s t s presentation 07
DESCRIPTION
HistoryIn February 1980, Mark Hughes began selling the original Herbalife weight loss product from the trunk of his car. Hughes often stated that the genesis of his product and program stemmed from the weight loss concerns of his mother, whose death he attributed to an eating disorder and an unhealthy approach to weight loss. Adopting the multi-level marketing system for distribution and growth, the company attracted thousands of distributors who sold its products door-to-door or through word-of-mouth, shunning commercial distribution in retail stores.The company\'s slogan, "Lose Weight Now, Ask Me How", became a marketing theme for distributors, featuring heavily on badges, flyers and posters. Early methods to recruit distributors included seminars, which would feature distributors giving health and weight loss testimonials on the Herbalife products and a keynote address by Hughes. By 1982 Herbalife had reached USD 2 million in sales and had expanded into Canada.In 1985, the California Attorney General sued the company for making inflated claims about the efficacy of its products. The company settled the suit for USD 850,000 without admitting wrongdoing.[6] In 1986 Herbalife became a publicly traded company on the NASDAQ, and in 1996 Herbalife reached USD 1 billion in annual sales.Mark Hughes died at age 44.[7] The Los Angeles County Coroner autopsy results ruled that the entrepreneur had died of an accidental overdose. The company continued to grow after his death and in 2002 was acquired by Whitney and Co LLC and Golden Gate Capital for USD 685 million, who took the company private again.[8]In April 2003, Michael O. Johnson joined Herbalife as CEO following a 17-year career with The Walt Disney Company, most recently as president of Walt Disney International.[6] On 16 December 2004, the company had an initial public offering on the NYSE of 14,500,000 common shares at $14/share. 2004 net sales were reported as USD 1.3 billion. In April 2005, the company celebrated its 25th anniversary with a four-day event attended by 35,000 Herbalife Independent Distributors from around the world. In August 2005, Dr. Steve Henig joined the company as Chief Scientific Officer, responsible for product research and development. In 2008, President and COO Greg Probert resigned after it was reported that he had not completed the degree requirements for the MBA he claimed on his resume.[9]TRANSCRIPT
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Welcome!
Please turn off all cell phones & pagers.
Thank you.
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Mark Hughes
Founder of Herbalife
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Herbalife Today
• In business for 29+ years
• 40+ million clients
• 70+ countries
• Billions in annual sales
• Industry leader in a growth industry
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Advisors• Today, Herbalife has a great team of
advisors, including:
• Dr. David Heber Director of U.C.L.A. Center for Human Nutrition, Chairman of the Herbalife Scientific & Medical Advisory Boards
• Dr. Louis Ignarro, Nobel Prize winner in Medicine for his Nitric Oxide research, developer of Niteworks
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Medical Advisory
• Dr. Luigi GrattonVice President, Medical Affairs and Education,Board Certified in Family Medicine
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Michael O. Johnson• Michael O. Johnson
Chief Executive OfficerHerbalife International
• Former President of Walt Disney International
• Accomplished tri-athlete
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The Products
It’s all about the products!
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Cellular Nutrition and the Power of Protein
• Combining Cellular Nutrition and the Power of Protein makes ShapeWorks™ unique.
• Cellular Nutrition helps ensure the nutrients your body needs daily are absorbed and delivered throughout your body at the cellular level.
• The Power of Protein means, your customers can manage their weight by:
1. Controlling their hunger
2. Maintaining their lean body mass
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Cellular Nutrition and the Power of Protein
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Results• Herbalife delivers results.
• Products Create Income Great products lead to
great income opportunities.
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Getting Started: Distributor
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Senior Consultant & Success Builder
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Supervisor
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Earn Royalties
50%
25%
42%
5%
5%
5%
First LevelSupervisor
Second LevelSupervisor
Third LevelSupervisor
Success Builder1,000 VP order
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Duplicate for Income
2x2x2 3x3x3 5x5x5
Level 1: 5,000 7,500 12,500
Level 2: 10,000 22,500 62,500
Level 3: 20,000 67,500 312,400
Total: 35,000 97,500 387,500
Royalty Overrides:
$1,750.00 $4,875.00 $19,375.00
Production Bonus:
$700.00 $3,900.00 $23,250.00
Your Check: $2,450.00 $8,775.00 $42,625.00
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Break
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Morning & Afternoon GoalsMorning•Learn about Reference Points•Learn about Products•Package Your Story
Afternoon•Effective Retailing•Follow Up and Customer Service•Recruiting•The Marketing Plan•Your Next Steps
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Product Catalog
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Reference Points
Reference Points are used to answer these questions:
•Are the products safe?•Who can use the products?•How to use the products?
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Questions and Objections
• 90% Opinion• 10% Facts
• How to respond: “I don’t know about that. All I know is ____________”
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Facts•Your Story•Other People’s Stories •The Herbalife Story
•29+ years in business, here to stay•40 million people have successfully used the products•In 70+ countries and expanding•Billions in sales •Positioned for rapid growth
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General Laws About FoodThe laws that govern food are:
•Mega-dosing – We are prohibited from putting too much of any one ingredient in a product.•Labeling laws – The label must indicate any conditions that may prevent a person from using this product.
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What the Body Needs
The body’s daily needs according to the American Medical Association are:
• Protein • Minerals• Carbohydrates • Fats and Oils• Vitamins • Herbs
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We Don’t Eat Well• 70% of all deaths are
from: Heart Disease Cancer Stroke
• 50% of these deaths are diet related.
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Doctors Say
• 70% of all doctor visits are from patients with diet-related conditions.
• The #1 complaint is fatigue.
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To Lose Weight:
• 3 times a day, take your supplements.
• 2 shakes – personalized.
• 1 colorful meal.
*Add protein snacks as needed.
Follow a 3-2-1 daily plan
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To Maintain Weight:
• 3 times a day, take your supplements.
• 1 shake – personalized.
• 2 colorful meals.
*Add protein snacks as needed.
Follow a 3-1-2 daily plan
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To Gain Weight:
• 3 times a day, take your supplements.
• 3 shakes – personalized.
• 3 colorful meals.
*Eat before drinking your shake so that
you don’t fill up too fast.
Follow the 3 Times a Day Plan
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The American DietAmerican Diet Herbalife
High Sugar Low
High Fat Low
High Salt Low
High Calories Low
Low Protein High
Low Fiber High
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Obesity
•65% of the population is overweight.
•15% of children between the ages of 6 and 19
are overweight.
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PRODUCTS
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TOTAL NUTRITION
29 +
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CELLULAR NUTRITION
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CELLULAR NUTRITION
It’s as easy as 1-2-3
•Formula 1 Nutritional Shake Mix
•Formula 2 Multi-vitamin
•Cell Activator
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CELLULAR NUTRITIONThe Foundation of Wellness
• Herbalife’s Cellular Nutrition provides the elements every body needs daily to maintain good health. *
• Herbalife’s products are scientifically formulated to target cells in specific tissues, organs and/or body systems such as the heart, liver, eyes, skin and brain. *
• Complete nutrition helps to protect cells against the harmful effects of stress, pollution and toxins to reduce the risk of disease.
• Vitamin supplements have been shown to improve immune function, and studies suggest that generous intake of vitamins & minerals may reduce the risk of heart disease, cancer and osteoporosis. *
* These statements have not been evaluated by the FDA. This product is not intended to diagnose, treat, cure or prevent any disease.
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PRODUCT CATEGORIES
Weight Management
Targeted Nutrition
Energy & Fitness
Outer Nutrition
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WEIGHT MANAGEMENT
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WEIGHT MANAGEMENTPersonalized
• Cellular Nutrition and the Power of Protein
• Protein Snacks
• Weight Loss Enhancers
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WEIGHT MANAGEMENTPersonalized
QUICKSTART PROGRAM
• Formula 1 Nutritional Shake Mix• Formula 2 Multivitamin Complex• Cell Activator• Herbal Concentrate
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WEIGHT MANAGEMENTPersonalized
ADVANCED PROGRAM
Includes the QuickStart Program plus:• Total Control®• Cell-U-Loss®
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WEIGHT MANAGEMENTPersonalized
ULTIMATE PROGRAM
Includes the Advanced Program plus:• Snack Defense™• Variety Snack Pack
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THE POWER OF PROTEIN
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WEIGHT MANAGEMENTPersonalized
PROTEIN PLUS
These kits add the following products to QuickStart, Advanced, and Ultimate:
• Formula 3 Personalized Protein Powder• 750g Formula 1 replaces 550g canister
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WEIGHT MANAGEMENTPersonalized
PROTEIN SNACKS
• NEW Protein Bars Deluxe• Protein Drink Mix (formerly HPLC Shake Mix)• Beverage Mix packets• Soup Mix• Protein Bars• Roasted Soy Nuts with Cardia® Salt
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WEIGHT MANAGEMENTPersonalized
ENHANCERS
• Herbal Concentrate• Total Control®• Snack Defense™• Thermo-Bond ®• Cell-U-Loss ®• Aminogen ®
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TO LOSE WEIGHTIt’s as easy as 1-2-3
Follow a 3-2-1 daily plan
• 3 times a day, take your supplements.
• 2 times a day, drink a personalized shake.
• 1 time per day, eat a colorful meal.
* Add protein snacks as needed.
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TO MAINTAIN WEIGHTIt’s as easy as 1-2-3
Follow a 3-1-2 daily plan
• 3 times a day, take your supplements.
• 1 time per day, drink a personalized shake.
• 2 times a day, eat a colorful meal.
* Add protein snacks as needed.
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TO GAIN WEIGHTIt’s as easy as 1-2-3
Follow the 3 Times Daily plan
• 3 times a day, take your supplements.
• 3 times a day, drink a personalized shake.
• 3 times a day, eat a colorful meal.
* Add protein snacks as needed.
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TARGETED NUTRITION
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TARGETED NUTRITION
8 TARGETED SOLUTIONS • Heart Health• Stress Management• Women’s Solutions• Men’s Solutions• Digestive Health• Immune Solutions• Children’s Health• Healthy Aging
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TARGETED NUTRITION
Heart Health
• Core Complex
• Tri-Shield™
• Herbalifeline®
• Mega Garlic Plus• Niteworks®
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TARGETED NUTRITION
Stress Management
• Relax Now • Sleep Now
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TARGETED NUTRITION
Women’s Solutions
• Xtra-Cal®
• Triple Berry Complex
• Tang Kuei Plus
• Woman’s Choice
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TARGETED NUTRITION
Men’s Solutions
• Prelox® Blue• Ultimate Prostate Formula• Male Factor 1000®
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TARGETED NUTRITION
Digestive Health
• Herbal Aloe Drink & Concentrate• Florafiber
• Active Fiber Drink Mix (powder)
• 21-Day Herbal Cleansing Program (AM/PM)
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TARGETED NUTRITION
Immune Solutions
• Ocular Defense • RoseOx®
• Schizandra Plus • Garden 7
• Best Defense
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TARGETED NUTRITION
Children’s Health
• Kindermins • MultiVites • Kids Shakes
New!
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TARGETED NUTRITION
Healthy Aging
• Ocular Defense • Joint Support
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ENERGY & FITNESS
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Energy & Fitness
• H3O
New!
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Energy & Fitness
• Liftoff®• N-R-G Tablets• N-R-G Tea• Bulk & Muscle Powder
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OUTER NUTRITION
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Outer Nutrition
• Skin Essentials
• Skin Activator• NouriFusion• Radiant C
• Body Essentials
• Hair Essentials
• Fragrances
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Outer Nutrition
Skin Essentials
• Skin Activator
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Outer Nutrition
•Radiant C
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Outer Nutrition
•NouriFusion
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Outer Nutrition
•Body Essentials - Aloe
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Outer Nutrition
•Body Essentials
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Outer Nutrition
•Hair Essentials
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Outer Nutrition
•Fragrances
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Packaging Your Story
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• Your own health is your best advertisement.
• Share your story with others.
• Expand your Circle of Influence.
The Power of Testimony
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Before, During, and After•What I weighed/earned before.
•The action I took.
•The results I got.
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Break
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Afternoon Goals• Effective Retailing
• Follow Up & Customer Service
• Recruiting
• The Marketing Plan
• Your Next Steps
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Effective Retailing
• Finding 20 Customers
• Keeping 20 Customers
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To Succeed•To succeed in sales, simply talk to lots of people every day. And here’s what’s exciting. There are lots of people!
–Jim Rohn
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Use, Wear, Talk
•Use the products
•Wear the button (marketing)
•Talk to people
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Your Circle of Influence
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Retailing Strategies•Expanding your Circle of Influence•Button Response•Presentations (ex. house parties)•Surveys•Advertisements (ex. flyers, etc.)•Samples
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Use
•Use the products •The best advertisement for Herbalife is your passion for the products and the success you have achieved.
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Wear•Continue your Circle of Influence list.•Wear your button.•Use surveys.•Advertise.•Keep and provide samples for potential customers.•Use sales tools.
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Talk
•Button response.•Make presentations.•Hold house parties.•Know your stories and facts and be ready to discuss them.
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Button Response•Are you serious about your goal?
•How much weight do you want to lose?
•What did you try before?
•Why didn’t that work for you?
•When would you like to get started losing that weight?
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Don’t Sell. Share.
The most important retailing tool is your own passion for the products and the opportunities.
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Follow Up & Customer Care
•Be consistent about staying in contact with all your current and potential customers. •Ask for referrals.•Remember that every customer is a potential Distributor.
Pennies in the sale, a fortune in the follow-up!
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The Value of a Customer“One well-taken-care-of customer could be more valuable than $10,000 worth of advertising.” –Jim Rohn
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What Makes You a Repeat Customer?
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Things That Keep a Customer Happy
•Accurate information that is up-to-date•Value for the money•Products that give results•Being remembered•Products on hand•A friendly, can-do attitude
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The Price of Health
Big Mac Meal(Big Mac, Reg Fries, Reg Coke)
Calories 1,260Calories from fat 500
ShapeWorks™ Nutritional Shake Mix(ShapeWorks™ Shake Mix, 8oz Skim Milk, 2oz Strawberries)
$1.70
Calories 180Calories from fat 10
$3.99
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Customer Contact Days 1 to 3
•Call your customers and ask:How is your energy level?How is your appetite?How are you making your shakes?
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Customer Contact Days 7 to 14
•Call your customers and ask:How is your energy level?How is your appetite?Have you weighed or measured yourself?
Has anyone noticed how good you are looking?
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Customer Contact Day 25
•Call your customers and ask: Have you weighed and measured yourself
recently? Would you like to get an additional shake
flavor for next month?
Are there any additional products you need? Has anybody noticed that your looks have
improved? Would you like to reorder for next month?
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Recruiting
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Circle of Influence
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Creating Opportunities
•Wear your Button • Provide Samples
• Advertise (ex. Flyers, etc.)
• Make Presentations
• Wellness Evaluations • Use DVDs
• Share HBN • Hold House Parties
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Button Response• Are you serious? (About making extra
money)
• How much money would you like to make?
• What have you tried in the past?
• Why did that not work for you?
• If I can show you a simple way to earn ______________ without interfering with what you’re doing, would you be interested in taking a look?
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Support Your DownlineOnce you have a team, supporting that team is crucial. If your downline Distributors are happy and productive, everyone benefits.
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Your Herbalife Team
Your DownlineYour Sponsor
You
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Ways to Find Support• Refer to your Product Catalog
or the Product Hotline for product information.
• Inner Nutrition: 801-526-8461
• Outer Nutrition: 801-526-8467
• Refer to your Career Manual or your Product Catalog to find information about the Marketing Plan.
• Call your sponsor or your upline TAB team member with any questions you may have.
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Ways to Give Support
• Participate in 3-way conference calls to model and support retailing strategies.
• Participate in house or shake parties to demonstrate techniques and ensure success.
• Call your Sponsor or Tab Team member with any questions you may have.
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Ways to Support Your Downline Distributors
• Patiently answer questions.
• Be available to clearly explain the Marketing Plan.
• Participate in 3-way conference calls to model and support retailing strategies.
• Serve as a support always, but especially when your downline is new.
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Marketing and Compensation
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Step Up to Success
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Getting Started: Distributor
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Success Builder
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Supervisor
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Fully Qualified Supervisors
Eligible to receive:
•50% retail profit•Up to 25% wholesale profit•Monthly bonuses
Attend special workshops and trainings
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Qualify for Supervisor
•Retail your way there.
•Recruit your way there.
•Purchase inventory to have on hand.
•Combination of above.
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World Team
•10,000 Volume Points at 50% in one month.
•2,500 Volume Points at 50% in four consecutive months.
•500 Royalty Override Points in one month.
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Earn Royalties
50%
25%
42%
5%
5%
5%
First LevelSupervisor
Second LevelSupervisor
Third LevelSupervisor
Success Builder1,000 VP order
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Duplication
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Duplicate for Income
2x2x2 3x3x3 5x5x5
Level 1: 5,000 7,500 12,500
Level 2: 10,000 22,500 62,500
Level 3: 20,000 67,500 312,400
Total: 35,000 97,500 387,500
Royalty Overrides:
$1,750.0 0 $4,875.0 0 $19,375.0 0
Production Bon us:
$70 0.00 $3,900.0 0 $23,250.0 0
Yo ur Check: $2,450.00 $8,775.00 $42,625.00
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Choose & Qualify
• What is your target level?
• What must you do to qualify?
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Step Up to Success
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If I Can Do ItEverything is really easy. If I can do it, you can do it as well.
–Mark Hughes
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Your Next Steps
Now What?
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Make a Plan
Your 90 Day Plan is simply one day repeated 90 times.
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Work Your Plan• Commit to and make daily
calls.
• Have three retailing and recruiting methods.
• Follow up with your existing customers.
• Don’t give up. Persistence pays!
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Teach to Teach• First step: Teach others what you’ve
learned.
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Teach to Teach• First step: Teach others what you’ve
learned.
• Second step: Teach others to teach others what you’ve learned.
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Quick Start Set Up
• Make people feel welcome.
• Provide Herbal Concentrate.
• Play the Herbalife DVD or video.
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Quick Start Topics• Herbalife History
• Stories (Product & Income)
• Reference Points
• Button Response
• Basic Programs and Products
• Marketing Plan
• Next Steps
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Events and Promotions
• UPCOMING EVENTS
• UPCOMING PROMOTIONS
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The Right Place• You are in the right place at the right time!
• Welcome to Herbalife!