Kogan signals 'price war' with new LED televisions
- — 18 August, 2010 12:04
Ruslan Kogan, founder of Kogan Technologies, has declared a "price war" against LCD and LED TV behemoths LG, Samsung and Sony with the release of the company's new Elite LED televisions. The Australian owned and operated brand unveiled its Elite range last week, claiming it was tackling the "big brands" head on.
"Kogan is here to throw down the gauntlet to the big name brands and keep them honest," Ruslan Kogan said. The majority of television manufacturers "charge far too much for LED TVs. The aim of our business is to make technology more affordable, so people can purchase technology at unprecedented prices," Kogan told GoodGearGuide.
A company media release compares its 46in Elite LED television to those available at electronics retailer Harvey Norman, stating that the cheapest 46in LED television at Harvey Norman, a Samsung model selling for $2999, was "nearly double the price of the Kogan 46in [television]".
Kogan Technologies emerged on the Australian market in 2006 and has seen sales almost double each year. "Low prices indicate what our business is all about. We use a very efficient business model," said Kogan.
A GfK TEMAX report released last week indicates that while consumer electronics spending in Australia has fallen by 8.3 per cent in the last quarter, the television market value has remained steady. This is despite a 40 per cent increase in unit sales, showing that while consumers are buying more televisions they are spending less per unit. Competition has been strong in the flat panel television market in recent years, with the average sale price of televisions continuing to decline.