First, this question belongs more to the answers.unrealengine.com
Now the real answer that you are looking for:
Most of the games, at a given level you want the player to control an actor that is given him right when the level starts, at it’s given place.
To make this process easier for the developers, Unreal Engine offers some tool.
When a Game Level starts, it automatically creates the given default character at a random “Player Start” actor, of it can’t find one, then at (0,0,0). That’s why you see this “bug”.
How to fix:
It’s not very hard to trick it so it won’t generate a bonus actor, but it’s much easier to use this function if it already exists.
Just set the Default Pawn to the pad of the Player 1, and put a PlayerStart actor where you want the player to start.
And delete from the level the pad that you put in manually.