Active: Brand Partners are considered Active as long as they maintain the required PV (Personal Volume) from fully paid product orders during a calendar month. This required volume (see volume qualification table on page 9) can come from Auto-Delivery Orders (ADO), personal orders and/or the volume from orders placed by personally sponsored retail or Preferred Customers.
Auto-Delivery Order (ADO): A preselected product order that is scheduled to be created, paid and shipped at a specific time each month. Auto-Delivery Orders allow products to be purchased at a discounted price.
Brand Partner: A person or company who has filled out the Nerium International application, had their application approved and is in the genealogy. Brand Partner is the first step in rank advancement.
Compression: Only active Senior Brand Partners or higher count as a generation in the Team commissions calculation. Brand Partners’ commissionable volume is therefore added to the next qualified generation.
Customer: A Customer is associated with a Brand Partner. A Customer cannot sign up other Brand Partners and cannot receive commissions. Nerium International currently has two types of non-Brand Partner customers: a retail customer and a Preferred Customer.
Downline: This refers to the Brand Partner(s) below a Brand Partner in the genealogy.
Genealogy Tree: This is the Company’s overall structure that indicates how and where Brand Partners are placed. The Company supports both a sponsor and placement unilevel/generational genealogy tree structures.
Sponsor Tree: Your personally sponsored Brand Partners will always be on Level 1 of your Sponsor Tree. The Brand Partners whom they sponsor will always be on Level 2 of your Sponsor Tree.
Placement Tree: Personally sponsored Brand Partners may be placed in the downline of your placement tree in order to increase the volume in a leg. Rank advancements are based on the total volume generated in each leg of the Placement Tree.
Grace Period: When a Brand Partner qualifies at Senior Director or higher for the first time, he or she will be paid at that rank for two months: the month the higher rank is achieved and the next consecutive month. The Brand Partner must remain active to qualify for the grace period.
Leg: A leg is a portion of a Brand Partner’s organization, starting at one of their first-level Brand Partners and encompassing their entire organization. If a Brand Partner has 10 first-level Brand Partners, they have 10 legs in the Sponsor Tree. If a personally sponsored Brand Partner is placed below an existing leg in the Placement Tree, that newly sponsored Brand Partner becomes part of the Placement Tree leg but remains a separate leg for the sponsor in the Sponsor Tree.
Personal Sponsor: A Brand Partner who personally sponsors a new Brand Partner into the Nerium International business. Sponsor is also the term referring to a Brand Partner who personally sponsors a Customer
Placement Sponsor: A Brand Partner who is directly above another Brand Partner in the Placement Tree. The Placement Sponsor may not always be the Brand Partner who personally sponsored them.
Placement Suite: When a Brand Partner personally sponsors another Brand Partner, the new Brand Partner can go into the Placement Suite for a period of 60 days. During that time, the sponsoring Brand Partner will have an opportunity to move the new Brand Partner one time under an existing leg in the Placement Tree. The new Brand Partner will remain a separate leg in the Sponsor Tree and personally sponsored by his original sponsor; however, the Brand Partner under whom he is placed in the Placement Tree will be his Placement upline. The new Brand Partner will become part of the total leg volume in the leg in which he was placed. If the new Brand Partner is not moved within the allotted time, he will remain a new leg in the Placement Tree for the sponsoring Brand Partner.
Preferred Customer: A retail customer who is enrolled in the Auto-Delivery Order (ADO) program.
Rank: The level of achievement in the compensation plan that determines how much commission is paid and the specific commission bonuses the Brand Partner is eligible to earn. Rank is determined by personal and group sales volume, as well as the personal and group volume of the Brand Partners in your group.
Senior Brand Partner Generations: All active Brand Partners up to and including the next qualified Senior Brand Partner or higher in your Placement Tree downline are a Senior Brand Partner generation. Team commissions are paid based on Senior Brand Partner generations.
Upline: This refers to the Brand Partner(s) above a new or existing Brand Partner in the genealogy.
Volume: The value assigned to a product that is used to determine a Brand Partner’s rank qualifications in the compensation plan (qualifying volume or QV), or to determine the amount of commissions being paid on a product purchase (commissionable volume or CV).
Qualifying volume and commissionable volume may not be the same value. Other forms of volume include:
Auto-Delivery Volume (ADV): Volume generated
by the sale of product through the Auto-Delivery Order program. ADO PQV is Auto-Delivery Order Personal Qualifying Volume.
Commissionable Volume (CV): The value assigned
to a product that determines the amount of commission paid when the product is sold by a Brand Partner.
Customer Commissionable Volume (CCV): Qualifying volume that is generated from product purchases made directly from the Company by a Brand Partner’s retail and Preferred Customers.
Group Qualifying Volume (GQV): The total qualifying volume of a specific group of Brand Partners. Includes Brand Partners’ PQV (max. 2000 PQV from personal purchases counted towards GQV)
Group Volume (GV): The total volume of a specific group of Brand Partners.
Personal Qualifying Volume (PQV): Qualifying volume that is generated through a Brand Partner’s personal product purchases. It also includes volume from product purchases made directly from the Company by a Brand Partner’s retail and Preferred Customer.
Qualifying Volume (QV): The value assigned to a product to determine the amount of qualifying volume on a product purchase.
Rolling Qualifying Volume (RQV): Any new Brand Partner who enrolls after the 15th of any given month will have all the Qualifying Volume (QV) generated within the remainder of their first monthly bonus period roll forward into the next full monthly bonus period. All commissions and bonuses are paid on the bonus volume generated by product purchases in the bonus period in which the sale occurred. RQV does not apply to upline GQV. Only volume from within the month the new Brand Partner enrolls can be applied to RQV.
60-Group-Qualifying-Volume-in-a-Leg (GQV) Rule: Beginning at Senior Brand Partner, when determining the Group Qualifying Volume qualification requirement, no more than 60% of the required volume may come from a single Placement Tree leg. Example: The GQV qualification for a Director is 4500. No more than 2700 (60%) of the total GQV can come from any single Placement Tree leg.