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Key Factors
  • Market Trends

  • Products and Innovative Technologies

  • Company

  • Leverage for Time and Income

  • Timing, Timing, Timing!
Some People Age Gracefully
Some do NOT
BABY BOOM
       The first time the entire
        Baby Boom generation
    is impacting a single market
        ALL at the same time!




              Fast Food
               Fast Cars
              Rock ‘n Roll




Paul Zane Pilzer, The Wellness Revolution, 2006
Aging in America
              Baby boomers … don’t
              want to grow old…

              Today, 50 is the new
              30

              And 80 is the new 50.
   Boomer demands are
COMPLETELY PREDICTABLE!
Exclusive Advantages!
 Nu Skin Enterprises is perfectly positioned to take
  advantage of the booming Anti-Aging Market!!!




                 The Gillette Model
Skin Care Revolution
Nu Skin® Galvanic Spa™ II System
•   Patented Device with self-adjusting galvanic currents
•   Heads for FACE, SCALP, and BODY.
•   Patented ageLOC Galvanic Gells Revitalize, Restore
    and Rejuvenate


                          
                              Effective – 70% More Benefit
                             Affordable – $7 Instead of $100
                          
                              Convenient – In the Privacy of Your Home
Spa Industry
   • 145 Million Spa Visits in 2007 in the US*
   • Globally Spas generate over $40 Billion in
     Revenue**
   • Average spa client spends $143/ visit**
   • Similar spa treatments range from $100-
     $200
   • Nu Skin ageLOC Galvanic Spa Face
     Treatment - $7
*Source: Dunn & Bradstreet – Intl. Spa Assoc.
** Source: Forbes
Galvanic Treatments at Home




      20 Treatments or 1 Spa visit
Tru Face Essence Ultra
                       •Ethocyn®, a patent pending
                       anti-aging compound clinically
                       proven to restore Elastin to
                       youthful levels.

                       •CoQ10 to promote cellular
                       energy while preventing elastin
                       degradation

Featuring Ethocyn®     •$100,000 per Kilo to Produce

Attack Aging           •ULTRA is Exclusive to Nu Skin
Galvanic Spa – The Results
                       "I have
                       been
                       treating my
                       left hand
                       only and it
                       is just
                       amazing.”

                       Helga Biallas,
                       Executive
™



is the answer.
The arNOX™ Discovery

The arNOX™ Discovery
                  Purdue University has
                        Recently Discovered a Hidden
                        Source of Aging in the Skin -
                        arNOX
                        arNOX Generates Skin
                        damaging free radicals around
                        the clock that INCREASE as we
                        age
                        arNoX generates Free
                        Radicals Underneath Your Sun
                        Screen in Your Skin
The ageLOC™ Discovery

            This internal free radical generator can
            produce free radicals so quickly that
            even antioxidants need some
            additional help in slowing it down.
            The unique solution: slow the
            production of these skin damaging free
            radicals at their source, and stop the
            visible signs of aging before they start.
The ageLOC Solution
          ™


              ageLOC Exclusive Molecules
              SLOW production of arNOX free
              radicals in the skin.

              ageLOC—technology is designed
              to PROTECT and LOCK IN youthful
              gains from TFEU and the GALVANIC
              SPA

              Limited Supply until January 2009
Treatment Gel with ageLOC™
Description of Benefits

            Applied   ageLOC ingredients have been shown
            ageLOC
       ageLOC
             blend
       ingredient     to prevent the expression of free
                      radicals associated with the arNOX
                      enzyme. This prevention may help slow
                      the signs of aging that may be caused
                      by accelerated free radical production.
Stanford University Study
                                  High arNOX = Average       +18
                                                             +16
                                             7 years older
Low arNOX levels are clinically
                                                             +14
                                                             +12



                                                7
                                                             +10
graded to look an average of                                 +8
seven years younger than their                               +6
actual chronological age.                                    +4
                                                             +2
                                                             Actual Age
High levels of arNOX appear to                               -2



                                                 7
                                                             -4
be an average of seven years                                 -6
older than their actual age.                                 -8
                                                             -10
                                                             -12
                                  Low arNOX = Average        -14
                                                             -16
                                          7 years younger
NU SKIN’S UNIQUE ROSETTA STONE OF AGING GENETICS
FOUNDATION OF AGELOC SCIENCE:
RESETTING YOUTH GENE CLUSTERS:
    AN ILLUSTRATION
 Youthful    Aged        Reset
FOUNDATION OF AGELOC SCIENCE

IT’S IN OUR GENES

ageLOC turns
    ‘gene
 switches’ to
  the setting
   observed
 during youth
SECOND GENERATION AGELOC
PRODUCTS
THIRD GENERATION AGELOC
PRODUCTS
Anti-Aging – Nutrition



    MEASURES
    • 18 Carotenoid Antioxidants in Real Time
    • Personal Score shows overall Antioxidant Health Status
    • 2 US Patents with 5 Patents Pending and 6 International
      Patents Pending
    • 1st comprehensive Multi-vitamin Supplement with Nano
      Technology on the Market

  Products Guaranteed to Raise Your Score
Personal Stories How…
These Products can Change your Life!
The Company
                                                          • 25 Year Track Record

                                                          • D&B 5A-1 Rating

                                                          • Operating in 49 Markets

                                                          • Over $700 Million in Assets

                                                          • Over Quarter Billion on R&D

                                                          • Publicly Traded on the NYSE
                                                            (NUS)

For more information on Nu Skin Enterprises, please visit our website
at www.nuskinenterprises.com
The Company

Most Innovative Company, 2005

Best Corporate Social
Responsibility Program, 2007


       American Business Awards
NSE Pays BIG!

 Last year NSE paid its
 distributors

 Over $500
 Million Dollars!




For a complete summary of distributor earnings/bonuses paid to
distributors at all levels within the Sales Compensation Plan, please
contact the company at 800-487-1000 or see the end of this presentation.
$6 Billion Paid in Commissions Since Inception
There are no bonuses paid for recruiting. All bonuses are paid only when products are sold. For a
complete summary of distributor earnings/bonuses paid to distributors at all levels within the Sales
Compensation Plan, please contact the company at 800-487-1000 or see the end of this presentation.
Timing - USA
Window of Opportunity




       Small to Big
Timing - Worldwide
Global Window          of Opportunity
Sales
  $5 Billion


 $2.5 Billion


$1.2
Billion
      2005      2007      2009   2011
                Big to Bigger
Timing – Mega Volume
     Which Train Would You Rather Take?
AMWAY
 1959     20 years     1979 12 years 1991    13 years       2004


Opening              $1 Billion    $5 Billion              $6 Billion



NSE
 1984     20 years      2004 12 years 2016      13 years     2029


Opening              $1 Billion    $5 Billion              $6+? Billion



               From Big to Giant
Key Factors
  • Market Trends

  • Products and Innovative Technologies

  • Company

  • Leverage for Time and Income

  • Timing, Timing, Timing!
How To Get Started




The only required purchase to become a distributor is a $10 not for profit Business Portfolio.
All product purchases are optional. There are no bonuses paid for recruiting. All bonuses are
paid only when products are sold.
NU SKIN ENTERPRISES, INC.
               DISTRIBUTOR COMPENSATION SUMMARY
Company Overview
Nu Skin Enterprises, Inc. (together with its affiliates, the “Company”) is a global direct selling company that
operates in more than 40 countries throughout North and South America, Asia and Europe. The Company
operates in three divisions: (1) the Nu Skin division markets premium quality skin care and personal care
products; (2) the Pharmanex division is a science-based developer of nutrition products; and (3) the Big Planet
division markets and distributes Internet, technology, ebusiness tools and digital photography products.

Distributors
The Company markets its products through a network of independent distributors. For purposes of this
summary, an “Active Distributor” is a distributor who placed an order for products, promotional materials or
services or renewed their distributorship during the most recent three-month period. In the United States, the
Company had an average of 52,887 Active Distributors during 2006.
Compensation
There are two fundamental ways in which a distributor can earn compensation:
       •Through retail markups on sales of products purchased at wholesale prices; and
       •Through commissions (sometimes called bonuses) paid on one’s product sales and the sales of other
       distributors in one’s downline sales network.
As with any other sales opportunity, the compensation earned by distributors varies significantly. The cost to
become a distributor is very low. People become distributors for various reasons. Many people become
distributors simply to enjoy the Company’s products at wholesale prices. Some join the business to improve
their skills or to experience the management of their own business. Others become distributors, but for various
reasons, never purchase products from the Company. Consequently, many distributors never qualify to receive
commissions.

Generating meaningful compensation as a distributor requires considerable time, effort, and
commitment. This is not a get rich quickly program. There are no guarantees of financial success.
Retail Markups
Distributors can buy Nu Skin, Pharmanex and Big Planet products from the Company at wholesale prices for
resale to customers or for personal consumption. Some Big Planet products are services, such as Internet
access, on which there is no retail mark-up earned by distributors. In addition, some Big Planet products are
lower margin products offered through Internet mall affiliates. Consequently, lower levels of commissions are
paid on the sale of such products. The Company’s suggested retail markup is 30% on most of its personal care
and nutrition products. However, distributors are free to set their own selling price and may personally
consume some of the products they purchase. As a result, the Company currently neither provides an estimate
of average income from retail sales nor includes distributor retail income in its average commission information.

Commissions
Distributors can also earn commissions based on the sale of products by a distributor and his/her downline of
sponsored distributors in all markets where the Company does business. The Company also sells promotional
materials that do not generate commissions to distributors.

In 2006 the Company paid approximately $480,136,000 in commissions and sales compensation globally. In
the same period, the Company paid approximately $83,712,937 in commissions to distributors residing in the
United States.

The following table shows the average commissions paid in 2006 to U.S. distributors at the various levels of
the Company’s Sales Compensation Plan, the average percentage of total Active Distributors and the average
percentage of Executive-and-above distributors that earned commissions at each level. These figures do not
include retail markup income.
Title                 Monthly           Annualized         Average           Average
                                                          Average          Commissions[1]     Percentage      Percentage of
                                                     Commission Income                         of Active      Executive-and-
                                                      at Each Level for                      Distributors[2    above level
                                                            2006                                   ]
                                                                                                               distributors


                      Active Distributor Earning a         $       44.00        $               9.01%             N/A%
                      Check (Non-Executive)                                         528.00

                      Qualifying Executive                        160.00        1,920.00         1.39              N/A
                      Executive                                   362.00        4,344.00         3.76              62
                      Gold Executive                              628.00        7,536.00         1.05              18
                      Lapis Executive                           1,307.00       15,684.00          .60              10
                      Ruby Executive                            2,925.00       35,100.00          .17               3
                      Emerald Executive                         6,040.00       72,480.00          .10               2
                      Diamond Executive                        10,423.00      125,076.00          .10               2
                      Blue Diamond Executive                   43,752.00      525,024.00          .20               3

The average commission paid to U.S. Active Distributors each month was $132.21, or $1,586.51 on an
annualized basis. In 2006, the average monthly commission paid to U.S. Active Distributors who earned a
commission check was $807.00, or $9,683.00 on an annualized basis. Note that these figures do not represent a
distributor’s profit, as they do not consider expenses incurred by a distributor in promotion of his/her business and
do not include retail markup income. On a monthly basis, an average of 16.38% of U.S. Active Distributors
earned a commission check [1] Active Distributors represented an average of 35.54% of Total Distributors.[2]
If you have any questions concerning this information, please contact Distributor Support at (800) 487-1000.

[1] This number is calculated by adding the average percentage of Active Distributors in the above table.
[2] This percentage is obtained by taking the total average of monthly actives and dividing it by the total average of Distributors on a
monthly basis. “Total Distributors” includes all U.S. Distributors who either signed an agreement or renewed their distributorship
during 2006 irrespective of their purchasing products, promotional materials or services or earning commissions.
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Current antiaging

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  • 2. Key Factors • Market Trends • Products and Innovative Technologies • Company • Leverage for Time and Income • Timing, Timing, Timing!
  • 3. Some People Age Gracefully
  • 5. BABY BOOM The first time the entire Baby Boom generation is impacting a single market ALL at the same time! Fast Food Fast Cars Rock ‘n Roll Paul Zane Pilzer, The Wellness Revolution, 2006
  • 6. Aging in America Baby boomers … don’t want to grow old… Today, 50 is the new 30 And 80 is the new 50. Boomer demands are COMPLETELY PREDICTABLE!
  • 7. Exclusive Advantages! Nu Skin Enterprises is perfectly positioned to take advantage of the booming Anti-Aging Market!!! The Gillette Model
  • 8. Skin Care Revolution Nu Skin® Galvanic Spa™ II System • Patented Device with self-adjusting galvanic currents • Heads for FACE, SCALP, and BODY. • Patented ageLOC Galvanic Gells Revitalize, Restore and Rejuvenate  Effective – 70% More Benefit  Affordable – $7 Instead of $100  Convenient – In the Privacy of Your Home
  • 9. Spa Industry • 145 Million Spa Visits in 2007 in the US* • Globally Spas generate over $40 Billion in Revenue** • Average spa client spends $143/ visit** • Similar spa treatments range from $100- $200 • Nu Skin ageLOC Galvanic Spa Face Treatment - $7 *Source: Dunn & Bradstreet – Intl. Spa Assoc. ** Source: Forbes
  • 10. Galvanic Treatments at Home 20 Treatments or 1 Spa visit
  • 11. Tru Face Essence Ultra •Ethocyn®, a patent pending anti-aging compound clinically proven to restore Elastin to youthful levels. •CoQ10 to promote cellular energy while preventing elastin degradation Featuring Ethocyn® •$100,000 per Kilo to Produce Attack Aging •ULTRA is Exclusive to Nu Skin
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  • 18. Galvanic Spa – The Results "I have been treating my left hand only and it is just amazing.” Helga Biallas, Executive
  • 20. The arNOX™ Discovery The arNOX™ Discovery Purdue University has Recently Discovered a Hidden Source of Aging in the Skin - arNOX arNOX Generates Skin damaging free radicals around the clock that INCREASE as we age arNoX generates Free Radicals Underneath Your Sun Screen in Your Skin
  • 21. The ageLOC™ Discovery This internal free radical generator can produce free radicals so quickly that even antioxidants need some additional help in slowing it down. The unique solution: slow the production of these skin damaging free radicals at their source, and stop the visible signs of aging before they start.
  • 22. The ageLOC Solution ™ ageLOC Exclusive Molecules SLOW production of arNOX free radicals in the skin. ageLOC—technology is designed to PROTECT and LOCK IN youthful gains from TFEU and the GALVANIC SPA Limited Supply until January 2009
  • 23. Treatment Gel with ageLOC™ Description of Benefits Applied ageLOC ingredients have been shown ageLOC ageLOC blend ingredient to prevent the expression of free radicals associated with the arNOX enzyme. This prevention may help slow the signs of aging that may be caused by accelerated free radical production.
  • 24. Stanford University Study High arNOX = Average +18 +16 7 years older Low arNOX levels are clinically +14 +12 7 +10 graded to look an average of +8 seven years younger than their +6 actual chronological age. +4 +2 Actual Age High levels of arNOX appear to -2 7 -4 be an average of seven years -6 older than their actual age.  -8 -10 -12 Low arNOX = Average -14 -16 7 years younger
  • 25. NU SKIN’S UNIQUE ROSETTA STONE OF AGING GENETICS
  • 27. RESETTING YOUTH GENE CLUSTERS: AN ILLUSTRATION Youthful Aged Reset
  • 28. FOUNDATION OF AGELOC SCIENCE IT’S IN OUR GENES ageLOC turns ‘gene switches’ to the setting observed during youth
  • 31. Anti-Aging – Nutrition MEASURES • 18 Carotenoid Antioxidants in Real Time • Personal Score shows overall Antioxidant Health Status • 2 US Patents with 5 Patents Pending and 6 International Patents Pending • 1st comprehensive Multi-vitamin Supplement with Nano Technology on the Market Products Guaranteed to Raise Your Score
  • 32. Personal Stories How… These Products can Change your Life!
  • 33. The Company • 25 Year Track Record • D&B 5A-1 Rating • Operating in 49 Markets • Over $700 Million in Assets • Over Quarter Billion on R&D • Publicly Traded on the NYSE (NUS) For more information on Nu Skin Enterprises, please visit our website at www.nuskinenterprises.com
  • 34. The Company Most Innovative Company, 2005 Best Corporate Social Responsibility Program, 2007 American Business Awards
  • 35. NSE Pays BIG! Last year NSE paid its distributors Over $500 Million Dollars! For a complete summary of distributor earnings/bonuses paid to distributors at all levels within the Sales Compensation Plan, please contact the company at 800-487-1000 or see the end of this presentation.
  • 36. $6 Billion Paid in Commissions Since Inception There are no bonuses paid for recruiting. All bonuses are paid only when products are sold. For a complete summary of distributor earnings/bonuses paid to distributors at all levels within the Sales Compensation Plan, please contact the company at 800-487-1000 or see the end of this presentation.
  • 37. Timing - USA Window of Opportunity Small to Big
  • 38. Timing - Worldwide Global Window of Opportunity Sales $5 Billion $2.5 Billion $1.2 Billion 2005 2007 2009 2011 Big to Bigger
  • 39. Timing – Mega Volume Which Train Would You Rather Take? AMWAY 1959 20 years 1979 12 years 1991 13 years 2004 Opening $1 Billion $5 Billion $6 Billion NSE 1984 20 years 2004 12 years 2016 13 years 2029 Opening $1 Billion $5 Billion $6+? Billion From Big to Giant
  • 40. Key Factors • Market Trends • Products and Innovative Technologies • Company • Leverage for Time and Income • Timing, Timing, Timing!
  • 41. How To Get Started The only required purchase to become a distributor is a $10 not for profit Business Portfolio. All product purchases are optional. There are no bonuses paid for recruiting. All bonuses are paid only when products are sold.
  • 42. NU SKIN ENTERPRISES, INC. DISTRIBUTOR COMPENSATION SUMMARY Company Overview Nu Skin Enterprises, Inc. (together with its affiliates, the “Company”) is a global direct selling company that operates in more than 40 countries throughout North and South America, Asia and Europe. The Company operates in three divisions: (1) the Nu Skin division markets premium quality skin care and personal care products; (2) the Pharmanex division is a science-based developer of nutrition products; and (3) the Big Planet division markets and distributes Internet, technology, ebusiness tools and digital photography products. Distributors The Company markets its products through a network of independent distributors. For purposes of this summary, an “Active Distributor” is a distributor who placed an order for products, promotional materials or services or renewed their distributorship during the most recent three-month period. In the United States, the Company had an average of 52,887 Active Distributors during 2006. Compensation There are two fundamental ways in which a distributor can earn compensation: •Through retail markups on sales of products purchased at wholesale prices; and •Through commissions (sometimes called bonuses) paid on one’s product sales and the sales of other distributors in one’s downline sales network. As with any other sales opportunity, the compensation earned by distributors varies significantly. The cost to become a distributor is very low. People become distributors for various reasons. Many people become distributors simply to enjoy the Company’s products at wholesale prices. Some join the business to improve their skills or to experience the management of their own business. Others become distributors, but for various reasons, never purchase products from the Company. Consequently, many distributors never qualify to receive commissions. Generating meaningful compensation as a distributor requires considerable time, effort, and commitment. This is not a get rich quickly program. There are no guarantees of financial success.
  • 43. Retail Markups Distributors can buy Nu Skin, Pharmanex and Big Planet products from the Company at wholesale prices for resale to customers or for personal consumption. Some Big Planet products are services, such as Internet access, on which there is no retail mark-up earned by distributors. In addition, some Big Planet products are lower margin products offered through Internet mall affiliates. Consequently, lower levels of commissions are paid on the sale of such products. The Company’s suggested retail markup is 30% on most of its personal care and nutrition products. However, distributors are free to set their own selling price and may personally consume some of the products they purchase. As a result, the Company currently neither provides an estimate of average income from retail sales nor includes distributor retail income in its average commission information. Commissions Distributors can also earn commissions based on the sale of products by a distributor and his/her downline of sponsored distributors in all markets where the Company does business. The Company also sells promotional materials that do not generate commissions to distributors. In 2006 the Company paid approximately $480,136,000 in commissions and sales compensation globally. In the same period, the Company paid approximately $83,712,937 in commissions to distributors residing in the United States. The following table shows the average commissions paid in 2006 to U.S. distributors at the various levels of the Company’s Sales Compensation Plan, the average percentage of total Active Distributors and the average percentage of Executive-and-above distributors that earned commissions at each level. These figures do not include retail markup income.
  • 44. Title Monthly Annualized Average Average Average Commissions[1] Percentage Percentage of Commission Income of Active Executive-and- at Each Level for Distributors[2 above level 2006 ] distributors Active Distributor Earning a $ 44.00 $ 9.01% N/A% Check (Non-Executive) 528.00 Qualifying Executive 160.00 1,920.00 1.39 N/A Executive 362.00 4,344.00 3.76 62 Gold Executive 628.00 7,536.00 1.05 18 Lapis Executive 1,307.00 15,684.00 .60 10 Ruby Executive 2,925.00 35,100.00 .17 3 Emerald Executive 6,040.00 72,480.00 .10 2 Diamond Executive 10,423.00 125,076.00 .10 2 Blue Diamond Executive 43,752.00 525,024.00 .20 3 The average commission paid to U.S. Active Distributors each month was $132.21, or $1,586.51 on an annualized basis. In 2006, the average monthly commission paid to U.S. Active Distributors who earned a commission check was $807.00, or $9,683.00 on an annualized basis. Note that these figures do not represent a distributor’s profit, as they do not consider expenses incurred by a distributor in promotion of his/her business and do not include retail markup income. On a monthly basis, an average of 16.38% of U.S. Active Distributors earned a commission check [1] Active Distributors represented an average of 35.54% of Total Distributors.[2] If you have any questions concerning this information, please contact Distributor Support at (800) 487-1000. [1] This number is calculated by adding the average percentage of Active Distributors in the above table. [2] This percentage is obtained by taking the total average of monthly actives and dividing it by the total average of Distributors on a monthly basis. “Total Distributors” includes all U.S. Distributors who either signed an agreement or renewed their distributorship during 2006 irrespective of their purchasing products, promotional materials or services or earning commissions.

Notes de l'éditeur

  1. I am going to talk to you today about the importance of how we look – our appearnce and how Nu Skin can help to improve it
  2. The Rosetta Stone is an Ancient Egyptian artifact which was instrumental in advancing modern understanding of hieroglyphic writing. It wasn’t the actual language but the key to interpreting and understanding that language. Advance animation: ageLOC gives us the power to interpret the aging process and deliver a completely new approach to anti-aging in the field of genetics.