INTERNATIONAL MARKETS OVERVIEW
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1 INTERNATIONAL MARKETS OVERVIEW 2015 Younique Presenter guidelines for operating your business in a global marketplace and conducting cross-border sales transactions.
2 Table of Contents Overview Current Markets Not for Resale (NFR) Policy Royalties Shipping Product Pricing page 2
3 Overview Among its open markets, Younique is a global-seamless direct sales company. The three basics of Younique s global market strategy Younique Presenters may transact crossborder sponsorships and e-commerce orders. Your customers may purchase product in their local currency, and ship to their local address, regardless of your own home country. Cross-border transactions are conducted in essentially the same manner as U.S. domestic transactions. page 3
4 Current Markets Younique presently operates in five markets: USA CANADA MEXICO AUSTRALIA NEW ZEALAND UNITED KINGDOM page 4
5 Not for Resale (NFR) Policy Based on local regulations, products sold into Australia,, and the UK are currently sold on a Not for Resale (NFR) basis. Rule #1 Rule #2 Products are for personal consumption only. Product may not be re-sold. This includes selling at trade shows. So how do I sell products? As a Presenter, you are allowed to sell Younique products in these countries by way of your own personal e-commerce website. Will it always be this way? Based on market performance, products will eventually be registered for resale in these markets. Once that happens, products will be able to be re-sold. Younique will begin the re-sale registration process once the monthly revenue for a respective market reaches $1 million (USD). page 5
6 Order Amount Maximums in NFR Markets The way NFR rules are enforced vary from country to country. In order for Younique to be in compliance with local NFR-related rules and import regulations, the following maximum order amounts have been set: COUNTRY Canada Australia United Kingdom Mexico MAXIMUM ORDER AMOUNT $800 (CAD) per day $950 (AUD) per importation $280 (NZD) per importation 350 (GBP) per importation $3000 (MXN) per order Australian,, and UK maximums are per importation Younique allows orders up to the AUS, ND, and GBP maximums to be purchased each day. Younique s freight forwarder ships multiple times per week (but not necessarily daily) based on market volume. If you place multiple large orders within a 72-hour period, one or more shipments may be delayed in order to remain in compliance with NFR regulations. Canada Products may be resold in Canada; however, an order amount limit of $800/day is still in place. Additionally, some Canadian provinces may require a direct sellers license. For more information or questions about this license contact Younique s Customer Support Compliance Department. page 6
7 Royalties Younique provides an online resource called Retail Rules to help you understand your local and cross-border retail royalties. Rules vary based on whether the order originated from your home market, or was shipped to a destination outside of your home market. To help you further understand international royalty calculations, you may log in to your website and visit the following link. Your order history page will also specify orders placed from outside of your market, and display a link that takes you to this page. Getting Paid Your Retail Royalties Royalties are paid to you in your local currency. Party & Party and are the same for everyone, in every country. Point values for all products are listed on the Master Price & List towards the end of this document. page 7
8 Home Market Retail Royalties (by Country) Home market Retail Royalties refers to Royalties earned on sales within your home market. The following table demonstrates how these Royalties are calculated in each geographic market (using the sale of one single Moodstruck 3D Fiber Lashes as an example); the example Royalties are calculated for White-status (20%) and for Yellow-status and above. Presenter s Market Retail Price White 20% Yellow & Up 25% Currency USA $29 29 $5.80 $7.25 USD Canada $35 29 $7.00 $8.75 CAD Australia $38 29 $7.60 $9.50 AUD $40 29 $8.00 $10.00 NZD United Kingdom 23 * ( Net) GBP * UK Presenters, Please Note: The UK retail price for every Younique product includes a 20% international fee, which is used to pay our shipping partner, who in turn pays VAT. As such, UK Presenters are earn their Retail Royalties percentage from the Net value of every product. A Note About Using Younique Cash When Younique Cash is applied to any purchase, points are earned (and thus paid) only for the remainder of the sale paid for in legal tender (i.e., not Younique Cash). page 8
9 Cross-border Retail Royalties Cross-border Retail Royalties refers to Royalties earned from a shopper from outside of your home market. The following table demonstrates how Royalties are calculated for cross-border sales, based on Presenter s home market. The table uses a cross-border sale of one single Moodstruck 3D Fiber Lashes as an example. Presenter s Home Market Shopper s Home Market Retail Price for Shopper* Peg Rate (by Presenter s Home Mkt) White 20% Yellow & Up 25% USA United Kingdom 23 GBP $5.80 USD $7.25 USD Canada $40 NZD $6.38 CDN $7.98 CDN Australia Canada $35 CDN $6.67 AUD $8.34 AUD Australia $38 AUD $6.96 NZD $8.70 NZD United Kingdom USA $29 USD GBP 4.71 GBP Mexico $505 MXN $6.96 NZD $8.70 NZD * Retail Royalties from cross-border sales are calculated against, not the Retail Price: Retail Price for Shopper refers to a person from another country purchasing a product from you in their own currency. As shown in the above examples, it doesn t matter what the shopper paid for the product. When someone from outside of your home market purchases something from you, your Retail Royalties are calculated against, not the Retail Price that the shopper paid. For example: a Canada shopper buying a set of 3D Fiber Lashes from a Presenter in Australia would pay $35 CDN. The Australian Presenter s Retail Royalties from that purchase would then be the product of and her market s peg rate, multiplied by her respective percentage. E.g., 29 x 1.15 x.20 for a White Status Presenter, and 29 x 1.15 x.25 for Yellow and up. A Note About Using Younique Cash When Younique Cash is applied to any purchase, points are earned (and thus paid) only for the remainder of the sale paid for in legal tender (i.e., not Younique Cash). page 9
10 Month-end Royalties Month-end Royalties are calculated based on the of the orders. Such point-values are universal across all markets. The Benefit of Universal This universal point value approach is the primary factor that allows cross-border sponsoring within a Presenter s downline, while maintaining the ability to seamlessly calculate downline Royalties such as Circle, First Generation, Second Generation, and Third Generation. After month-end Royalties are calculated using the Point values, the final payments are adjusted to the Presenter s local currency using the market-specific peg rate found on this page. For example, the formula for month-end Royalties derived from Circle sales is: Circle Wholesale x % (e.g. 5% for Green status) x Peg Rate = Amount Presenter s Market Peg Rate USA 1.00 Canada 1.10 Australia United Kingdom.6 Mexico 13 page 10
11 Shipping The chart on this page displays shipping charges. Shipping totals are based on the order subtotals only. Taxes and shipping fees do not apply towards NFR shipping maximums. In addition, there are three types of items which do not apply to the subtotal used to calculate shipping fees Business Supplies Younique Cash (Y-Cash) Half-price Items (The entire amount of the item is noncommissionable and does not apply) Younique Shipping Tables USA Domestic Order Amount (USD) Shipping Charge (USD) Less than $100 $5.50 $100 or more FREE Australia Order Amount (AUD) Shipping Charge (AUD) Less than $100 $10.00 $100 - $225 $15.00 $226 - $950 FREE Canada Order Amount (CAD) Shipping Charge (CAD) Less than $100 $10.00 $100 - $199 $7.50 $200 - $850 FREE Order Amount (NZD) Shipping Charge (NZD) Less than $100 $10.00 $100 - $225 $15.00 $226 - $280 FREE United Kingdom Order Amount (GBP) Shipping Charge (GBP) Less than FREE Mexico All Order amounts $ MXN page 11
12 Master Price & List Individual Items * UK and Mexcio prices in parenthesis are the net value that Retail Royalties are paid on Item Name USA Canada Australia Moodstruck Minerals Pigment Powder Moodstruck Minerals Concealer Lucrative Lip Gloss BB Flawless Complexion Enhancer Refreshed Rose Water Uplift Eye Serum Precision Pencil Eye Liner Precision Pencil Lip Liner Precision Pencil Sharpener Lash Comb/Brow Brush Illuminate Clear Daily Cleanser Illuminate Clean Daily Cleanser Touch Pressed Powder Foundation Touch Cream Foundation Divine Daily Moisturizer Glorious Face & Eye Primer Moodstruck Minerals Blusher Moodstruck 3D Fiber Lashes Foundation Brush Concealer Brush Blusher Brush Powder Puff Brush Deluxe Eye Brush Liner/Shader Brush Crease Brush $12.50 $15.00 $16.00 $17.00 $29.00 $35.00 $38.00 $40.00 $15.00 $18.00 $20.00 $21.00 $39.00 $47.00 $49.99 $55.00 $29.00 $35.00 $38.00 $40.00 $65.00 $78.00 $85.00 $90.00 $15.00 $18.00 $20.00 $21.00 $15.00 $18.00 $20.00 $21.00 $7.50 $9.00 $9.75 $10.50 $20.00 $24.00 $26.00 $28.00 $39.00 $47.00 $49.99 $55.00 $39.00 $47.00 $49.99 $55.00 $32.00 $39.00 $42.00 $45.00 $32.00 $39.00 $42.00 $45.00 $39.00 $47.00 $49.99 $55.00 $39.00 $47.00 $49.99 $55.00 $29.00 $35.00 $38.00 $40.00 $29.00 $35.00 $38.00 $40.00 $20.00 $24.00 $26.00 $28.00 $12.00 $14.00 $15.00 $17.00 $25.00 $30.00 $33.00 $35.00 $32.00 $38.00 $41.00 $45.00 $17.00 $21.00 $23.00 $24.00 $18.00 $22.00 $23.00 $25.00 $15.00 $18.00 $20.00 $21.00 UK* ( 8.33) ( 19.17) ( 10.00) ( 25.00) ( 19.17) ( 41.67) ( 10.00) ( 10.00) 4.95 ( 4.12) ( 13.33) ( 25.00) ( 25.00) ( 20.83) ( 20.83) ( 25.00) ( 25.00) ( 19.17) ( 19.17) ( 13.33) 9.00 ( 7.50) ( 16.17) ( 20.83) ( 10.83) ( 11.67) ( 10.00) Mexico* $ ($189.66) $ ($435.34) $ ($228.45) $ ($586.21) $ ($435.34) $1, ($978.45) $ ($228.45) $ ($228.45) $ ($112.07) $ ($301.72) $ ($586.21) $ ($586.21) $ ($482.76) $ ($482.76) $ ($586.21) $ ($577.59) $ ($435.34) Party $ ($435.34) $ ($301.72) $ ($181.03) $ ($375.00) $ ($482.76) $ ($254.31) $ ($271.55) $ ($228.45) page 12
13 Sets Master Price & List * UK and Mexcio prices in parenthesis are the net value that Retail Royalties are paid on Item Name USA Canada Australia Moodstruck Mineral Pigments Set of 4 $45.00 $54.00 $58.00 $62.00 Lucrative Lip Gloss Set of 3 Lucrative Lip Gloss Set of 10 Eye Brush Set Face Brush Set Complete Brush Set Touch Foundation Set of 2 Precision Pencils Set of 3 Precision Pencils Set of 10 Precision Pencils Set of 15 $40.00 $48.00 $52.00 $56.00 $ $ $ $ $55.00 $66.00 $71.50 $76.00 $80.00 $97.00 $ $ $ $ $ $ $60.00 $72.00 $78.00 $83.00 $40.00 $48.00 $52.00 $55.00 $ $ $ $17.00 $ $ $ $ UK* ( 22.50) ( 25.83) ( 77.50) ( 36.37) ( 52.50) ( ) ( 39.17) ( 25.83) ( 81.67) ( ) Mexico* $ ($676.72) $ ($603.45) $2, ($1,784.48) $ ($827.59) $1, ($1,202.59) $2, ($2,327.59) $1, ($900.86) $ ($603.45) $2, ($1,875.00) $2, ($2,478.45) Party Collections* Item Name USA Canada Australia Pucker Up Kid in a Candy Store All Eyes on You Show Stopper About Face Radiant Beauty * UK and Mexcio prices in parenthesis are the net value that Retail Royalties are paid on $99.00 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $214 $ $ $ $ $ $ $ $ UK* ( 65.83) ( 76.67) ( ) ( ) ( ) ( ) Mexico* Party $1, ($1,487.07) $2, ($1,724.14) $3, ($2,775.86) $2, ($2,327.59) $3, ($2,625.00) $3, ($2,926.72) Presenter Kit Item Name USA Canada Australia Presenter Kit $99.00 $ $ $ UK Mexico* $1, ($1, Party 0 0 page 13
14 Master Price & List Product Item Name USA Canada Australia Shine Eye Makeup Remover Cloths Beachfront Splurge Cream Shadow Stiff Upper Lip Lip Stain Cream Shadow Brush Blending Buds Stiff Upper Lip Lip Stain - Set of 3 Stiff Upper Lip Lip Stain - Set of 7 Highlight & Contour Set * UK and Mexcio prices in parenthesis are the net value that Retail Royalties are paid on $20.00 $24.00 $26.00 $28.00 $32.00 $38.00 $42.00 $44.00 $26.00 $31.00 $34.00 $36.00 $22.00 $26.00 $29.00 $30.00 $15.00 $18.00 $20.00 $21.00 $25.00 $30.00 $33.00 $35.00 $60.00 $72.00 $78.00 $83.00 $ $ $ $ $90.00 $ $ $ UK* ( 13.33) ( 20.83) ( 17.50) ( 15.00) ( 10.00) ( 16.67) ( 40.00) ( 93.33) ( 60.00) Mexico* $ ($301.72) $ ($482.76) $ ($392.24) $ ($331.90) $ ($228.45) $ ($375.00) $1, ($900.86) $2, ($2,103.45) $1, ($1,353.45) Party page 14
15 Royalties Worksheet You can use this worksheet to calculate what your monthend payments will be every month. Circle Wholesale X X = Circle Percentage Market Peg Rate Payment Amount Circle Wholesale X X = Circle Percentage Market Peg Rate Payment Amount Circle Wholesale X X = Circle Percentage Market Peg Rate Payment Amount Circle Wholesale X X = Circle Percentage Market Peg Rate Payment Amount page 15
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