QNET was one of the first companies to integrate traditional face-to-face selling with online buying in 1998 when it launched a direct sales company overseas. With the company’s expansion across borders, products and services were offered seamlessly to customers throughout the world. Here’s a detailed look at QNET’s success over the years and what its future holds.
Our company’s global headquarters is located in Hong Kong. We also have offices in Asia, the Middle East, Europe, Sub-Saharan Africa, Russia, and the CIS region. In India, QNET’s Indian subsidiary is Vihaan Direct Selling (India) Pvt Ltd, a company registered in Bengaluru. QNET has impacted lives across the country since it was founded. We want to help people lead healthier lives, develop better relationships with family and friends, and plan a better future so that they can improve the quality of their lives and that of their families.
Customers across the globe have used QNET products for over two decades. Some of these customers have become distributors and earn commissions from their sales. Currently, QNET has about 600,000 distributors registered in India. Thousands of QNET customers and distributors have purchased our products and made money by selling them to others. QNET’s success is the success of these customers and distributors as well.
Vihaan Direct Selling (India) Pvt. Ltd. was appointed as QNET’s subfranchise in India in November 2011. Vihaan is incorporated under the Companies Act, 1956, and holds all necessary licenses to operate in India. As per the Ministry of Consumer Affairs’s direct selling guidelines released in 2016, we abide by all legislative mandates.
In 2019, direct sales in India increased by 12.1% YOY to $2.47 billion in annual sales. It climbed to 15th position from 19th in 2018, with 60% of independent representatives being women.
The Government of India’s Make in India initiative has enabled more than 80% of products sold to Indian consumers to be sourced locally. QNET markets home care and personal care products, nutritional supplements, luxury watches, and holidays through Vihaan. Our products are all backed by manufacturers’ warranties and meet rigid quality standards. Our partners who supply QNET products are all subjected to rigorous testing in addition to visual inspections. Third-party testing is mandatory and a FSSAI and Ayush certification is sought for consumable products.
QNET is the exclusive distributor and marketer of certain Kent and Sharp household consumer durable products in India. To meet the need for clean water and air in India, QNET is partnering with leading brands in order to develop products.
Challenges faced by QNET in India
QNET in India does not fall under the Maharashtra Protection of Interests of Depositors Act (MPID Act) nor the Prize Chits and Money Circulation Schemes (Banning) Act, 1978 (PCMC Act).
According to PCMC Act, it is prohibited to use prize checks or circulate money to make money. Usury and schemes based on contingent events are also prohibited by the Act. Originally passed to deal with small-time lotteries and Ponzi schemes during colonial times, the PCMC Act was upgraded in 1978 to deal with direct marketing companies when they came to India in the 1990s.
In QNET’s India business, the customer is always getting something in return for the payment received. Therefore, it is neither a prize chit business nor a money circulation business. As an additional benefit, there is no subscription fee or entry fee associated with the Act.
The advertising or promotion of schemes designed to make quick money has been accused of money laundering by state regulators. A lack of clear guidelines coupled with misconceptions of the direct selling industry leaves regulators at a loss for what to do. Direct sales may be the only industry calling for more government involvement.
The company in India is not subject to the Maharashtra Protection of Depositors (in Financial Establishments) Act, 1999 (MPID), because no deposits are involved in its operations. Vihaan and QNET are not monetary establishments since they do not accept money or valuable commodities for monetary benefits. Thus, the MPID Act is not applicable. Purchasers do not have a right to their money outside of a refund. Therefore, such payments do not qualify as deposits under the MPID Act, as the products and services ordered are excluded from the MPID Act under section 2(c)(v)(d). The entire process is governed by the Sale of Goods Act and Consumer Affairs’ Model Direct Selling Guidelines.
Projects in partnership with Lions Clubs
- Employees and distributors from the company provided relief kits to 200 families during the 2015 Chennai floods in collaboration with Lions District 317 F Service Foundation, Bangalore Chapter.
- In association with the Lion Clubs of Kodigehalli, the BBMP Corporation supported the Nutriplus Health Camp at Government primary school Sahakarnagar in Bangalore in 2016 on behalf of QNET. A Nutriplus Health Camp was organized in collaboration with the Lion Club of Kodigehalli at Government primary school Sahakarnagar in Bangalore in 2016 by the BBMP Corporation for QNET.
- In 2018, the Lions Clubs in Kodigehalli, Bangalore, partnered with QNET to organize a blood donation camp to promote awareness of the blood shortage and educate people about the advantages of blood donation.
- As a result of QNET India’s association with Lions Clubs International in Bengaluru, the Shirdi Sai Hospital in Devasandra now has a kidney dialysis unit.
- A Walk of Life to raise awareness of childhood cancer was organized by QNET’s India business in conjunction with Lions Clubs of India on 24 November.
- • In May 2018, 50 people who had lost limbs to tragic accidents obtained prosthetics as part of an event organized by QNET in association with Lions Clubs.
- Throughout the partnership, QNET identified 1,200 children in Grades 6 and above who could not afford basic school supplies and provided free supplies as part of the partnership with the Lions Clubs of Hyderabad, Swarnapuri. QNET India provided uniforms and eco-friendly school bags to those children as part of its We Care initiative, which helps children start school in a positive way.
More than 800 students in Swarnapuri, Dist. 316 F. of Hyderabad are provided with safe drinking water each day from this water storage facility, which was built in collaboration with QNET and the Lions Clubs of Hyderabad.
It is anticipated that this industry will have a bright future in India due to a growing consumer base and direct selling guidelines, but the most important thing is to ensure that all states adhere to these guidelines. In the coming years, QNET in India will focus on expanding its health and wellness offerings, expanding partnerships with Indian SMEs to take their products to a global audience, and supporting disadvantaged communities through its CSR activities.
QNET’s success over the years has been nothing short of meteoric! And its nowhere near its end. If you want to choose a direct selling business, then QNET is the one to go with! QNET’s success is your success as well!
