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Snapdeal has to honor low cost phone sale

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It happens once in a while. So many times, there has been the story that airline tickets were suddenly available for $1 or so, technical glitches and so on. Prospective travelers immediately snap up such tickets as soon as they are available; the airline may whine and scream about this being a mistake, but they have to honor the deal. The buyer has bought this legally and apparently in good faith; even if there are conditions on the site about the airline having the final say in the ticket, it would be a horrible Public Relations move to deny the ticket; the loss of goodwill would be far worse than the amount saved by denying the ticket. This is true for other providers as well, such as when a shop may come out with a bargain and later realise that there was a problem with the price listing.
In this case however, Snapdeal came out with an obviously faulty listing that showed the iPhone gold version of iPhone 5S for an amount of Rs. 68. A consumer came across this price, and it was a superb bargain, and hence quickly snapped this up. When Snapdeal would have come across this, they would have realized that something was wrong, but it does not matter. They had an item for sale which was bought by the customer in an obviously above board transaction. When they declined to go ahead with the transaction, the consumer went to the consumer forum which ruled against Snapdeal (link to article):

Online shopping portal Snapdeal has been asked to pay Rs.10,000 in fine by the State Consumer Dispute Redressal Commission for refusing to deliver a gold version of Apple’s iPhone 5S (16GB) to one Nikhil Bansal for Rs.68. Bansal had allegedly ordered the iPhone from Snapdeal last February when it had appeared for buy for Rs.68 on its website.
Snapdeal in its defense said that the ‘iPhone 5S available for Rs.68’ incident was a technical glitch. The forum – in its order dated February 12 – has dismissed the argument. Snapdeal has also been directed to deliver the iPhone to Bansal at the same price that it was ordered, that is, Rs.68.

E-commerce chains need to be more careful of such cases. Mistakes will happen from time to time, but if the merchant refuses to go ahead with the transaction, it would not be good for their public image, and hence they need to reconsider their approach in such cases.


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