Flipkart vs Ebay vs others, Why so much price disparity?

[bobmartinusa]

Anprav, there are two things.
1) Firstly the warranty type:
a) Manufacturers warranty. Every Manufacturer (Samsung, Nokia, Sony, etc..) allows a set sold through a retailer who has obtained his stokcs from an authorised distributor to be serviced at their service center, under a manufacturer's warranty. (Usually 12 Months)

b) Sellers Warranty, For retailers who do not procure goods from an authorized distributor, the Brand refuses the right to service their goods at a branded service center.
Under such cases the retailer assumes responsibilty for repairing the set ( The period for this warranty is usually shorter). Its not necessary that a non authorised distributor is selling grey/used or defective products. Sometimes Brands de-authorise a retailer if they violate pricing or sets via that channel have a lot of issues (indicating that the distributor may be mixing grey stock)

2) Amonst retailers selling goods with manufacturers warranty (E.g. Flipkart, Infibeam, HS18, Saholic) the prices can vary based on
a) The Procurement manager takes a bet on each unit by projecting a sales target and in turn pre ordering a certain number of hadsets, now higher the target the better pricing he can get and in turn pass on higher discounts, also relationship with brand matters in this case)
b) Sometimes when a distributor or Retailer is stuck with stock, a liquidation sale can occur, where massive discounts are offered just to free up warehouse space and free up cash flows.
b) The Marketing Manager requests special deals on certain products which are likely to do well given the news stream, (e.g. ICS update) and in turn reduce his Cost of Acquisition.
c) Flipkart's case is different, they need to show to their investors that the Millions of $ gone in Building Warehousing, Advertising, etc.. can be used to justify a higher cost and in turn profitability. Read this:- Forbes India Magazine - Can Flipkart Deliver?

In summary, pricing on ecom companies is a very intricate process and can change from minute to minute.
If you think that a retailer deserves credit for delighting you always and investing in superior logisitcs and advertising, please be willing to pay a little extra.
If you dont care about these things use a price comparison engine like MySmartprice or 91mobiles and look for the lowest price
If you do not even care about warranty, go to ebay and pick up a seller with best ratings.

---------- Post added at 06:52 PM ---------- Previous post was at 06:51 PM ----------

Disclaimer: I Work at an Ecom COmpany Saholic.com, views expressed are my own and not those of the company.

---------- Post added at 06:54 PM ---------- Previous post was at 06:52 PM ----------

One small point, some sellers on Ebay also provide manufacturer's warranty, but in such cases their prices are in the same ballpark as other e-retailers. You can chose those too.

Manufacturer Warranty : It also means that the seller should not be contacted in case of any problem with the product. and the same has to be resolved by the buyer , with the manufacturer and the seller is in no way involved. Its the safest bet for a seller to sell manufacturer warranty items. Also manufacturer warranty items are usually marked up by 30-50% over the imported/grey market product. This is done so as to add the service cost for the product, for example for every product of nokia that you take which is under manufacturer warranty the company Nokia pays its service centre franchisee (nokia care local) 80/- as charges to register a complaint, All these costs are included in the price of the product when you are buying the same. These costs are not included in an imported/grey market product , hence its cheaper.

In case if you buy a manufacturer warranty product from flipkart/shopalohic and it develops a problem they will no way entertain you apart from providing the service centre address in your area. Thats because they have given manufacturer warranty which absolves them of any liability towards you.

Dealer warranty products :

Here its the dealer's prerogative to honor his warranty or not. Most small businesses give this kind of warranty and are usually helpful since non compliance could result in their reputation being tarnished by you. Also there is a threat of legal action in case they do not fulfill their promises.
At the same time there have been fly by night operators who have managed to create a doubt in buyers minds while buying dealer warranty products.

All in all one should use their best judgement while buying products. In this case if the difference in price is 5000/- for a product costing 13000/- it may be well worth buying the same.

 

[greenhorn]

In one of the listings, I saw that the dealer had mentioned that the phone had a sony international warranty, but that it was not applicable in India. How does that work ?

 

[montsa007]

In one of the listings, I saw that the dealer had mentioned that the phone had a sony international warranty, but that it was not applicable in India. How does that work ?

Not sure if you know, Apple international warranty (Extended) is not applicable in India. Must be the same for Sony as the phones are imported from abroad.