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MARKETING PLAN

Marketing Plan – definitions   

Registered Customer, Customer –  a person registered on the Company’s website, with their own registration number, and entitled to purchase products with a 20% discount on orders up to 70 €, a 25% discount on orders above 70 €, and a 30% discount on orders above 145 €, based on the catalog price.
A registered customer is removed from the Company's database:
- if there is no first order within 3 billing periods after registration.
- if at least one order was placed - after 10 billing periods of inactivity (no purchases).

Catalog Price – the current price of the product in the country's currency, including VAT, indicated in the catalog and fixed within one billing period. 

Customer price – the cost of the products in the country’s currency including VAT after applying a discount of 20, 25 or 30% depending on the order amount. The listed catalog prices constitute a general offer presented by mihi Sp. z o.o. In order to obtain a personalized offer, reference should be made to the Personalized Offer Regulations, available on the Individual Pricing Regulations page https://mihi.care/pdfs/Regulamin/Regulations_of_Individual_Prices_EN.pdf

Director - a Customer who has fulfilled the conditions for assigning this status: PGV from 5,000 € / PV from 25 €.

 17% Director's Basket - group of the direct Director's mentor with PGV less than 1,500€ - 2,500€ depending on the number of 1st level Director groups.

 Registration number - a unique number assigned to a Registered Customer upon registration with the Company.

 Billing period – A 21-day period during which certain promotions and discounts from the catalog are valid, as well as a period for fulfilling the conditions of the Marketing Plan.

 Marketing Plan - a document describing the terms of cooperation with the Company, defining levels, statuses, conditions for achieving them, bonuses, and other conditions.

Personal Group (PG) – Registered Customers who have been personally recruited and registered, as well as Personal Groups of Registered Customers, except for Director Groups.

Director's Group (DG) – a Personal Group (PG) of a Director.

 Euro (€) – the currency in which the volume of product purchases is measured. The EURO exchange rate for each country's currency is set by the Company at a rate close to the official exchange rate.

Sales Volume – the volume of products purchased during the billing period, measured in EURO at the Customer's price.

Personal Volume (PV) – the sum of the Customer's personal orders in the billing period, measured in EURO. The minimum amount of Personal Volume for all Marketing Plan participants is 25 EURO. In case the Marketing Plan participant is not reached PV 25 EURO at the end of the billing period, PVG and remuneration is transferred to the higher Marketing Plan participant.

Personal Group Volume (PGV) – the sum of the Personal Volumes of all Customers in the Personal Group and your Personal Volume (PV) in the billing period. Measured in EURO. 

Group Volume (GV) – the sum of the Personal Volumes of all Customers of the structure, including the PGV of Director Groups and your Personal Volume (PV) in the billing period.

Open status/ Promotion – the fulfillment by the Customer of the conditions for Director status and above for the first time.

Confirmed status – the fulfillment by the Customer of the conditions for Director status and above for 6 billing periods out of the last 12.

The status of Director and above is assigned for 12 periods. 

If a Director (or higher) has not confirmed his/her status for the last 12 periods, he/she loses the privileges of his/her status (gifts for holidays, participation in chats, ratings and events for Directors, etc.) 

In order to renew the status, it is necessary to fulfil the conditions of the Marketing Plan for the lost status at least once. After that, the status will be assigned again for 12 periods.

Remuneration - a payment whose amount depends on the Sales Volume (SV) of your Personal Group and your Personal Volume.

 

The algorithm for calculating the remuneration

A Director's remuneration is the sum of the following components:

  1. Remuneration for the Personal Group Volume (PGV);

  2. Director's bonuses (remuneration for your Director's Group's Personal Group Volume (PGV))

  3. Bonuses for new statuses (Status Bonus, Mega and Double Bonus);

  4. Parental bonus.

 

  1. Method for calculating Personal Group Volume (PGV) remuneration 

 

The remuneration is calculated depending on the extent to which the conditions in Table 1 are met. The percent of accrual increases as the PGV increases.

Table 1. Conditions for remuneration payment

Level

PV (euro)

PGV (euro)

Remuneration payout, %

  1. Customer

 

below 100

0

  1. Consultant

25

100 and more

2%

  1. Advisor

250 and more

4%

  1. Senior Advisor

500 and more

6%

  1. Leader

1,000 and more

8%

  1. Senior Leader

1,500 and more

10%

  1. Partner

2,000 and more

12%

  1. Vice Director

3,000 and more

14%

  1. Director

5,000 and more

17%

 

Table 2 Calculating of remuneration percentage depending on the level

Level

Payout percentage

PGV (euro)

Percentage differences between your remuneration and that of your Customer

Director

17%

5,000 and more

 

Vice Director

14%

3,000 and more

 

3%

Partner

12%

2,000 and more

 

2%

5%

Senior Leader

10%

1,500 and more

 

2%

4%

7%

Leader

8%

1,000 and more

 

2%

4%

6%

9%

Senior Advisor

6%

500 and more

 

2%

4%

6%

8%

11%

Advisor

4%

250 and more

 

2%

4%

6%

8%

10%

13%

Consultant

2%

100 and more

 

2%

4%

6%

8%

10%

12%

15%

Customer

0%

below 100

2%

4%

6%

8%

10%

12%

14%

17%

 

Example: A Senior Leader achieves a 1 600 euros sales volume at Registered Customer Prices.
Their structure includes:

        2 Consultants – 2% with a Sales Volume of 240 euros.

        1 Advisor – 4% with a Sales Volume of 360 euros.

        Customers with a Sales Volume of 1,000 euros.

 

Calculation of the Senior Leader's remuneration:

240 euros х (10% - 2%) = 240 euros. х 8% = 19.2 euros – the Senior Leader's remuneration for Consultants 2%

360 euros х (10% - 4%) = 360 euros х 6% = 21.6 euros – the Senior Leader's remuneration for the Advisor 4%

1,000 euros х 10% = 100 euros – the Senior Leader's remuneration for Customers

● 19.2 euros. + 21.6 euros + 100 euros = 140.8 euros — the total remuneration of the Senior Leader

 

Your remuneration is the difference between the payout percentage for your level and the level of your Customers of Personal Group.

 

2.       Director's Bonuses

 

A Registered Customer who created Director's Groups 17% is granted a Director's Bonus for their PGV. When a Registered Customer PG includes Director's Groups 17%, they are granted a symbolic status of ‘Director’ for one year after they meet the conditions for the confirmed status.

Table 3. Conditions for Director's Bonuses

Status

Number of Director's

Groups

PGV (euro)

Line payments

 

1

2

3

4

5

Director

0

5,000

 

 

 

 

 

Senior Director

1

2,500 

5%

 

 

 

 

Structural Director

2

2,000

5%

1% 

 

 

 

Business Director

3

1,500

5%

1% 

0.5%

 

 

Senior Business Director

4

1,500

5%

1%

0.5%

0.25%

 

Elite Director

6

1,500

5%

1%

0.5%

0.25%

0.125%

National Director

9

1,500

5%

1.5%

0.75%

0.35%

0.125%

Senior National Director

12

1,500

5%

1.5%

0,75%

0.35%

0.175%

International Director

15

1,500

5%

1.5%

0.75%

0.35%

0.175%

Senior International Director

18

1,500

5%

2%

1%

0.5%

0.175%

Managing Director

22

1,500

5%

2%

1%

0.5%

0.175%

Senior Managing Director

26, including 5 Elite

1,500

5%

2.5%

1.5%

0,75%

0.225%

Director General

30, including 10 Elite

1,500

5%

2.5%

1.5%

0,75%

0.225%

 

Whether or not a Director is granted any status depends on the number of Director's Groups in their structure. Note that these Director's Groups should be led by First Line Directors. The First Line means that there are no other Director's Groups between higher and lower Directors. The number of other (non-First Line) Director's Groups does not affect the Director's status, but it does influence their remuneration (Director's Bonus). The Director's Bonus is granted depending on the status. The bonus is calculated based on the PGV of your Director's Groups. The precondition for the bonus is the value of the Director's PGV.  It must reach a turnover from 1,500 euro to 2,500 euro depending on the Director's status. The method for determining the Director's status, principles of calculating the Director's Bonuses, and their amount are shown in Table 3.

In the case where a Director does not reach the 5,000 euros / Senior Director 2,500 euros/ Structural Director 2,000 euros/ Business Director and above 1,500 euros PGV at the end of the billing period, his Personal Group Volume shall be transferred to the higher status Director PGV.  In such billing period, his First Line Director Groups become the First Line Director Groups of the higher status Director.

If the direct Mentor of a Director group has an PGV of less than 2,500 euro,less than 2,000 euro (2 Director groups), less than 1,500 euro (3 and above Director groups) such group becomes a Director basket with 17%. The Director basket is extracted from the PGV of the higher level Director together with all its 1st line Director groups. Such a Mentor receives 17% from his PGV, but is not a Director and cannot claim bonuses.

For a higher status Director, if a Director group (basket) is created in his/her 1st line - no matter how many Director groups this Leader has (more than 1) - such group will always count as 1st line Director group.

 

Additional bonus for structure development.

For Senior Directors and above - Bonus for structure development in depth: 

 ⁃ an additional 1% on the 2nd line Director/Directors' PGV, in case the 1st line Director's PGV is between 2500€ and 3999€. 

Attention! 

 ⁃ for Senior Directors, the additional 1% Bonus from the 2nd line will be calculated as an exception if the above conditions are met. 

 ⁃ for Structural Directors and above the payment from the 2nd line will be +1%, that is 2% in total, subject to the conditions mentioned above.


Examples: Director Basket

  1. B - is a Director basket.
    A - is a Senior Director.
    Leaders B + C + D - are counted for A as one 1st-line Director Group.

  1. If a Leader from the 3rd-line of the PG of the higher Director becomes a Director (D) - the 2nd-line Leader (C) - becomes a 17% Director basket.

Leader B / 12% -  remains in the PGV of Leader A.
For Senior Director A - Groups C + D are counted as one 1st-line Director Group.

  1. If a Leader from the 4th-line of the PG of the higher Director becomes a Director (E) - the 3rd-line Leader (D) - becomes a 17% Director basket.

Leaders B / 12% and C / 8% - remain in the PGV of Leader A.
For Senior Director A - Groups D and E are counted as one 1st-line Director Group.



 

3. Bonuses for new statuses (Status Bonus, Mega and Double Bonus)

Status Bonus

Status bonuses are awarded starting from the Director level. The amount of the status bonus depends on the Director's status. Three conditions have to be met simultaneously. They are:

  • achievement of the Director status and above,

  • maintenance of the achieved Status by the Director for six reporting periods out of twelve (starting from the billing period in which the Status was achieved),

  • PV of 25 euros and PGV of at least: 5,000 euros for Director, 2,500 euros for Senior Director, 2,000 euros for Structural Director, 1,500 euros for Business Director and above.

 

Table 4. The amount of the Status Bonus

Status

Number of DGs

Status Bonus

 in euro

Director

0

1,000 

Senior Director*

0/1

500

Structural Director

2

2,000

Business Director

3

3,000

Senior Business Director

4

4,000

Elite Director

6

6,000

National Director

9

10,000

Senior National Director

12

15,000

International Director

15

20,000

Senior International Director

18

30,000

Managing Director

22

50,000

Senior Managing Director

26, including 5 Elite

100,000

Director General

30, including 10 Elite

500,000


*A bonus for each new First Line Director may be received only once.

** In the case where a Director Group(s) appears in the structure due to the deletion of a First Line Director's registration number, the Status Bonus will not be paid for the titles gained as a result of this situation. A further Status Bonus will be paid when the next status will be achieved.

 Mega Bonus

Mega Bonus can be received for each new status from Director up to Elite Director within one year (17 billing periods) of registration. The amount of the Mega Bonus is equal to the Status Bonus (Table 4) and is calculated based on the fulfillment of two consecutive billing periods of repeating the achieved status. Three conditions must be met simultaneously:

  • promotion to a new status from Director and above within 17 billing periods from the registration period.

  • repeat the result in the next (one) billing period.

  • in each period of fulfillment, the difference between the Director's PGV and the leader with the highest PGV in the Director's personal group must be at least 1,000 euros.

Bonuses are cumulative when higher statuses are reached.

 

Double Bonus

Double Bonus can be received for each new status from Director up to Elite Director after one year (17 billing periods) of registration. The amount of the Double Bonus is equal to the Status Bonus (Table 4) and is calculated based on the fulfillment of three consecutive billing periods of maintaining the achieved status. Three conditions must be met simultaneously:

  • promotion to a new status from Director and above after 17 billing periods from the registration period,

  • repeat the result in the next two billing periods,

  • in each period of fulfillment, the difference between Director’s PGV and the leader with the highest PGV in Director’s personal group must be at least 1,000 euros.

Bonuses are cumulative when higher statuses are reached.

 

4.       Parental bonus

The bonus is paid out if a Registered Customer collaborating with the company becomes a parent or a foster parent. A relevant application may be submitted from the Vice Director level (14%) maintained for at least 6 periods of the recent year.

The bonus amount is 40 euros. The bonus is paid out in each billing period during one year, if a child comes into the family. For the second and next children - a bonus of 50 euros for each billing period.

The payout is made for a born or adopted child in each billing period for one year following the birth or adoption. The Personal Volume for each period of the year should also be 25 euros. The bonus is granted to Customers registered with the Company under a ‘Family Contract’.



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