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Consumer complaints and reviews about QNET

May 26, 2014

Felt Cheated under false claims

I was referred into the business through one of my ex colleagues. She made me many false promises about the business. When I asked him saying I want to know about the company profile first, she resisted and said it is not required to do any prior study first and no ground work is needed and made me introduced to a person coming from Mumbai. Invited for a meeting at one of the CCD's and that day called me about 5 times to check I should go on time(the same person never called me in 5 years otherwise). I saw the presentation and was not convinced enough to do it but then also received multiple calls its a lifetime opportunity and I will miss it, I should block my position ASAP etc...I resisted and said NO..then drama started happening..I got call from another previous colleagues they are also a part of it...They forced me to their best capacity and finally I joined by opting QVI package of 3 L. (Biggest mistake of my life)...Then another surprise I got to know..I was told the QVI club has own resorts in almost every country but reality they have just handful resorts of their own in mostly Thailand and if u want to avail packages in other countries then I have to pay an XChange fees over and above usage fees which was shocking. They talked about resorts comparing 4-5 star hotels but in real they stand nowhere.

Once I got on boarded, they ask me to read books and go through DVDs for brain washing and asked me to get my family members joined the business ASAP with maximum investments I could derive from them in any form -Need, opportunity, theft etc....I was not able to convince people for the same and have not made a single rupee out of buisness.

I simply want answers to the following questions:
1. Why don't you pass on company links to people initially...when we apply for a job, we do a full research on company.
2. Why not in the initial go you were been told about the refund period of 30 days.
3. Why don't you guys tell upfront you would have to ask your friends and family the crap you need money and you cant tell them the reason.
4, Why do you guys hide your identity on your FB , LinkedIn accounts-Why don't you proudly mention QNET.
5.Will you return my money even its been over 6 months I joined and not even used ur product once??

It's easy to say people who don't do well make complaints BUT it is needed to know what they are required to do..Without telling them you just make them part of trap and make them suffer deprived of their savings. When they dont perform you carry and inferior behaviour towards them in group...Highly unethical.

I request the legal authorities to look into all the CCDs, BARISTA and COSTA coffee parlour and see what is happening there on weekends.People making fool of others. Especially check on these venues- CCD Saket, CCD- DT Mega mall Gurgaon, BARISTA, DT MEGA MALL-Gurgaon, Barista GIP -Noida (During weekdays) and PVR Priya, CCD Saket, Starbucks-Select city during weekends, you can find hundreds of people faking other people.Please take proper action against them and ask them if it is illegal and do they have any license for doing it.

Another suffering fellow
May 25, 2014

QNET- Reviews of an I.E.S. officer

This post is only for those people to read, who actually want to analyse the situations from all angles. But read this post completely without any ego if you wanna know the truth.

My name is Abhishek. I am a former I.E.S. officer and was posted in Jammu after which I started QNET. It has been 31 months now and I have faced no problems, neither I have convinced anyone to do the business ever. I operate out of New Delhi. Anyone who feels cheated and wants to understand, come and meet me there. I am there every evening.

It was initially very hard for me to believe that I was a part of network marketing industry and that too QNET. I had googled QNET and all sort of scam allegations came out. Now my observations:

1. If you start any business of your own, be it a PAAN tapri or a restaurant or a company, there will be legal allegations. Live with it!! Google " Microsoft Scam" and you will find umpteen number of complaints, but do you stop using Windows because some legal action is going against Microsoft? Your company's competitors will do anything to bring you down. You don't believe me? Try doing a traditional business or ask any traditional businessman what all legal things he goes through.

2. The person who is writing a blog, do you know him? For that matter you don't even know me. So if you are not ready to believe me, why should you believe his blog?

3. As far as media allegation is concerned, let me tell you one thing. If I have a grudge against you, I can go an file an FIR. It is very easy, given the porous nature of our legal system. Now if you are a big businessman, the media will come an write " Mr. X arrested for a fraud worth so and so". So the media has declared you a culprit before even the court!! But in reality you are just BEING INVESTIGATED. Now the main part: If our Mr. X is clean the court will release him. That time no media will come, because media earns more by negative reviews than positive reviews. But google archives will always have that allegation flashing on their website. It's a search engine. Come on people!

4. Go to www.gibm2012.org and you will see that a government event where president Pranab Mukhejee is speaking is sponsored by QNET. Why would a government body allow a scam company to sponsor it?

5. We have partnered with Manchester City Football Club. Go check their website,if you want to do real research. Our business model is a case study for MICROSOFT. Go to Microsoft Case Studies page and see qnet's model is endorsed.

6. This is network marketing industry. Hence it means it is driven by people. It means some people do it the wrong way. I am ready to agree that many people were given false promises, but then by whom? BY COMPANY Or BY THEIR RELATIVES? Those relatives who themselves are new. They saw an awesome opportunity and wanted to give you benefit and they could not control what they were saying .If they wanted to cheat you why would they put your money in the company rather than in their own bank accounts?

But let me tell, it would be wise to put money and purchase a product. It will help you only if you have the balls to actually analyse the business with an open mind and without prejudging and work for 2 to 3 months. If you don't like it, quit it and take refund. QNET is always open for refund. For refund please refer my point 8.

7. I agree there are many teams who operate in the wrong way. But their intent is not wrong. You should forward this query up and it will be resolved. OR change your team. It is simple, either your guides are wrong or you are wrong. Not the company. I have been blessed to have an awesome team. I know all legalities IN and OUT. Anyone can call be on my number below and talk to me.

8. REFUND: Anyone who wants to take refund can take it. The company allows it. Even after 6 months of purchase. I will tell you how. Just call up the customer care number 0085222639000 or 09900063901 or 0060379498288. They will refund you within 2 weeks. I have got many refunds done in my organisations for people who don't want to continue.

It is just that some teams don't tell you that refund policy is there because they WANT you to flourish and become successful. Your 2 to 3 lacs will give them 25000 rupees as commission. Do you think that your relatives will cheat you for 25000 rupees? This much money they can ask you as a friend. Why get Qnet in the picture then? Think people think!! Again it is people's fault,not QNET's. My team is excellent and we do business transparently.

9. Neither have my commissions stopped coming nor ever I could see any problems in the ethics of QNET. QNET will seem fraud to only those people who are pre-scared and don't devote time to do right research.

10. None of the complainants in this webpage has ever done Network Marketing properly but you all are writings posts as if you all are PRO at it. It is like I have never played cricket but I say that Tendulkar does not know how to bat.

11. I have checked all government compliances (being IES has its benefits). Go to the MINISTRY OF CORPORATE AFFAIRS webpage and check whether company QNET which in India is registered as "Vihaan Direct Selling (India) Private Limited" is there or not. Here is the link http://www.mca.gov.in/DCAPortalWeb/dca/CompanyCINSRAction.do?method=find

12. Whyy would a scam company be on the Ministry's webpage??

13. Multi-Level Marketing Regulation act 2013(draft) has been approved by the Government of Kerela and soon to be placed in on 2014 Lok Sabha table for approval. Soon we will have a regulatory body to control the functioning of all MLM companies. You didn't know this, right? Ye google kyon nahi karte??

14. As far as VCON is concerned, I was there too. If you do not go to vcon seeking answers you will find it repulsive. No wonder many people here are cursing it. It is just like the analogy that I don't like Govinda, but if I am forced to sit in a movie theatre to watch his movie, I will leave the hall in 10 minutes. But if I say, "I have already spent 95000 Rupees to come to Malaysia, then why not sit for whole 5 days (WITHOUT ANY GRUDGES OR PREJUDGING AND TRY TO LISTEN TO WHAT THEY WANT TO SAY? Tum log to pehle hi bhaag gaye"



Formerly I.E.S.
May 21, 2014

QNet, Mathematically impossible... total fraud

They have only plans to get money from near and dea ones... no plans to return... once u paid..consider it has gone...
May 21, 2014


Are you getting response from QNET after complaints lodge or not
May 19, 2014

I have been cheated by my relatives (NK & MT) for joining QNET by trusted force and not by choice

I have been cheated by my two relatives named NK and MT (short names) who came to my home with QNET business saying their is a good opportunity for you where you have to do e-comm through computer and phone only to earn handsome money where no another job or business can give in next 3--4 years. They took my credit card in Feb 2014 with giving 100% surety and trust as being close family members. They said by spending 3.5 lakhs (one time) you can buy BMW car in next 3 years and earn Rs. 10Lakhs per week but you have to do the business through phone and computer.

After 5 days MT called me up and said its urgent to register me today as it is last day so they require credit card transfer of around 2.5--3lakhs. I questioned them why in so hurry let me know the business first and then add me when I fully understand but they gave assurance that we will refund your amount if you do not like the business policy. I transferred the amount on their trust.

After that they called me to Cafe Coffee Day Saket for some meeting with DK and others where I did not understand the concept and finally 5--6 people were given so called 'Welcome' for joining the business.

I then went for VCELL at CCD Saket where on my 1st VCELL the lady was guiding to get the money from relatives on lies (like: pretend your relatives that you are in emergency need of 3--4 lakh and can they give). I got angry to my relatives that what kind of work this is where people ask to tell lies to your relatives and ask for money.

Then again they asked me to attend another VCELL at CCD saket but till then I could not understand the nature of business and I kept full trust on my relatives. Their I came to know people are quitting their jobs (with package of 20-30laks per annum) and joining this business. The people who have joined this scheme are well educated and possess higher qualifications. Then also I said I have no trust in this type of schemes as this remind me of several other scams.

Finally in April 2014 they asked me to come for VCON and they kept calling me everyday to come for VCON-2014 Malaysia where everything will be cleared. I got my passport renewed by spending Rs. 10000 and gave another chunk of money to them without asking any questions and they said total expenses will be around 70--75k for the V-CON Malaysia trip.

My relatives said that if you do not like the business after attending V-CON then we will refund your money and the Malaysia Trip costs. I thought if they are saying with such a surety then there might be a good opportunity they are offering to me being a well wisher.

I went to Malaysia with good hope but all got spoiled after attending first two days of V-CON. I gave them clue about not liking the business in their so called 'Sharing' on 9th May in Penang, Malaysis. The trip was of cost around 95000--1Lakh finally excluding personal expenses.

Now after returning to India when I said that the company business is not acceptable by me then they said rest of the people who went for V-CON for the first time never complained and you are the only person complaining. I asked them to refund my money as well as Malaysia trip cost as per their promise to pay back.

Now they are asking me to meet their senior person and not picking up the phone or replying my messages for paying back.

I have recordings of almost all the telephonic conversations and will lodge a fraud complain against all involved in cheating me.
May 16, 2014

i want to sell Vacation Holiday package

I want to sell Qnet holiday package
Apr 19, 2014

Company *may* be legit, but the guys who brought this to you are not

Company *may* be legit, but the guys who brought this to you are not

So, I got pitched to today - the pitch was mediocre, BTW. At a friggin McDonalds. Why did I go there? Because it was Saturday and Saturday is "learn something new" day. I knew what my role here was. I was gonna play along and egg him on, just so that I can know what this shit was all about. I did not know anything about MLM/network marketing/binary bakwaas before I walked in.

The guy, a "Senior Partner", who pitched to me was in HR in his day job. The guy who introduced me to him is an acquaintance, the typical post-mid-life-crisis guy who I guess just got caught into this a couple of months ago.

What they don't know yet is that they were trying to sell to an actual Professional Sales person. I live on and for this shit. I love sales. I sell tens of crores of Rupees worth of solutions and services to companies every quarter, who usually make me go through a long evaluation process. But Q-Net guys just showed me the worst rung of sales.

He was trying to sell, and sell hard. And I saw that. If only he had not tried so hard, he could have taken my case very righteously. His script was prepared and well rehearsed, by his standards. And there was no innovation to it.

1. Make you feel comfortable.
2. Break down your aspirations - try and make you realize that you have none.
3. Convince you that money is the only thing that you really need - if you don't know that already.
4. Try and split the world's population into the farm animals and the rearers. 3% / 97%. Stats sounded okay, but honestly don't care.
5. Now, it begins - You need to be here --- with us in the 3%. And we are building just the right team to do that. 4.8 cr in 5 yrs. Blah blah blah.
6. You need to put in 2.7 lacs to 7 lacs. To egg him on, I told him that I can put 2.5 on the table tomorrow, lets discuss the business.
7. He then went on to define the "Business" which now I know is basically MLM. "The company is Hong Kong based, established in 1998." That is all they will tell you. You can outrightly ask them the company name, and any-one of them will say that is only revealed after you sign up. But nothing that a simple Google search will not reveal. lulz were had.
8. After he was done pitching and I was done with all the lulz in my head, first acquaintance and I walked out and into the CCD lounge these guys hang out at in CP, near Sarvana Bhavan on Janpath.

You can go and meet more people. I specifically asked to meet more people my age. I wanted to see the poor bastards who were in this shit so early. Most of these guys are legit in their Work lives till they quit and do this full time. I wonder why they are doing this.

And they should not have let me even see the girls, really. Her face was projecting sadness even through the smile she was trying to maintain all the while I was speaking to another "Senior partner", like there is not one part this whole thing that she enjoys doing.

Finally I told them that while this was my own decision, I need to take 1 day to decide. And this is what they were all slutty about. "Do it now" "Do it today" "start taking decisions". Well no thanks, I shall not take such a shitty decision on Saturday, right before No-regret-sundays.

Now, the sad part about this.

No one is earning Jack on this if they join at this point of time. And their is no value based selling here. I mean this guy just pulled me out over there based on my prior relationship with him. And tried to take me on board. I can only imagine how desperate he is right now. I also assume that he is being given some sort of target by the "ring" he is in.

It is all just very-very stupid. You really do not need this in your life. Get into my kind of sales. I am not telling you that you will get 10 lakh rs. every week. But you can get a few lakhs of incentive every quarter. And you will feel good about the value you are delivering. I cannot imagine being happy spending money earned in this manner. I just hope that some people over there will clear their conscience and stop.

Ah well, cheers to them anyways !!!

- Ramakenush
Apr 18, 2014

Hello Qnet

Would you please someone explain me on how to join QNET and how much I should pay for joining them and is this money refundable within a specific period (during first two or three months).

Need more information on how this QNET works.


Apr 16, 2014



I know many of people has been dumped by this company and many more to come,So lets take an initiative be together and when we have a strong base of complaints we can lodge it anywhere(even i m ready to came any of the city to lodge the complain against them).If we r more in number then police or any legal authority cant avoid our complaints.Maybe we cant get our money back not sure but atleast we can save some who r going to invest in that scam.

P.S.-Who r going to join that company please contact me once its beneficial for u i guaranteed.

Please mail me if u r with me to stop that nonsense.

Apr 11, 2014

qnet is scam and fraud

I joind this sucking money qnet still they never send my holidays packages I Shaw that they even book the hotel for those who want to book the Hotel and they dnt pick the call.... My life gone my career gone manys of my fren also been dupe before me and after me and some1 even they want to suicide becose they let them take money in interest still they dnt hv to pave back..... Why authority and legealature did not take action agains this monster company many youths life had been spoils....
Apr 1, 2014

Beware of being called Hot Zone

Bhai tu mujhse leliyo agar nuksaan hua!

Bhai gharwaley hamesha hi mana karenge kyunki unko teri fikar hai, unko mat bol!

Tere paas kya kisis k paas itna amount easily available nahi hota, tu personal loan utha le , 1 saal mei chuk jayega...

Bhai tu apne dreams likh , mai sach karwaunga.

these and many such boosting lines in a coffee house made me ponder why not try... starting cost is not that high and as per the financials that have been dealt, it should be a piece of cake.
Once In, then I was told, make name list starting with people who would do anything for you, (Ehm "even take a bullet for you"). and con them.
tell them nothing and even lie if you have to that you need money or else it would be life or Death situation
This short list of people would surely be your best buddies or relatives.
If you have got them in QNet. then my friend they have been HOT ZONED!!!

Never believe the line - Products that you have to "TELL" and not "SELL"
My innocent friend never knew where he was taking me and himself.
I havent lost hope but yes , i am not interested any more and they wont listen to let me go easily.

and for the record, using Regional touch is so CLICHE
Apr 1, 2014

Jake @Dev

Hello Dev.

Awesome response buddy...and I'm sorry for being a bit late.

Please be informed Dev, it was not a mud sling: I haven't accused of Qnet being fraud or scam. These are mere questions for which I want to have answers too. Ok, let's discuss on your answers:

1) The problem is not with the two people; the problem is more about the prospect not being allowed to discuss things with parents or friends - at least, they're warned not to discuss about this with anyone before they sign-up. Dev, while I completely understand that it's about two people and the 'like-it-or-leave-it' kind of approach, please understand that we have social obligations, and my parents have a right to know where my money goes (100000 INR is, by no standards, a small amount) and the person who signs up should be allowed to discuss with people who they confide on. I feel that the uncanny pressure laid on this 'Don't discuss before you sign up' makes things a little fishy.

2) Dev, I believe that influencing is not hard work - I am a marketer myself. It depends on what you're trying to influence for. But let me not dive deeper in that space - my question wasn't that. It wasn't about of influencing is hard work or not. It was if influencing is the only possible hard work. Not all business people are influencers, and businesses are not for influencers alone - it's ever for skilled labourers, software engineers and a lot of other professionals who don't necerrarily need 'influencing' skills. So, my conclusion is that this business is not for everyone, unless you have influencing skills, and there are people who can shell out some money who would fall under your circle of influence (and without these two, you JUST CANNOT do this Qnet product business). Correct me if I'm wrong.

And I will be really happy if you can take proper examples. Please get the differences between a blanket term like 'influence' and granular terms like 'impress', 'convince', 'inspire', 'brainwash', and 'persuade'.

3) Dev, please understand that proving someone else wrong doesn't make yours right. Stop giving answers like 'XYZ company does it. Why not Qnet?' - talks a lot about being escapist. Also, I have taken note of the fact that there's a refund policy. I would find it great and helpful if you can send a link or a screenshot of that policy. It will help a great deal on dsproving one of the greatest misconceptions about Qnet, not just for me but for most others.

4) Dev, I wouldn't just bluff out telling I've read through the docs and stuff. But my question here is 'Why should I?'. Using your own example here - Without you having to explain the superiority of Bose over Pioneer, I got what you're trying to say, and that is what I expect from a common-consumer-facing product. These products are for a common man, and should not necessitate this explanation. And about Rolex, please understand that 'luxury' is not about mastery in workmanship and the engineering that goes in - it's all about brand-recognition. Ok...maybe Fedex and Woods made Rolex famous, but it still stands that Rolex is 'famous' and it stands as a symbol of luxury - something that Cimier and Charios don't even stand a chance.

Take these questions Dev, and answer it straight from your heart (I presume you're not a connoisseur of watches) - When did you get to know Rolex?? And if not for Qnet, would you have even known Cimier? To a non-Qnet friend, would you need tl give an explanation on what a Rolex is about, as compared to Cimier?

Please understand Dev - 'Luxury' is what makes a common man go WOWW!, and it's surely not about being the greatest piece of engineering or watchmakership alone! And Qnet's products terribly miss out on those.

5) I found the $25 Bio Disk from the Google Search Shopping results - I am not sure about the legitimacy of the piece, but the difference is kinda ridiculous. And as I said, the concept of a bio-disk in itself sounds not very convincing scientifically, leave alone legitimacy for a probably not-very-scientifically-legitimate product. And about comparison - If you take the price in its face value, QVI sound better, but why would I take a vacation when it's not the season? I want to dictate the things in my vacation, and in this respect, I am not sure if QVI vs ClubMah would be a proper comparison.

Regarding the discrepancy in the Dubai flight, I am sure you are experienced and educated enough to know that the earlier you book, the cheaper the price. There's no scamminess in it (leave alone it being the biggest one on the face of the earth) - it's normal for anyone to increase the price depending on the demand, and if the demand is such, there will be people like you who would spend 13K for the same ticket that was once sold for 8K, irrespective of the business benefits.

And I'd like to finish with my answer 3 here - Prove yourself right, than proving someone else wrong.

If it was THIS EASY for a common man to do business and make money Dev, it would be so widespread now. The fact that there are so many question - not just from me, but from many others - proves that there is a lot to be addressed. I see a blind-spot in your eye-opener: I took the Airline Service, because I needed to travel quick and in comfort, and surely not because I would get business out of it. A business should address the need of masses in an economically acceptable manner. There are times I proactively travel by air, but there has never been a time when I proactively wanted a bio-disk or a chi-pendant.

6) Dev, again, I guess you misinterpreted the question - it was not about prices alone (let the products be sold at whatever prices); it was more about how much of sales will your products make if sold in retail with the same prices?? Also, I'd like to know something on the pricing-efficiency part - a product sold by networking should cost less than its equivalent in normal retail, but this doesn't seem to be the case. Why is that?? It is either that the products are priced high (Am not talking about if it's right or wrong) or there are lots of hidden middlemen - either one of this has to be true. And once more, Point 3 - prove yourself right, don't prove that it's right because someone else is doing it.

Dev, I agree it's about mindset, and I am critical, and definitely not cynical. All I need is convincing answers. These are the questions that the person who approached me didn't have answer too. Dev, I presume you're a good business person. Isn't it my right to clear my doubts before I jump in to one? One my my business-specialities is black-hatting, and that's what I'm doing right now.

Once again, thank you for taking the time to read through my response - speaks a lot about your dedication and conviction. This may come across as flattery, but it comes from my heart - whatever business you are in, I believe you will surely be successful.

I am sorry if I've done some inadvertant mudslinging - I tried to keep my language as neutral and parliamentary as possible, but just in case!!

Thanks so much
Shruti S Pillai
Mar 1, 2014

Blindly Paid

Please any1 arrest these bastards... unnecessarily emotionally forcing and they making ppl invest... My cousin is in this and he made me join this... i cant convince ppl. i cant do it... can any1 help me get mine and my frnds money back.... we want to get rid of this bloody fucking business... its taking my life..............
Mar 1, 2014

No complaints

Hi All,

I joined this company about 6 months ago and I coolly recovered all the money I invested. I was able to enjoy the products I purchased from qnet. People say its a bad company and scam based program. Tell me which company is not fighting legal cases in the courts. All have ups and downs. But calling a business a legal is totally illogical. If that's the case why this company is running successfully in about 180 countries. Why every week many millioners are created by qnet. Think positive and live a larger life. Those who cannot convince cannot win.

Feb 26, 2014


I cant understand how matured professionals fall for this trash , Im sure school kids wudnt eveb bother wasting their pocket money on this scam.

BTW I know Dev well from China house , Mumbai, he seems a nice guy cant figure why he wud end up duping so many people for his fake BMW lavish life style
Feb 25, 2014

How can i cancel My Membership & get my money refunded.

Hello ! My wife has been joined as IR on 6th feb 2014 by some of my relative . Rs 1 lakh 16 thousand have been transferred by me to my upline for the registration on 6th feb. I searched on the net & i am really get shocked about the false commitment of getting money.I request any of you to please guide me how can i cancel my membership & get my money back? i have heard that we can cancel with in month. plz help..

Feb 17, 2014

QNet - Bad product and services

QNet bad time is very close as Qnet agents( LionHeart2153 and happy_lady) are suggesting to file a case against QNET members. If everyone start thinking on the same page then I believe no one in QNET going to be skipped. As I myself had seen how much each and everyone lie to influence the new victims.

@ Dev - I know who you are, if I am guessing the right. Your example of flight is already been repeated many of the QNET representatives. Due you have answers for services QI providing, the experiences are too bad for holidays packages. I pray Qnet & QI owner Vijay Eswaran should be punished for the same. Vijay should be handed to all the surfers and they all decide where all these packages, discs, watches, pendants should be inserted. Then only Vijay will feel the real magic power of these products.
Feb 16, 2014

Product Pyramid Scheme

Source: http://www.fbi.gov/scams-safety/fraud

Pyramid Schemes
As in Ponzi schemes, the money collected from newer victims of the fraud is paid to earlier victims to provide a veneer of legitimacy. In pyramid schemes, however, the victims themselves are induced to recruit further victims through the payment of recruitment commissions.

More specifically, pyramid schemes—also referred to as franchise fraud or chain referral schemes—are marketing and investment frauds in which an individual is offered a distributorship or franchise to market a particular product. The real profit is earned, not by the sale of the product, but by the sale of new distributorships. Emphasis on selling franchises rather than the product eventually leads to a point where the supply of potential investors is exhausted and the pyramid collapses. At the heart of each pyramid scheme is typically a representation that new participants can recoup their original investments by inducing two or more prospects to make the same investment. Promoters fail to tell prospective participants that this is mathematically impossible for everyone to do, since some participants drop out, while others recoup their original investments and then drop out.

Tips for Avoiding Pyramid Schemes:

Be wary of “opportunities” to invest your money in franchises or investments that require you to bring in subsequent investors to increase your profit or recoup your initial investment.
Independently verify the legitimacy of any franchise or investment before you invest.

Source: http://www.dsaa.asn.au/illegal-schemes.asp

How Does Direct Selling Differ From a Pyramid Scheme?

Pyramid schemes seek to generate income to those who participate, from the recruitment of others. In a legitimate direct selling organisation income is generated by the sale or consumption of the product either by the salesperson or those is that person's downline.

Legitimate companies rely on solid sales over time. A strong base of customers who love and use the products is important to continuing success. Scams like pyramid schemes, on the other hand, generally rely on people making a large upfront payment, from which the scheme promoter profits. People are then reliant on recruiting others into the scheme in order to recover their upfront cost and earn further income.

Multi-level marketing structures are commonly used for the distribution of goods and services in the direct selling industry. These structures may seem similar to pyramid schemes, but in reality they are substantially different and are more similar to a conventional corporate business model.

In direct selling new salespersons are contracted to organisations under independent contractor arrangements. They are usually required to make a modest payment the aim of which is to have the salesperson show a commitment to the organisations and for a quantity of goods and/or literature and stationery to facilitate the demonstration and sale of products to customers and prospective customers. In a pyramid scheme however there is likely to be a large upfront payment for products which will be generally overpriced and have little or no market value.

In a legitimate direct selling opportunity the rewards come from sales of products and services to consumers by salespersons and their recruits, called down lines.

Avoiding Pyramid Schemes

Before considering an opportunity, ask yourself these questions:

Are start-up costs minimal?
Can you return unsold inventory?
Is income only possible from the sale of products?

If the answer to each is yes then you are probably considering a legitimate direct selling opportunity.

Start up cost in direct selling organisations is usually a modest contribution to the cost of a sales kit. Organisations want to make it easy and inexpensive for new salespersons. This is unlike pyramid schemes, which are often disguised with direct selling characteristics. Pyramid schemes make their money from fees paid by new recruits or by loading inventory or training aids on them. High entry costs are a tell tale sign.

A condition of DSAA Membership is that Members have a buy back policy. This means if you quit the business, the Member will buy back unsold marketable products you purchased in the prior 12 months, for 90 percent of what you paid for them. Think carefully about opportunities that encourage front end loading, or buying large inventories of unreturnable products to reach levels for price or other gains.

Earnings from sales, not recruitment, are essential for a legitimate business. Direct selling, like other retail channels, depends on selling to consumers. This requires quality products at competitive prices. Be careful of any business that claims you can get rich by solely using their products or by recruiting new people into the business. You should believe in the products you will be selling.

Don't be rushed into a decision about starting your own business and avoid any organisation which refuses to answer questions about its products and services, start up costs, average earnings, etc.
Feb 11, 2014



Hey JakeRockwell,

I like the way you write! First a few words of appreciations and then all mud ;) haha never mind. Here i try to explain a few things:

1.) Secret or bad: Well what is secret or bad? What is the basis of this question? No, it's not secret or bad. Just can't imagine being quiet until money is given. There is a conversation between 2 parties, one, who has the idea and experience and the other who is interested in buying the idea. If both parties agree explaining all the things to each other and come to a mutual consent, they get involved in the venture, together. It's high on morality and ethics and that's how the business is conducted.

2.) Hard work: well, i really don't agree to this piece. It certainly is hard work. 'Influence' is not the word i would use here, but if you want to here is what i would say. You go on a date; you try to 'influence' the to be girlfriend/boyfriend, married; you try to 'influence' the husband/wife, have kids; you try to influence the children to be good human beings and pick good habits, employee; you try influence the colleagues, peers, bosses and subordinates to get good raise, businesspersons; you try to influence customers and clients. And all this is not hard work?? It is hell lot of hard work. I would have used may be 'impress', in fact that doesn't also fit here. It's more a conversation and sharing of the facts and that's it! you like it, welcome! don't like it, thank you! And yes it is hard work and lot of it. Really a lot.

3.) Well, ummm... this one is easy. But i still want to give some work. Research how many companies do we know which give an option to cancel the product and they would payback? While you do that, let me tell you there is an option of cancelling too, has to be within one month of purchace. You might want to read the full terms and conditions on the website.

4.) Wow this one is "something" now: Well, there will always be feedback. Haha you know what, let me tell you a story, real one. Last year, I was crossing a car accessories shop in Faridabad. The guy had a Q7, which has a Bose music system, came to the store owner and asked, guess what?? haha he asked to get it changed with a pioneer music system!!! well you know what i mean. My only point here would be because it will be huge to put everything here, please read through the available documents and testimonials. There are ample available. To say a little about one, there is a reason everyone would recognize a Rolex (a Roger Federer, a Paul Newman, A Tiger Woods, a John Travolta...). And who says what you see in the business are non-luxury watches?? Buy one, take it to some swiss watch manufacturer and get audited/analyzed. Basically RESEARCH!

5.) Pricing: Bio Disk at less than 25 USD!, unbelievable!. I would never imagine it to be a real bio disk. But again, that's pricing of the company and my answer remains almost the same. Research well. Draw comparisons, May be QVI VS Club Mahindra and Cimier or Chairos with other luxury time pieces.
Yes it's a business opportunity but no where close to ponzi or so called 'schemes'. Please read through what Ponzi is (and who Ponzi was). Let me tell you another story. I went to Dubai last year in the month of December. I paid 13500 Rupees for the flight and the person sitting next to me paid 8800 Rupees. I didn't get any special service, just that i paid pretty close to the flying date and had to pay extra. Same route, same kind of seats, same service and same airlines and i pay more than 50%!!! Damn it, this is biggest scam on the face of earth!! Why hasn't anyone ever questioned this? Same product offered by the same company at different pricing is highly unethical but we accept it so gracefully. But when it comes to us, the common people to make business out of it, we question it. Well to tell you the eye opener, they didn't think so much that's why they run airlines and they are called to be big business people and they make hell lot of people. So before you start a business, be mentally and physically ready to be a business person.

6.) Competitive pricing: well again, almost as good as the previous point. It's the company's discretion to set up the price and they do it. As any other company does. And yes it's certainly is a hypothetical question. But even if you want to question. Please draw comparisons. Dig through other companies and compare. And yes, check Amway and their products too (another network marketing company) and i am sure you would want to question their prices. Check Hindustan Unilever, one of the most respected FMCG brands, and their network marketing line Ayush and Aviance and question the exorbitant pricing!. It's more of questioning to avoid the idea of accepting the facts. We somehow refuse the idea of being able to be in the shoes of a successful business person. And believe me, it's not easy either.

Again, it all drills down to the mindset. You want to be one, you can be one. Else you can keep on criticizing and providing feedback, the world moves on.. You take care :)

Feb 11, 2014

Qnet Products@Vidur

Hi Vidur,

Thanks for writing it sensibly and it's really unfortunate that you didn't like the services. You have answers from other people, already though. We are one company based on ethics and legalities. No one can and should be endorsing anything the company doesn't commit.

A few things i would like to say though. You said you 'enrolled'. I thought you enrolled to do business. If you wanted to be a customer, my advise would be to be a customer ONLY. So that at least point on earnings and business don't come into discussion. Customer ONLY option is also available, especially because you mentioned that you didn't care about the business and i certainly i respect your decision and thoughts.

Any IR misrepresenting the company, services and the products is strictly prohibited. Believe me, Vidur, this is one big side effect of any network marketing company. And most of those are suffering because of this negative aspect. Fortunately this company has much better reach and much much better training programs which keep the IRs together and ethics and policies and guidelines are drilled into their heads. I know, i am surrounded by really good people operating with the highest standard of ethics.

About the products and services, i would urge you to talk to the company reps over the phone and write emails. They should have the feedback. But please don't forget to compare it with other vacation package offering companies and ensure you go through the terms and conditions very well.

And one very strong statement i want to make is, if someone refuse to take the words and use the credibility of the existing business people, please do your homework well. Research and research well. End of the day you are getting into a legally binding agreement. Don't shy away from going through the details, everything is available. Be happy and be content about the decision you take! Happy living and happy earning! :)

And yes, please don't use words like 'i was forced to'. God has been kind to give you power of thinking and analyzing, use it well.

Feb 11, 2014

I love qnet

Lion heart ur right!!! Wrong information is a no no in this business. Before buying a product, a customer is guided and explained for all the service charges etc to be paid. Then only she or he buy. Am a proud member as my whole family is going to join soon. My brother in law already purchased vacation package. I like this business and its my wish. Nobody force anyone in this biz. Well wherever you go, some people are making wrong statements. Wonder why? because nobody wants other biz to grow and become individual owners of this biz. Believe it.Got my paycheck already :-)
Feb 7, 2014

Answer to Viidur

Well Vidur!

It means your IR was not true to you! If you want you can file a case and get him arrested! I have been working with this company since three years! And trust me they teach you to be true to potential customers! And Qnet bio disc is different from the bio disc available in low range! You can have it tested! My IR told me the truth and i was not misguided! If your IR has misguided you please get him arrested! As it is giving company a bad name! File an FIR! As Qnet is clear on it terms when selling product to customer! Everything should be cleared before you buying the product! I think so there is more scam in India because ppl r lieing to u just to gain commission! People have forgotten their ethics! You cant blame the company for this! The IR is responsible for his actions! If he didnt guide you well you have a right to get that fraudster arrested simple as that!
Feb 6, 2014

Qnet Products

Hi Dev

I was enrolled into Qnet in 2012, honestly didnt believe in the model even but had a friend who pressured me and i took the punt. I bought a holiday package for which i spent a fortune, again the idea was that even if i really didnt make any money i would rather go an utilize the holiday (5star holiday thats what i was told by a senior IR who i would like to name) I have travelled a fair bit and i landed in Thailand last year and checked into the property which i am sure you have sold as well. I dont know about how much you have travelled but the definition of 5star took me by surprise. It was worse than a guest house that too vegetarian!!

Well i really dont care about your business and neither was i interested in making money in it, but what i am interested is the sort of service standards or product standards the company has. Prana Resort was and is an embarrasment. To add to it i travelled to Antalaya as i live in the Middle East and happeded to check out the property there, this time i knew what to expect. It was a shoddy to say the least.

Now my friend i ask you, what does Qnet do about customer experience as i am not questioning ur model (Whether good or bad i dont care) Any business and company existing int he world today offers some sort of experience to its customer. Well the business you so strongly propagate and defend offers none of it.

I went back to Delhi and called my IR and asked him again this time he said and i quote "buddy its a guest house" (i was livid) & i questioned him, he did not have a thing to say other than the fact that i could make money. Now my point to many of your responses on product & business is that which business today openly bullshits to this end. I understand you mayhave a junior advisor of a fmcg/insurance company give you a story like that (well i hv workedin insurance 8 years) but a senior IR (who talked abt faith).

Let me honestly ask you one question and the only answer i seek - Will you ever pay about 50k for a guest house in thailand. Just a Yes or a No will be fine


Feb 4, 2014

Qnet is not for everyone

My friend joined Qnet and she is not from IT. She is happy using what she purchased.Well, I dont know why Some people say negatives.
I just laugh on them..This biz is not for everyone who are negatives and no better work than to comment simply. My friend is earning also being a member.
Better noh...those lazy people and unable to make it... carry on with ur negatives. Who cares...others are happy and achievers in life...poor thing this people who complain end up no money and getting old poor.
Raj Pratap
Jan 29, 2014

Qnet Cheaters - IT people easy target

Qnet is completely fraud money laundering scheme which operates under ponzi scheme. Please be aware and they are actively targeting IT people.

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