Sensation Sells News and Sensational News Sells
Recently in the online community there has been a posturing against a young marketing company named Zhunrize.
The company is just over a year old and has grown phenomenally in the word of mouth home based business. Also has won the attention of big box stores such as Walmart and Best Buy, with others online sellers waiting in the wing to take advantage of the huge momentum and selling power of Zhunrize Independent Business Owners. Jeff Pan is the CEO behind the brain child that is running down companies like Amazon and AliBaba. What you will read online about this young company reads like a smear campaign. I can not find one positive word about Zhunrize from these MLM reporting sites. What these reporting sites state about Zhunrize Inc., testify to one of two things:
1) There is a real campaign against the company or
2) The reporting website has not done a true fact finding job about the company.
A MLM Skeptic Tuesday September 23, 2014 posted:
“Breaking news: Zhunrize, an alleged e-commerce platform that was pitched as “Internet store you can own” for $3000 a pop has been closed by SEC as a pyramid scheme where joiners are encouraged to recruit more joiners and get paid if they do so.”
and went on to reference Behind MLM stating:
“Behind MLM had previously done a review of Zhunrize where it concluded this can only be a ponzi scheme. I have provided additional comment that this is just “Skybiz” pyramid scheme reinvented for 21st century… using the same lure: ecommerce.”
BehindMLM, in its blog, quotes an SEC complaint filing and immediately aligns Zhunrize with the likes of ZeekRewards.
“The SEC has shut down Zhunrize, revealing it to be a $105 million dollar Ponzi scheme in the process….Almost a year ago BehindMLM reviewed Zhunrize and concluded as much, with the SEC’s injunction conclusion reading near identical to my own…”
These two companies, Zhunrize and ZeekRewards, could not be more far apart in business models.
The Securities and Exchange Commission has frozen the assets of Zhunrize, this is true, as reported by CEO Jeff Pan during a late night company update Wednesday, and at the same time the Securities and Exchange Commission has not stopped Zhunrize and their independent Business Owners (IBO’s) from doing business through their online stores, also disclosed in the same report.
ZeekRewards was a penny auction business model that reported to sell bids to customers who in turn use those bids to bid on products reported to be discounted. The Bids cost $1. each but represented a penny in the bid price of an item. The real final cost of the item in the ZeekRewards business model was masked by the movement of the decimal point, much the same as Ubid.com. ZeekRewards could not grow its customer base to meet sustainability and the reps got left holding the bag.
Zhunrize Inc. sells online shopping portals, Zhuncity Stores, starting as low as $20.00 up to it’s Premier Online Product Store at $3000.00 with three product price points in between. The products in the Zhuncity store range from apparel to travel and over 500,000 products in between. The products are at deep discount to the point many Zhuncity store owners are able to take advantage the discounts in with a drop shipping business model. The products are of high quality and the price points rival the major discount sales sites, known online for value.
( This begs the question, are there forces behind the scenes looking to destroy the giant before it grows up…eliminate the threat, much like Tonya Harding on Nancy Kerrigan…if you can’t beat’em,… beat’em up.)
Zhuncity Store owners enjoy the benefit of a done for you product fulfillment, they can rely on and a responsive customer service team, so the new and untrained store owner avoids pitfall and blunders in those areas. The Zhunrize business model provides the most novice of individuals the ability to develop an income in the online shopping niche.
Although Zhunrize has partnered with huge online placeholders like Bestbuy and Walmart, to drive sales to their brands, Zhunrize has developed two proprietary products in the weight loss and beauty care space to be release later this year under the direction of Todd Spencer, VP of Product Development. Amazon was also part of the heavy hitter lineup Zhunrize was driving sales to, however Amazon refused to pay commissions and Zhunrize CEO Jeff Pan, chose to move forward without Amazon in the Zhuncity portfolio.
Patrick Petty in his blog begins with a neutral fact report, as it should be…just the facts, but then becomes pejorative, stating:
“Like other MLM schemes before it, Zhunrize appears to have traded on the names of famous companies outside the MLM realm.”
and goes further, muddying the water, by mingling information of the Zhunrize complaint by the SEC with “Massachusetts Bank for Telex settling with Securities Divison for 3.5 Million Dollars…” Although separated by a faint column boarder, the sentences run together to form a misleading statement
There is a lot of evidence pointing to, there is a real campaign against the company, Zhunrize.
In a late night conference call, Thursday, September 25th, Zhunrize CEO, Jeff Pan revealed his welcoming of the SEC’s investigation, and how the investigation supports his vision for the future of Zhunrize Inc. Jeff Pan is promoting transparency of not only the company, but also the membership of IBO’s. The fact the SEC has allowed Zhuncity stores to continue to operate, supports Jeff Pan’s statement of working together with the SEC.
The result, if there are any concerns in the way Zhunrize Inc. conducts business, those issues will be corrected and the company will emerge stronger in integrity and profitability. I personally am waiting to see when Zhunrize Inc. emerge from the cloud that currently looms, will these same mud slingers retract their statements or dig their heals in deep for the next round.