BUSINESS MAVERICK: Takealot takes action after allegations of price-gouging for portable power stations

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The platform has already suspended one third-party seller, who more than doubled the prices of the in-demand Gizzu power stations, but now another seller has stepped in to take advantage of Eskom's collapsing grid.

Takealot has suspended a third-party seller from its marketplace, after complaints of price gouging on a popular portable power station. This comes after consumers noticed a spike in the price of one of the hottest commodities during this seemingly neverending season of rolling blackouts: the Gizzu Portable Power Station.

Debate about the devices was set off by reviews of the Gizzu 150, 296 and 518 by trader Dwaine van Vuuren on Twitter, who posted on Wednesday, 21 December: “After nearly a month of use, I formally vouch for this product Gizzu 296. Paid R4,700 on Black Friday but range from R5,500-R9,000 so shop wisely. Slams 4hr loadshedding with 40% battery spare with 65cm TV, AppleTV & Soundbar with subwoofer.

Their Gizzu 518 saw the steepest price increase, shooting up from R6,799 on 28 November to R15,999 on 15 December, where it remained until 23 December.On 16 December, another third-party pushed it even further, cashing in on the thirst for Gizzus, selling a 518Wh power station for R16,999.

Syntech has recommended retail prices of R2,999, R5,999 and R8,999 for the 155, 296 and 518Wh Gizzu devices respectively, which are listed accordingly at brick-and-mortar stores, but not on e-commerce platforms such as Takealot.“The [ecommerce] model allows for one listing to have multiple sellers, so what happens is the nature of the marketplace allows for anybody to compete and deliver the best price to the market.

 

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Supply versus demand people. This basic economics. Or don’t these rules apply in SA? Oh wait, I forget, no rules apply in this country anymore.

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Okay cool so now instead of having some of an in-demand item available at takealot, there are non available. Good going central planner price control fanbois!

Third party sellers should be properly vetted prior to placement on site.

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