FAQ about Direct Selling
01. What is Direct Selling?
Direct selling is the marketing of consumer goods and services directly to consumers
on a person-to-person basis, generally in their homes or the homes of others, at their work place
and other places away from permanent retail locations.
Direct selling offers customers the opportunity to see, test and judge a product at their
leisure in their own homes or among friends. All goods are delivered directly to the customer.
02. What is FEDSA?
The Federation of European Direct Selling Associations (FEDSA) was formed in 1968
and represents the direct selling industry in Europe. FEDSA promotes direct selling to the EU
institutions and obtains a favourable legislative environment within which direct selling may profitably
operate and develop.; FEDSA represents the interests of national associations and their member
companies to EU institutions. FEDSA’s Members are 32 national direct selling associations (DSAs),
out of which 23 in EU Member States; one association per country.
03. Is Generations of Health / GOH a Member of the Federation of European Direct Selling
Associations / FEDSA?
Yes, it is.
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04. Is network or multi level marketing a form of direct selling?
Yes, network or multi level marketing is a form of direct selling.
There are many ways of organizing a direct selling company. Some companies use a network or
multi level marketing structure, where goods and services are supplied to consumers for final consumption
through sales made by a network of independent direct sellers (by GOH "Representatives").
These direct sellers may receive remuneration based on their own sales of goods and services to
consumers, and from the sales to consumers generated by their network of other independent direct
sellers who have been recruited and trained in the business.
05. Is direct selling a pyramid selling?
Direct selling is not pyramid selling. A pyramid scheme is any plan or operation by which
a participant pays or promises to pay for the opportunity to receive compensation, primarily derived from
the person's introduction of other persons into a plan or operation, rather than the sale of goods and
services by the participant or other persons introduced into the plan or operation.
There are mechanisms by which promoters of so-called 'investment' or 'trading' schemes enrich
themselves in geometric progression through the payment made by recruits to such schemes. Related
fraudulent schemes have been described in various international jurisdictions as 'chain letters', 'snow
ball schemes', 'chain selling', 'money games', or 'investment lotteries'.
Pyramid schemes are an issue of concern to FEDSA because these and other similar fraudulent
schemes are often disguised as, and sometimes confused with, direct selling.
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06. Is there a difference between direct selling and multi level marketing?
No, direct selling is a channel of distribution. Multi level marketing is a way of organising
a direct selling business and of compensating its direct sellers.
07. What benefits has direct selling / network
or multi level marketing for a direct seller?
- Convenient flexible earning opportunities;
- Flexibility to choose working hours;
- Possibility to establish and to run own business at minimum cost/low risk;
- Adjustable opportunities ranging from part-time to full-time activity;
- No formal qualifications required;
- Adequate training and support from companies;
- Large range of products available;
- Social contact and personal recognition.
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FAQ about Generations of Health
08. What are the relations between a Representative and Generations of Health / GOH?
Representatives are independent contractors and are not purchasers of a franchise. The
Representative Agreement between GOH and its Representatives does not constitute an employer/employee,
agency, partnership or joint venture relationship.
09. What business opportunity do I have as an Independent Representative?
Being am Independent Representative of GENERATIONS OF HEALTH you have discounted
prices. Furthermore, the business opportunity allows you to retail the products to end consumers and to
make a retail profit on your sales. You may also build your own team of Independent Representatives and
get paid for the sales generated through your network, in accordance with the company´s Compensation Plan.
10. How much is the licence fee for the Representative?
When you have registered as an Independent Representative you have to buy a "Representative Kit"
(for EUR 25, freight costs will be added). EUR 15 licence fee will be charged in the following years. See
"To become a GOH Representative you need to..."
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11. What sources of income do I have as an Independent Representative?
Your reward will be according to the "GOH Compensation Plan"
through 6 levels of your Personal Group and 6 levels of your Diamond Groups, additional your "Retail profit" and
"Consumer Bonus".
Retail profit:
Independent Representatives are entitled to purchase commissionable products from
GENERATIONS OF HEALTH at Representative prices and retail these products to end customers.
A suggested retail price is provided in the price list, but it is up to each Independent
Representative to set his/her own retail prices. Price lists you can find on
www.goh.biz/supervita-online or
www.goh.biz in 'Download center' when
you are logged in as Independent Representative.
Consumer bonus
Independent Representatives are entitled to enrol "preferred customers", called
Consumers, who in turn can purchase products directly from GOH.
The Enroller of a Consumer is paid a Consumer Bonus on the purchases made by the
Consumer. The Consumer Bonus is always paid out to the Representative, regardless of personal
qualification or achieved rank in the compensation plan. The Consumer Bonus consists of the price
difference between the Consumer price and the Representative Price, less a 5 % transaction fee
(in effect approximately 9 % of the Consumer price of a product).
MyPay bonus
This bonus is designed to reward Independent Representatives who participate
in the AMO (Automatic Monthly Order) program.
Each time an "active" Independent Representative, who is a minimum monthly 100 QV AMO
subscriber, enrols a new Independent Representative or Consumer into their organization,
they may be eligible to receive a 20% MyPay Bonus on the CV of the new Independent
Representatives or Consumers cumulative orders up to 270 CV each month, for the life of the
new person's orders. The maximum amount of qualifying volume that the Enroller is eligible
to earn MyPay Bonus on each month is 270 CV. The balance of the eligible pay out on the
first 270 Commissionable Volume will be apportioned accordingly to Royalty and Diamond Bonuses
MyPay Bonus received on a particular person's orders always replaces any Royalty
Bonus. A Representative can not earn both MyPay Bonus and Royalty Bonus on the same volume.
Royalty override bonus
Royalty Override qualified Independent Representatives are eligible to receive Royalty
Override Bonuses. Royalty Override Bonuses are calculated at 6% of the commissionable
volume (CV) on product which is purchased for personal consumption or business building
purposes, including retail sales on the first "active" levels of Independent Representatives in
the organisation, 8% of the CV on up to the next four "active" levels of Independent Representatives,
and 2%, 3%, 4% or 5% of the commissionable volume on the sixth "active" level of Independent
Representatives. "Active" is defined by an Independent Representative personally having
at least 100 per month in qualifying volume (QV).
Diamond bonus
The Diamond Bonus is designed to reward you for training and supervising Diamonds and
above who produce sales activity in your downline organisation. Once an Independent Representative
qualifies as a Diamond Team Leader, they may qualify monthly to earn 2% on their personal
group CV and 2% on their downline qualified Diamond and above Independent Representatives.
This bonus is paid on the entire group commissionable volume up to six (6) qualified Diamond
Team Leaders in depth each month you and they remain a qualified Diamond Team Leader.
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12. When does the bonus payment happen?
Bonus payments are conducted on the 15th of the following month. If the 15th falls
on a weekend or holiday, the next business day will apply.
13. How can I verify my bonus?
GOH carries out your bonus account and when you get your bonus you will
receive a detailed printed commission statement by mail.
14. Who is a "Sponsor"?
A sponsor is the direct upline of any Independent Representative.
15. Who is an "Enroller"?
An Enroller is an existing Independent Representative who introduces and enrols a new
Independent Representative into the GENERATIONS OF HEALTH organization. The Enroller can be the
same Independent Representative as the Sponsor, but it is not required.
16. What is Qualifying Volume (QV)?
The value assigned to a product which contributes towards an Independent Representative's
monthly qualification. Independent Representatives are eligible to earn bonuses and commissions
based on their monthly qualification or level of achievement. To earn commissions, an Independent
Representative must personally have purchased for a minimum of 100 QV (= 100 Euro without VAT) in
a volume period.
17. What is Commissionable Volume (CV)?
The value assigned to a product on which GENERATIONS OF HEALTH pays commissions
(e.g., Royalty Bonus, Diamond Bonus, etc.) to qualified upline Independent Representatives. A
predetermined conversion factor applies between CV and different currencies for payments of bonuses
and commissions.
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18. How can I become an Independent Representative?
- Register www.goh.biz/supervita-online
as a Representative. As registered Representative you can already purchase your products to discounted prices.
- Buy a "Representative Kit". Detail see...
"To become a GOH Representative you need to..."
- With the "Representative Kit" comes the "Representative Agreement". The "Representative Agreement"
must be completed in full and signed by you. The Representative Agreement should be returned as soon as possible
by mail or Fax to GOH. Fax number you will find on the bottom of "Representative Agreement" sheet.
- Not obligatory but recommended: Order Your AMO Package at least on 100 CV ( = 100 Euro without VAT).
This is your qualifying volume required for getting bonus.
After these steps you can sponsor and enrol your consumers and representatives as well as get bonus
on their turnover (CV) if you are qualified (see 11).
If you do not want to sponsor or enrol consumers and representatives but only retail the products,
you do not need to order the "AMO Package".
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19. How can I sponsor or enrol Consumers or Representatives?
Every Representative or Preferred Consumer must have a Sponsor. After presentation of GOH products or
GOH business opportunity you can register the interested people via internet either on www.goh.biz
or on your "Personal home page" (see 24.). In the registration sheet please do
not forget to fill in the field "Enroller ID" with your ID number as far as it is not yet indicated. When this sheet is
completed click "next" and your new consumer or representative is already registrated and logged in under his/her
new ID Number and can immediately purchase products in the Web shop.
For later log in his/her ID number and password is required. So please carefully note down this data.
20. I want only to retail the products without sponsoring? How can I do it best?
At first you must carry out all the steps described under "18. How can i become an Independent
Representative". Then after subscription of your AMO Package for at least 100 QV (= 100 Euro without VAT),
you can register a Retail Option ID number under your main ID. The form "7-22 Retail Option" you can find in the
"Download Center". Please fill in an send it to GOH ( by Fax or mail). In a short time you will receive your second
ID 700-xxxxxx. For all products you buy under this ID you will get the full MyPay Bonus of 20% on CV, unlimited -
condition is, that you have ordered at least 300 QV under your main ID.
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21. Can I have a subscription to get my products monthly?
What is an AMO Package?
AMO (=Automatic Monthly Order) means your products will be delivered automatically
at the same date every month, until you change or cancel it (at least 10 days before delivery date).
You can order the offered AMO Packages or you can arrange them yourself by means of the "AMO-Manager".
Your benefits: you save time for ordering and you get lower freight costs.
22. How can I see the monthly turnover of my Downline Group?
Under 'My Account' - 'Genealogy report' you can see and download your genealogy report,
which is based on two pieces of information: sales data and customer data of your Downline Group.
It is regularly updated from the 11th each month.
23. What are eTools?
Under the menu item 'My Account' GOH offers two categories of services. Free services,
such as the 'Download Center', 'Genealogy Report', 'AMO Manager' etc. are available to everyone who logged-in,
but the 'eTools' service is only available if you make a subscription. The 'eTools' service includes
your Personal Homepage (see 24.) with Web Statistics and an e-mail account (see 25.) for only 15,- Euro
per year.
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24. Can I get a personal home page?
Yes, one of the benefits of the 'eTools' is that you get your own personal home page. This home
page has its own address, which you can advertise to attract visitors. If a visitor of your home page
registers via this page, he automatically will be registered in your Downline (You are the Enroller and
Sponsor for that person).
Log in to 'My Account', click on 'eTools' and than on 'Purchase a subscription on eTools'.
You will then be led through a series of steps to help you create your own home page. You need no
expertise in programming, just follow the easy steps and your web site will be up and running before
you know it!
25. Can I have a personal e-mail address?
Yes, one of the features of eTools (see 24.) is a personal e-mail address that you can use for
your business activities. A web-based e-mail account provides you with easy access to your
e-mail wherever you are, enabling you to stay in touch with your representatives while you are
travelling. Make sure you have a valid e-mail address in "Manage your account" on the member pages.
That way, you will automatically receive an e-mail message when a new representative has signed up
via the Internet, naming you as their sponsor.
In "My account", you can change e-mail address, change password or subscribe to the free
e-mail based newsletter E-News.
We wish you all the best and a good success in your business!
[Register now as Representative ...]
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