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Sep
2
Written by:
Justin James
9/2/2008 8:48 AM
A number of years ago, I ordered something from Newegg, at the suggestion of a friend. I found their Web site to be a joy to use, their prices excellent, their customer service good, and their order process to be painless and fast. Over the last few months, not only has Newegg dropped the ball on me a number of times, but I'm now forced to reconsider them as a vendor completely.
Exhibit A
A month or so ago, I needed to order a monitor. Shopping around, I decided to go with Newegg. They were about $10 more expensive than the Best Buy (a 5 minute drive away), but their shipping and handling was much less than the sales tax on the item at Best Buy (it's a pricey monitor, the Samsung T240, which I highly recommend). Since I did not need the monitor immediately, I was willing to wait a few days for it, in exchange for saving myself a trip to Best Buy (the local Best Buy is a miserable experience) and to save my employer $15 or so.
The trouble started a few days after I placed my order. See, Newegg really cares about making sure that I'm an authorized user of my credit card. In fact, they care to the point where they run all sorts of verifications on my card. Their order process says they do this. When I first started using them, this process took a few hours. Now, it really does take the "up the 48 hours" that their Web site warns about. In this case, my credit card information could not be verified, since I had never added my cell phone number as a valid phone number, so I replaced it with the office number. 48 hours later, it told me that the address was no good. And so on and so on. Instead of telling me everything up front that was incorrect, I literally had to play tennis with them for over a week, with each round taking 2 days, before the order shipped.
When then order was shipped, UPS managed to lose it. This is a pretty rare occurence. I contacted Newegg's Customer Service department to find out what I could do to get that monitor. They told me that I had two options:
- Wait 7 - 10 business days while they conducted an investigation with UPS, determined that my package was indeed lost, and re-send me a monitor (note: the re-send would be at the same level of shipping as what I had paid for).
- Cancel the shipped order and re-order the package. Their system would eventually figure out the UPS issue and settle it "behind the scenes".
Of course, neither one of these was acceptable! What I asked for was to have them immediately re-send the monitor with upgraded shipping, and since the fault was UPS', UPS should give them a free upgrade on the shipping, and they can handle their investigation in "the background." The representative I talked to reiterated my choices. So I created a fourth choice: I cancelled my order and drove to Best Buy and bought it there.
Exhibit B
We needed to order a new server chassis for a project. Due to a mistake on my part, I had ordered the wrong part from Ingram Micro (note to self: just because a SuperMicro chassis will fit a particular size of motherboard does not mean that every SuperMicro motherboard of that size will fit the chassis!). Now, Ingram Micro is our preferred vendor, for the following reasons:
- Almost everything arrives in 2 business days from them.
- We have an account with them, so we don't need to jam up our corporate credit cards with large purchases.
- They ship on time every time.
- GREAT customer service, we can even "haggle" with them if we can get a better price elsewhere.
However, Ingram Micro isn't perfect:
- They have not been stocking many SuperMicro products lately.
- Sometimes you will order an item that needs to be shipped from a far away warehouse, and instead of paying more to get it quickly, they just ship it cheap and it takes about a week to show up; if you don't carefully check the warehouse of each item before you order to see if you need upgraded shipping, you can be quite surprised when your item takes a week to arrive.
- Their prices are not as market-sensitive as other vendors.
- Their Web site is a pain in the neck to use.
So I would really love to have an alternative to Ingram Micro, especially since Newegg carries many of the SuperMicro items that they don't have.
Because all of the other parts had arrived, and because we were expected to build the new server immediately, we paid extra for Newegg's "rush" processing and a huge S/H fee to upgrade to UPS Next Day shipping. You would think that between paying a "rush" fee and a small fortune for a server chassis to be shipped overnight, that this would have lit a fire in their system. Nope! Our order was processed in FIFO order, and as a result, the item was not shipped until the next day. If I wanted 2 day service, I could have ordered elsewhere, paying more money for the part but less for a cheaper shipping, have it ship on the day of ordering, and get the part at the same time while saving money.
When I contacted Newegg's Customer Service, I was told that, at best, I could get the "rush" fee ($3.99) refunded. Woopee. He also reminded me that the "rush" fee does not make any guarantees, and that the order page clearly states that it could be up to 48 hours unti something ships, even with the "rush" fee. The fact that I paid for overnight shipping was not relevant in the system's processing of it.
What baffles me, is that I can place an order at Amazon at 11 PM my time, and it will be shipped by the next morning. I don't even pay for shipping, since I have Amazon Prime, so it is not like they have any particular incentive to hurry. But Newegg only seems to have one pickup per day at their warehouses. On top of that, Newegg used to be quite quick on shipping. It is only recently that the things I order from them did not ship the same day, as long as I got the order in at a reasonable time (say, before 2 PM EST).
At this point, I asked if Newegg had anyway of becoming a "preferred customer" or an "enterprise class customer" (or anything!) that would allow me to get better treatment. You know, things like same day shipping. I am even willing to pay for it. But they don't have such a program.
Conclusion
I am really not sure how Newegg can become a vendor to businesses like this. The simple fact is, when a business orders something, often, timely delivery is much more important that money. You don't go with the cheapest vendor, you go with the cheapest vendor who delivers what you need when you need it. And Newegg is proving that they are not in the running to be on that list for me. I will probably continue to order from them for personal items and for non-critical items, but for important things? Not likely.
J.Ja
Tags:
20 comments so far...
You just sound burnt to me
There are some things that I expect a company not to do. One is cover for mistakes of UPS. I don't blame them for wanting to investigate first on your monitor.
UPS should have compensated you for your lost package instead of Newegg.
While you are partially right, Newegg is probably going through some growing pains as I seem to use them as almost everyone else. That and the bots that I used to use such as Pricewatch and Pricegrabber do not seem to be as good at getting prices as they used to be. More times than not, I look for something specific and Newegg has a price lower than both sites.
I still think of Newegg as a vendor for the Computer Enthusiast when you are looking on a great deal on something that normally has a 20 or 30% markup. I never have and probably never will see them as a vendor for the business class.
By nucrash on
9/3/2008 1:41 PM
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Re: I think Newegg has gone rotten
Yeah, I *am* burnt, at least on this one. I think that the real killer here isn't how they handled UPS losing a package (which would have been obnoxious by itself, but after waiting a week just to have it shipped was too much for me), but the 24 - 48 hour gap between placing an order and having it go out the door. That, more than anything else, is why I can't call them "business friendly". It's sad, because as a vendor I generally like them, and I root for them as a company to succeed. I've always hated CDW, and Ingram Micro is a hassle to use in many ways. Newegg is so painless and friendly, so for them to not meet my needs on the product fulfillment end just hurts.
J.Ja
By jmjames on
9/3/2008 1:45 PM
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Other Vendors to consider
www.microcenter.com <- Instore prices are a bit high, but they have some great deals on Processors at times, they like to beat Newegg on the Q6600
www.pcconnection.com <- Backup for my company
www.tigerdirect.com <- also used by my company had occasionally has a good deal.
www.zipzoomfly.com <- Occasionally beating newegg and seemingly coming into their own.
The only one that I haven't dealt with personally is Zipzoomfly, but many friends claim they are the new newegg.
By nucrash on
9/3/2008 2:25 PM
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Re: I think Newegg has gone rotten
I thought it was just me. I am fortunate to have a local vendor for the most common parts and configurations, but we need these online vendors who have access to all products. Whether you work for a company or are the company, we always have some sort of time constraint. I've gotten to the point that I couch my quotes with "depending on parts availability...". Your observations of Ingram Micro are right on also. If the order process was painless and speedy, we all would gladly pay a little more. The client wants it now, now, now!
By bampcs on
9/3/2008 11:11 PM
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Re: I think Newegg has gone rotten
nucrash -
Thanks for the suggestions! I will have to check them out the next time that I need parts.
bampcs -
Thanks, nice to know it's not just me either!
J.Ja
By jmjames on
9/4/2008 12:20 AM
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Tuesday's purchase from Newegg
I ordered an item from Newegg around Tuesday night. From looking at UPS, the item should be here Thursday. I will verify this.
On this particular case, they had what I wanted, the price wasn't the best, but close and there was no 48 hour wait, especially if I have the item by Thursday night which would mean that in under 48 hours the item that I wanted would be in my hands. Not as quick as a trip to Best Buy, but at probably half the cost.
By nuCrash on
9/4/2008 1:46 AM
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Re: I think Newegg has gone rotten
One name I haven't seen here is Mwave. I've ordered from them numerous times and have been quite pleased with the service I've received. 50% of the time they've got a better price than Newegg too. I don't know about the amount of time from order to ship, but I just wanted to get their name thrown in the mix.
If only Amazon had the component selection that Newegg has!
By Burt on
9/4/2008 10:30 PM
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Re: I think Newegg has gone rotten
I've almost ordered from MWave a few times, but because I didn't know anyone who had actually ordered from them, I was not sure if they were legit or not. I guess I'll ahve to give them a try too, thanks!
J.Ja
By jmjames on
9/4/2008 10:31 PM
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Re: I think Newegg has gone rotten
They're legit. I purchased all the components from them for my first build in 2000, just did again earlier this year. They do need to advertise, I don't know many other people who are even aware they exist.
By Burt on
9/6/2008 5:03 PM
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Newegg worked
Product is up and running. 72 hours from when the order was placed, but no special fees or anything else.
I have ordered all special and such and had my gear within 48 hours though, I just can't stand to spend that much unless I have a very large quantity of items.
By nuCrash on
9/7/2008 1:20 PM
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Should New Egg reship without investigating?
I think it depends.
If the package was shipped and it tracking shows it left their local hub (and especially if it got to your state), then they should investigate. the package may be sitting around UPS's warehouse.....I"m sure many in the Dallas area have had the experience of a package sitting in the dallas hub for days (or longer) until a trace is put on the package and they finally go "Oops, guess we should deliver this."
It happened to me many times and a friend had it happen with a Tivo.
OTOH, if it's like a case I had, where Buy.com said the item was shipped, but UPS never got it, they should reship right away.
And no, Buy.com didn't do that...they took a week to "Investigate" a package that they clearly never sent (though they did create a tracking number)."
By notgonnatellya on
9/8/2008 1:19 PM
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Re: I think Newegg has gone rotten
I agree that some sort of investigation is needed before reshipping, otherwise, people would be scamming the system left and right. But 7 - 10 days is far too much time. It took me under 2 minutes on the phone with UPS for them to declare the package lost. It had been scanned as "on the truck" and 24 hours later, it still had not be scanned again and the truck had been emptied. Anothing thing which bothered me here, which I forgot to mention in the blog post, is that I asked UPS why I had to be doing all of this follow up, not Newegg. They told me that they offer shippers the option of being notified automatically when a package "falls off the radar", is declared missing, etc. and that Newegg does not use this. So Newegg has made the concious decision to not be proactive about shipping problems, but instead, force their customers to not just act as the
By jmjames on
9/8/2008 1:29 PM
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Re: I think Newegg has gone rotten
I think "conscious decision" is a bit too strong. Until UPS lost a package (and dragged their feet for almost a month, before deciding they'd pay me the insurance money), I used them regularly, and I never saw an option where they'd notify me if they lost a package. I don't think they know. In fact, 2-3 days after they agreed to pay me for my loss, another UPS agent told me they were going to deliver it (they didn't).
Bottom line is that unless this is a fairly new option, newegg probably doesn't know it exists.
By notgonnatellya on
9/8/2008 6:31 PM
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Re: I think Newegg has gone rotten
Yeah, that does make sense. :)
I think I'll be experimenting with a few of the other reader-recommended vendors, but Newegg is definitely on my "OK list" for items that are not time-sensitive.
J.Ja
By jmjames on
9/8/2008 10:42 PM
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Re: I think Newegg has gone rotten
I'll add a thumbs-up for Mwave. I'm a PC Technician for a large company and I also do freelance PC repair. I've been ordering from Mwave on a regular basis since 2000 and have always gotten great service and fast shipping. I only look elsewhere if Mwave doesn't have it or the price difference is substantial (rare).
Mike Fields
By Mike Fields on
9/15/2008 11:33 AM
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Re: I think Newegg has gone rotten
I agree 1,000%! It is impossible for me to order anything from them, due to the fact that 4 years ago I was the victim of identity theft and someone placed a NewEgg order using my credit card number. As soon as I saw the charge on my statement, I notified them of the fraud. Since the person used my name and address as the billing address, anytime I place an order they run it through their verification process. Apparently they have my address tagged as one associated with "fraud", even though I was the innocent victim. So any order I place, the verification process cancels. I have been on the phone with them countless times to no avail. There is no way to get them to correct this error; believe me I have tried. I usually end up having to go with ChiefValue (a NewEgg competitor), or good old trusty Amazon (if they have what I need - their selection of tech items is limited).
Dave Persinger
By Dave Persinger on
9/22/2008 5:05 PM
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Re: I think Newegg has gone rotten
I think you need to keep in mind that newegg is a consumer company 1st. If you need business service, than you should consider a company like CDW. They understand business and the SLA's they require and can deliver accordingly. you just can't expect that from Newegg..
By Marc on
10/7/2008 7:00 PM
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Online vendors...
For the most part, online vendors do have good prices and ship quick. BUT, the problem with most online vendors is when you RETURN an item. They make you go through hoops, and some add a restocking fee (Buy.com). They will take their time to credit you account. Thus, for pricey electronic items, I go with bricks and mortals, saves me some headaches.
For parts that are easy to return (CPUS, memory chips, etc.), i'll shop online. Sometimes the price between a bricks and mortal shop and online are very similar. I shopped for a Dlink Modem model 655 and most places sold them for around $100. Best buy's price more expensive by less than $10.00.
By Abascus on
10/7/2008 7:00 PM
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Re: I think Newegg has gone rotten
Ironically, I ordered some parts for personal use from Newegg, and they shipped the next day (despite *not* choosing "Rush Processing") and arrived quicker than I expected, even with the cheapo shipping. Odd, eh?
J.Ja
By jmjames on
10/7/2008 7:01 PM
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Re: I think Newegg has gone rotten
Honestly, I only deal with Microcenter and Tiger Direct. Microcenter gives me a choice between shipping and in-store pickup (depending on when I need something or if it's cheaper on taxes than shipping) and Tiger generally has lower prices on some of the other stuff thanks to refurbs.
While I won't get refurb system components, like RAM and hard drives, I don't mind cases, HDTVs/displays, and most non-critical peripherals as refurbished because of the price difference to new. For example, I bought a Olevia 537H for $500 while it was retailing for $850 brand new (and the lesser model, the 237T/V, retailed for $750) several months ago. The only problem I've had with it is figuring out how to work PIP/split screen on game day.
By Nix_Hed on
10/16/2008 2:33 PM
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