If you're still in search for a solution: dnsmasq acts as a caching dns server listening on your loopback device, so you probably need to change the dns server

If you're still in search for a solution: dnsmasq acts as a caching dns server listening on your loopback device, so you probably need to change the dns server of your lan/wifi to 127.0.0.1 (or whatever address dnsmasq is configured to listen at), and also set what external dns servers should be used by dnsmasq. Those are usually not setup properly by default.