melaleuca’s Oligo.*

*Based on percent solubility of copper, iron, manganese, and zinc at intestinal conditions.
                                                                                                                                    15
Do You Think Your Body
                 Is Getting 100% of the
            Vitamins and Minerals
                   Shown on the Label?
                                             Labels don’t indicate the rate of solubility or absorption.
                   For example, to have the same amount of Vitamin C or Copper available for absorption, you’d have to take…
                                                                            at least                                   at least

     1 Vitality Pack or                      ®                        33 Centrum       ®

                                                                                                       or
                                                                                                                15 One A Day®*

        Daily Dose


                                                                                  PROVEN BY SCIENCE:
                                                                                  Oligofructose minerals found in the
       If after 90 days you don’t feel a                                          Vitality Pack are up to 10 times more
       marked difference in your health                                           absorbable and protect antioxidant
        and energy, we’ll refund your                                             vitamins 5 times better.
        money—no questions asked.

                                                                                                                                  16
*Comparison vs. One A Day Women’s
The World’s Leader
    in Natural Heart                                                                                                 PLATELET
                                                                                                                     fUNCTION




Health Solutions
                                                                                               CHOLESTEROL

                                                                                                                                     LDL
                                                                                                                                  OxIDATION



                                                                                                  TRIGLYCERIDE
                                                                                                     LEVELS
                                                                                                                                         ENDOTHELIAL
                                                                                                                                          fUNCTION

                                                                                                                        BLOOD

FACT: Cardiovascular health is the #1 health concern in north America.                                                 PRESSURE




          ProvexCV®                            FiberWise™                                               Phytomega®
   Reduces LDL oxidation and                                                                 naturally lowers LDL
                                             Helps reduce LDL
     promotes healthy blood                                                             cholesterol, maintains healthy
                                         cholesterol and promotes
   pressure, platelet activity,                                                          triglyceride levels, supports
                                         a healthy digestive tract*
    and endothelial function*                                                               proper heart function*




                                                                      *These statements have not been evaluated by the Food & Drug Administration.
                                                                       This product is not intended to diagnose, treat, cure, or prevent any disease.
                                                                                                                                                        17
Exercise and
      Weight Loss
                   Products That Work!
    FACTS: Over 60% of American adults are overweight.
                Weight loss and exercise is a $43 billion industry.


      Sustain® Sport                       Attain®                         Access®                       Simply Fit™
    Provides hydration and        Reduces cravings to support        Patented nutrition that        10 organic whole grains
   endurance with twice the        healthy weight loss efforts   turns fat into fuel for exercise       and seeds and no
electrolytes and fewer calories   with natural CraveBlocker,®       with half the calories of        trans fat—a genuinely
than Original Gatorade® drinks       not found in SlimFast®           Original PowerBar®                 healthy snack!




                                                                                                                          18
Beautiful Hair
                                                        from Nature’s Salon



                                                        Silky Soft Skin
                                                        from Head to Toe



                                                        Products No Family
                                                        Should Be Without




                                                        Exclusively for Men


Envia Shampoo and Conditioner
• Patented Lipid Replenishing System adds
  shine, strength, and moisture to your hair            Products for strong,
• Patented UV Protection System prevents                healthy kids
  color-fading, split ends, and UV damage
• Delivers salon-quality results without salon prices
                                                                              19
Skin Care and Cosmetics
Antiaging | Skin Care | Color Cosmetics | Visible Results | Exclusively at Melaleuca




                              Necessities Skin Care Set      (Cleanser, Toner, Moisturizer)
                               • Protects your skin from UV damage
                               • Nourishes skin with vitamins and botanicals
                               • Helps restore skin’s firmness and tone with peptides
                                                                                              20
Drugstore Essentials
                                                                               Save up to 50% vs. major brands*



                                                                                                      VS.
                                                                                  $4.09                             $6.49*
                                                                               PREFERRED CUSTOMER                 COMPETiTOR PRiCE




                                                                                    Natural Dental Care
                                                                                Exceptional dental care featuring
                                                                                  pure T40-C3® Melaleuca Oil

                                                                                         Skin Protection
                                                                             Advanced dry skin, acne, and sun care

                                                                                      Complete First Aid
                                                                                Antiseptic and herbal ingredients
                                                                             naturally soothe and help speed healing



                                                                                                    Melaleuca Oil is
                                                                                                    well-known for
                                                                                                    its soothing,
                                                                                                    penetrating,
*Competitor product prices from Walgreens.com as of November 30, 2009.
                                                                                                    and antiseptic
 Prices may vary. Product names are trademarks of their respective owners.                          healing properties               21
Do You or Someone                                Clinically proven to w
                                                                        ork
                                                  faster, better, and last


   You Know Suffer from
                                                  longer than Eucerin !                ®




 Severely Dry Skin?
                                              REnEW™


                                                               7x
                                                              as effective
                                                              vs. Eucerin on
associated with:                                              moisture retention

Eczema        Psoriasis   Rosacea   Climate                   EUCERIN       ®




                                                MOISTURE RETENTION

                                               *Clinical study wit
                                                                  h dry skin from ec
                                                                                    zema




                                                              Proven to leave
                                                              dry skin feeling
                                                              softer, smoother,
                                                              and healthier-
                                                              looking in just
                                                              24 hours.*




                                                                                           22
Exclusive
Membership                                          With your Preferred Customer membership,
                                                    you can save up to 15% at more than

      Benefits                                      650 online retailers.

    We leverage our large number of customers to negotiate incredible savings—then pass them on to you.



        .COM




  Plus, save hundreds of dollars by
  using additional Melaleuca services
  with low, pre-negotiated rates                                                                          23
Exclusive                                  $ 20
                                          MONTH


Membership                                $ 20
                                              2              The Gold Bar ®      Sol-U-Guard Botanical® 2x
                                                                                       Disinfectant
                                                                                                                 Eyewear Refirming
                                                                                                                      Cream                 Simply Fit™ Crackers           Renew™ intensive
                                                                                                                                                                             Skin Therapy              Sustain® Sport Packets
                                                                                                                                                                                                                                          CounterAct ® iB
                                                                                                                                                                                                                                                                    Access® Performance Ba




Benefits
                                         MONTH
                                              3        Tough & Tender® Wipes
                                                                                           Vitality Pack®
                                                                                   (Women, Men, Prenatal, or
                                                                                                             50+)    Envia Nature’s Salon™ Shampo
                                                                                                                                                 o & Conditioner
                                                                                                                                                                          Simply Fit™ Cookies
                                                                                                                                                                                                       Whitening Tooth Polish

                                          $ 20
                                                                                                                                                                                                                                    Sol-U-Mel® Stain Remover
                                                                                                                                                                                                                                                                Extra-Strength Pain-A-Trate®




                                         MONTH
                                           4           PreSpot™ 4x Concentrated
                                                        Laundry Stain Remover
                                                                                           MelaPower® 6x Laundry Deterge
                                                                                                                        nt           Body Satin™ Body Lotion
                                                                                                                                                                       Body Satin™ Body Wash
                                                                                                                                                                                                      Sun Shades™ Lip Balm


                                         $ 20
                                                                                                                                                                                                                                    FiberWise® Breakfast Bars
                                                                                                                                                                                                                                                                        MelaGel®




 Loyalty Shopping Dollars                MONTH
                                          5
 We’re so confident you’ll love
                                                     Diamond Brite® Automatic
                                                       Dishwasher Detergent
                                                                                          Timeless Age-Defying Serum
                                                                                                                                     FiberWise® Drink Mix
                                                                                                                                                                   Clear Defense® Hand Sanitize
                                                                                                                                                                                               r          Phytomega®

                                         $ 20
                                                                                                                                                                                                                                    Antibacterial Liquid Soap
                                                                                                                                                                                                                                                                  FiberWise™ Cereal



 our products, we give you $100
                                        MONTH
 in free products during your             6                                                                                                                                                                                                                               or

 first 6 months.
                                                  Tub & Tile™ Bathroom Cleaner
                                                                                         MelaSoft® Fabric Softener
                                                                                                                                       Attain® Shakes
                                                                                                                                                                          Replenex®
                                                                                                                                                                                                   T36-C5® Melaleuca Oil
                                                                                                                                                                                                                                Clear Power ® Glass Cleaner
                                                                                                                                                                                                                                                                   Attain® Bars




 Every month thereafter, you can earn 10% back
 in Loyalty Shopping Dollars each time you shop.

                                                                                                                                                                                                                                                                24
Value of Preferred Customer Membership
             Become a Preferred Customer—switch about $50 to $60 each
             month to Melaleuca—and save 30% to 40% each time you shop!


                         TOTAL PRiCE OF                                                            MELALEUCA               PRICE YOU PAY AS A
                      GROCERY STORE BRAnDS                                                        REGULAR PRICE           PREFERRED CUSTOMER
                                                                                                                                                                  YOU SAVE
                                   $
                                      84          .89*                                             $
                                                                                                     76  .49                   $
                                                                                                                                  53       .15
                                                                                                                                                                  $
                                                                                                                                                                    23.34




     3   50 fl. oz. bottles of 2X Ultra Tide® = 96 loads
                                                                                                           THE VALUE Of CONCENTRATION
     6   bottles of Lime-A-Way® = 96 fl. oz.
                                                                                                           1   48 fl. oz. bottle of MelaPower® 6x = 96 loads
     1   bottle each of GNC Women’s Ultra Mega® and Calcium Plus®
                                                                                                           1   bottle of Tub & Tile™ makes 96 fl. oz.
     1   bottle of Eucerin® Original lotion 8.4 fl. oz.
                                                                                                           1   Vitality Pack® (Multivitamin & Mineral + Calcium Complete)
                                                                                                           1   bottle of Renew™ Intensive Skin Therapy Lotion 8 fl. oz.
*Competitor retail prices from Albertsons, Albertsons.com, Target, and Drugstore.com as of
 September 23, 2009. Prices will vary. Product names are trademarks of their respective owners.                                                                              25
Preferred Customer Membership
   WE PROMiSE:                                             YOU AGREE TO:
• Preferred Customer Pricing                           3 Become a Preferred Customer
  30%–40% off the regular price                            $29 membership fee*

• Exceptional Products Delivered                       3 Simply Switch Stores and Shop
  Conveniently to Your Door                                with Melaleuca Each Month
                                                           Purchase at least 35 Product Points each
                                                           month—about $50 to $60 dollars redirected
• Loyalty Shopping Dollars                                 from the grocery store
   You can earn up to $100 Loyalty Shopping Dollars
   in your first 6 months and up to 10% thereafter*
                                                       3 Preselect Your Backup Order
                                                           Protect your Preferred Customer benefits
• Save up to 15% at Online Retailers
  with Melaleuca Marketplace                             If you forget to shop during the month, we’ll send your
                                                         preselected order, conveniently charge your account,
• Savings on Everyday Services                           and protect your membership discounts and benefits.


• No Risk—You Can Cancel Your
  Membership at Any Time                               On average our customers order
   100% satisfaction guaranteed*
                                                       48 PRODUCT POINTS
                                                                per month
 *See Melaleuca Customer Agreement for more details.



                                                                                                               26
You Can See Why Being a Preferred Customer
          Makes So Much Sense…

   How would
      an  extra
  $
   500, 1,000 or 10,000
          $                $
        per month   improve your life?

                                             27
At Melaleuca,
Revenue Sharing      NO Large Investment


  Just Makes Sense   NO Carrying Inventory
                     NO Taking Orders and
                        Making Deliveries
                     NO Billing and Collections
                     NO Pressuring Customers
                        to Purchase
                     NO Repeat Sales
                        Presentations
                     NO RISk Simply Switch
                        Stores and Save




                                                  28
Anyone
        Can Build a Prosperous
         Melaleuca Business

                                             YOU CAN EARN RESIDUAL INCOME IN TWO WAYS:



 1            PERSONALLY REFER CUSTOMERS
                TO SHOP WITH MELALEUCA
                                                                AnD
                                                                          2      HELP OTHERS DO THE SAME




               Earn 7% to 20%                                                       Earn 7%
                         each time customers you                        each time customers in your organization
                          refer shop at Melaleuca                      who are referred by others shop at Melaleuca

See Melaleuca Compensation Plan for more details.
                                                                                                                      29
THE KEY to Melaleuca’s
  Compensation Plan
     1. PERSOnALLY REFER CUSTOMERS
     2. DEVELOP DiRECTORS

               A Director is someone who
               has personally referred
               eight or more customers

                                           30
Become a Director
   Refer 8 Customers Who Shop During the Month


                                                                                                            Pacesetter   non-Pacesetter


                                                                                 Average Earnings
                                                                                 in the First Month          $435           $278
                                                                                 as a Director*

                                                                                 Ongoing Average
                                                                                 Monthly Earnings            $168           $168
                                                                                 as a Director

                                                                                 Average earnings of those who              $614*
                                                                                 reach Director in their first month:

* Based on 2009 Melaleuca Compensation Plan and 2008 Annual Income Statistics.                                                            31
Become a Director ii
   Personally Refer 2 More Customers and…
   With the Help of Others, Add 10 More Customers to Your Business


                                                                                                                                                          Pacesetter   non-Pacesetter


                                                                                    Average Earnings
                                                                                    in the First Month                                                     $907           $482
                                                                                    as a Director ii*

                                                                                    Ongoing Average
                                                                                    Monthly Earnings                                                       $314           $314
                                                                                    as a Director ii



* Includes Director II Pacesetter or Advancement Bonus paid over 3 months. Based on 2009 Melaleuca Compensation Plan and 2008 Annual Income Statistics.                                 32
Become a Director iii
   Team Up—Help a Personal Enrollee Become a Director



                                                                                                                                                          Pacesetter   non-Pacesetter


                                                                                    Average Earnings
                                                                                    in the First Month                                                    $1,757          $988
                                                                                    as a Director iii*

                                                                                    Ongoing Average
                                                                                    Monthly Earnings                                                       $592           $592
                                                                                    as a Director iii



* Includes Director II Pacesetter or Advancement Bonus paid over 3 months. Based on 2009 Melaleuca Compensation Plan and 2008 Annual Income Statistics.                                 33
Residual Income to Last a Lifetime
                                                  PERSOnAL                            POTEnTiAL    ADVAnCEMEnT                    AVERAGE
          STATUS                                                                      MOnTHLY         BONUS
                                                  DiRECTORS                            BONUSES      (One-Time or Pacesetter)
                                                                                                                               ANNUAL INCOME

                                                                                      BONUS POOL         TYPiCALLY


                                                             5
         Senior                                                                       $10,000           $2,000                  $55,588
        Director                                                                                             TO
         Through Senior                                                                CAR BONUS                                  $4,630
                                                       DiRECTORS
           Director iX
                                                                                       $400           $10,000                      Per Month




                                                                                      BONUS POOL          TYPiCALLY
      Executive
                                                          10
                                                                                      $20,000          $10,000                 $148,542
       Director                                                                                               TO
       Through Executive                                                               CAR BONUS                                  $12,370
          Director iX                                  DiRECTORS
                                                                                      $1,000           $20,000                     Per Month




                                                                                                         TYPiCALLY
                                                                                      BONUS POOL
                                                                                                    $50,000 TO
     Corporate
      Director
       Through Corporate
                                                             5
                                            EXECUTIVE DIRECTORS
                                                                                      $20,000
                                                                                       CAR BONUS
                                                                                                    $100,000
                                                                                                     PLUS A ONE-TIME
                                                                                                                               $1,209,356
                                                                                                                                 $100,770
                                                                                                   ADVANCEMENT BONUS               Per Month
           Director iX
                                                                                      $1,000
                                                                                                     $100,000
Refer to Melaleuca Compensation Plan and 2008 Annual Income Statistics for details.
                                                                                                                                               34
How Can Melaleuca Enhance Your Life?
                 CATEGORY 1                                                                        CATEGORY 2               CATEGORY 3


                                                                                          PART-TiME                     SiGniFiCAnT
PREFERRED CUSTOMER                                                                    REFERRAL BUSINESS              REFERRAL BUSINESS


   Shop and Save                                                                        Invest 5–15                Put In a Serious
     30%–40%                                                                           Hours a Week               Effort—20+ Hours
Save time and money, and earn                                                    Begin today and earn up to           Each Week
up to 10% in Loyalty Shopping                                                     $500–$5,000 each month, *     Earn up to $5,000–$20,000 or even
Dollars. Refer a friend from time                                                depending on your time and     more each month* by teaming up
    to time if you would like.                                                        consistent effort.          and getting started right away.



   3 Simple Steps to Get Started
                               Set up your account and enroll
   STEP 1:                     as a Preferred Customer
   STEP 2:                     Preselect your Backup Order

   STEP 3:                     Place your first product order
  * Potential earnings may vary. Includes Director II Pacesetter or Advancement Bonus paid over 3 months.                                       35
    Based on 2009 Melaleuca Compensation Plan and 2008 Annual Income Statistics.
Value and Career Pack product assortments are subject to change without notice.                                       Career Pack shown.




                                                             Getting Started the Right Way
                                        Save an Extra 30% and Qualify for Pacesetter Bonuses


   Value Pack                                                                        Career Pack           Pacesetter Pack
    Save 30% off the                                                                Save 30% off the       with 10 Membership Kits
Preferred Customer Price                                                        Preferred Customer Price      Save an Extra   $50
          Only       $199                                                              Only   $299
                                                                                                                                              36
2008 Annual Income Statistics
                                                                                        Customers
                                                                                        The majority (more than   60%   ) of those who
                                                                                        buy Melaleuca products each month are strictly
                                                                                        customers. They are not interested in pursuing the
                                                                                        Melaleuca financial opportunity. They just love
                                                                                        Melaleuca products. Only a few of them will ever
                                                                                        decide to build a Melaleuca business.




 Customer Referrals Status
 29% of all Melaleuca customers have referred at least one customer but fewer than eight customers. As those customers purchase
 products directly from Melaleuca, those who referred them receive a small commission. These households are not necessarily
 interested in the financial opportunity. Their relationship with Melaleuca is primarily because they love Melaleuca products. Their
 “status” is determined by how many customers they have referred. A Marketing Executive has at least one customer. A Marketing
 Executive II has referred at least two customers and a Marketing Executive III has referred at least four customers at some time
 in their life. While these individuals may not be considered serious business builders, their customers (like the vast majority of
 Melaleuca customers) come from word-of-mouth referrals. Therefore, the overall contribution of these individuals is significant.


    Active          Percent             Annual Income          Minimum      Average    Minimum      Average      Time to Achieve Status1
   Executive        at This                                     Personal    Personal     Total       Total
    Status          Status                                     Customers   Customers    Active      Active     Shortest    Longest   Average
                                 High        Low    Average                            Customers   Customers    Time        Time      Time

Mkt. Executive      73.8%       $1,428       $24         $87      0           1           0            4       1 Mo.      120 Mo.    3 Mo.
Mkt. Exec. II       15.3%       $2,383       $24        $221      2           2           2           10       1 Mo.      120 Mo.    6 Mo.
Mkt. Exec. III      10.9%       $7,293       $64        $561      4           5           4           22       1 Mo.      120 Mo.    5 Mo.




 Developmental Status
 Only 1 out of 9 customers (      11%
                                    ) will decide to start their own Melaleuca business and eventually achieve Director status
 or above. Directors have made a substantial effort (probably spent at least 50 hours) in developing at least eight Melaleuca
 customers. Those estimated 50 hours could have been spent in a single week or could have been spent over several years. But at
 some point in their lives, Directors have invested enough time to develop (and maintain) at least eight Melaleuca customers.


  Active         Percent of             Annual Income          Minimum      Average    Minimum      Average      Time to Achieve Status1
 Executive        Business                                      Personal    Personal     Total       Total
  Status        Builders with                                  Customers   Customers    Active      Active     Shortest    Longest   Average
                 This Status     High        Low    Average                            Customers   Customers    Time        Time      Time

Director I/II     83.7%         $16,007      $70    $2,250        10          14          10          65       1 Mo.      120 Mo.    7 Mo.
Initial Leadership Status
      Leaders at these statuses have made a more serious effort at building a Melaleuca business. Those who have reached these
      leadership statuses have not only invested enough time to develop several customers, but they have also helped some of those
      customers start a business and become Marketing Executives. Those Marketing Executives have, in turn, referred additional
      customers who purchase Melaleuca products each month. Commissions are paid based on the development of customers and the
      development of leaders who help others reach their goals.


         Active             Percent of                                                             Minimum      Average    Minimum      Average
                             Business                       Annual Income                                                                                Time to Achieve Status1
        Executive                                                                                   Personal    Personal     Total       Total
         Status              Builders                                                              Customers   Customers    Active      Active
                            with This                                                                                      Customers   Customers     Shortest         Longest         Average
                                                   High                Low               Average
                              Status                                                                                                                  Time             Time            Time

     Dir. III                 6.2%             $20,622               $1,967              $7,239       11          29          33         172          1 Mo.         120 Mo.          14 Mo.
     Dir. IV / V              3.6%             $29,005               $5,013            $12,087        13          36          94         294          1 Mo.         120 Mo.          19 Mo.
     Dir. VI / VII            1.3%             $43,381               $8,701            $18,780        15          46         201         406          1 Mo.         120 Mo.          21 Mo.
     Dir. VIII / IX           0.8%             $65,553             $12,810             $27,437        18          50         303         618          1 Mo.         120 Mo.          22 Mo.




      Advanced Leadership Status
      Those Marketing Executives who reach Senior or Executive Director status have shown substantial interest and dedication in
      building a Melaleuca business. While they may not work their business full-time, it is essential that they invest some time each
      month nurturing, training, and helping those in their marketing organization. Melaleuca advocates that Marketing Executives
      keep their full-time job and work their Melaleuca business in their spare time. However, some Executive Directors at the higher
      income levels do work their business close to full-time. Melaleuca strongly advocates that Marketing Executives do not quit
      their full-time job until their Melaleuca income far surpasses the income they receive from their full-time employer. Rather, they
      should add their Melaleuca income to their regular income, thereby making a substantial difference in their family finances.


         Active             Percent of                                                             Minimum      Average    Minimum      Average
                             Business                       Annual Income                                                                                Time to Achieve Status1
        Executive                                                                                   Personal    Personal     Total       Total
         Status              Builders                                                              Customers   Customers    Active      Active
                            with This                                                                                      Customers   Customers     Shortest         Longest         Average
                                                   High                Low               Average
                              Status                                                                                                                  Time             Time            Time

    Senior Dir.2              2.8%             $175,844             $22,177             $55,588       20          65         369         971          1 Mo.         120 Mo.          22 Mo.
    Executive Dir.3           1.5%             $591,424             $39,248            $148,542       20          89         853        2,643         4 Mo.         120 Mo.          24 Mo.
                            Less than
    Corporate Dir.4           0.1%           $2,176,348 $559,043 $1,209,356                           20         113        7,832      12,915        29 Mo.         120 Mo.          39 Mo.



The above annual income statistics include all Melaleuca North American Marketing Executives who were active during all 12 months of the period ending December 2008 and performed the
minimum activity required at each status level. The incomes stated include all commissions and bonuses actually paid during the period.

For the purpose of these statistics, a Marketing Executive’s leadership or developmental level was calculated by taking the highest status achieved and maintained for at least five consecutive
months. The information on this page is not necessarily representative of what any individual Marketing Executive will earn with this program. Any representation or guarantee of specific
earnings would be misleading. Success with any business takes hard work, diligence, perseverance, and leadership. Success with Melaleuca will depend on how effectively a Marketing
Executive exercises those qualities.

1
  Includes all active Marketing Executives joining Melaleuca within the past 10 years.
2
  Includes statistics for Senior Director through Senior Director IX.
3
  Includes statistics for all positions of Executive Director through Executive Director IX.
4
  Includes statistics for positions of Corporate Director and higher.
Enhancing the lives of those we touch
by helping people reach their goals                   SM




          © 2010 Melaleuca, Inc. Printed in the USA
                       Rev. 01/10U                         101802180

Más contenido relacionado

Destacado

2024 State of Marketing Report – by Hubspot
2024 State of Marketing Report – by Hubspot2024 State of Marketing Report – by Hubspot
2024 State of Marketing Report – by HubspotMarius Sescu
 
Everything You Need To Know About ChatGPT
Everything You Need To Know About ChatGPTEverything You Need To Know About ChatGPT
Everything You Need To Know About ChatGPTExpeed Software
 
Product Design Trends in 2024 | Teenage Engineerings
Product Design Trends in 2024 | Teenage EngineeringsProduct Design Trends in 2024 | Teenage Engineerings
Product Design Trends in 2024 | Teenage EngineeringsPixeldarts
 
How Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental HealthHow Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental HealthThinkNow
 
AI Trends in Creative Operations 2024 by Artwork Flow.pdf
AI Trends in Creative Operations 2024 by Artwork Flow.pdfAI Trends in Creative Operations 2024 by Artwork Flow.pdf
AI Trends in Creative Operations 2024 by Artwork Flow.pdfmarketingartwork
 
PEPSICO Presentation to CAGNY Conference Feb 2024
PEPSICO Presentation to CAGNY Conference Feb 2024PEPSICO Presentation to CAGNY Conference Feb 2024
PEPSICO Presentation to CAGNY Conference Feb 2024Neil Kimberley
 
Content Methodology: A Best Practices Report (Webinar)
Content Methodology: A Best Practices Report (Webinar)Content Methodology: A Best Practices Report (Webinar)
Content Methodology: A Best Practices Report (Webinar)contently
 
How to Prepare For a Successful Job Search for 2024
How to Prepare For a Successful Job Search for 2024How to Prepare For a Successful Job Search for 2024
How to Prepare For a Successful Job Search for 2024Albert Qian
 
Social Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie InsightsSocial Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie InsightsKurio // The Social Media Age(ncy)
 
Trends In Paid Search: Navigating The Digital Landscape In 2024
Trends In Paid Search: Navigating The Digital Landscape In 2024Trends In Paid Search: Navigating The Digital Landscape In 2024
Trends In Paid Search: Navigating The Digital Landscape In 2024Search Engine Journal
 
5 Public speaking tips from TED - Visualized summary
5 Public speaking tips from TED - Visualized summary5 Public speaking tips from TED - Visualized summary
5 Public speaking tips from TED - Visualized summarySpeakerHub
 
ChatGPT and the Future of Work - Clark Boyd
ChatGPT and the Future of Work - Clark Boyd ChatGPT and the Future of Work - Clark Boyd
ChatGPT and the Future of Work - Clark Boyd Clark Boyd
 
Getting into the tech field. what next
Getting into the tech field. what next Getting into the tech field. what next
Getting into the tech field. what next Tessa Mero
 
Google's Just Not That Into You: Understanding Core Updates & Search Intent
Google's Just Not That Into You: Understanding Core Updates & Search IntentGoogle's Just Not That Into You: Understanding Core Updates & Search Intent
Google's Just Not That Into You: Understanding Core Updates & Search IntentLily Ray
 
Time Management & Productivity - Best Practices
Time Management & Productivity -  Best PracticesTime Management & Productivity -  Best Practices
Time Management & Productivity - Best PracticesVit Horky
 
The six step guide to practical project management
The six step guide to practical project managementThe six step guide to practical project management
The six step guide to practical project managementMindGenius
 
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...RachelPearson36
 

Destacado (20)

2024 State of Marketing Report – by Hubspot
2024 State of Marketing Report – by Hubspot2024 State of Marketing Report – by Hubspot
2024 State of Marketing Report – by Hubspot
 
Everything You Need To Know About ChatGPT
Everything You Need To Know About ChatGPTEverything You Need To Know About ChatGPT
Everything You Need To Know About ChatGPT
 
Product Design Trends in 2024 | Teenage Engineerings
Product Design Trends in 2024 | Teenage EngineeringsProduct Design Trends in 2024 | Teenage Engineerings
Product Design Trends in 2024 | Teenage Engineerings
 
How Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental HealthHow Race, Age and Gender Shape Attitudes Towards Mental Health
How Race, Age and Gender Shape Attitudes Towards Mental Health
 
AI Trends in Creative Operations 2024 by Artwork Flow.pdf
AI Trends in Creative Operations 2024 by Artwork Flow.pdfAI Trends in Creative Operations 2024 by Artwork Flow.pdf
AI Trends in Creative Operations 2024 by Artwork Flow.pdf
 
Skeleton Culture Code
Skeleton Culture CodeSkeleton Culture Code
Skeleton Culture Code
 
PEPSICO Presentation to CAGNY Conference Feb 2024
PEPSICO Presentation to CAGNY Conference Feb 2024PEPSICO Presentation to CAGNY Conference Feb 2024
PEPSICO Presentation to CAGNY Conference Feb 2024
 
Content Methodology: A Best Practices Report (Webinar)
Content Methodology: A Best Practices Report (Webinar)Content Methodology: A Best Practices Report (Webinar)
Content Methodology: A Best Practices Report (Webinar)
 
How to Prepare For a Successful Job Search for 2024
How to Prepare For a Successful Job Search for 2024How to Prepare For a Successful Job Search for 2024
How to Prepare For a Successful Job Search for 2024
 
Social Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie InsightsSocial Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie Insights
 
Trends In Paid Search: Navigating The Digital Landscape In 2024
Trends In Paid Search: Navigating The Digital Landscape In 2024Trends In Paid Search: Navigating The Digital Landscape In 2024
Trends In Paid Search: Navigating The Digital Landscape In 2024
 
5 Public speaking tips from TED - Visualized summary
5 Public speaking tips from TED - Visualized summary5 Public speaking tips from TED - Visualized summary
5 Public speaking tips from TED - Visualized summary
 
ChatGPT and the Future of Work - Clark Boyd
ChatGPT and the Future of Work - Clark Boyd ChatGPT and the Future of Work - Clark Boyd
ChatGPT and the Future of Work - Clark Boyd
 
Getting into the tech field. what next
Getting into the tech field. what next Getting into the tech field. what next
Getting into the tech field. what next
 
Google's Just Not That Into You: Understanding Core Updates & Search Intent
Google's Just Not That Into You: Understanding Core Updates & Search IntentGoogle's Just Not That Into You: Understanding Core Updates & Search Intent
Google's Just Not That Into You: Understanding Core Updates & Search Intent
 
How to have difficult conversations
How to have difficult conversations How to have difficult conversations
How to have difficult conversations
 
Introduction to Data Science
Introduction to Data ScienceIntroduction to Data Science
Introduction to Data Science
 
Time Management & Productivity - Best Practices
Time Management & Productivity -  Best PracticesTime Management & Productivity -  Best Practices
Time Management & Productivity - Best Practices
 
The six step guide to practical project management
The six step guide to practical project managementThe six step guide to practical project management
The six step guide to practical project management
 
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
 

Delivering Wellness 2010

  • 1. DELIVERING W ellnes S an introduction to
  • 2. What We Will Discuss Today The Wellness Company • Proven Track Record • Debt-Free • Strong Management Exceptional Products That: • People Use Every Day • Are Safer for Your Home and Environment • Are a Better Value Than Grocery Store Brands Revenue Sharing at Melaleuca • No New Money—Simply Switch Stores • High Customer Reorder Rate • No Risk 1
  • 3. Melaleuca’s Heritage Our Mission: To Enhance the Lives of Those We Touch by Helping People Reach Their Goals SM Since its beginning in 1985, CEO Frank L. VanderSloot’s passion for helping the average family has been the driving force behind Melaleuca’s mission. 2
  • 4. Melaleuca: The Wellness Company ® SS Fin LnE An EL CiA L W LW A SiC Get Out EL Live Longer, PHY of Debt and LnE Healthier, Secure Your SS More Vibrant Financial Lives Future Achieve Balance, Make Our Freedom, and Homes and the PE R S Peace of Mind in Environment E SS Your Personal and Cleaner, Safer On Family Life Places Ln AL EL W W LL AL E nE SS E nT nM E n Vi R O 3
  • 5. Melaleuca: A Different Kind of Company CONSUMER DIRECT MARKETING — ® TRADITIONAL BUSINESS MODEL MELALEUCA’S PARTNERSHIP MODEL T TO THE CUST EC OM iR ER D Each entity Manufacturers takes a Procter & Gamble portion of the Melaleuca Colgate-Palmolive Manufactures Johnson & Johnson revenues Customer and Retail Ships Direct Advertisers Distribution TV Wal-Mart Radio Safeway Print Media OR Kroger W AL S DO F MO RR UTH R EFE The Result? Customer The customer is • HIGHER QUALITY PRODUCTS outside of the • SAVINGS AND BETTER VALUE partnership • REVENUE SHARING 4
  • 6. Melaleuca’s $850,000,000 Growth Record $800,000,000 $750,000,000 $700,000,000 $650,000,000 $600,000,000 Since its beginning in 1985, annual sales have grown to over $800 million. Melaleuca’s 24-year $550,000,000 proven track record of success is unmatched! $500,000,000 $450,000,000 Each month, over 500,000 households $400,000,000 shop with Melaleuca, a testament to the quality and value $350,000,000 of our products. $300,000,000 $250,000,000 $200,000,000 $150,000,000 $100,000,000 $50,000,000 $0 ’85 ’86 ’87 ’88 ’89 ’90 ’91 ’92 ’93 ’94 ’95 ’96 ’97 ’98 ’99 ’00 ’01 ’02 ’03 ’04 ’05 ’06 ’07 ’08 5
  • 7. Melaleuca’s Success Melaleuca is a recipient of the esteemed Better Business Bureau Torch Award, granted only to select companies that prove a long history of exemplary business practices. To see the numerous other awards Melaleuca has received over the years, go Melaleuca appeared on Inc. magazine’s to MelaleucaAwards.com. list of fastest-growing companies for 5 consecutive years and earned a place in the prestigious inc. 500 Hall of Fame. 6
  • 8. What Melaleuca Does… We Deliver Wellness ® We refer customers to shop with Melaleuca. They shop direct by phone or online. Approximately 95% of our customers who shop this month will shop again next month. Each time they shop, we earn a commission. The result? We share in the revenue and earn ongoing commissions called residual income. It’s called Consumer Direct Marketing, ® and only Melaleuca does it. 7
  • 9. Simply Switch Stores! • No New Dollars Required • Reduce Your Monthly Budget Simply switch some of your shopping to Melaleuca, where you’ll find better, safer products. 8
  • 10. Welcome to a Simpler Way of Shopping— Over 300 Exclusive Products You Use Every Day 9
  • 11. CLEAnERS EcoSense: The Safety You Want, the Cleaning Power You Demand SAFER SAFER SAFER FOR YOUR FAMILY FOR YOUR HOME FOR THE EARTH • No chlorine bleach • Effective, naturally • Super-concentrated • No ammonia derived ingredients • No fillers • No aerosols • No abrasives • No phosphates • No formaldehyde • pH-balanced (non-alkaline) 10
  • 12. EPA-Approved to Kill 99.9% of Germs with the Natural Power of the Herb Thyme Sol-U-Guard Botanical® Disinfectant • Kills household germs like staph, E. coli, and the H1N1 virus • Kills germs on the surfaces we eat from and touch • No chlorine bleach, ammonia, harsh fumes, or harmful residue • Gentle enough to use around children, pets, and food • Available only at Melaleuca 2x concentrated to save you money 11
  • 13. Safer and More Effective MelaPower® 6x The concentrated, pH-balanced formula washes away stubborn dirt and stains Diamond Brite® but is as gentle to clothes as tap water. Patented formula gets your Our concentration technology is patent- dishes and silverware shiny and pending and exclusive to Melaleuca. spot-free without using chlorine bleach, phosphates, or other Our proprietary Rinse Guard™ agent harmful ingredients. actually keeps dirt from settling back onto your clothes during the rinse cycle. 12
  • 14. 6X COnCEnTRATED = MelaPower® 6x 3 Bottles of 2X Ultra Tide® 96 loads 96 loads total $15.99 PREFERRED CUSTOMER VS $29.37* COMPETiTOR PRiCE *Competitor product prices from Albertsons.com, Las Vegas, NV and Albertons.com, Seattle, WA, September 28, 2009. Prices may vary. Product names are trademarks of their respective owners. Concentrated Means Less Waste and More Savings = = Clear Power® 3 Bottles of Windex® Tub & Tile™ 6 Bottles of Lime-A-Way® Makes 96 fl. oz. 96 fl. oz. total Makes 96 fl. oz. 96 fl. oz. total $5.69 PREFERRED CUSTOMER VS $13.26* $5.69 PREFERRED CUSTOMER VS $22.74* 13 COMPETiTOR PRiCE COMPETiTOR PRiCE
  • 15. Caring for the Environment Since 1985 if every household in north America used concentrated EcoSense™ products instead of grocery store brands, in 10 years we would save almost 7 billion pounds of plastic. if that plastic were turned into laundry baskets, it would circle the earth an astonishing 71 times! 14
  • 16. Want More Energy and Better Health? THE AnSWER: Oligo ! ™ • Minerals in plants are bound to proteins and fibers— making them easier for our bodies to absorb • However, the minerals in other top-selling supplements have been proven to crystallize during digestion, which inhibits absorption • Just like nature, Oligofructose prebinds minerals to proteins and oligofructose fibers, similar to how they exist in plants and foods THE RESULT? No other mineral form is more absorbable than Melaleuca’s Oligo.* *Based on percent solubility of copper, iron, manganese, and zinc at intestinal conditions. 15
  • 17. Do You Think Your Body Is Getting 100% of the Vitamins and Minerals Shown on the Label? Labels don’t indicate the rate of solubility or absorption. For example, to have the same amount of Vitamin C or Copper available for absorption, you’d have to take… at least at least 1 Vitality Pack or ® 33 Centrum ® or 15 One A Day®* Daily Dose PROVEN BY SCIENCE: Oligofructose minerals found in the If after 90 days you don’t feel a Vitality Pack are up to 10 times more marked difference in your health absorbable and protect antioxidant and energy, we’ll refund your vitamins 5 times better. money—no questions asked. 16 *Comparison vs. One A Day Women’s
  • 18. The World’s Leader in Natural Heart PLATELET fUNCTION Health Solutions CHOLESTEROL LDL OxIDATION TRIGLYCERIDE LEVELS ENDOTHELIAL fUNCTION BLOOD FACT: Cardiovascular health is the #1 health concern in north America. PRESSURE ProvexCV® FiberWise™ Phytomega® Reduces LDL oxidation and naturally lowers LDL Helps reduce LDL promotes healthy blood cholesterol, maintains healthy cholesterol and promotes pressure, platelet activity, triglyceride levels, supports a healthy digestive tract* and endothelial function* proper heart function* *These statements have not been evaluated by the Food & Drug Administration. This product is not intended to diagnose, treat, cure, or prevent any disease. 17
  • 19. Exercise and Weight Loss Products That Work! FACTS: Over 60% of American adults are overweight. Weight loss and exercise is a $43 billion industry. Sustain® Sport Attain® Access® Simply Fit™ Provides hydration and Reduces cravings to support Patented nutrition that 10 organic whole grains endurance with twice the healthy weight loss efforts turns fat into fuel for exercise and seeds and no electrolytes and fewer calories with natural CraveBlocker,® with half the calories of trans fat—a genuinely than Original Gatorade® drinks not found in SlimFast® Original PowerBar® healthy snack! 18
  • 20. Beautiful Hair from Nature’s Salon Silky Soft Skin from Head to Toe Products No Family Should Be Without Exclusively for Men Envia Shampoo and Conditioner • Patented Lipid Replenishing System adds shine, strength, and moisture to your hair Products for strong, • Patented UV Protection System prevents healthy kids color-fading, split ends, and UV damage • Delivers salon-quality results without salon prices 19
  • 21. Skin Care and Cosmetics Antiaging | Skin Care | Color Cosmetics | Visible Results | Exclusively at Melaleuca Necessities Skin Care Set (Cleanser, Toner, Moisturizer) • Protects your skin from UV damage • Nourishes skin with vitamins and botanicals • Helps restore skin’s firmness and tone with peptides 20
  • 22. Drugstore Essentials Save up to 50% vs. major brands* VS. $4.09 $6.49* PREFERRED CUSTOMER COMPETiTOR PRiCE Natural Dental Care Exceptional dental care featuring pure T40-C3® Melaleuca Oil Skin Protection Advanced dry skin, acne, and sun care Complete First Aid Antiseptic and herbal ingredients naturally soothe and help speed healing Melaleuca Oil is well-known for its soothing, penetrating, *Competitor product prices from Walgreens.com as of November 30, 2009. and antiseptic Prices may vary. Product names are trademarks of their respective owners. healing properties 21
  • 23. Do You or Someone Clinically proven to w ork faster, better, and last You Know Suffer from longer than Eucerin ! ® Severely Dry Skin? REnEW™ 7x as effective vs. Eucerin on associated with: moisture retention Eczema Psoriasis Rosacea Climate EUCERIN ® MOISTURE RETENTION *Clinical study wit h dry skin from ec zema Proven to leave dry skin feeling softer, smoother, and healthier- looking in just 24 hours.* 22
  • 24. Exclusive Membership With your Preferred Customer membership, you can save up to 15% at more than Benefits 650 online retailers. We leverage our large number of customers to negotiate incredible savings—then pass them on to you. .COM Plus, save hundreds of dollars by using additional Melaleuca services with low, pre-negotiated rates 23
  • 25. Exclusive $ 20 MONTH Membership $ 20 2 The Gold Bar ® Sol-U-Guard Botanical® 2x Disinfectant Eyewear Refirming Cream Simply Fit™ Crackers Renew™ intensive Skin Therapy Sustain® Sport Packets CounterAct ® iB Access® Performance Ba Benefits MONTH 3 Tough & Tender® Wipes Vitality Pack® (Women, Men, Prenatal, or 50+) Envia Nature’s Salon™ Shampo o & Conditioner Simply Fit™ Cookies Whitening Tooth Polish $ 20 Sol-U-Mel® Stain Remover Extra-Strength Pain-A-Trate® MONTH 4 PreSpot™ 4x Concentrated Laundry Stain Remover MelaPower® 6x Laundry Deterge nt Body Satin™ Body Lotion Body Satin™ Body Wash Sun Shades™ Lip Balm $ 20 FiberWise® Breakfast Bars MelaGel® Loyalty Shopping Dollars MONTH 5 We’re so confident you’ll love Diamond Brite® Automatic Dishwasher Detergent Timeless Age-Defying Serum FiberWise® Drink Mix Clear Defense® Hand Sanitize r Phytomega® $ 20 Antibacterial Liquid Soap FiberWise™ Cereal our products, we give you $100 MONTH in free products during your 6 or first 6 months. Tub & Tile™ Bathroom Cleaner MelaSoft® Fabric Softener Attain® Shakes Replenex® T36-C5® Melaleuca Oil Clear Power ® Glass Cleaner Attain® Bars Every month thereafter, you can earn 10% back in Loyalty Shopping Dollars each time you shop. 24
  • 26. Value of Preferred Customer Membership Become a Preferred Customer—switch about $50 to $60 each month to Melaleuca—and save 30% to 40% each time you shop! TOTAL PRiCE OF MELALEUCA PRICE YOU PAY AS A GROCERY STORE BRAnDS REGULAR PRICE PREFERRED CUSTOMER YOU SAVE $ 84 .89* $ 76 .49 $ 53 .15 $ 23.34 3 50 fl. oz. bottles of 2X Ultra Tide® = 96 loads THE VALUE Of CONCENTRATION 6 bottles of Lime-A-Way® = 96 fl. oz. 1 48 fl. oz. bottle of MelaPower® 6x = 96 loads 1 bottle each of GNC Women’s Ultra Mega® and Calcium Plus® 1 bottle of Tub & Tile™ makes 96 fl. oz. 1 bottle of Eucerin® Original lotion 8.4 fl. oz. 1 Vitality Pack® (Multivitamin & Mineral + Calcium Complete) 1 bottle of Renew™ Intensive Skin Therapy Lotion 8 fl. oz. *Competitor retail prices from Albertsons, Albertsons.com, Target, and Drugstore.com as of September 23, 2009. Prices will vary. Product names are trademarks of their respective owners. 25
  • 27. Preferred Customer Membership WE PROMiSE: YOU AGREE TO: • Preferred Customer Pricing 3 Become a Preferred Customer 30%–40% off the regular price $29 membership fee* • Exceptional Products Delivered 3 Simply Switch Stores and Shop Conveniently to Your Door with Melaleuca Each Month Purchase at least 35 Product Points each month—about $50 to $60 dollars redirected • Loyalty Shopping Dollars from the grocery store You can earn up to $100 Loyalty Shopping Dollars in your first 6 months and up to 10% thereafter* 3 Preselect Your Backup Order Protect your Preferred Customer benefits • Save up to 15% at Online Retailers with Melaleuca Marketplace If you forget to shop during the month, we’ll send your preselected order, conveniently charge your account, • Savings on Everyday Services and protect your membership discounts and benefits. • No Risk—You Can Cancel Your Membership at Any Time On average our customers order 100% satisfaction guaranteed* 48 PRODUCT POINTS per month *See Melaleuca Customer Agreement for more details. 26
  • 28. You Can See Why Being a Preferred Customer Makes So Much Sense… How would an extra $ 500, 1,000 or 10,000 $ $ per month improve your life? 27
  • 29. At Melaleuca, Revenue Sharing NO Large Investment Just Makes Sense NO Carrying Inventory NO Taking Orders and Making Deliveries NO Billing and Collections NO Pressuring Customers to Purchase NO Repeat Sales Presentations NO RISk Simply Switch Stores and Save 28
  • 30. Anyone Can Build a Prosperous Melaleuca Business YOU CAN EARN RESIDUAL INCOME IN TWO WAYS: 1 PERSONALLY REFER CUSTOMERS TO SHOP WITH MELALEUCA AnD 2 HELP OTHERS DO THE SAME Earn 7% to 20% Earn 7% each time customers you each time customers in your organization refer shop at Melaleuca who are referred by others shop at Melaleuca See Melaleuca Compensation Plan for more details. 29
  • 31. THE KEY to Melaleuca’s Compensation Plan 1. PERSOnALLY REFER CUSTOMERS 2. DEVELOP DiRECTORS A Director is someone who has personally referred eight or more customers 30
  • 32. Become a Director Refer 8 Customers Who Shop During the Month Pacesetter non-Pacesetter Average Earnings in the First Month $435 $278 as a Director* Ongoing Average Monthly Earnings $168 $168 as a Director Average earnings of those who $614* reach Director in their first month: * Based on 2009 Melaleuca Compensation Plan and 2008 Annual Income Statistics. 31
  • 33. Become a Director ii Personally Refer 2 More Customers and… With the Help of Others, Add 10 More Customers to Your Business Pacesetter non-Pacesetter Average Earnings in the First Month $907 $482 as a Director ii* Ongoing Average Monthly Earnings $314 $314 as a Director ii * Includes Director II Pacesetter or Advancement Bonus paid over 3 months. Based on 2009 Melaleuca Compensation Plan and 2008 Annual Income Statistics. 32
  • 34. Become a Director iii Team Up—Help a Personal Enrollee Become a Director Pacesetter non-Pacesetter Average Earnings in the First Month $1,757 $988 as a Director iii* Ongoing Average Monthly Earnings $592 $592 as a Director iii * Includes Director II Pacesetter or Advancement Bonus paid over 3 months. Based on 2009 Melaleuca Compensation Plan and 2008 Annual Income Statistics. 33
  • 35. Residual Income to Last a Lifetime PERSOnAL POTEnTiAL ADVAnCEMEnT AVERAGE STATUS MOnTHLY BONUS DiRECTORS BONUSES (One-Time or Pacesetter) ANNUAL INCOME BONUS POOL TYPiCALLY 5 Senior $10,000 $2,000 $55,588 Director TO Through Senior CAR BONUS $4,630 DiRECTORS Director iX $400 $10,000 Per Month BONUS POOL TYPiCALLY Executive 10 $20,000 $10,000 $148,542 Director TO Through Executive CAR BONUS $12,370 Director iX DiRECTORS $1,000 $20,000 Per Month TYPiCALLY BONUS POOL $50,000 TO Corporate Director Through Corporate 5 EXECUTIVE DIRECTORS $20,000 CAR BONUS $100,000 PLUS A ONE-TIME $1,209,356 $100,770 ADVANCEMENT BONUS Per Month Director iX $1,000 $100,000 Refer to Melaleuca Compensation Plan and 2008 Annual Income Statistics for details. 34
  • 36. How Can Melaleuca Enhance Your Life? CATEGORY 1 CATEGORY 2 CATEGORY 3 PART-TiME SiGniFiCAnT PREFERRED CUSTOMER REFERRAL BUSINESS REFERRAL BUSINESS Shop and Save Invest 5–15 Put In a Serious 30%–40% Hours a Week Effort—20+ Hours Save time and money, and earn Begin today and earn up to Each Week up to 10% in Loyalty Shopping $500–$5,000 each month, * Earn up to $5,000–$20,000 or even Dollars. Refer a friend from time depending on your time and more each month* by teaming up to time if you would like. consistent effort. and getting started right away. 3 Simple Steps to Get Started Set up your account and enroll STEP 1: as a Preferred Customer STEP 2: Preselect your Backup Order STEP 3: Place your first product order * Potential earnings may vary. Includes Director II Pacesetter or Advancement Bonus paid over 3 months. 35 Based on 2009 Melaleuca Compensation Plan and 2008 Annual Income Statistics.
  • 37. Value and Career Pack product assortments are subject to change without notice. Career Pack shown. Getting Started the Right Way Save an Extra 30% and Qualify for Pacesetter Bonuses Value Pack Career Pack Pacesetter Pack Save 30% off the Save 30% off the with 10 Membership Kits Preferred Customer Price Preferred Customer Price Save an Extra $50 Only $199 Only $299 36
  • 38. 2008 Annual Income Statistics Customers The majority (more than 60% ) of those who buy Melaleuca products each month are strictly customers. They are not interested in pursuing the Melaleuca financial opportunity. They just love Melaleuca products. Only a few of them will ever decide to build a Melaleuca business. Customer Referrals Status 29% of all Melaleuca customers have referred at least one customer but fewer than eight customers. As those customers purchase products directly from Melaleuca, those who referred them receive a small commission. These households are not necessarily interested in the financial opportunity. Their relationship with Melaleuca is primarily because they love Melaleuca products. Their “status” is determined by how many customers they have referred. A Marketing Executive has at least one customer. A Marketing Executive II has referred at least two customers and a Marketing Executive III has referred at least four customers at some time in their life. While these individuals may not be considered serious business builders, their customers (like the vast majority of Melaleuca customers) come from word-of-mouth referrals. Therefore, the overall contribution of these individuals is significant. Active Percent Annual Income Minimum Average Minimum Average Time to Achieve Status1 Executive at This Personal Personal Total Total Status Status Customers Customers Active Active Shortest Longest Average High Low Average Customers Customers Time Time Time Mkt. Executive 73.8% $1,428 $24 $87 0 1 0 4 1 Mo. 120 Mo. 3 Mo. Mkt. Exec. II 15.3% $2,383 $24 $221 2 2 2 10 1 Mo. 120 Mo. 6 Mo. Mkt. Exec. III 10.9% $7,293 $64 $561 4 5 4 22 1 Mo. 120 Mo. 5 Mo. Developmental Status Only 1 out of 9 customers ( 11% ) will decide to start their own Melaleuca business and eventually achieve Director status or above. Directors have made a substantial effort (probably spent at least 50 hours) in developing at least eight Melaleuca customers. Those estimated 50 hours could have been spent in a single week or could have been spent over several years. But at some point in their lives, Directors have invested enough time to develop (and maintain) at least eight Melaleuca customers. Active Percent of Annual Income Minimum Average Minimum Average Time to Achieve Status1 Executive Business Personal Personal Total Total Status Builders with Customers Customers Active Active Shortest Longest Average This Status High Low Average Customers Customers Time Time Time Director I/II 83.7% $16,007 $70 $2,250 10 14 10 65 1 Mo. 120 Mo. 7 Mo.
  • 39. Initial Leadership Status Leaders at these statuses have made a more serious effort at building a Melaleuca business. Those who have reached these leadership statuses have not only invested enough time to develop several customers, but they have also helped some of those customers start a business and become Marketing Executives. Those Marketing Executives have, in turn, referred additional customers who purchase Melaleuca products each month. Commissions are paid based on the development of customers and the development of leaders who help others reach their goals. Active Percent of Minimum Average Minimum Average Business Annual Income Time to Achieve Status1 Executive Personal Personal Total Total Status Builders Customers Customers Active Active with This Customers Customers Shortest Longest Average High Low Average Status Time Time Time Dir. III 6.2% $20,622 $1,967 $7,239 11 29 33 172 1 Mo. 120 Mo. 14 Mo. Dir. IV / V 3.6% $29,005 $5,013 $12,087 13 36 94 294 1 Mo. 120 Mo. 19 Mo. Dir. VI / VII 1.3% $43,381 $8,701 $18,780 15 46 201 406 1 Mo. 120 Mo. 21 Mo. Dir. VIII / IX 0.8% $65,553 $12,810 $27,437 18 50 303 618 1 Mo. 120 Mo. 22 Mo. Advanced Leadership Status Those Marketing Executives who reach Senior or Executive Director status have shown substantial interest and dedication in building a Melaleuca business. While they may not work their business full-time, it is essential that they invest some time each month nurturing, training, and helping those in their marketing organization. Melaleuca advocates that Marketing Executives keep their full-time job and work their Melaleuca business in their spare time. However, some Executive Directors at the higher income levels do work their business close to full-time. Melaleuca strongly advocates that Marketing Executives do not quit their full-time job until their Melaleuca income far surpasses the income they receive from their full-time employer. Rather, they should add their Melaleuca income to their regular income, thereby making a substantial difference in their family finances. Active Percent of Minimum Average Minimum Average Business Annual Income Time to Achieve Status1 Executive Personal Personal Total Total Status Builders Customers Customers Active Active with This Customers Customers Shortest Longest Average High Low Average Status Time Time Time Senior Dir.2 2.8% $175,844 $22,177 $55,588 20 65 369 971 1 Mo. 120 Mo. 22 Mo. Executive Dir.3 1.5% $591,424 $39,248 $148,542 20 89 853 2,643 4 Mo. 120 Mo. 24 Mo. Less than Corporate Dir.4 0.1% $2,176,348 $559,043 $1,209,356 20 113 7,832 12,915 29 Mo. 120 Mo. 39 Mo. The above annual income statistics include all Melaleuca North American Marketing Executives who were active during all 12 months of the period ending December 2008 and performed the minimum activity required at each status level. The incomes stated include all commissions and bonuses actually paid during the period. For the purpose of these statistics, a Marketing Executive’s leadership or developmental level was calculated by taking the highest status achieved and maintained for at least five consecutive months. The information on this page is not necessarily representative of what any individual Marketing Executive will earn with this program. Any representation or guarantee of specific earnings would be misleading. Success with any business takes hard work, diligence, perseverance, and leadership. Success with Melaleuca will depend on how effectively a Marketing Executive exercises those qualities. 1 Includes all active Marketing Executives joining Melaleuca within the past 10 years. 2 Includes statistics for Senior Director through Senior Director IX. 3 Includes statistics for all positions of Executive Director through Executive Director IX. 4 Includes statistics for positions of Corporate Director and higher.
  • 40. Enhancing the lives of those we touch by helping people reach their goals SM © 2010 Melaleuca, Inc. Printed in the USA Rev. 01/10U 101802180