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2013 hom ppt_presentation_usen
1. WELCOME
Please turn off all cell phones.
Have a seat and we will start the presentation shortly.
2. 2
Today I will be sharing with you a little bit about Herbalife, from how the company got
started 33 years ago, to where the company is today. You will also hear testimonial about
Herbalife® products and the business opportunity.
You are going to hear about people, sharing with you their personal product or business
success story, Herbalife® nutrition products do not diagnose, treat, cure or prevent any
disease. They simply provide good nutrition for the body, and the stories you hear should
be based on approved product claims. When the body receives good nutrition, it reacts
in a positive way. In terms of the business opportunity, some Distributors may share
information about how much they earn from their Herbalife businesses. However,
those incomes are applicable to those individuals and are not average. You can find
average financial performance data in the business opportunity section on
www.StartHerbalife.com. Whether you start part time or full time, your success depends
on how hard you are willing to work in order to achieve the results you want. Like
anything in life, it’s about hard and honest work. Now, let’s get started!
3. 3
• North America has some of the highest obesity rates in the world for adults. The
combination of a bad diet and minimal physical activity are the primary causes for
obesity.1
• The average city in North America has an obesity rate of 30 percent or higher
meaning that AT LEAST one in three people are obese.2
• People in North America generally don’t prepare meals and sit down for dinner
together as frequently as they did 20 years ago. Moreover, they consume
significantly more fast food which is packed with sugars and fats.3
More and More people
have bad habits and
eat poorly
1. Oregon Health & Science University website. What is Obesity?
2. Centers for Disease Control and Prevention: Trends by State 1985-2009.
3. Office of the Surgeon General: Overweight and Obesity: Health Consequences.
5. 5
Fast foods are excessively high in calories and deficient in the
nutrients your body needs. High calorie intake and low physical
activity creates calorie imbalance, making you gain weight.
Hamburger, fries and soda1
• 1,130 calories
• 48 g of fat
• 30 g of protein
• 75 mg of cholesterol
Two deluxe tacos2
• 460 calories
• 22 g of fat
• 20 g of protein
• 70 mg of cholesterol
EXCESS FAT, SUGAR, WHITE FLOUR,
SALT, PRESERVATIVES1. Meal Builder, http://www.mcdonalds.com/content/us/en/meal_builder.html, accessed April 2013.
2. Full Nutrition Information: All Items, http://www.tacobell.com/nutrition/information, accessed April 2013.
$6.48
$3.30
UNHEALTHY
6. 6
• Protein
• Vitamins
• Minerals
• Fiber
• Amino acids
• Complex carbs
• Phytonutrients
• Water
Optimum Nutrition
Excesses
Deficiencies
A balanced diet is essential for providing our bodies with
the nutrients required to function properly. Unfortunately,
most Americans find making healthy choices a challenge.
The Reality of Our Daily Diet
• Sugar
• Salt
• Alcohol
• Tobacco
• Fats
• Pollution: air, water
7. 7
As AN Herbalife Team Member…
We offer nutrition for a HEALTHY life!
8. 8
Well-balanced, healthy meals provide a
variety of essential nutrients. Good nutrition
and regular exercise helps you maintain a
healthy weight and overall wellness.
Formula 1 Healthy Meal
Nutritional Shake Mix*
(1 serving of Formula 1, 8 oz. of
nonfat milk and 1 oz. of strawberries)
• 228 calories
• 1 g of fat
• 18 g of protein
• 6 mg of cholesterol
VITAMINS, MINERALS, FIBER, PROTEIN,
AMINO ACIDS, PHYTONUTRIENTS, ANTIOXIDANTS *Nutrition Information for milk obtained from calorieking.com.
$1.64
HEALTHY
9. 9
Start Your Day Right
Formula 1 Healthy Meal Nutritional Shake Mix
Herbal Tea Concentrate
Herbal Aloe Concentrate
Formula 1 Healthy Meal Nutritional Shake Mix
Formula 2 Multivitamin Complex
Formula 3 Cell Activator®
Formula 1 is delicious healthy meal that
provides an ideal balance of protein and
nutrition to help satisfy your hunger and
give you lasting energy. Each shake is
packed with 21 vitamins and minerals,
fiber, and is an excellent source of
antioxidants.† Clinical studies have shown
that daily usage of meal replacement
shakes is effective for managing weight,
along with moderate exercise.
†Vitamin A (as Beta Carotene), C & E
10. 10
• In 1980, Mark Hughes
started Herbalife at age 23.
• Mark knew there was a
better way for people to get
healthy.
• Mark’s dream is now a
reality as Herbalife
operates in over
89 countries.
Our Foundation
Mark Hughes – Founder of Herbalife
1956–2000
11. 11
Herbalife is Worldwide – In OVER
89 Countries AND CONTINUES TO EXPAND
Mark’s Dream Is Becoming a Reality!
USA ITALY AUSTRIA LESOTHO LATVIA ROMANIA GHANA
CANADA NETHERLANDS SWITZERLAND NAMIBIA UKRAINE HONDURAS SLOVENIA
AUSTRALIA JAPAN BRAZIL SWAZILAND MACAU NICARAGUA URUGUAY
UNITED KINGDOM VENEZUELA SOUTH AFRICA JAMAICA ESTONIA GUATEMALA SERBIA
NEW ZEALAND DOMINICAN REPUBLIC FINLAND ICELAND SINGAPORE ECUADOR MACEDONIA
ISRAEL ARGENTINA NORWAY INDIA LITHUANIA VIETNAM ARMENIA
SPAIN BELGIUM GREECE SLOVAK REPUBLIC BOLIVIA PARAGUAY KAZAKHSTAN
MEXICO POLAND KOREA CYPRUS HUNGARY ARUBA BOSNIA AND HERZEGOVINA
FRANCE DENMARK CHILE PANAMA MALAYSIA BULGARIA MOLDOVA
GERMANY SWEDEN THAILAND IRELAND COSTA RICA GEORGIA TRINIDAD AND TOBAGO
PORTUGAL PHILIPPINES TURKEY COLOMBIA PERU BELARUS
CZECH REPUBLIC RUSSIA INDONESIA CHINA EL SALVADOR LEBANON
HONG KONG TAIWAN BOTSWANA CROATIA ZAMBIA MONGOLIA
12. 12
2M
1980 1984 1996 2004 2006 2010 2011
423M
1.2B
2.1B
3.1B
6.4B
5.4B
4.3B
2012
CONSISTENT Yearly SALES GROWTH
33 Years in Business
Over $6.4 Billion Suggested Retail Sales in 2012
$1 Billion Suggested Retail Sales Growth From 2011 to 2012
13. 13
• Named chief executive officer of Herbalife in 2003
and chairman in 2007.
• Under his direction, suggested retail sales have
increased over 238 percent – from 2003 of $1.9
billion to $6.4 billion in 2012.
• Has strengthened Herbalife’s product development
and manufacturing as part of the Seed to Feed
strategy.
• Chairman of the Herbalife Family Foundation.
• Fitness enthusiast and accomplished
cyclist.
Our Leadership
Michael O. Johnson
Chief Executive Officer
14. 14
*Titles are for identification purposes only. The University of California does not endorse specific products or services as a matter of policy.
†The Nobel Foundation has no affiliation with Herbalife and does not review, approve or endorse Herbalife® products.
ADVISORS
Today, Herbalife has a great team of
paid advisors, including:
David Heber, M.D., Ph.D., F.A.C.P., F.A.C.N.
Chairman, Herbalife Nutrition Institute
Chairman, Nutrition Advisory Board
Director, Center for Human Nutrition, UCLA*
Professor, UCLA* Department of Medicine
Director, UCLA* Clinical Nutrition Research Unit
Lou Ignarro, Ph.D.
Nobel Laureate in Medicine✝
Member of the Editorial and Nutrition Advisory
Boards of the Herbalife Nutrition Institute
Distinguished Professor of Pharmacology
at the UCLA* School of Medicine
17. 17
Herbalife24 is the first comprehensive
performance nutrition line empowering
athletes 24 hours a day.
• For active lifestyles from professional
athletes to youth sports
• Modular, customizable program for all
sports nutrition needs
• Third-party tested for banned
substances
SPORTS nutrition
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• Heart Health
• Stress Management
• Men’s Health
• Women’s Health
• Digestive Health
• Immune Benefits
• Children’s Health
• Healthy Aging
• Energy & Fitness
33 Years of Changing people’s Lives Using
TOTAL NUTRITION
Cellular
Nutrition
21. 21
An extensive questionnaire generated responses from more
than 200 U.S. Herbalife Independent Members about their
weight-loss programs and results. They reported weight loss
ranging from 4 pounds to 167 pounds and a reduced body
mass index (BMI) of 1.5 points to 24.1 points, suggesting that
consumption of Herbalife® products is associated with weight
loss and improvement in BMI in those ranges.
Weight-Loss Claim
24. 24
• Use the products.
• Help family and other Members get
results on the products.
Daily Methods of Operation
• Teach other Members to do the same.
As a MEMBER, You have
the opportunity to:
26. 26
Statement of average
Gross Compensation
Paid by Herbalife to
United States members
in 2012
People become Herbalife Members for a number of reasons. The majority (73%)(1) primarily join us to receive a
wholesale price on products they and their families enjoy. Some wish to earn part-time money, wanting to give direct
sales a try and are encouraged by Herbalife’s low start-up costs (at their option, a Mini Herbalife Member Pack [HMP]
at $57.75 or full HMP at $89.55) and money-back guarantee(2). Others are drawn to Herbalife because they can be
their own boss and can earn rewards based on their own skills and hard work.
Whatever the motivation, an Herbalife Membership is something like a gym membership: results vary with the time,
energy and dedication you put into it. Anyone considering an active Membership needs to understand the realities of
direct selling. It is hard work. There is no shortcut to riches, no guarantee of success. However, for those who devote
the time and energy to develop a stable base of customers and then mentor and train others to do the same, the
opportunity for personal growth and an attractive part-time or full-time income exists. Moreover, unlike other
businesses, there are minimal start-up costs in beginning your Herbalife Membership. There is no need for a Member
to spend significant amounts of money on sales aids or other materials. In fact, Herbalife’s corporate policy
discourages the use of such sales aids, especially in the first few months of a Membership.
The majority of Herbalife’s Independent Members (71%) have not sponsored another Member and are therefore
“single-level” Members. Single-level Members benefit from buying Herbalife® products at a preferred price for their
consumption and that of their families, and for many this is the only benefit they seek. Some may also be retailing
products for a profit and this profit is not included in any of the compensation figures below.
Some Members (29%) have decided to sponsor others to become Herbalife Members. In that way, they may seek to
build and maintain their own downline sales organizations. They are not paid anything for sponsoring new Members.
They are paid solely based on product sales to their downline Members for their own consumption or for retail to
others. This multilevel compensation opportunity is detailed in Herbalife’s Sales & Marketing Plan, which is available
to all Members online at www.MyHerbalife.com.
For potential Members to make an informed decision, we offer the following chart to show the different ranges of
average gross compensation that Herbalife pays to its Members. The figures below do not include any
retail/wholesale profit that a Member makes from selling Herbalife® products to others nor do these figures include
expenses incurred by a Member in the operation or promotion of his or her business. Such business expenses can
vary widely. They might include advertising or promotional expenses, product samples, training, rent, travel,
telephone and Internet costs, and miscellaneous expenses. The compensation received by the Members in this chart
is not necessarily representative of the gross compensation, if any, that any particular Member will receive. These
figures should not be considered as guarantees or projections of your actual gross compensation or profits. Success
with Herbalife results only from successful product sales efforts, which require hard work, diligence and leadership.
Your success will depend upon how effectively you exercise these qualities.
27. 27
The compensation chart below indicates that 434,125 Members (88%) received no payments from Herbalife
during 2012. However, this chart does not include amounts earned by Members on their sales of Herbalife
products to others.
Additionally, this chart does not include the benefit to Members buying Herbalife products at a preferred price
for their consumption and that of their families. Based on the company’s survey, 73%(1) of individuals became
Members primarily for this benefit.
51.0% of all sales leaders as of February 1st, 2011, requalified by February 1st, 2012 (including 34.3% of first
time sales leaders).
The majority of those Members who earned in excess of (USD)100,000 in 2012 had reached the level of
Herbalife’s President’s Team. During 2012, 47 US Members joined the level of President’s Team. They
averaged 9 years as an Herbalife Member before reaching President’s Team, with the longest being 20 years
and the shortest being less than three years.
Statement of average
Gross Compensation Paid
by Herbalife to United
States members in 2012
28. 28
Incomes applicable to the individuals (or examples) depicted
and not average. For average financial performance data, see
the Statement of Average Gross Compensation Paid by
Herbalife at StartHerbalife.com.
Earnings Claims & Testimonials
29. 29
Position Determines Your Discount
Member
25%
Retail
Purchase HMP
Senior
Consultant
35%
Retail
500 VP in 1
order/month
Success
Builder*
42%
Retail
1,000 VP in
1 order
*The Success Builder is a
one-month order discount
opportunity and not a step
within the Marketing Plan
Supervisor
50%
Retail &
Wholesale &
Multiple
Streams
4,000 VP in
1 month
2,500 VP in
2 consecutive
months
Accumulate
5,000 VP
in 3-12 months
Qualified
Producer
42%
Retail &
Wholesale
Accumulate
2,500 VP in 1-3
months
*Retail & wholesale profits are calculated on earn base.
32. 32
• Earn Member discounts and profits instantly by retailing
products
• Be a part of the Herbalife team
• Access to a personalized training process
• Receive support from your Sponsor
• Sponsor other customers or Members
• Do business in over 89 countries
• Opportunity for personal and financial growth
• Change lives with us!
Allows You To:
33. 33
• In Business
33 Years
• Open in over
85 Countries
Great Products! Great Business!
• US$5.4 Billion
Suggested Retail
Sales in 2011
• Over US$6.4
Billion Suggested
Retail Sales
in 2012
Products Marketing
Plan
YOU
Your past doesn’t determine your future!
34. 34
• A) Get started on the products
– Look better and feel better
• B) Start part time to supplement your income
– Around your current schedule
• C) Run your business as a full-time occupation
YOUR NEXT STEP – Make a decision
which way you want
to get started with us:
