Chapter 12: Marketing Plan and Promotional Activities

 

SEC. 1      MPCP MANAGEMENT/SUPERVISORY RESPONSIBILITIES

UnFranchise Owners are paid commissions for managing, training, supplying, supporting and motivating their organisations to produce retail sales volume and do not earn commission under the MPCP solely on production. UnFranchise Owners must maintain and provide continuous, substantive, supervisory and management functions to all UnFranchise Owners in their sales organisation, regardless of whether their sales volume currently contributes to your commissions. Failure to carry out these responsibilities is grounds for corrective action by Market Australia, including, but not limited to, forfeiture or reversal of commission cheques, required additional training, and in the case of chronic or severe failure to perform the duties, termination of the UnFranchise Owner’s contract as set forth in Chapter 14, Sec. 1 of this UnFranchise Manual. 

(A)    Management and training responsibilities: This includes educating and motivating their sales organisation in subject matter regarding Market Australia products, effective sales techniques, the MPCP and compliance with policies and procedures contained in this UnFranchise Manual.  Further, UnFranchise Owners must train and communicate with their sales organisation to ensure that UnFranchise Owners within their organisations do not make improper product or income claims, engage in illegal or inappropriate conduct, including but not limited to: engaging, directly or indirectly, whether through use of social media or other means, in any action or conduct to intentionally disparage, demean or reflect negatively or upon the name, professional reputation, character or business of Market Australia  or any other action that would otherwise violate the terms of the IUA&A or policies in this UnFranchise Manual.  

(B)    Supervisory responsibilities: Examples of supervisory and management functions include, but are not limited to: personal meetings, training sessions, resolving customer satisfaction issues, assisting in policy and procedure training, advising other UnFranchise Owners on the proper and ethical use of social media, protecting against unethical activities, reporting any suspected or actual policy violations, maintaining continuous contact and communication via telephone, voicemail, email, newsletters, written correspondence, social media, as well as accompanying them to Global Meeting, Training and Seminar System ( “GMTSS”) events and other Market Australia  events and training programs.  

UnFranchise Owners must provide evidence of their supervisory or management function to Market Australia upon request; Market Australia, in its sole discretion, may determine if these supervisory and management responsibilities have been and are currently being fulfilled satisfactorily. Market Australia provides all UnFranchise Owners with a series of Management Reports, for the sole purpose of demonstrating the execution of management responsibilities.  All Management Reports and the information contained therein are confidential and proprietary and constitute trade secrets of Market Australia and should be treated as such, specifically, except as expressly permitted, UnFranchise Owners:

           (1)    Must not directly or indirectly disclose any information contained in any Management Reports or any other business documents to any third party;

           (2)    Must not use such information to compete with Market Australia;

           (3)    Must not encourage or solicit any customer(s) or UnFranchise Owner(s) to reduce or terminate their business relationship with Market Australia, including but not limited to using social media sites to solicit UnFranchise Owners; or

           (4)    Must not directly or indirectly disclose to any third party their REP ID and Password.

In addition to the specific Management and Supervisory functions detailed in (A) & (B) of this section, UnFranchise Owners also have the additional management responsibilities described below:

UnFranchise Owner: UnFranchise Owners have the ultimate responsibility for ensuring their desired level of success. They have the responsibility for being knowledgeable about the Market Australia UnFranchise Manual contents (i.e., policies, procedures, rules and regulations).

Sponsor: Sponsors have the specific responsibility to comply with all provisions relating to sponsorship described in the Terms and Conditions of the IUA&A, as well as other applicable policies and procedures.

Coordinator: In addition to those responsibilities specified in the “Sponsor” section above, Coordinators must train and work with all UnFranchise Owners in their organisation down to the next active Coordinator. Additionally, they must supervise the downline Coordinators and make sure these Coordinators are supporting and training all UnFranchise Owners in their organisations. A Coordinator is responsible for presenting the Marketing Plan to new UnFranchise Owners.

Executive Coordinator: In addition to those responsibilities specified in “Sponsor” above, Executive Coordinators are contractually bound (i.e., Executive Coordinator Acknowledgment and Agreement) to enforce the policies, procedures, buyback guarantee, return merchandise policy, and rules and regulations to the level of the next Executive Coordinator in their downline organisation. If the next downline Executive Coordinator is not fulfilling these responsibilities, the upline Executive Coordinator must notify the upline leadership, and must fulfill the responsibilities of the non-compliant downline Executive Coordinator until another downline Executive Coordinator is developed in that organisation who assumes/fulfills those responsibilities for the organisation. 

Certified Executive Coordinator: In addition to those responsibilities specified in “Sponsor” and “Executive Coordinator” above, Certified Executive Coordinators must provide Basic 5 Trainings for all UnFranchise Owners in their organisation down to the next Certified Executive Coordinator. Only Certified Executive Coordinators (i.e., Executive Coordinators who have passed the Executive Coordinator Certification Training) may conduct New UnFranchise Owner Trainings and Basic 5 Trainings.

Professional Coordinators and Higher UnFranchise Levels: In addition to the responsibilities specified above, these managers must ensure that all UnFranchise Owners in their downline organisations are being properly supported and trained through communication and ongoing supervisory functions to downline leadership.

Certified Trainers: Certified Trainers shall fulfill all responsibilities in accordance with the policies and procedures in the Market Australia UnFranchise Manual. They also shall ensure that any UnFranchise Owner in their downline requiring an Executive Coordinator Certification Training is provided such training, even if it requires the Certified Trainer to travel to a distant geographic location to do so.

Advisory Council Members: Advisory Council members shall organise meetings in new geographic areas of growth where they have downline UnFranchise Owners; resolve disputes between lines of sponsorship; work with other Advisory Council members to provide training on a global basis, implement the Global Meeting, Training and Seminar System (GMTSS) within their downline, enforce the policies, procedures, rules and regulations in all lines of sponsorship through all means provided in the Market Australia  UnFranchise Manual.


SEC. 2       RECRUITING

UnFranchise Owners are compensated only for personal sales production from their sales and distribution organisations within their downline according to company policy, procedures, rules, and regulations, and for their management and supervisory role for their downline organisations. An UnFranchise Owner is not compensated for sponsoring/recruiting new UnFranchise Owners.


SEC. 3      RETAIL SALES REQUIREMENT

In order to consummate acceptance as an active and qualified UnFranchise Owner, the UnFranchise Owner must have a minimum of two retail sales totaling AUD$250.00 and submit to Market Australia a Form 1000 accompanied by at least two retail receipts substantiating AUD$250.00 in retail sales to end consumers within a three-Q-date period of qualifying a BDC. Mailed Form 1000s must be filed by the end of the UnFranchise Owner’s quarter and received by Market Australia by 1:59 pm on Friday to count towards the current week. Form 1000s submitted online must be submitted by 11:59 pm on Friday to count towards the current week.


SEC. 4      PERSONAL CONSUMPTION OF PRODUCTS

Market Australia’s Management Performance Compensation Plan is based upon retail sales to the end consumer. The company recognises that UnFranchise Owners may wish to purchase products in reasonable amounts for their own personal consumption and/or use. Personal consumption orders do not count for the satisfaction of the Form 1000 requirement


SEC. 5      SPONSORSHIP RIGHTS AND OBLIGATIONS

All UnFranchise Owners have the right to sponsor new UnFranchise Owners into their downline organisation provided they generate AUD$250.00 in retail sales and submit documentation to the company within 30 days of sponsorship.

(A)    New UnFranchise Owners: Each new UnFranchise Owner has the ultimate right to choose his/her own sponsor.

(B)    Sponsorship Conflicts: If two UnFranchise Owners claim to be the sponsor of the new UnFranchise Owner, the company may at its discretion regard the first executed and received Application and Agreement as controlling. The company also reserves the right to review each situation and adjust sponsorship rights accordingly.

           (1)    As a general rule, it is good practice to regard the first UnFranchise Owner that meaningfully works with a prospective UnFranchise Owner as having first claim to sponsorship. Basic tenets of common sense and consideration should govern.

           (2)    UnFranchise Owners who sponsor other UnFranchise Owners must fulfill the obligation of a bona fide supervisory, distributing, and selling function in the sale and distribution of products to the end consumer, and in the training of those UnFranchise Owners sponsored. UnFranchise Owners must actively pursue ongoing contact, communication, and management activities with their organisation. Failure to fulfill this obligation may result in loss of sponsorship rights and/or termination at the company’s sole discretion.

(C)    Lack of Sponsorship: If an UnFranchise Owner does not have a sponsor entered into the computer database because of same household, failure to enter a sponsor on the original application, etc., and that UnFranchise Owner wants to have a sponsor entered into the computer database, he/she must submit a letter of request, to the attention of the Compliance Department, explaining the situation. The letter must be signed by both the UnFranchise Owner and the proposed sponsor. UnFranchise Owners should allow the Compliance Department at least two weeks to notify them if sponsorship was approved. 


SEC. 6      UNETHICAL ACTIVITY

In the conduct of their business UnFranchise Owners shall safeguard and promote the reputation of the products of the company and shall refrain from all conduct which might be harmful to the reputation of the company.

(A)    Products: The marketing of such products shall be consistent with the public interest, and avoid all discourteous, deceptive, misleading, unethical, or immoral conduct or practices.

(B)    Advertisements: Independent UnFranchise Owners shall not advertise company products and/or its Marketing Plan except as specifically approved by the company. 

(C)    Representation: Independent UnFranchise Owners agree to make no false or fraudulent representation about the company, the products, the Management Performance Compensation Plan, or income potentials.

(D)    Compliance: Failure to comply with this obligation may result in termination and possible legal action.



SEC. 7      INCOME CLAIMS

UnFranchise Owners may only use income claims published by Market Australia. No unauthorised claims are permitted for recruiting or any other purpose. Do not mislead prospective Independent UnFranchise Owners by claims that high earnings will be easily achieved. Moreover, it is illegal for an UnFranchise Owner to persuade anyone to make a payment by promising benefits from merely getting others to join Market Australia. Use of unauthorised income claims is grounds for initiation of Corrective Action Procedures by the company. Unauthorised income claims are not permissible even if Market Australia’s name is not used in the advertisement or claim. 


SEC. 8      PRESENTATION OF MARKETING PLAN

(A)     Speakers’ Bureau Members (Category 1 or Category 2): Speakers’ Bureau Members may present the Management Performance Compensation Plan segment at an UnFranchise Business Presentation where UnFranchise Owners are charged an admission fee

(B)     UnFranchise Business Presentation (“UBP”) Speakers: These speakers may present the Management Performance Compensation Plan segment at an UnFranchise Business Presentation where UnFranchise Owners are charged an admission fee but will not receive compensation. 

(C)    UnFranchise Owners: UnFranchise Owners may hold “one-to-one” or closed presentations but must follow the format provided by the company in official company literature and audio/video materials.

(D)    Misrepresentation: Any misrepresentation of the Marketing Plan or Management Performance Compensation Plan will be grounds for termination and possible legal action.


SEC. 9       GOVERNMENTAL ENDORSEMENTS

Government regulatory agencies as a practice do not approve nor endorse direct sales programs or any other type of business activity. Therefore, UnFranchise Owners shall not represent or imply, directly or indirectly, that Market Australia and its programs have been “approved” or “endorsed” by any governmental agency.


SEC. 10     PRESS INQUIRIES

Any inquiries by any type of media (television, radio, print, etc.) are to be referred to the company’s Public Relations Department immediately. This policy is to ensure accuracy and consistent public image.


SEC. 11     INTERNATIONAL EXPANSION

Market America will continue to expand internationally. However, Market America and its subsidiaries cannot permit its future access to potential new markets to be impeded or denied by a few premature, unauthorised, and uninformed UnFranchise Owners. 

(A)    Restrictions: To prevent abuse, the following restrictions shall be strictly enforced:

           (1)    UnFranchise Owners must not engage in any unauthorized activity in any unopened country/territory prior to authorisation by Market Australia.

           (2)    UnFranchise Owners can only conduct meetings to explain the marketing plan and engage in any type of recruiting activities in countries where Market Australia or its affiliated companies are open for business or in countries listed under the Emerging Market Program (“EMP).
Note: Please visit your UnFranchise business account to learn more about EMP countries.

           (3)    UnFranchise Owners must not export any Market Australia products or literature.

           (4)    UnFranchise Owners may only promote or refer Market America branded products to anyone in any unopened country/territory and in the EMP countries through the UnFranchise Owner’s GLOBAL.SHOP.COM website.

(B)     Emerging Market Program (“EMP”)

           EMP provides a slimmed–down, streamlined version of the Market Australia business, which allows the company to assess potential expansion to a full “market” country in the future. Independent UnFranchise Owners may invite residents of EMP countries to participate in their organisation under a streamlined version of the Market Australia Marketing Plan.

(C)    SHOP.COM Global: GLOBAL.SHOP.COM allows customers from anywhere to buy Market America branded products. Independent UnFranchise Owners who refer Market America branded products in other countries via GLOBAL.SHOP.COM earn home country BV. In addition to BV, UnFranchise Owners will earn retail profits for sales made via GLOBAL.SHOP.COM to be delivered in countries where Market America and/or its affiliates do not have in-country operations. No Retail Profit will be earned from sales made via GLOBAL.SHOP.COM to be delivered to certain countries where Market America and/or its affiliated companies have operations, specifically Australia, Taiwan, Singapore, Hong Kong, Malaysia, and United Kingdom. Products purchased from GLOBAL.SHOP.COM shall be for personal consumption only and shall not be retailed. Note: Restrictions may apply. 

(D)    Corrective Action: Market Australia will use the corrective action procedures set forth in the UnFranchise Manual to discipline UnFranchise Owners who violate Market America’s pre-launch activity restrictions. Those corrective action procedures include suspension and/or termination for violating UnFranchise Owners.

(E)    UnFranchise Owner Notification: Market Australia will notify UnFranchise Owners of any plans for opening international markets. Meanwhile, UnFranchise Owners should take no premature steps into currently unopened markets, as this could jeopardise international expansion for all UnFranchise Owners in the future. If UnFranchise Owners have an interest in a particular international market(s) for potential expansion, they can submit such information in writing to Market Australia, to the attention of the Legal Department.