Wednesday, July 6, 2022

Is QNET a scam? A question you may have researched when doing your due diligence on QNET.

Find the answer and more answers about QNet rumours and controversy.

Like with any company, you’ve likely heard about QNET rumours circulating online and on social media. However, QNET rumours are just that — rumours!

We take pride in being as transparent as possible with our customers and IRs. Read on to learn about these QNET rumours and common QNET complaints raised in various online forums and our responses to them. We hope to put all your doubts to rest.

Thousands of people from around the world have put their trust in QNET to embark on their entrepreneurial journey. QNET has been in business since 1998 and has a global footprint through offices in more than 25 countries and customers in nearly 100 countries. QNET is a member of the Direct Selling Association, a self-regulatory industry body with stringent rules and code of conduct in several countries. QNET is open and transparent about its business model and operations and ensures compliance with the local laws of all the countries in which it operates. QNET has also been accepted as a sponsor for several high-profile sporting events after extensive due diligence by organisations such as the Manchester City Football Club, the Confederation of African Football, the Malaysian Hockey Federation, and more.

All the information you need to make an informed choice about QNET is available online, including info on any rumours and controversies, its products, QNET success stories, QNET Awards and Recognition, and so much more.

Many QNET rumours surround the legitimacy of the business.

To answer this question and dispel these QNET rumours, it is important to first understand the difference between a legitimate direct selling company and a pyramid scheme. The key difference is that, in an illegal pyramid scheme, one gets commission for recruiting more people under them; whereas in a genuine direct selling company, commissions are paid only based on the sale of products. Even if a person has a large network of people under them, but they have neither retailed nor purchased any product, they don’t earn any commissions.

Pyramid schemes are illegal and the vast majority of their participants lose money. They rely on recruiting new representatives instead of product sales to profit, charge members large upfront fees, and convince them to buy large amounts of inventory that is not returnable. Their products generally have little or no actual value.

Lack of understanding is usually to blame for people mistaking legitimate direct selling companies for scams. Often, when people complain about a direct selling company, it is either due to them not realising how much work is actually involved in building a successful business or because someone else misled them. As a result, companies like QNET are often victims of endless media accusations, speculations, and baseless complaints.

QNET operates in countries with the most sophisticated and stringent laws and regulations governing this industry, such as Singapore, Hong Kong, and Germany, where our operations are completely legal and compliant with local laws.

We know that some people in network marketing may engage in unethical practices, making the industry an easy target for slurs like this. QNET has always complied with local regulations in any country it has operated in, paid taxes, contributed to numerous philanthropic activities, and reinvested in the country. We also instill a strict code of professional conduct in our distributors and penalise those who violate our Policies and Procedures.

To help combat this issue, it is important for various emerging economies to recognise that direct selling is a thriving industry creating microentrepreneurs who contribute to their communities, and institute the necessary legislation to govern the industry, to clearly distinguish the scams from the genuine direct selling companies.

Due to the nature of the direct selling business model, almost every single company in this industry has faced challenges in new and emerging markets. Direct selling is not very well understood in many countries, and a lack of regulation creates confusion and misunderstanding. However, QNET is not banned in any country.

In 2009, Rwanda’s Ministry of Finance issued a notice banning QNET because our operations were not localised at the time. We opened a dialogue with the government and addressed their concerns, and in 2012, we set up a local company in Rwanda, following which the Ministry of Finance revoked the ban. This company now serves as our East African hub.

In Saudi Arabia, the government issued a ban on direct selling and the entire network marketing industry. QNET was not singled out. However, we were one of the fastest-growing direct selling companies in Saudi at one point and had gained significant prominence; this is why media reports had often mentioned QNET when they covered the country’s overall ban on the industry.

Companies change their names frequently for reasons such as branding, variations in lines of business, and marketing. In our case, this was done for strategic business purposes. When QNET was founded in 1998 it offered only one product: commemorative gold coins. As the company added more products to its portfolio and the e-commerce platform evolved, the name GoldQuest was no longer suitable and it was changed to QuestNet, and then shortened to QNET for brevity. Hundreds of companies all over the world have done the same sort of thing. Watch this video to help you understand this better.

Unfortunately, many QNET rumours are found on Wikipedia (as is the case for many other companies due to the nature of the website). We strongly dispute the credibility of the Wikipedia entry on QNET. But we can’t do much about it as Wikipedia’s policy does not allow a company representative, a PR agency, or anyone with a stake in the matter to edit entries. We have lodged a complaint with Wikipedia administrators about the heavy bias of the entry and a debate has been opened on their ‘Neutral Point of View’ noticeboard.

Please also note that Wikipedia is not considered an authentic source of information. Wikipedia is a public forum where anyone, even you, can edit an entry. Unfortunately, this has led to numerous quality problems for the portal, which its founder Jimmy Wales admits himself. This has been acknowledged by leading media including the New York Times. You can read these two articles on the subject.

Wikipedia founder admits to serious quality problems http://www.theregister.co.uk/2005/10/18/wikipedia_quality_problem/

Shared in the Web of a Wikipedia Liar http://www.nytimes.com/2005/12/04/weekinreview/04seelye.html?pagewanted=all

If you have questions about QNET, we suggest contacting the company directly.

Given the vast number of customer orders we receive and ship, seamlessly and successfully, the number of QNET complaints are relatively few. Upon scrutiny, we have discovered many of these complaints are not even from real IRs or customers of the company. If a customer or an IR files a complaint with QNET’s customer service department, these are logged into the system and tracked diligently until the matter is resolved. The challenge we face with online complaints are:

  • People who claim to have faced issues with QNET but have never filed a formal complaint with QNET.
  • People who claim they are customers or IRs of QNET, but have no record in our database based on the names or email addresses they have used on the online forums.
  • People making unreasonable claims for refund years after they have purchased a product.
  • Disgruntled IRs who realised that the direct selling business was not for them and found the hard work of an entrepreneur difficult to undertake. Many of them use online platforms and social media to vent their anger and frustration.

Fair or not, social media allows people to say anything without fear of consequence, and in many cases, under the cloak of anonymity. In any event, complaints filed with our Global Support Centre (GSC) are taken seriously, and are responded to in a timely manner.

Receiving complaints is a natural part of running a business. However, it’s important to understand that many QNET complaints are unwarranted or are being handled by our experienced team to be resolved in a way that benefits everyone fairly.

There is no “recovering” as there is no investment. Individuals buy products they want to use, for the money they pay the company. If they choose to take advantage of the business opportunity, they can earn commissions from the purchases of people they refer to QNET. How much one earns therefore depends on how hard the person works towards building a sales business. Commissions are paid according to QNET’s Compensation Plan. Naturally, the more products you sell, the more you earn in commissions.

In short, QNET rumours will always be a reality for our business — as they are for any company with a global presence. We hope you were able to understand why misconceptions exist about the alleged ‘QNET scam’ and what steps our organization takes every day to prove QNET is a safe company to help people reach their goals and achieve financial security.

If you have any questions about QNET rumours or common QNET complaints, please don’t hesitate to reach out to our team! We’re looking forward to talking with you.

The mistake most people make is confusing a pyramid scheme with a direct selling opportunity. Unlike scams, QNET has several aspects that prove it is a legitimate direct selling opportunity.

Here are a few facts that will help you talk to your friend about the legitimacy of QNET.

1) It has a strict Code of Conduct and Code of Ethics for both suppliers and distributors that ensure consumers’ safety.

2) QNET is a member of several local Direct Selling Associations and follows strict local guidelines and code of conduct for business.

3) QNET has partnerships with Internationally renowned entities, including Manchester City Football Club, Confederation of African Football, Malaysian Hockey Confederation and many more. 4) QNET regularly wins internationally recognised awards.

5) The products on offer are diverse and of high quality, developed by international experts and quality checked for longevity. Wherever relevant the products have also been certified by international labs and other safety and quality standards bodies.

6) QNET distributors are required to follow strict professional and ethical business practices, even offering training programmes and certificates to create ethical marketers. QNET has a zero-tolerance policy towards any misrepresentation or unethical practices from its distributors.

QNET has been referred to as a pyramid scheme or a scam but the company has disproved these allegations in a number of ways including through legal victories. Pyramid schemes are illegal, whereas QNET is a legitimate direct selling company that is recognised and accepted by several Direct Selling Associations that require a high level of compliance and stringent code of conduct. This is in addition to complying with local regulations in all countries, paying taxes, being involved in the community and reinvesting in the local economy.

Unfortunately, direct selling is still misunderstood in several countries so challenges are part of the course. So, like every other business type, QNET has faced some challenges in new and emerging markets. However, QNET is not banned in any country at the moment. In Saudi Arabia, the entire direct selling industry is banned. A few media outlets have mentioned QNET in their reports, making it seem like QNET, in particular, is banned, but this is not true.

In the past, Rwanda had banned direct selling but after an open dialogue with the government addressing all their concerns, the ban was lifted by the Ministry of Finance. QNET in Rwanda now serves as our East African hub.

Another complaint is that QNET has changed its name many times and that is seen as a sign of a scam. When QNET was founded in 1998, it only offered commemorative gold coins and was known as GoldQuest. As the business evolved and the product portfolio expanded, the name also evolved to QuestNet. Later, this was shortened to QNET. This is a typical branding and marketing exercise carried out by many companies worldwide and is not a sign that something is off. QNET has acknowledged this and spoken publicly about it.

Disparaging information on QNET’s Wikipedia page should not be taken at face value as there has always been a question about the credibility of the sources and information on Wikipedia. Wikipedia is a public forum whose pages can be edited by anyone, even if the source is not verified. As with anything, it’s important to fact check any information source to ensure you have the full picture on any story.

A full list of controversies and answers to them can be found here.