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There are calls for online retailer Kogan to be investigated over whether its misleading customers with dubious discounts. The ABC can reveal Kogan is running a clone website that sells the same products at significantly higher prices. Kogan denies any wrongdoing but there are concerns its discounts are being unreasonably compared to inflated pricing.

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00:02Tracey Villani bought an air conditioner from the Kogan website during a heatwave.
00:08Price was definitely a factor I had compared prices and Kogan was the cheapest.
00:13Tracey paid $779, which Kogan advertised was a discount from a standard retail price.
00:20The price that they were selling it for was quite a few hundred dollars below the recommended retail price.
00:25Kogan has created a second website called Exclusive Brands that sells the same private label products as Kogan.com, but
00:34usually for much more.
00:35A sofa was almost $4,000 on Exclusive Brands. On Kogan, the same sofa was just over $1,200.
00:44A large TV was more than $3,000. On Exclusive Brands, it was nearly $7,000.
00:50I think this is extremely concerning. Kogan is an extremely well-known retailer and, look, it needs investigation.
01:00Rod Sims says if the Exclusive Brands website is not being prominently promoted, then Kogan might be misleading shoppers.
01:08If the comparison site is one that is not being promoted, not being used, then it's pretty hard to see
01:16that it makes a legitimate comparison.
01:18To me, that would be against the law and of great concern.
01:22I think people would feel manipulated.
01:24Consumer law expert Jeannie Patterson wants the consumer watchdog, the ACCC, to investigate.
01:30It does start to look like the discount is a kind of made-up discount from an inflated price that
01:38products are notionally but never really sold at.
01:42That's something Kogan denies. It's said in a statement it takes it very seriously, its obligation to present prices clearly
01:51and accurately.
01:52The company said it only advertises a standard retail price after it's been offered on Kogan.com for a reasonable
02:00time.
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