tiens european compensation plan october 2014

完美公司奖金制度分析

全球营销中心业务部

Compensation Plan (Europe Version)

Europe Region

October 2014

Contents

Glossary of Terms 1

Distributor Ranks 2

Distributor Upgrade Mode 3

Awards and Bonus 4

Advantages 5

A

<example>

Distributor：A、B、C、D

Sponsor：A is sponsor of B、C、D B C D

Any eligible citizen who is introduced by a Sponsor to TIANSHI, purchases a TIENS Business Kit, submits a completed Application and Agreement to the Company and becomes a TIENS distributor after approval by the Company.

Distributor

Sponsor Refers to any person who fulfills the requirements as a distributor of the Company and recommends others to participate in TIENS business. He/she is also referred to as “upline”.

Glossary of Terms

A

<example>

B C D

Direct Downline

Refers to those people directly sponsored by a distributor.

Indirect Downline

Refers to all those in your downline but not directly sponsored by you.

E F

Direct Downline：

B、C、D are direct downlines of A。

Indirect Downline：

E、F are indirect downlines of A。

Glossary of Terms

A

<example>

Distributor A is placement sponsor of D, D is placed downline of A.

Placement sponsor A can put the new distributor D somewhere according to his structure development situation.

B C

D

When a distributor arrange a new recruit who is introduced by himself or herself under one of his or her downlines, i.e. this new recruit is his or her indirect downlines, this distributor is the placement sponsor for the new recruit, while the new recruit is called placed downline.

Placement Sponsor

Glossary of Terms

5、PV 值

6、BV 值

Product

Code

Product

Name

Specific

ation Unit Tax price PV%

PV

Value BV%

BV

Value

XXX XXX XX Piece 68 100% 68 50% 34

XXX XXX XX Box 50 100％ 50 100％ 50

Unit: US$

Sales Price List

PV Point Value, the standard unit of sales value used by TIANSHI

worldwide.

BV Bonus Value, will be assigned to each product by the company and is

used to calculate the distributors’ Bonus.

<example>

Glossary of Terms

The accumulated PV achieved by a distributor during a given sales

month with his or her Tianshi ID number on product order forms.

<example>

APPV Accumulative PV

PPV Personal PV

The accumulated PV achieved by a distributor since his or her joining

in Tianshi.

A

B C

PPV：400 PV

PPV：350 PV PPV：100 PV

A

50PV

PPV：50 PV

The first month

The second month

A´personal PV：

Glossary of Terms

A´cumulative PV： 450PV

The total sales volume generated in a specific month by the

network of a distributor.

<example>

TNPV Total Network PV

A

B C

PPV：400 PV


A is a new distributor in this

month. A and his downlines´sales

is in the left figure：

A´total network PV：

(A)400+(B)350+(C)50=800PV

Glossary of Terms

<example>

ATNPV accumulative

Total Network PV

The total sales volume generated by the network of a distributor

since his joining in Tianshi.

A A

B C

PPV：400 PV


A A

B C

PPV：50 PV


D E

A´s accumulative total network PV：

The first Month

The Second Month

800+500=1300PV

Glossary of Terms

Basic Rank

TIENS Distributor Rank

Distributor Ranks

Honorary Rank

8☆

7☆

6☆

5☆

4☆

3☆

2☆ 1☆

Basic Rank

Distributor Ranks

Broze Lion

Silver Lion Gold Lion

1 Star Gold Lion 2 Star Gold Lion

3 Star Gold Lion 4 Star Gold Lion

5 Star Gold Lion

Honorary Director

TIENS Feat Honorary Title

Honorary Rank

Distributor Ranks

（CPV） Accumulative

Personal PV Upgrade

3☆ 2☆ 4☆

5☆ 4☆ 6☆ （ATNPV）

Cumulative Total Network PV Upgrade

7☆ 8☆

Upgrade Mode -- Basic Rank

Distributor Upgrade Mode

Upgrade Mode Cumulative Personal PV

(CPV)

1

2

3

1 Star, 2 Star, 3 Star Upgrade Mode

(Accumulative) 300PV

(Accumulative) 100PV

(One-off) 300PV

(One-off) 100PV

Purchasing Start Kit


Upgrade Mode Cumulative Personal PV

(CPV)

accumulative Total Network PV

(ATNPV)

--

--

3 3

4

3 3

4

3

4

4

4 Star Upgrade Mode

1,500PV

3,000PV

300PV

300PV

(accumulative)1200PV

(One-off) 1,200PV


Upgrade Mode accumulative Total

Network PV (ATNPV)

4 4

5

4 4

5

4

5 Star Upgrade Mode

12,000PV

6,000PV



Network PV (ATNPV)

5 5

6

5 5

6

5

6 Star Upgrade Mode

50,000PV

25,000PV



Network PV (ATNPV)

6 6

7

6 6

7

6

7 Star Upgrade Mode (Upgrade next month)

6 6 5 5 5 5

7

6 5 5 5 5 5 5

7

100,000PV

200,000PV

100,000PV

100,000PV



Network PV (ATNPV)

7 7

8

7 7

8

7

8 Star Upgrade Mode (Upgrade next month)

7 7 6 6 6 6

8

7 6 6 6 6 6 6

7

400,000PV

800,000PV

400,000PV

400,000PV


Rank 1

star

2

star

3

star

4

star

5

star

6

star

7

star

8

star

Upgrade Mode

(PV)

APPV

(Cumulative Personal PV) KIT 100 300 1200 - - - -

ATNPV

(accumulative Total Network

PV)

2×(N–1)☆ - - - 3000 12000 50000 200000 800000

3×(N–1)☆ - - - 1500 6000 25000 100000 400000

2×(N–1)☆+

4×(N–2)☆ - - - - - - 100000 400000

1×(N–1)☆+

6×(N–2)☆ - - - - - - 100000 400000

Upgrade Mode – Basic Rank (Summary)

(N is current rank)


Any distributor who has at least three direct networks, with an 8-Star distributor in each network.

Silver Lion

Broze Lion

Upgrade Mode -- Honorary Rank

Any distributor who has at least four direct networks, with an 8-Star distributor in each network.

Gold Lion

Any distributor who has at least two direct networks, with an 8-Star distributor in each network.


Any distributor who has at least five direct networks, with an 8-Star distributor in each network.

1 Star Gold Lion

Any distributor who has at least six direct networks, with an 8-Star distributor in each network.

2 Star Gold Lion

Any distributor who has at least seven direct networks, with an 8-Star distributor in each network.

3 Star Gold Lion


Any distributor who has at least eight direct networks, with an 8-Star distributor in each network.

4 Star Gold Lion

Any distributor who has at least ten direct networks, with an 8-Star distributor in each network.

5 Star Gold Lion

Any distributor who has at least four direct networks, with a Gold Lion distributor in each network.

Honorary Director


The highest Rank in TIENS

TIANSHI Feat Honored Title

Ho

no

red

Dire

ctor

Ho

no

red

Dire

ctor

Ho

no

red

Dire

ctor

Ho

no

red

Dire

ctor

Go

ld Lio

n

Go

ld Lio

n

Go

ld Lio

n

Go

ld Lio

n

Go

ld Lio

n

Go

ld Lio

n


Upgrade Mode – Honorary Rank (Summary)

Rank Broze

Lion

Silver

Lion

Gold

Lion

1 star

Gold

Lion

2 star

Gold

Lion

3 star

Gold

Lion

4 star

Gold

Lion

5 star

Gold

Lion

Honorary

Director

TIANSHI Feat

Honorary Title

Upgrade

Mode 8☆×2 8☆×3 8☆×4 8☆×5 8☆×6 8☆×7 8☆×8 8☆×10

Gold Lion

×4

Honorary

Director

×4

+Gold Lion

×6


Direct Bonus (include Placement

Bonus)/Indirect Bonus

43%

Leadership Bonus

5% 55.5%

Honorary Bonus

5%

Special Award 2%

Lifetime Achievement

Bonus

0.5%

Awards and Bonuses

Rank 2☆

3☆

4☆

5☆

6☆

7☆

8☆

Broze

Lion

Silver

Lion

Gold

Lion

1-5 star

Gold Lion

Honorary

Director

TIENS Feat Honorary

Title

Direct Bonus (include

Placement Bonus)/Indirect

Bonus

Leadership

Bonus

Honorary Bonus

Special Award

Lifetime Achievement

Bonus

● ● ● ●

● ● ●

● ●

● ●

●

Awards and Bonuses

Bonus

Bonus Ratio Bonus Calculation

Base

Distributor Bonus =「Bonus Calculation Base」*「Bonus Ratio」

Awards and Bonuses

The DPV consists of two components (both in a specific month): The first is the Personal PV of all the direct downlines of a distributor that does not exceed 300PV; the second is personal PV of that distributor that exceeds 300PV.

DPV Direct PV

<example>

A is a new distributor in this month, his and his downlines´sales is in the left figure:

A´s direct PV is:

Awards and Bonuses

A PPV:400

B

PPV:350

C PPV:50

(A)100+(B)300+(C)50=450PV

Rank

Bonus

Ratio

Personal PV

(PPV) 50PV 100PV 200PV 300PV

2☆ 3☆ 4☆ 5☆ 6☆ 7☆ 8☆

5% 20% 24% 28% 32% 37% 43%

Direct Bonus = Direct BV (DBV) * Bonus Ratio

Awards and Bonuses

A PBV：300

B PBV：300

C PBV：300

D PBV：300

E PBV：300

A´s Direct Bonus 288$

300 × 4 × 24% = 288 $

<example> A is a new distributor in this month, his and his downlines´s sales is in the figure below. A´s direct bonus:

Awards and Bonuses

A´s Direct Bonus 100$

A PPV:300

B

PPV:400

C PPV:200

300 × 20% +200 × 20% =100 $

<example> A is a new distributor in this month, his and his downlines´s sales is in the figure below. A´s direct bonus:

Awards and Bonuses

Placement sponsor will receive direct bonus from the

cumulative personal PV (CPV) of the placed downlines, which

does not exceed 300PV.

Placement Sponsor Bonus

A is a new distributor in this month, D is A´s placed downline，the sales in the structur is in the figure left：

A´s placement sponsor Bonus:

PPV：400 PV B PPV:400

C PPV:350

D PPV:300

A PPV:320

<example>

Awards and Bonuses

300*20%=60$

The IPV consists of two components (both in a specific month): The first is the personal PV of all the direct downlines of a distributor that exceeds 300PV; the second is the personal PV of all the indirect downlines of that distributor.

IPV Indirect PV

A is a new distributor in this month，his and his downlines´ sales is in the fugure lefr:

A´s indirect PV is:

PPV：400 PV B PPV:400

C PPV:350

D PPV:50

A PPV:320

<example>

Awards and Bonuses

(B)100+(C)350+(D)50=500PV

A PPV:350

B

PPV:400

C PPV:200

E PPV:100

D PPV:320

<example>

A is a new distibutor in this month, his and his downlines´sales is in the figure left:

A´s indirect PV is:

Awards and Bonuses

(B)100+(D)320+(E)100=520PV

Indirect Bonus =Indirect BV (IBV) * Bonus Ratio

Rank

8☆

7☆

6☆

5☆

4☆

3☆

2☆

2☆

5%

3☆

20%

4☆

24%

5☆

28%

6☆

32%

7☆

37%

8☆

43%

PPV

Personal PV 50PV 100PV 200PV 300PV

15％

4％

19％

4％

8％

23％

4％

8％

12％

27％

5％

9％

13％

17％

32％

6％

11％

15％

19％

23％

38％

Awards and Bonuses

A PBV：300

B PBV：300

C PBV：300

D PBV：300

E PBV：380

A´s Indirect Bonus 29.2$

80 × 4% + (350+300) × 4% = 29.2 $

<example> A is a new distributor in this month, his and his downlines´sales is in the figure below:

A´s indirect Bonus:

D PBV:350

E PBV:300

Awards and Bonuses

<example>

Group PV refers to the difference between two sales volumes, for example Group PV =X-Y. X refers to network PV of a distributor in a specific month and Y refers to the network PV of the same level or higher level downlines of that distributor in a same specific month.

GPV Group PV

A 6 Star

B 6 Star

C 5 Star

D 5 Star

E 4 Star

TNPV：9500

TNPV：5000 TNPV：2000 TNPV：1500 TNPV：500

A´s network PV in current

month

B´s network PV in current

month

_ =9500-5000 4500

A´s Group PV =

Awards and Bonuses

Leadership Bonus

= Group BV of the same level distributor（GBV）* Bonus Ratio

Rank 5☆ 6☆ 7☆ 8☆

1. Generation 1% 1% 1% 2%

2. Generation 0.5% 0.5% 1%

3. Generation 0.5% 0.5% 0.5%

4. Generation 0.5% 0.5%

5. Generation 0.5% 0.3%

6. Generation 0.3%

7. Generation 0.2%

8. Generation 0.2%

(PPV) Personal PV 50PV 100PV 200PV 300PV

(GPV) Group PV 600PV 1000PV 2000PV 3000PV

Awards and Bonuses

A 6 Star

PBV:100

B 6 Star

TNBV:15000

C 5 Star

TNBV:5000

D 5 Star

TVBV:10000

E 6 Star

TNBV:8000

F 6 Star

TNBV:5000 A´s Leadership Bonus

110$ （15000 -8000）×1%+（8000-5000） ×0.5%+5000 ×0.5% = 110$

<example>

A is an existing distributor，his structure is in the figure right： A´s Leadership Bonus:

Awards and Bonuses

“Honorary Award”（5%） Lifetime

Achievement Bonus

（ 0.5%）

Broze

Lion

Silver

Lion

Gold

Lion

1 Star Gold Lion

2 Star Gold Lion

3 Star Gold Lion

4 Star Gold Lion

5 Star Gold Lion

Honorary Director

TIANSHI Feat Honorary Title

1 1％

0.75％

0.5%

0.5%

0.5%

0.5%

0.5%

0.5%

0.25%

0.5％

2

3

4

5

6

7

8

9

10

Award

Rank

Honorary Bonus: Honorary directors will be granted Honorary Bonus assigned from 5% of Global Sales Volume (BV).

Awards and Bonuses

1 2 3 4 5

Broze Lion 0.4％ Tour Reward

Silver Lion 0.7％ Car Reward

Luxurious Yacht

Private Aircraft Award

Luxurious Villa Award

Special Award: Title winners will be granted special award assigned from 2% of Global Sales Volume (BV)*

Awards and Bonuses

Gold Lion 0.3％

5 Star Gold Lion 0.3％

Honorary Director 0.3％

Lifetime Achievement Bonus: TIENS Feat Honorary Title winners will be granted special award assigned from 0.5% of Global Sales Volume (BV).

*Please refer to

New Regional

Special Award

Policy

Europe Region - Compensation Plan – Special Awards Reform

Tiens Group aims to offer generous financial rewards to distributors who scale new heights in their TIENS careers. Distributo rs can enjoy not only the opportunity to participate in

international tourism seminar, but also one-time cash award on the rank upgrade, in the form of subsidies towards their purchase of luxury cars, yachts, private jets and villas. A qualified

distributor can have the opportunity to win International Travel & Seminar Award, Car Award, Gold Lion Award, 5-star Gold Lion Award and Honorary Director Award.

Special Awards Title:

International Travel & Seminar Award

Car Award(Subsidy for Car)

Gold Lion Award (Subsidy for Yacht)

5-Star Gold Lion Award (Subsidy for Private Jet)

Honorary Director Award (Subsidy for Villa)

Qualifications and Rewards:

International Travel & Seminar Award:

Qualification: Each Region or Branch Office can set up the incentive plan towards to it, all the six star and above distributors can participate in this incentive plan. The qualified distributors

will be eligible to receive this award.

Car Award (Subsidy for Car):

Qualification: if the distributor qualified to Silver Lion or above and achieves Silver Lion Honorary Bonus in 6 months of a given fiscal year, among those 6 months, 3 months need to be

consecutive, then the distributor will eligible to receive this award.

Award: one-time award of US$25,000, which must be used for the purchase of luxury car

Gold Lion Award (Subsidy for Yacht):

Qualification: if the distributor qualified to Gold Lion or above and achieves Gold Lion Honorary Bonus in 6 months of a given fiscal year , among those 6 months, 3 months need to be


Award: one-time award of US$30,000

5-Star Gold Lion Award (Subsidy for Private Jet):

Qualification: if the distributor qualified to 5-Star Gold Lion and achieves 5-Star Gold Lion Honorary Bonus in 6 months of a given fiscal year, among those 6 months, 3 months need to be



Honorary Director Award (Subsidy for Villa)

Qualification: if the distributor qualified to Honorary Director and achieves Honorary Director Honorary Bonus in 6 months of a given fiscal year, among those 6 months, 3 months need to

be consecutive, then the distributor will eligible to receive this award.


Awards and Bonuses

1 • Join in one country，benefit globally

2 • Accumulative upgrade, never clear PV

3 • Global bonus calculation

4 • Variety of options to upgrade mode

5 • High bonus ratio.

TIENS Cumulative Mechanic and Stair Step Plan, have

following characteristics and advantages:

Advantages

- Better Tiens, Better Life -