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Special Update from Kelly Olsen February 2007 PDF Print E-mail
News - Latest News


Ia'Orana Global IPCs,

By now, you should know of a special announcement that was made regarding the qualification to receive Personal Rebates and the time period for Fast Start Bonuses. I want to take a few moments to explain these adjustments better and give you a clear idea of how this will affect each business builder in our company.

First, some background. The Personal Rebate program that we are all familiar with came into existence in January 1998. It was put into place primarily to discourage IPCs from placing large purchases under downline names in order to receive the Fast Start Bonuses. Introducing the Personal Rebate program allowed individuals to purchase their large personal orders under their own ID numbers and receive the same amount as the first generation of Fast Start Bonus (20%).

This has been a great program, especially as we introduced Tahitian Noni Rewards, which allows individuals to build their business with consumers while earning the Personal Rebate amount of 20% on all volume from their Rewards members.

Historically, qualification for Personal Rebates has been Case AutoShip qualification only. Beginning March 13, 2007, one new qualification will be added, making the qualification for Personal Rebates as follows:

  1. Case AutoShip qualified
  2. Accumulate 500 QPV or more

This new qualification requires that any new IPC sponsored on or after March 13, 2007 will not qualify to earn Personal Rebates until they have accumulated 500 QPV (Qualifying Personal Volume, or volume purchased under their ID number).

In harmony with this new Personal Rebate announcement, another key announcement was made concerning the time period for Fast Start Bonuses. Again, some background.

The TNI Fast Start Bonus program launched with the original marketing plan in July 1996. At that time, Fast Start Bonus paid on three generations: 25% on the first generation, and 10% on the second and third generations. The time period was set at 60 days following the new IPC's first commissionable purchase.

When we introduced the Personal Rebate program in January 1998, we also extended the Fast Start Bonus payout to five generations, as it is presently constituted: 20% on generation 1; 5% on generations 2, 3, and 4; and 10% on generation 5.

The way the Personal Rebate worked with Fast Start Bonus was simple. The personal sponsor earned 20% on the first 120 QPV in the month and 5% on all volume over 120 QPV in the month.

In conjunction with the new qualification of cumulative 500 QPV to earn Personal Rebates, we are altering the Fast Start period accordingly. Beginning March 13, Fast Start Bonuses will be paid for the longer of:

  • 60 days, or
  • The time it takes the personally sponsored IPC to accumulate 500 QPV

This extension means that as you personally sponsor a new IPC, you are guaranteed to earn at least 20% of his/her first 500 QPV.

Let me demonstrate with an example. Under the current plan, if I sponsor Jane, I begin to earn Fast Start Bonuses as soon as she places her first order. Her volume will generate Fast Start Bonuses for 60 days after that date, and her volume will generate Unilevel commissions after that.

If Jane were to purchase one bottle of TAHITIAN NONI® Juice after being sponsored, I would earn 20% of the CV from that order. If her next order came in two-and-a-half months, the 60-day time frame would have passed and I would no longer earn Fast Start Bonus on her volume.

Beginning March 13, I would continue to earn Fast Start Bonuses of 20% on all of her volume until she has purchased 500 QPV, no matter how long that takes!

Now, another example. Again, under the current plan, if I sponsor Jane and she purchases 500 QPV of volume in her first month, I would earn 20% of the first 120 QPV and 5% of the remaining 380 QPV.

Beginning March 13, 2007, I would earn the full 20% on the entire 500 QPV and then 5% on any volume over the 500 QPV for that month. The following month, I would earn FSB as normal: 20% on the first 120 QPV and 5% on any volume over 120 QPV.

Soooo?if Jane purchases 500 QPV in each of her first two months, under the current plan I would earn:

20% of 120 = $24.00
5% of 380 = $19.00
Total = $43.00
Total for 2 months = $86.00

Beginning March 13, I would earn:

Month 1: 20% of 500 = $100.00
Month 2: 20% of 120 = $24.00, and 5% of 380 = $19.00
Total for 2 months = $143.00

That equates to an additional $57.00 earned or 167% of the current plan.

Remember:

  1. For the Personal Rebate qualification, we are not changing the amount of Personal Rebate or the way it is paid, just the qualification to begin receiving it.
  2. All IPCs signed up before March 13, 2007 are automatically grandfathered into qualification for Personal Rebate. This new qualification only affects IPCs sponsored on or after March 13, 2007.
  3. The Fast Start Bonus period is the longer of 60 days, or the time it takes the sponsored IPC to accumulate 500 QPV. So if a sponsored IPC purchases 500 QPV the first month, you still earn Fast Start Bonus on their volume for the full 60 days from the date of their first commissionable order. On the other hand, if it takes them longer than 60 days to reach the 500 QPV amount, you will continue to earn Fast Start Bonuses beyond the 60-day limit until they have accumulated 500 QPV!

The effect of these two great adjustments is simply that it becomes more rewarding to personally sponsor new IPCs. Period.

Our goal, of course, is to reward those who are building their businesses and creating activity within their organizations. These new modifications will make a huge difference in the speed at which new IPCs can begin to earn a more substantial income.

Please make sure all of your organizations are properly trained on these modifications. I will conduct a special workshop at the International Leadership Conference in Las Vegas to further train and explain these new tools and other systems. They will create more income at the bottom levels than ever before.

Let?s make 2007 an historic year together. I have no doubt we will.

Best Wishes,

Kelly Olsen
President, Tahitian Noni International

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