[PRICE ERROR] Samsung Galaxy S4 4G i9505 Black $431.99 Delivered from Kogan!

Moved to Forum: Original Link. It has been confirmed by Kogan that it is a price error. See email confirmation. Some stats before this post got moved to forum:

  • +593 / -22 votes with 45 voted revoked
  • 18,199 clicks

Looks like Kogan just had another price drop on this, at this price it won't last!
Be quick guys!

Credit goes to OzBargain user: tongyun for telling us about it :)

Update: Kogan has tweeted that this was not a price error, however this has since been quickly removed and it is unknown if orders will be honoured.

Picture of tweet here thanks to Gackt

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Comments

  • +3

    1st time buy from kogan the crap headphone $9, went to bin in a week.
    2nd time, this deal, pricing error.
    hmm should i give them 3rd chance? probably not.

    • 1st time 32gb USB 3.0 flash drive for $19 - really good item
      2nd time this.

      Im on the fence but it'd have to be a good deal for me to consider it next time.

    • Bought my Galaxy S3 from Kogan last year, works perfectly fine. :)

  • Guess Sumsang and Kogan will hounor the deal if iphone5C has cheap price.

    • +3

      This has nothing to do with Samsung.

    • Your logic is flawed.

  • they did this during an iphone launch to divert attention….

  • +19

    This deal should be honoured by Kogan.

    My reasons are as follows:-

    • Deal remained online for at least 6 hours and in that time the high traffic amount of s4 purchases would have made them aware that there was a possible pricing problem, however no action was taken.

    • After the deal ended, the following morning afterwards some people received emails re-confirming that the price was indeed $409 + delivery and for them to now "click" on the attached link to get the deal.

    • twitter screenshots confirming that this was not a pricing error.

    • the backlash by consumers, loss of reputation and bad publicity generated from not honouring the deal would most likely cost the business more money than doing so.

    • +2

      I think the Twitter thing was the Kogan social media person not actually reading the tweet they were replying to properly.
      Like they assumed it said something about it being $589 and they were confirming it was legit price - then deleted it when they saw the actual price quoted by the original tweet.

      • my thoughts exactly..

        feel sorry for that silly bugger..

        still pretty upsetting that there hasn't been any mass official word yet..

      • +7

        I have got to agree with this, but the responsibility of a social media position in a company as big as Kogan should be taken more seriously. Sure if the tweet said "is this legit link" it would be understanding if the people at kogan just saw the link as the "galaxy s4 sale link" But the tweet contained the price with a picture"@Kogan is this legit?? $409?? pic.twitter.com/H7RiHP4myH" and that shouldnt just be skimmed over if you are replying to a tweet..

    • +14

      Seriously, Ozbargain has spoilt some of you guys. Think of it from a business perspective and you'll see why they simply cannot honour a pricing error of this magnitude.
      If you don't want to shop at Kogan anymore due to a pricing error, that's your loss.
      Every online business suffers from a pricing error like this at least once. I still buy from them because it doesn't suddenly mean they are a terrible company.

      • -1

        So again does this mean if I run a business I can generate thousands of free visits to my business by simply posting a pricing error and all is forgiven? An alternative marketing strategy would be to sell a few thousand devices at a loss and get great PR rather than spending the same cash on a large marketing campaign. Either way you can achieve the same results. But this way they have done it for free.

        • EXACTLY…
          hopefully this is the case - as they havent officially stated if any orders will be fulfilled.

          if i was kogan (or in the board room meeting)
          legally - orders after 12pm (as advertised/stated) cancel
          any duplicate orders cancel as limit 1 per customer.
          look at break even point (include accessories/warranties ppl added to the order)

          see how many units they can fulfil - maybe round it up to an even number - and fulfil those orders…
          that way they're not getting the full backlash…

          people who have orders outside that list offer them a discount from the $589? (at that price they are making money one would assume to recoup from the orders at cost price)

          like others mentioned i ordered / knowing that pricing highly unlikely - but always a chance…

          like ruslin kogan said - its a long term game… saying 'no' on all the orders = massive backlash… even if it was internal stuff up on the discount amt.

        • Turns out the marketing was worth $20 per purchase. They obviously didn't have to do this but I thank them for it. Thanks Kogan.

    • By decree of bickel72, 6 hours is the maximum amount of time that can elapse before you must rectify a pricing error.

      And as they say; any publicity is good publicity.

    • They also took peoples money, unlike Amazon that debits a credit card when an item ships.

      Looks like kogan doesnt have a stock level counter for orders on the website either.

      This is looking really bad, kogan has honoured an incorrect price in the past.

  • +7

    I am angry because I missed all the fun!

  • +1

    Well guys, it has been one hell of a ride!

  • +3

    So theory,

    Kogan took all the orders last night on the off chance that the iPhone 5S is actually good.
    As it is rubbish people will still be buying the S4, so they don't need to dump all their stock, which is why Kogan cancelled everyones orders.

    • +2

      Hmm… Sort of like a free put option.

      Right, but not obligation, to sell. Clever.

  • +3

    He should make good on this to keep a good image for his online business, and thus fetch a better price when he sell it to private equity, $1-$2 mil loss is peanut compared to his net worth of $150mil.

  • +4

    Makes sense if hes trying to sell his business.. generating traffic by false advertising and then calling it a pricing error.. The prospective buyer will not be shown all the stuff ups.. just the fancy graphs showing a million hits a month.. A pricing error doesnt last for 6 hours.. Kogan better honour this or there will be more negative posts on FB/ Twitter than positive votes on this thread..
    I say start now!!

  • Hopefully we should not have any trouble getting refund within 1-2 weeks. We can always make a Paypal claim. Still very upset about not getting the phone. Bought it as a gift for wife but she was not happy to switch to android from iPhone

    • +1

      Then you should be happy if it is cancelled since your wife didn't want to go Android anyway? Happy wife, happy life.

  • +1

    question - just checked my invoice and it does say the price was $589, just that there was a "discount" component of $180, which reduced the price as much.

    could it be said that its not a pricing error since it is $589 on the invoice?
    could they say the discount was the error?

    • +1

      It could also be said that you were invoiced the incorrect price (hence a 'pricing error')…

  • +6

    In theory, he pulled this last stunt to build up his database of online customers details (your name, address, credit card, PayPal, etc..) and sell it together with his online business for a good fortune, shame on him if this was done intentionally.

  • Does Kogan actually reading all of these comments?

    • +1

      Yes, infact he's LOLing at all of us right now for being stupid and gullible

  • +6

    rang up just then, gave them my reference number asking when it'll be dispatched, and they said 2-3weeks etc etc
    didn't say anything about not being sent or a pricing error

    • +1

      Did you ask though if it was a pricing error?

      • +1

        i tried to ignore asking that, should of tho

      • +3

        Shhh, if he doesn't mention it, noone will ever notice! In fact all you guys should call up, confirm the dispatch date, and magically immunize your order against cancellation as well.

        • +5

          i rang again, lady said, "at the moment we are just waiting to send out an email and then well go from there" I'm like is it a pricing error tho? she just kept repeating the same thing "we are waiting for that email"
          b#*%ch

        • I am certain they are awaiting decisions from the big guys,

          during the S2 fiasco shoppingsquare did honor it at the end, it was clearly a loss for them but their reputation shot up like a rocket at that time

  • pos revoked. pricing errors happen. live long and prosper people.

  • +7

    Seriously they would have told us already if it was a pricing error.

  • It's legit.

    • confirmation?

      • wait 2 wks for package confirmation?

    • Why remove the tweets then?

    • +6

      too legit to quit..

  • -6

    Plus its grey import stock. Probs cost em $250 a pop or so anyway….
    I've got a Chinese smart phone it cost me $170aud delivered, 5" screen 720p, quad core mtk, gps , camera. Probs cost them $100 to make if that….so basically the same phone with some higher quality components still doesn't cost that much to make…don't worry I recken they are still making money. Especially being a imported phone - much cheaper to purchase wholesale or even straight from the manufacturer, hence 2-3 weeks delivery time.

    • that cost em $250 a pop is for samsung, they wont let kogan buy 10,000 at $300 each :)

    • +3

      you are too naive if you think the retailer market works like that

  • I think the total cost for the phone is in the sub $200 range, add to that R&D, overhead and shipping, it would still end up below $300. So in theory they get at least 25% profit margin on this if they honour the deal, not loss making at all.

    • +2

      Not a chance. If retailers were making $300+ on the sale of a single phone competition would have driven the price way way down a long time ago, especially in the online grey market segment.

    • that cost em $250 a pop is for samsung, they wont let kogan buy 10,000 at $300 each :)

  • Interesting that it is sold out now when it would of not been the case if the price stayed on $589, so why is it sold out when most people will be requesting a refund if it is not honored.

  • +1
    1. Can accept if its a pricing error….mistakes happen. What matters to me is how quick they resolve problem and communicate with customers. At the moment they seem in no hurry to address concerns which is more than annoying. Must say if they do decide to honour it…. their P&L ain't going to be looking to hot this month. If they don't honour it reputation going to take one hell of a hit. If Gerry Harvey surfs Ozbargain he is probably loving this. Ahhh well if this is an error I guess they can ride the "damn big companies" wave they have been riding since the Telstra debacle
    2. Why are we on Ozbargain discussing this….shouldn't we be spamming their in boxes, twitter and any other social media they use. Weird we are debating this amongst ourselves when we should be going to source of problem
    • let us know what your twitter handle is and we'll follow you :)

      • +1

        For all my talk…..I won't be starting that war. I am just an instigator :

    • +8

      I was in my local HN the other day, and the place was packed. And in spite of their failure to honour online deals with pricing errors, I doubt their online sales have taken a significant hit either.

      In other words, even if Kogan don't honour this pricing error, people are still gonna jump whenever the price is right on something they want, because it takes a lot more than that to inspire enough people to shop elsewhere on principle alone, to make a significant difference.

      Maybe it's not the consumer utopia we all desire, but it's what we've got, because the latest over-priced tech gadget is not something we need, it's something we want. I mean just look at all the "magical thinking" that is going on in this thread and tell me if this excercise is essentially a matter of principle, or the equivalent of a mob crashing through the doors of some department store having a crazy boxing day sale.

      /rant

      • In other words, even if Kogan don't honour this pricing error, people are still gonna jump whenever the price is right on something they want, because it takes a lot more than that to inspire enough people to shop elsewhere on principle alone, to make a significant difference.

        Finally! Someone with common sense!

    • of course Gerry Harvey is aware… (self or advised)

      have a feeling he's one of us…
      the professionals :)

  • Broden ain't gonna like this!

  • Apparently we will receive an email with more info in regards to the S4 orders twitter

    • Couldn't get a good night sleep last night because of this deal. Feel like I am going to explode soon if I don't get an offical answer from them. ARRRGGGHHHH!!!

  • "Kogan ‏@Kogan 9m
    @lilothehuman Hi Lilo, our team is contacting you via email with all the info."

    No email yet. RIP doe.

  • +6

    Kogan did the exact same thing just a couple of months ago. With the S4 as well.

    http://forums.whirlpool.net.au/archive/2110474

  • +3

    If this is a pricing error, never buying from these guys again. It's obviously a way to lure people in.

  • It's funny how we all know how common this is, yet people still get angry when it's not honored.

  • Hey that was my tweet (@Sorry0fficer).

  • What the hell is going on? My head hurts

  • back in stock @ $629 ;)

    • can't take this anymore, I've given up hope :(

  • +40

    Someone should start a petition for Kogan to honour the deal?

    • +1

      top vote above comment to make sure this happens

  • Has any one received any correspondence (in writing) confirming they are not honouring this?

  • Haha these guys are so incompetent, never seeing my money again. I should have known it's too good to be true. Still fun times as always on oz bargain. :-)

  • Didn't go ahead on this last night because I got burned last year in similar pricing error!

    If they honour it… Not happy Jan.

  • +2
    • +1

      What's the point? It's going to end up in the forums; where everything's made up and the votes don't matter.

      • Satisfaction.

  • Maybe the delay is Kogan trying to negotiate a bulk buy deal at a lower cost so he can honour the price? Chances are no, but it's plausible.

    • +11

      Nice imagination

    • +3

      they're probably just taking the time wording up a spin email for damage control.

      How hard is it, either you honour or you don't !!

      • Very true, though they are going to need a bigger form of damage control if they delay the email till tomorrow.

    • +1

      may be Kogan is trying to figure out if the loss he will suffer from honouring the deal will be offset by the higher price he gets from selling his online store.
      You can price a business based sales figures and sales growth. After this deal, Kogan's sales are way up from the previous corresponding period, so someone who doesn't do their due dilligence will be fooled into paying a higher price thinking the growth in sales is real and permanent.

  • +4

    I wonder why it's taking Kogan so long to get this email cancellation/confirmation notice in order. The longer they wait this out the worse the backlash is going to be.

  • So, if 1200 people bought this item Kogan has Half a Million dollars through an error.

    Surely it must bare some responsibility; and hence accountability.

    • +2

      How's that number derived? The max they are losing is $180 per handset.

  • +2

    back to $589 lol these guys are taking the p1

    • +3

      $589 without ON SALE text. Last night they have ON SALE mark.. I think they did it on purpose

      • yeah, because of that red ON SALE text I jumped on the bandwagon as well !!

        If a refund is required does anyone know how long before I can see my money again?

    • haha, nicely spotted, can these guys make a decision?

    • was $629 30 mins ago

  • +9

    Kogan thought Iphone 5c going to be priced around 350, hence tried to get rid off all the samsung s4s.
    They find out its rather not after iphone anouncement in the morning.

    Tells everybody its a pricing error … Win Win ..

    • +9

      Too much of a coincidence for this to not be the case

    • +1

      I said a similar thing on the previous page. But yeah the timing is very suspect.

  • +4

    Apparently from whirlpool last month it took them 3 days to send out a price error email on the s4

  • Price on website now changed back to $589 + Delivery.

    EDIT: Too slow…already posted.

  • +2

    It is in true OzBargain spirit to grab one eventhough I guess most of us does not really need a new S4 at this point, and realised that it is likely a price error.

    But if you don't try, you will never know, at least we are in with a chance of Kogan honouring the deal. At most, we will lose some time to get a refund from Kogan, and maybe Kogan will throw in a discount voucher for those that bought.

    • I thought Amart was pretty generous giving a few people $20 vouchers to make up for their website crash.

      It'd be an insult if Kogan just refunds everyone's money and offers no compensation, after all the publicity we've given them!!

  • +2

    So we have no official answer from Kogan yet on what's happening.

    Maybe until then if the general public kicks up a bit of stink through social media they might be pressured to honour it?

  • +2

    I can understand a pricing error here and there. Systems fail, people make mistakes etc.

    But given this is the second time in 3 months for the exact same product this has happened, they obviously have no incentive to stop doing it.

    http://forums.whirlpool.net.au/archive/2110474

    It was up all night, so they probably did it on purpose. Think about all the extra money they have in the bank today earning interest. Plus a certain percentage of those who bought last night will have psychologically committed to the purchase and just pay the full price.

    • +10

      You would think they would build in a mechanism to stop employees selling products below cost. Can't be that hard.

      if (currentPrice < costPrice) {
      throw new PriceException("Dude, you're killing me! Call me first.");
      }

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