Nu Skin Enterprises - Business Model and Sponsorships

Business Model and Sponsorships

Nu Skin Enterprises’ business model combines direct selling with multi-level marketing. Each distributor markets products directly to potential customers, and can also recruit and train customers to become distributors. Distributors are paid from the retail markup on products they are able to sell personally, as well as a performance bonus based on the sales of distributors they have recruited. As of 1994, most distributors made several hundred dollars per year or less, with only about 30% exceeding that income level.

Since the beginning of the 1992–93 professional basketball season, Nu Skin has sponsored the Utah Jazz Dancers. Nu Skin also sponsors the Brigham Young University athletic program and the America's Freedom Festival at Provo, one of the nation's largest Independence Day celebrations.

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