Price War with Kogan takes its toll on JB Hi-Fi

JB Hi-Fi rarely has the cheapest prices

Price War with Kogan takes its toll on JB Hi-Fi

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JB Hi-Fi Chief Executive Terry Smart blamed “heavy discounting” for the company’s profit downgrade announcement today, which projected a $5 million reduction on the previous financial year’s profits.

While this isn’t great news for JB’s shareholders, at Kogan we see this as a win for consumers and are happy to have played our part in putting $5 million back into the pockets of Australians as we continue to drive down prices to save customers hard-earned cash.

We believe technology plays a vital role in making the world a better place. Our goal is, and always will be, to make technology more affordable for all Australians - whether they buy from Kogan or not. If we cause market prices to go down, we are achieving our goal.

Competition gets us out of bed in the morning and we are glad JB Hi-Fi has accepted the challenge. There has been many times in the past year where we have launched a TV at a world-first low price, only to see JB Hi-Fi respond with a big ad in the newspaper two days later trying to catch our prices. We commend JB for trying to tango with us. But each time we’ve come back with an even lower price, and we’ll keep driving prices down to help the average Australian save money.

Australians have been overpaying on consumer electronics prices for way too long - most Aussies know that the best prices have traditionally been found offshore. It’s Kogan’s mission to change that, so make sure you always shop around to get the best bargain on the latest technology.

The Kogan Team

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