Melaleuca: An Overview / AUNZ / March 2018

Melaleuca: An Overview / AUNZ / March 2018

Look better? Feel better? Live better? How can Melaleuca help you…

Wellness Products Shopping Club

2

WELLNESS matters in every aspect of our lives… physical environmental

personal financial

3

Healthy living should be easy and affordable for everyone.

For $25 per year, your membership allows you to shop for Melaleuca products monthly at a 30%–40% discount—shipped conveniently to your door. Melaleuca is a manufacturer with a membership-based monthly shopping club that offer 350+ exclusive wellness products.

4

Melaleuca is both the Manufacturer and the Store One of the Largest Monthly Wellness Shopping Clubs 350+ Wellness Products Manufactured by Melaleuca Over $2 Billion in Annual Sales MELALEUCA.COM

Shoppers Every Month

5

Nearly 63% of the price you pay for supermarket brands adds no value.

Distribution Marketing Retail Space Advertising

6

We created a BETTER way to invest that 63%.

We invest in things that add value to you.

7

We INVEST back into our products.

Higher-quality ingredients and more effective products.

8

And we GIVE back to our customers.

Revenue sharing. Melaleuca rewards you when you refer others to shop.

9

350+ PRODUCTS Same dollars, better spent. Higher Quality, Better Value Solutions for Today’s Health Concerns Safer for Your Home Better for the Environment

10

Samples from each category, please be advise not all products are shown.

Simply switch stores!

Sports Nutrition, Healthy Foods, and Weight Loss

Medicine Cabinet

Peak Performance and Supplements

Personal Care

Skin Care and Cosmetics

Home Cleaning, Laundry, Dish Care & Air Care

11

We want every year to be healthier than the last.

And yet… 90% of us eat an unhealthy diet 70% of us don’t get enough exercise 64% of us are obese or overweight 90% of our time is spent indoors

(where air quality is 2 to 5 times worse than outside)

See appendix for sources.

12

You get the power of PROVEN wellness products.

• Product benefits documented with third-party research • Many formulas

protected by U.S. patents

• Research

conducted on actual products, not just ingredients • Clinically tested and proven effective

13

Two major threats to LONG-TERM HEALTH: Free radicals and inflammation...

• May cause degenerative conditions and ageing

• Is a shared component in many illnesses of middle and old age • May cause an inflammatory response in your body when it is not supplied with the nutrition it needs

14

The Peak Performance Nutrition Pack

ADD LIFE to your YEARS

• May help to reduce free radicals and inflammation • Contains a 30-day supply of 6 patented and proprietary supplements • Offers additional targeted solutions for specific health needs

90-Day Satisfaction Guarantee . Feel the difference or your money back!

15

Innovative NUTRITION only available at Melaleuca.

No one else has our products.

No one else has our research .

16

SPORTS NUTRITION for all fitness levels.

• Increases endurance with less fatigue and soreness • Low calorie drink mix to assist hydration during exercise • 30 grams of high-quality protein for ultimate post-workout recovery

17

Improved DIGESTIVE HEALTH

for improved overall health.

10 billion colonies of acid-resistant probiotics Included in the Peak Performance Pack

A unique blend of soluble and insoluble fibre sources

• Up to 1 in 3 adults suffer from digestive problems • Refined foods, ageing, stress, and even prescription medications may be contributing factors • A healthy digestive system helps keep the rest of the body’s systems functioning at optimal levels

18

Premium COFFEE.

Premium TEA.

Mountain Cabin ™ Premium Coffee A collection of small-batch roasted, incredibly delicious whole bean, ground, and single-serve arabica coffees.

Hidden Garden ™ Premium Tea The very finest green, black, and herbal teas from the world’s most exclusive plantations.

19

Personal care products for all of your family’s DAILY NEEDS.

NO formaldehyde NO parabens NO phthalates NO triclosan

20

A total approach to BEAUTY.

Premium products. Superior results.

• Innovative skin care with clinically proven ingredients • Vibrant colour cosmetics with anti-ageing ingredients • Salon-quality hair care with Protection Complex Technology ™

21

PURE™ ESSENTIAL OILS.

Purity tested. Quality guaranteed.

• 100% pure oil extracted directly from a traceable botanical source • Tested to meet stringent quality specifications • Harvested using sustainable and ethical practices • Guaranteed to not contain synthetics or impurities • Incredible value vs. the competition

22

SAFER cleaning solutions for your home.

• Plant-derived, biodegradable ingredients • No harsh, harmful chemicals • Time-tested formulations that work better

23

Clean home. Clean streams. Clean conscience.

chlorine bleach ammonia abrasives phosphates phthalates triclosan parabens formaldehyde

24

Safe and effective cleaning—it’s in our NATURE.

Easy to read and understand what makes EcoSense® products better

Plant-derived and natural solutions

Biodegradable, environmentally

Straightforward ingredient lists tell you what’s inside

responsible ingredients

Safety call-outs quickly identify the lack of harmful ingredients

25

FRONT

BACK

Better for the ENVIRONMENT.

Since 1985, Melaleuca customers have saved:

• Most of Melaleuca’s cleaning products are 4x ,

6x , or even 12x concentrated • Concentrated products mean less fuel spent in transportation and less plastic and water wasted • Nobody concentrates cleaning products like Melaleuca

104 million kilograms of plastic 158 million litres of petrol 21 million kilograms of greenhouse gas

LESS WASTE

LESS ENERGY

CLEANER AIR

26

*based on research compiled April 2016 from US government and competitor sources.

Save more. Waste less.

6X CONCENTRATED

$36.95 MelaPower ® 6x 96 loads

4.8 bottles of Omo® Active Laundry liquid 96 loads combined

$31.95/  NZ

AU $58.03/  NZ

$57.55 *

VS

AU

PREFERRED MEMBER

COMPETITOR PRICE

†Competitor product price from online retail outlets, February 02, 2018.

Compare and Save

12X SUPER- CONCENTRATED

12X SUPER- CONCENTRATED

Spray n Wipe Glass Cleaner

Professional Ultra Bathroom

Clear Power ® Makes 2.83L AU $10.95/  NZ $12.95 PREFERRED MEMBER

Tub & Tile ™ Makes 2.84L AU $10.95/  NZ $12.95 PREFERRED MEMBER

5.67 Bottles of AJAX ® 2.83L combined AU $24.95/  NZ $25.51 † COMPETITOR PRICE

5.7 AJAX ® 2.84L combined AU $36.36/  NZ $36.99 † COMPETITOR PRICE

VS

VS

†Competitor product price from online retail outlets, February 02, 2018.

†Competitor product price from online retail outlets, February 02, 2018.

27

The Melaleuca monthly shopping club puts you in CONTROL of your family’s well-being.

28

A SHOPPING CLUB with membership perks.

Why becoming a Preferred Member just makes sense:

30%–40% Discount Off Regular Prices Better, Safer Products Live a Healthier, More Vibrant Life No Risk—100% Satisfaction Guarantee Same Dollars, Better Spent

SAVE 30%-40%

29

35+ When you choose to shop monthly for at least 35 Product Points, Melaleuca gives you significant rewards.

Shopping with Product Points is easy. Melaleuca offers 350+ products equaling 5,000+ Product Points.

40 points

55 points

95 points

SMALLER HOUSEHOLDS

LARGER HOUSEHOLDS

30

MONTHLY SHOPPING is what makes it all work.

When you:

Melaleuca gives you:

Become a Preferred Member with an annual $25 membership fee Shop for 35+ Product Points monthly

30%–40% discounted prices Natural, safer, more effective products Fresher products—we manufacture just in time

No risk. Cancel at any time.

31

Never be without your FAVOURITES.

When life gets in the way and you forget to shop—no problem! Melaleuca protects your membership —including your discounts and benefits—by sending a monthly delivery. • Personalise a customized Back-Up Order. • Or try a variety of products and discover new favorites with a Members Choice Back-Up Order • Either qualifies as monthly shopping • No hassle, direct debit from your account

32

Learn to Earn. Educated shoppers make wiser decisions.

We’ll pay you to learn about our products. $40 in the first full month $100 total in the first 5 months 20% per month ongoing

Once you understand the science behind our products, it’s really hard to shop anywhere else.

33

Melaleuca is built by customers who LOVE our products.

That’s why referring customers makes sense for so many people!

34

What difference could additional income make?

Work for yourself Peace of mind Travel more Live debt-free

Have quality family time Enjoy carefree retirement

35

Imagine having the FREEDOM to live life on your own terms.

36

What You Do Simply refer others and help them set up their shopping account with Melaleuca.

What You Don’t Do

You’re NOT a distributor

You DON’T carry inventory

You DON’T take orders or make deliveries

NO charges or collections

NO pressuring customers to make purchases

NO risk

37

$5 billion already paid to families like yours for referring others to Melaleuca.

95% of customers who

shopped this month will shop again next month. And that creates residual income.

38

How you earn residual income:

20% Earn up to a twenty percent ongoing commission on those you refer. Plus Earn additional bonuses based on how quickly you advance.

1. Refer customers 2.  Mentor others

3.  Advance , earn bonuses, and help others advance and earn bonuses

7% Earn a seven percent ongoing commission on those referred by others.

39

ADVANCE TO Director Status

Refer 8 Preferred Members

$500 *

$200 *

$300 *

Commissions from orders

Advancement bonuses

* See Appendix section for details.

40

Refer a total of 10 Preferred Members

ADVANCE TO Director 2 Status

$798 *

$198 *

$600 *

Commissions from orders

Advancement bonuses

* See Appendix section for details.

41

Refer a total of 11 Preferred Members and help one of your members become a Director

ADVANCE TO Director 3 Status

$1,862 *

$162 *

$300 *

$1,400 *

Commissions from orders

Advancement bonus

Mentoring bonus

* See Appendix section for details.

42

Senior Director Develop 5 personal Directors.

Executive Director Develop 10 personal Directors.

Car bonus: $800 per month

Car bonus: $2,000 per month

43

Together we can create a better TOMORROW.

44

Which one interests you the most?

2

3

1

Preferred Member

Supplemental Income

Significant Income

SHOP & REFER 5-10 hours/week

SHOP & REFER 20+ hours/week $ $$

SHOP Improve health Enjoy $100 in free products

30%–40% discounts

45

Get started.

Watch Learn to Earn videos to earn $100 in Loyalty Shopping Dollars.

Set up your shopping account.

Start shopping at Melaleuca.com and customise your Back-Up Order while you’re there.

46

Discover more Melaleuca products at greater savings.

42 of Melaleuca’s most popular products Valued at individually: AU $601/ NZ $687 Preferred Member Price: AU $399/ NZ $465 Save over 30% off Preferred Member Price 33 of Melaleuca’s most popular products Valued at individually: AU $460/ NZ $522 Preferred Member Price: AU $299/ NZ $340 Save over 30% off Preferred Member Price

Home Conversion Pack † AU $399/ NZ $465

Includes

Peak Performance Nutrition Pack ( AU $129.95/ NZ $149.50 value )

For contents see www.melaleuca.com †Compared to buying the products individually at Preferred Customer prices. Product line up subject to change without notice.

Value Pack † AU $299/ NZ $340

Includes

Peak Performance Nutrition Pack ( AU $129.95/ NZ $149.50 value )

47

Big savings on life-changing products.

AU Regular Price: $171.50 AU Preferred Member Price: $119.95 NZ Regular Price: $196.50 NZ Preferred Member Price: $137.50 Preferred Member Saving of 30% Additional Pack Savings of: 9% AU Regular Price: $177.50 AU Preferred Member Price: $123.95 NZ Regular Price: $204.50 NZ Preferred Member Price: $142.95 Preferred Member Saving of 30% Additional Pack Savings of: 9% AU Regular Price: $259.50 AU Preferred Member Price: $179.95 NZ Regular Price: $305.75 NZ Preferred Member Price: $212.95 Preferred Member Saving of 30% Additional Pack Savings of over: 10% AU Regular Price: $248.50 AU Preferred Member Price: $149.00 NZ Regular Price: $298.50 NZ Preferred Member Price: $179.00 Preferred Member Saving of 30% Additional Pack Savings of: 20% AU Regular Price: $157.50 AU Preferred Member Price: $109.95 NZ Regular Price: $181.50 NZ Preferred Member Price: $126.95 Preferred Member Saving of 30% Additional Pack Savings of: 11%

The Everyday Pack

The EcoSense Cleaning Pack

The Weight Management Pack

The Sei Bella Essentials Pack

The Full Body Pack

48

Pacesetter doubles your advancement bonuses.

2X payouts for speed

Time Frame (months after enrolment)

On Pacesetter Bonus 2x

Advancement Bonus

Status

$300 $600

$150

2

Director

$300

3

Director 2

$1,400 $1,400 $1,400 $1,800 $2,200 $2,600 $3,000 $6,000 $20,700

$700

4

Director 3

$700

5

Director 4

$700

6

Director 5

$900

7

Director 6

$1,100

8

Director 7

$1,300

9

Director 8

$1,500

10

Director 9

$3,000

12

Senior Director

$10,350

49

Revenue sharing and referring customers.

As customers are placed in your organisation, you share in the revenue from those customers’ purchases in 2 Referral Generations.

REFER 8 OR MORE CUSTOMERS AND EARN ON 7 GENERATIONS

REFER 4 CUSTOMERS AND EARN ON 4 GENERATIONS

REFER 2 CUSTOMERS AND EARN ON 3 GENERATIONS

1

2

3

4

5

6

7

125 CUSTOMERS

625 CUSTOMERS

3,125 CUSTOMERS

15,625 CUSTOMERS

78,125 CUSTOMERS

Earn 7% on monthly purchases in your organisation Earn up to 20% on your personal customers’ purchases

Marketing Executive YOU

Personal Customers

Earn

1–7 8–19 20+

7% 14% 20%

5

25

50

For illustration purposes only. Refer to Melaleuca Compensation Plan Book A NEW DAY! for details.

Appendix.

PAGE 40 * Director in 3 months Assumptions used: • Orders of 50 Product Points

PAGE 41 * Director 2 in 4 months Assumptions used: • Orders of 50 Product Points

PAGE 42 * Director 3 in 5 months Assumptions used: • Orders of 50 Product Points

• Qualified for Pacesetter programme • 8 Personally Enrolled Customers • First 90 days • Commissions from orders: $200 • One-time bonuses: $300 • Total: $500 • Refer to the New Day Compensation Plan Book for details.

• Qualified for Pacesetter programme • 10 Personally Enrolled Customers • 24 total Preferred Members (14 non-Personal Enrollees) • First 120 days • Commissions from orders: $198 • One-time bonuses: $600 • Total: $798 • Refer to the New Day Compensation Plan Book for details.

• Qualified for Pacesetter programme • 11 Personally Enrolled Customers • 56 total Preferred Members (45 non-Personal Enrollees) • 1 Personally Enrolled Director • First 150 days • Commissions from orders: $163 • One-time bonuses: $1,400 • Mentoring bonuses: $300 • Total: $1,862 • Refer to the New Day Compensation Plan Book for details.

PAGE 12 “99 per cent of Australians indulge in junk food, and skimping on their vegetable and fruit intake” 2016 CSIRO Healthy Diet Score. Physical Activity and Sedentary Behaviour Guidelines* released by the Department of Health this month indicating almost three quarters of all Australians are not active enough, Exercise & Sports Science Australia (ESSA).

“An interactive insight into overweight and obesity in Australia Web report Last updated: 24 Nov 2017 Author: AIHW

“Indoor air quality" Ambient air quality (2011) Australia State of the Environment 2016

51

Enhancing the lives of those we touch by helping people reach their goals. TM

© 2018 • Published by: Melaleuca of Australia and New Zealand Pty Ltd • ABN 84 091 339 409 Ground Floor Suite 2, 123 Whitehorse Road, Balwyn VIC 3103, Australia • PH+61 3 8391 5800 • F+61 3 9899 9420 • www melaleuca.com All rights reserved. No parts of this publication may be reproduced without the permission of Melaleuca of Australia and New Zealand. The information contained in this publication is subject to change without notice. ® and ™ are registered trade marks and trade marks of Melaleuca Inc. No 2180 Rev. 03/18 AUNZ