Consumers reported around 1.7 million consumer fraud complaints in 2019 with 23% losing money.
Have you ever fallen for a sales scheme before and regretted your choice to get involved?
Some businesses operate with illegal schemes or suspicious activities at the center of their sales. Yet, this also degrades the reputation of organizations that follow legal guidelines. The QNET scam is one of those cases in which the MLM business model created doubt amongst consumers.
But the QNET controversy opens a discussion of the legitimacy of network marketing companies. Continue reading below to find our take on the QNET scam and how you can find real opportunities to build your income
Explaining the QNET Business Model
QNET follows a controversial strategy that attracts a lot of negative attention due to its connection to pyramid schemes. QNET uses a multi-level marketing strategy to sell its products, more commonly referred to as MLM or network marketing.
Network marketing uses individual representatives to sell products. This is very different from a traditional in-person retail experience.
IRs have the power to sell as much or as little as their time, energy, and marketing know-how gets them.
Often, the MLM business strategy has been connected to scams and pyramid schemes. Many companies offer IRs commission on recruiting as opposed to product sales. This creates a negative image of MLMs no matter the legitimacy of their business structure.
How QNET Operates
QNET is a direct selling platform focusing on health, wellness, lifestyle, and education products. It is headquartered in Hong Kong and works with individual representatives to sell products through personalized e-commerce pages.
The QNET MLM fell into a negative portrayal due to their sales tactics: using representatives to sell various products and forego the need for operating retail storefronts.
But, QNET functions with a few key differences that legitimize the business model.
First, QNET works with individual representatives to ensure quality sales. IRs earn a commission based on the number of products they sell, not recruitment numbers. QNET shares a compensation plan that outlines the commission one can make based on sales volume.
This begins to refute the QNET scam as representatives are paid based on their sales output.
Next, QNET invests in its representatives and their success. The QNET business model is cyclical; the more an IR sells, the more QNET makes in revenue. The company offers training and tools to IRs to feel confident and move large amounts of product.
The QNET scam further delegitimizes when you learn of its refund services available to all IRs and customers. Network marketing has a bad reputation when it comes to people losing money with no hope for returns.
QNET ensures that refunds are warranted when backed by claims and evidence.
The business aims to fuel its representatives with the mindset and support they need to reach their financial goals.
A Different Take on the QNET Scam
You are taking a chance on any business when you begin selling its products. You should never be conned by the ‘get rich quick' schemes as network marketing takes energy, education, and time to pay off.
The QNET scam started when individuals began unpacking pyramid schemes and questionable practices. But you should not let a few bad apple MLMs keep you away from the QNET opportunity.
You should start your network marketing journey by understanding the investment you want to make in the opportunity.
Many individual representatives are quick to label something as a scam when they don't see immediate results. Yet IRs should liken themselves to a dedicated entrepreneur with the resources they will need to sell products or services.
The more you put into something like the QNET opportunity, the more you gain.
The QNET scam takes on a different lens when understanding the responsibility an IR takes to sell products. Further, QNET's team continues to speak on the company's legal practices to support its IRs.
You should conduct a full QNET review before diving into the opportunity. However, it is essential to remember that MLMs can be a great stream of income, especially those based on product sales.
Pros and Cons of QNET MLM
The QNET business model makes it unnecessary for QNET to shoulder high retail store costs. Instead, individual representatives become the storefronts and move the products to consumers. That is the major pro for QNET in utilizing this structure.
But individual representatives face different pros and cons when it comes to the QNET opportunity.
The main pro behind MLMs is the ability to create your schedule when working in network marketing. You become an entrepreneur who needs to build a successful schedule and routines to reach financial goals.
IRs can invest as much or as little time as they want when it comes to selling products. This means you have the chance to view this as your full-time job or a side hustle on the weekends.
One of the cons of MLM is understanding that you give what you get. You need to invest time and money to see the results of your work. MLMs are not a get-rich-quick scheme.
Finally, IRs should invest in building their marketing skills which can be easily forgotten when reviewing the QNET MLM. This con can turn into a major pro as you master marketing skills and increase your sales.
The QNET Scam Unveiled
As a network marketing corporation, QNET came under scrutiny for the legitimacy of its products and practices. But QNET's focus on developing IRs through training, tools, and sales support highlights QNET as a reliable MLM.
The QNET scam should not scare you away from the opportunity to be your boss through networking marketing commission. Doing your research into MLM opportunities is only the start of your profitable success. Grow your marketing knowledge into revenue-generating skills through our free training course and become the next MLM guru.