Is Kogan Set To Top The NSW COVID-19 Name & Shame List
Is Kogan set to make the COVID-19 name and shame list after they were caught out price gouging goods including hand sanitisers.
The threat of Kogan making the list is high as the online operator was already in the Federal Court over claims of dodgy deals even before we exposed him for price gouging freezers and anti-bacterial hand sanitisers.
Recently the ACCC claimed in the Federal Court that Kogan hiked its prices by an average of 12 per cent on more than 600 products, only to advertise an end of financial year 10 per cent discount sale in June 2018.
Lawyers for the ACCC claimed that Kogan tricked customers into thinking they were getting a discount on 621 products during the 48-hour sale.
Kogan has also been accused of creating a false sense of urgency by using advertising such as “48 hours left!”
Recently NSW has become the first state in the country to act on ruthless price gouging by small and large operators.
Organisations such as Kogan now face having to explain to NSW Fair Trading why they are charging inflated prices for key products.
A visit to the Kogan web site last week revealed that the Melbourne based Company has no qualms about charging $40 for a 75% Alcohol Antibacterial Instant Hand Sanitiser (500ml) that Kogan claims kills 99.9% of germs.
A visit to the Dick Smith web site which is 100% owned by Kogan revealed that a three pack of the same sanitiser is being offered for $90.
The only problem was that Kogan did not have the goods in stock and that delivery will not be till May 18th.
Investigations by ChannelNews reveals that the hand sanitizer goods are manufactured by a Chinese factory in Guangzhou who are selling them for $2.3 USD for 500ml or in Australian dollars $3.84.
Earlier Kogan was offering a 99-litre chest freezer for $1,299 while at Bing Lee a $146 litre freezer was $329, almost $1,000 cheaper than Kogan.
Kogan was also ranging a 198-litre chest freezer for $1,499 while a 200 litre Westinghouse chest freezer at Bing Lee is only $499.
Some of the worst examples include $200 for a 1L bottle of hand sanitiser, $652 for 48 rolls of toilet paper, $999 for a thermometer that normally costs $114 and $500 for six boxes of tissues.
“This ensures businesses have the right to respond to claims made against them, rather than face trial by social media, especially if there is a legitimate reason for the price increase,” NSW Better Regulation Minister Kevin Anderson said.