Although there are many negative comments and accusations again DubLi on the internet, there is no doubting the rapid expansion of both the customer base and network for this up and coming online shopping giant. One of the questions that many people have is DubLi a pyramid scheme? Does DubLi resemble a pyramid scheme network marketing scam? Is DubLi a scam in itself? Is DubLi a pyramid scam for both the network associates and for consumers? This article is written to dispel the negative and inaccurate comments and accusations out there. DubLi is NOT a scam and DubLi is not a pyramid scheme, and these are the reasons why:

DubLi is a Multi-Level Marketing or Online Network Marketing Strategy
From the business standpoint, DubLi is a multi-level marketing (or MLM) strategy. This is also called a network marketing strategy that is perfectly legal in the United States, Canada, Australia and throughout Europe. It is recognized as one of the safest and most new age ways to market a new company. So is DubLi a pyramid scheme? First of all, we must define what all of these mean. What is a multi-level marketing or network marketing strategy? Basically, a MLM or network marketing system such as one that DubLi uses creates a commission based sales force that promotes the company and its products. These sales people earn commissions through various levels of compensation, and they usually sell directly to customers. So DubLi is a network marketing or multi-level marketing strategy. Is DubLi a pyramid scheme? Well, what is a pyramid scheme? Many people have been critical of multi-level marketing strategies as they get confused that in no way, shape or form is it the same as a pyramid scheme. A pyramid scheme is illegal throughout the world. And while some pyramid schemes try to present themselves as legitimate MLM businesses, pyramid strategies require new members to pay a sign up fee. If the business associate or sales person receives money from new recruits or customers directly, or if the new recruits are required to purchase more product than they are likely to sell (so-called 70% rule), then the company may be a pyramid scheme. So let’s take this argument back to DubLi. Is DubLi a pyramid scheme? No, DubLi is not a pyramid scheme as none of its strategies or business model resembles that of a pyramid scheme. Business Associates and Partners are not required to and do not recruit customers or other partners by way of sign-up fees. DubLi is a free system with free membership. In addition, DubLi does not require partners to purchase products or credits beyond what they can resell. A sales person for DubLi or a network marketer in the multi-level marketing strategy only pays for the number of credits that they want. There is no push for them to buy more than they need. Therefore, is DubLi a pyramid scheme? Not at all, DubLi is NOT a pyramid scheme, but a legal and very profitable network marketing, MLM or multi-level marketing business.

So Is DubLi a Pyramid Scheme Because Most of Its Revenue Comes from Selling Product Packages to the DubLi Network?
Unfortunately, there is much misinformation on the internet as you know. There were quotes on several sites that more than 97% of all DubLi revenue comes from selling product packages (or credit packages) to business associates and partners. This is just not true, and therefore, DubLi is not a pyramid scheme as business associates and partners have a definite choice on how many credit packages to purchase, and are not required to purchase any more than they need to. In addition, although a big part of the revenue from DubLi US comes from selling product packages because of its initial launch and push to gain customers, DubLi is not a pyramid scheme as this is more of a product launch strategy. Just think about all those other companies that give away free stuff or great discounts on their product in order to gain customer loyalty and a bigger database to market to. The same is true with DubLi. Is DubLi a pyramid scheme because of this? No! For any DubLi Launch into a new market, there will be many transactions and revenue from selling product packages to Business Associates, as these are the people who will further push these credits to customers to try the system. Once the launch is successful through the expansion of the customer base, less of the revenue will come from product package sales, and more will come from sales through the DubLi Mall and auctions. In no way does this represent a DubLi pyramid scheme. This is just clever and necessary marketing in order to gain market share. In no way does DubLi represent a pyramid scheme at any level. So is DubLi a pyramid scheme? Absolutely Not!

DubLi Is a Pyramid Scheme Because It Sells Nothing of Value
This is what one of the up and coming online shopping giants has to deal with day in and day out. This remark which was posted on a user blog made headlines throughout the news world. What’s funny about it is that there is no substantial evidence of this, and the quote is simply untrue and inaccurate in every sense. DubLi is a pyramid scheme? No. DubLi sells nothing of value? Nope. Two strikes right there. Not only does DubLi sell retail products from brand name retailers, manufacturers and other businesses, but they also sell traffic to Yahoo! in Europe and other affiliated merchants. All of the products that DubLi sells online have value. They are new, unopened, everyday or unique high-end products that customers will receive, enjoy and pay much less for. DubLi is not a pyramid scheme, and everything that they sell has value.

Another Perspective – How Does DubLi Generate Revenue
Other people remark that DubLi generates revenue through a pyramid scheme. This is simply untrue yet again. In order to sustain itself, DubLi devised a credit based system where Business Associates purchase credits from DubLi which are in turn sold to customers who spend these credits in the auctions or shopping mall. The DubLi auctions do not generate much of the revenue, but the shopping mall does. The credit based system is a great way to promote DubLi and its valuable service, and is a great way to drive traffic to its websites. These credits make DubLi sustainable. So DubLi is not a pyramid scheme in any way.