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Growing pains are a mixed blessing for one of the largest e-tailers

Newegg is one of the top shopping destinations for computer enthusiasts. In October of 2008, they launched a major expansion into Canada. However, the high cost of shipping and some lag in updating prices and new products has been of concern to customers.

DailyTech did a little research and asked a few questions through C2E Consulting, Newegg's Canadian public relations agency. The following is what Newegg was willing to disclose:


Are all Newegg.ca products shipping from the Edison, New Jersey warehouse?
If not, what percentage?

Canadian orders are being fulfilled from all Newegg order processing centers. Where an item gets shipped from depends on availability and proximity. In general Edison takes care of most of Eastern Canada, while we have found our California centers to be most efficient in servicing the West side of the country.


Is Newegg going to start using Canada Post and/or Purolator instead of UPS?

We are currently going through the processes of evaluating and adding additional shipping options for our Canadian customers and certainly Canada Post and Purolator are among those we are considering. We have heard our customers' feedback and fully understand that in order to be competitive in retaining and winning new customers, we need to offer choices when it comes to carrier but also inexpedited and lower cost shipping.


Is the plan to expand the Canadian product line to match the U.S. product line? Is there a commitment to have new products available as quickly as the U.S. site?

Newegg prides itself on our ability to leverage partnerships with top manufacturers to offer our customers an outstanding and diverse product selection. As it stands, our Canadian customers today have access to almost our complete IT offering. Our computer and gaming categories established and built our business in the U.S. and in this sense we believe we have put our best foot forward by focusing on these products during our launch.

We are absolutely committed to expanding our offerings further and bringing our consumer electronics product lines to the Canadian market as well and are working hard on fostering and establishing the partnerships that will enable us to do so in a timely manner.

It is our goal to provide our Canadian customers an identical line-up to the U.S. with the added advantage of some specific Canadian only SKUs.

What is Newegg doing to lower prices in order to match what is available locally?

Our product management team ensures our prices are competitive to the local market especially when it comes to products and categories key to our Canadian customers. We monitor our Canadian pricing model very carefully to stay true to our commitment to value: offering quality product at great prices.


Any word on a local warehouse in Canada?

Our current order processing centers in New Jersey and California have been doing an outstanding job at shipping product to our Canadian customers getting 99% of approved orders out the door in one business day. Our robust shipping partnerships have also allowed us to come through with timely delivery to both urban and more remote areas of Canada. That being said, we cannot deny the fact that adding a local warehouse would make it easier to expand product offerings and expedite product delivery.  We are seriously evaluating our options in terms of opening a local facility. It is a natural next step for our Canadian business.


Can you discuss any further expansion plans?

Our expansion into Canada has been a great experience for Newegg and we believe we can help transform the Canadian online market for IT and consumer electronics products. We were met with much enthusiasm and feel we have been successful in providing a much needed alternative value model to the existing technology e-commerce market in Canada. The outstanding performance of our Canadian expansion has confirmed that our business model of exceptional product selection at great prices, combined with stellar customer service and fast shipping is a formula for success that transcends cultural and geographic lines. Right now, we are heavily focused on our Canada, U.S. and China businesses but certainly are reviewing our opportunities for expanding internationally.



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By rudy on 4/8/2009 11:10:05 AM , Rating: 2
If not then why have anything different on the sites unless Canada has specific import laws. All the shipments seem to be coming out of the same US centers which have the whole US line of products. Make the US site server the Canadians and just have it display different prices. Cheaper and better for everyone.




By Motoman on 4/8/2009 11:15:13 AM , Rating: 5
The problem with Canada is the mind-blowingly expensive shipping across the border...it truly is oppressive how expensive it is to ship something from the US to Canada.

Take your typical USPS rate for whatever it is your shipping, then multiply it by 2 or 3. Then, the recieving party is liable for a duty fee on top of that.

My wife is Canadian, and every year when we ship up Christmas presents, it's a huge ordeal. Ridiculously expensive shipping, and then her family has to pay $50 or $100 to recieve the packages we paid to ship up there.

All in all it's a very offensive process. Hence the reason why for any business purposes, even eBay, I refuse to ship to Canada. It's not worth it.


By VaultDweller on 4/8/2009 11:49:04 AM , Rating: 2
The cost of shipping across the border comes down to two things:

1) HST or GST is charged on sales at customs for sale items entering Canada. If your family is getting COD bills for this, it's because the "Gift" checkbox wasn't checked off when it was shipping.

2) Brokerage fees, which apply for shipping in either direction across the border and will be payable by the receiver. UPS has exorbitant brokerage fees for their standard, consumer level services. USPS/CanadaPost have almost no brokerage fees. High volume shippers like NewEgg don't have the same gouging fees through UPS that us little people do, and NewEgg obviously has some arrangement with UPS so that there are no COD charges for brokerage.


By Motoman on 4/8/2009 12:00:30 PM , Rating: 3
Negative on #1. I can categorically tell you that we specified those shipments to family members as gifts, and they still have to pay an import duty. This I guarantee.

On #2, I have tried shopping around to different carriers. As you note, I am sure that us little guys don't get the same breaks as Newegg, and I have found that typically the best rate is USPS (which I reckon then hands over to CanadaPost). Still, I see not the slightest reason why the cost for me to ship an item to, say, Thunder Bay (about 6 hours straight north of me) would be 2-3 times the cost for me to ship it to, say, Los Angeles (about, I don't know, let's say 30 hours away from me).


By Motoman on 4/8/2009 12:48:43 PM , Rating: 2
...I don't know what it was, but it has happened multiple times (although sometimes a package goes through with no additional fees, for no apparent reason we can discren). And it sure was't $5. It's been anywhere from $50 to $100. And it flat-out sucks.


By Ratinator on 4/8/2009 1:17:59 PM , Rating: 1
That sounds a lot like the UPS brokerage fees. I have received several items from the US and will never get something shipped via UPS again because of this reason. When receiving parcels from the US there is $5 fee + GST which is 5% of the value of the item.


By Motoman on 4/8/2009 1:30:42 PM , Rating: 2
...this happens on shipments sent by USPS. I believe it is probably the fee that omnicronx is talking about below.


By Ratinator on 4/8/2009 2:37:05 PM , Rating: 1
Funny because I had a video card valued around $150 USD sent to me from the states where the sender had marked gift on it. Canada Customs opened it and saw there was a receipt inside. I still paid the $5 + GST on it. Maybe Canada Customs thought the value of it was correct....


By oldscotch on 4/8/2009 3:32:34 PM , Rating: 2
Never ship across the border with UPS. Ever.

USPS is usually fine for speed (<1 week), I've had the best experience with FedEx and Purolator if it needs to be here in a hurry.

A lot of electronics now can be shipped without any duty fees, most of the time I get away without having to cover taxes either. "Brokerage fees" are sometimes misinterperted as duty fees, that's not accurate though, those are fees that the courier applies on their own. UPS is horrible for brokerage fees and the times I have used them, they've been inexcusably slow. Some things I've received two weeks late.


By monomer on 4/8/2009 5:13:06 PM , Rating: 1
I got hit for a large brokerage fee from UPS last year, so I phoned them up to find out what it was for.

What UPS does is that if Canada Customs says they have to charge GST for a product entering Canada, they will pay Customs, then charge you on delivery. They also charge you a fee to do the paperwork for paying the GST. In my case, the order was around $100, so the GST was $5. They then charged me $45 on top of that for the paperwork.

They did say that you can phone them to opt out and prepare the customs paperwork yourself.


By omnicronx on 4/8/2009 1:20:05 PM , Rating: 2
quote:
Packages shipped by USPS (you are correct, these are handed over to CanadaPost for brokerage and delivery) have a flat rate fee per parcel crossing customs, I believe in the vicinity of $5, regardless of declared value.
While this maybe true, this has nothing to do with the duty fees, it does not matter whom you ship your package with, they do spot checks on random items for all carriers. Rarely have I bought an expensive electronics item from the US that was not subject to duty. The first time I got bit I bought a 150$ video card off ebay 7-8 years ago, and I was charge 60 dollars duty. This had nothing to do with the carriers, it was a fee by Canadian customs.


By Motoman on 4/8/2009 1:29:45 PM , Rating: 2
...I believe that is the fee we run into almost every time. As noted, once in a while we get a package through that doesn't get billed for - but probably 80-90% of them get hit with this fee.


By oab on 4/8/2009 1:24:36 PM , Rating: 2
quote:
Negative on #1. I can categorically tell you that we specified those shipments to family members as gifts, and they still have to pay an import duty. This I guarantee.

It is because you gave a dollar value > $20-30. Gifts less than a certain dollar are exempt from GST/PST/HST ~5-15% tax on top of indicated price.
You also need to pay customs/brokerage fees (USPS/CanadaPosts are fairly inexpensive compared to UPS, this is roughly $5 to $25 dollars depending on the shipper)


By Motoman on 4/8/2009 1:33:24 PM , Rating: 2
...we have been convinced that we need to specify a realistic value for the pacakges we send in, lest they be confiscated or something due to an attempt to circumvent the duty fees. While it is certainly quite tempting to send in a box with 5 $100 gifts in it with a stated value of $25 to avoid the duty fees, it would be infinitely preferable for your Christmas presents to actually get to the familiy members (with a fee) than for them to get confiscated at customs and never seen again.


By cingkrab on 4/8/2009 11:35:01 PM , Rating: 1
Here's the official CBSA stance on tax:

http://www.cbsa-asfc.gc.ca/import/postal-postale/g...

Short version: no GST/HST on goods valued at <$20, or goods <$60 marked as gift. Everything else over, yes.

Regarding brokerage fees, if your package is handled by USPS/Canada Post, it is $5. For UPS, here is the brokerage rate table:

http://www.ups.com/content/ca/en/shipping/cost/zon...

Short version: UPS ground charges hideously expensive brokerage fees. Services such as UPS Worldwide Express/Expedited have NO brokerage fees (included in shipping charge). Therefore, if UPS is the only shipping option offered, choose Worldwide Express or Expedited. You will most likely save on brokerage fees, even though the base shipping cost is more.

FedEx I recall has lower brokerage fees than UPS, but as they have no brokerage rate table on their website, I can't be sure.


By tallcool1 on 4/8/2009 12:47:18 PM , Rating: 2
For someone like myself that is in the US and hasn't had to deal with this, "why" is it so expensive?
Does this case exist the other way, say shipping from Canada to US?


By omnicronx on 4/8/2009 1:16:46 PM , Rating: 2
Yes, its called Duty. It has nothing to do with the shipping costs, electronics in general are usually subject to duty up to something like 30-40%. There is no duty on items under 50 dollars either.

Its just a protection mechanism mainly for items that can be bought in your country of origin. Usually items that cannot be bought within your country of origin have lower/if any duty fees.

It would surprise me if Newegg does not have a Canadian distribution center, as their products WILL be subject to duty on pretty much everything they sell.(above 50 dollars of course)


By Darga on 4/8/2009 1:22:53 PM , Rating: 2
Indeed it does work the other way. Strangely enough it is often faster to ship from the UK to me in Canada. I refuse to ship with UPS after the last incident. I had purchased a laptop from dell Canada and had it shipped to me here so that I could get it installed with certain software, remove bloatware etc for my girlfriend in the US. (Note I did check to see if it was ok for me to send a laptop with the border services and dell and it was all fine) First of all I payed for 3 day guaranteed service (or a "full or partial refund"-lady at the ups store) and the item did not arrive for 8 days. Upon arrival she had to pay a fee to get the item (not brokerage because I covered that already) A couple of weeks later I received a letter from the dept. of homeland security accusing me of illegally importing laptops from Malaysia and reselling them in the states without a license. After many hours on the phone with dell, ups and the dept. we traced the problem down to the ups person improperly stating that I was a business which imports laptops instead of someone just sending a gift (which would have been fine) As of now ups has offered me no compensation or "full or partial refund" for the ordeal and so I have decided to boycott anything that deals with UPS. That was only the latest problem with them (not including the time where they left my $800 rc helicopter which was supposed to be signed for, at my neighbours which we did not like and had a struggle to locate where it was)
Sorry for the long post but I finally felt like venting.


By Motoman on 4/8/2009 1:37:03 PM , Rating: 2
...I would reckon that the shipping of things from the UK to Canada is easier than from the US because of the political ties there. Governor General and all that.


By Motoman on 4/8/2009 1:35:19 PM , Rating: 4
Holy fucking shit are you a dumbass. The world would be vastly better off without relentless cretins like yourself.


By spread on 4/8/2009 3:17:54 PM , Rating: 3
I live in the GTA and I can confirm for our American neighbors that you're a dumbass.


By Pirks on 4/8/2009 4:07:54 PM , Rating: 1
I live in BC and after waiting for a year to get that motherf@cking driver's license and getting laughed at by my US buddies who got driver's licenses in no time I can confirm that you are just as stupid idiot as any other downrating asshole here. Try to live in BC for a while before opening your mouth, okay?


By Pirks on 4/9/2009 10:27:29 AM , Rating: 2
I don't own any Macs, you idiot. How many times I have to tell that before you remember?

BC climate is fine, if not for healthcare, idiotic licensing of drivers, double sales tax, piss poor choice of goods in (online) stores, insane new car prices and stuff like that it'd be pretty nice place to live. Especially when you live close to the US border and can go abroad to do some proper shopping with the real selection of goods and not insane prices.

You should not be ashamed to be Canadian if you understand shortcomings of your government.


By just4U on 4/8/2009 9:47:48 PM , Rating: 5
Actually he is bang on about some things... and while I disliked the wording it's still relevant. I've shipped items all over the United States via Canada post. They tend to get there within 5 business days and no one is charged anything extra. Not the case when they ship stuff up here and that is a little frustrating. There is supposed to be free trade between our two countries.. Why can't we just buy the things we want, pay our initial taxes (provincial and federal) and be done with it? Shouldn't be so much of a hassle.


By omnicronx on 4/9/2009 1:26:58 AM , Rating: 2
Americans are charged the same Duty, and because of NAFTA many products are exempt from duty altogether. You just don't hear about Americans paying duty that much as they don't buy nearly as much from us as we do from them.


By just4U on 4/9/2009 2:57:29 AM , Rating: 2
Well I guess they were lucky then .. Everything I've sent south has gone thru customs and they were none of them were ever charged for it.


By just4U on 4/9/2009 9:52:36 AM , Rating: 2
(grin) I screwed up the wording there. What I meant to say is everything I've ever sent has gone thru customs. (It's all been opened and gone thru to!) Not once has anyone been charged duty on any of it.


By CrazyBernie on 4/8/2009 2:13:21 PM , Rating: 2
Someone didn't get his Cheerios this morning.


By SavagePotato on 4/8/2009 3:25:02 PM , Rating: 5
Do you not understand yet why you get rated down 98% of the time Pirks?

It's not a conspiracy, it's not a squad of people out to get you, and it's not because you "speak the truth" and people don't like it.

It's because you talk like a chump, and you act like a totally unbelievable a-hole of the highest order. Even the people that might agree with your position rate you down because you come across as a dumbass in the way you communicate.

It's not the people, and it's not the subject matter, it's you, look in the mirror, oh there's the problem.


By Motoman on 4/8/2009 3:37:25 PM , Rating: 2
Seconded. For example, my Canadian wife (and our Canadian family/friends) is also not at all fond of the healthcare system in Canada.

...but instead of railing about how Canada is run by "commies" and other statements of stupidity, you say something more like "you Americans have no idea how hard it is to get a family practitioner, or to get seen in an ER in Canada" and then make a rational case.

Instead, you come off like a dumbass. Which, apparently, is the correct impression for us to be getting.


By Motoman on 4/8/2009 4:18:53 PM , Rating: 4
...let me get this straight...you think that the reason the "Canadian healthcare is stinking pile of stench" is because "Because Canada is a f@cking commie country where government sticks its f@cking ugly nose into everything?" And you think this is the "root cause?"

If you honestly think you have made any intelligible statement there at all, you have serious cognitive problems.

You haven't provided any argument of any kind. You're just demonstrating your ability to type and your proclivity to swear and use the word "commie" a lot.

...on another, but related note, if you hate Canada so much, I suggest you move. Preferably to somewhere that doesn't have any internet connectivity.


By Motoman on 4/8/2009 5:00:32 PM , Rating: 2
...the problem seems to be that you fundamentally don't understand that saying "Canadian government bureaucracy is sticking its nose into everything just like Soviet Union commies did" doesn't actually provide any valuable information.

You need to understand basic stuff like this.

If you actually intend to convey any useful information, you need to at a bare minimum provide some examples about how the Canadian government is sticking their nose into something, how that is causing something to go wrong, and what would be a better way to go about it.

Otherwise, you're just an idiot with diarreah of the mouth.


By SavagePotato on 4/8/2009 8:24:10 PM , Rating: 1
Canada like all modern democratic countries has faults. This is not news. There are many things that could be done better here, and the system of government is a joke where your vote hardly matters.

However, despite the things that aren't so great there is plenty of reason for anyone in a country like Canada, or the USA, or even Australia, or England ,or wherever, to be glad, and count their blessings every day that they wake up in a country where they can have a roof over their head, food to eat, and no one telling you by the barrel of an ak-47 what to think and do.

People like Pirks come across as what they are, whiny bitches who take the freedoms they have for granted. Because of the inconvenience of having to wait for free health care or wait for a drivers license (which personally sounds like bull to me since I've never heard of anyone waiting for a drivers license here.) they snivel and complain that their country is the paragon of communistic evil and oppression.

Be glad you don't have a militia riding around in trucks and blowing your goddamn head off with an ak-47 when you walk out the door of your mud hut to go walk 5 miles to get water for the day. Come bitch to me about horrible commie Canada when you do.


By Pirks on 4/8/2009 8:47:04 PM , Rating: 2
quote:
which personally sounds like bull to me since I've never heard of anyone waiting for a drivers license here
http://www.icbc.com/licensing/lic_getlic_passenger...

"After twelve months in the learner stage, you are eligible to take your Class 7 road test."

TWELVE MONTHS! Do you see this, idiot? You think I'm lying here? You're just too f@cking dumb to even do quick check of the HARD COLD FACTS I'm posting here. Stay in your little delusional world, Potato, whatever...

As for my critical attitude - if you like the country you don't have to keep your mouth shut. You can still criticize it. Especially when you criticize dumb f@ckheads in the government who f@ck up the areas of society they are responsible for. Such as health care.


By SavagePotato on 4/8/2009 9:19:20 PM , Rating: 2
Uh and who cares? I call that a good safety policy to require more time as a learner before getting a license.

I have a class one license, which I had to bother to take a several week course for, I think it's fantastic to make people like you stay a learner for 12 months, in fact it would be good to have mandatory driving driving school attendance first. Then maybe I wouldn't see such unbelievably stupid driving on the streets. Hell increase the learner stage to two years for all I care.

You should take a drive in Edmonton some time if you want to see some of the worlds worst drivers. In fact, you personally pirks I wish you would, so you and your lexus can end up wrapped around a telephone pole after being t-boned by a soccer mom in an suv barreling through an intersection. That would make me smile.


By Pirks on 4/8/2009 11:24:09 PM , Rating: 2
quote:
so you and your lexus can end up wrapped around a telephone pole
Now this is getting really ridiculous :))) Potato idiot here imagined that I own a Lexus. What a crazy f@cking loon :))) As crazy as his government. They match each other. A perfect fit of idiots, hahahaa
quote:
it's fantastic to make people like you stay a learner for 12 months, in fact it would be good to have mandatory driving driving school attendance first
Yeah, and it would also be good to put everyone in labor camps and make everyone work for the great patrotic government and whatever else that comes out of your severely traumatized potatohead. You're damaged beyond repair, Potato. Americans and Western people in general were fighting with Nazis and f@cking Commies like you, they were fighting for freedom. You are a shame to your own country. But NOT for it's commie government tho :) Our commies are definitely proud of ya :))


By wolfwood on 4/8/2009 10:50:31 PM , Rating: 3
I don't see the problem. Even in the US, states are moving away from giving 16 year-olds full licenses and instead going with a graduated program. If it bothers you enough, BC is holding provincial elections next month. You can vote the government out if you so choose.


By omnicronx on 4/9/2009 1:31:17 AM , Rating: 2
Haha I knew it, you are such a moron. You still have a license, you just don't have full Class 5.

And Guess what? It has made the roads a safer place now that 16 year olds are off the street. Before you make a snappy comeback asking for proof, insurance can statically prove that 16 year old drivers are more likely to get into an accident than at any other age.


By omnicronx on 4/9/2009 1:32:14 AM , Rating: 2
Which comes to another point, how old are you? If you are still complaining about this it must have happened recently.

So what are you, 17,18?


By Pirks on 4/9/2009 11:15:44 AM , Rating: 2
quote:
So what are you, 17,18?
Your personal attacks are boring. Could you switch from dumb mode into something more argumentative?
quote:
It has made the roads a safer place now that 16 year olds are off the street.
Yeah, like 17 year olds are WAAAY MORE safe drivers than 16 year olds.

Your idiotic logic is actually very fragile, I don't even have to hit it hard to shatter. Think of this: if you say that 16 year olds are a problem - then you can just put an age check on licensing. Don't license people under 18 or 20. Or require 1 year of practice for people aged between 16 and 25. But why this idiotic 1 year wait time for EVERYONE? See how your dumb logic crumbles now? :P


By Pirks on 4/8/2009 8:53:42 PM , Rating: 2
quote:
Be glad you don't have a militia riding around in trucks and blowing your goddamn head off with an ak-47 when you walk out the door of your mud hut to go walk 5 miles to get water for the day
I said that compared to real commie countries like Soviet Union Canada is more like a heaven. You must be not just an idiot, you must be a BLIND idiot if you haven't read that in one of my posts above.


By SavagePotato on 4/8/2009 9:11:06 PM , Rating: 1
Pirks, I don't read your posts, I skim them usually while laughing at your stupidity. You say that as if you have something to say WORTH reading.

You just spew garbage in all directions with nothing behind it. The only thing on my mind when replying to anything you have to say, is how stupid you are and how you should be made a fool of for your stupidity.

You need a smack in the mouth you traitorous, unpatriotic whiny little bitch, for the stupid shit you say about your own country as well as being such a spineless turd to sit and call Canada communist country while you sit there and soak up the same benefits from it.

Go move to some random country in Africa and let me know how it goes over there for you.


By HeelyJoe on 4/9/2009 12:30:45 AM , Rating: 2
See, that doesn't really mean anything at all. I mean you typed out three sentences and got nowhere. Why the hell are you even on here?


By Whaaambulance on 4/9/2009 12:03:58 PM , Rating: 1
quote:
the root cause of the problem


Of why you get downrated is because you talk like an idiot. I thought there might have been hope for you on that last MS commercial post. You seemed to have reverted back to the same moronic, asinine and relentless method of getting your 'truth' out.

Nobody is trolling you. If you really knew the meaning of trolling, it would describe many of your posts. It's pretty clear that you are wet behind the ears, but you don't have to act like you are.

So in your mind, everyone who doesn't agree with your opinions or posts is "dumb" or an "idiot" or a "troll", correct? What you should do is go back and read all of your posts... then read them again.. then really ask yourself "Am I a douchebag?" I think you will be surprised to find that yes, you are a douchebag. But it's not too late. You can still turn things around and not look like a total retard.


By Whaaambulance on 4/9/2009 12:47:52 PM , Rating: 2
I'm not trying to educate anyone lol. I got enough on my table these days. I just want to participate in threads that don't end up being pissing matches.


By cochy on 4/8/2009 4:12:45 PM , Rating: 5
I'm out to get him.

haha

...


By Reclaimer77 on 4/8/2009 4:05:15 PM , Rating: 1
Well I usually hate you Pirks and fight you to the death on Mac vs PC, I gotta agree here.

Canada does indeed suck a big one.


By Pirks on 4/8/2009 4:18:10 PM , Rating: 2
quote:
Canada does indeed suck a big one
Well, Reclaimer, I heard that countries like UK and Australia could be even worse, their government commies stick their f@cking noses into even more things than Canadian ones do. So maybe Canada is not that bad among Western democracies, who knows. I need someone who lived in US, UK, Canada and Australia to tell me how things really are between these countries, but I've yet to find such a person :) Still looking.

One thing I heard from a French guy here in Canada (immigrated here from Paris about 10 years ago) that Canada is waaay more free and less bureaucratic towards businesses and entrepreneurs than France. So there you go - most commie infested Western democracy is probably France :)


By Whaaambulance on 4/9/2009 12:39:00 AM , Rating: 2
Pirks, you should save your energy for a discussion more worth your time... LOL!


By cscpianoman on 4/8/2009 6:40:41 PM , Rating: 1
Soldier: Captain, come quick he's firing off again! What do I do?

Captain: Return fire! Max power!

Soldier: There's no effect, Captain, the hull is too thick!

Captain: That does it soldier, pull out the heavy guns!

Soldier: You don't mean...

Captain: Yes, soldier, I mean LOGIC and Communication skills!


By inperfectdarkness on 4/10/2009 10:15:04 PM , Rating: 2
congrats, congress.

NAFTA has NOT streamlined trade with canada--and has simultaneously made our mexican border porus.

well done, jackasses!


By GreenEnvt on 4/8/2009 4:29:12 PM , Rating: 2
Shipping sucks from newegg Canada.
It ships from the US, so it takes several days to get here.

If I order from directdial.com or onhop.ca, I generally have the item next day if they ship it purolator.
I use newegg for reviews of products mainly, though I did just save about $250 buying some ram from newegg for one of our older servers, vs the above mentioned stores.


By Paperdoc on 4/9/2009 9:40:39 AM , Rating: 2
It was clear from the opening of the Newegg.ca site that they would ship all orders from USA warehouses. They have made this as easy as possible for customers in Canada - they have pre-arranged transportation and delivery, customs brokerage processing, collection of Canadian Sales Taxes, Import Duties - all of it. They include all of that in your final price shown on your order before you click the final order confirmation, so you know exactly what you are paying, in Canadian $, delivered to your door - no surprises!

Given that, I agree it makes no sense to limit the range of items sold through Newegg.ca, since it's all coming from the same shelves! Maybe it just takes time to figure out all the price conversions and duty rates on their entire inventory?

Goods coming to Canada from the USA normally will get hit with these costs:
1. The carrier's price, and somehow it is always a lot more to cross a border, even though they bill you directly for most of their real extra costs.
2. Import Duty set by Canada Customs - rates vary hugely depending on what the items are, but in my experience they are near zero for a lot of stuff, including electronics.
3. Federal Sales Tax (GST at 5%)and Provincial (PST at various %) - same as a customer in the USA, although rates here may be higher than some states, and USA has no GST.
4. Brokerage Fees - for the work of filling out import paperwork, and the expertise of knowing how. Canada Post generally will work on a flat $5.00 per package, people here say, whereas UPS and most courier companies charge a lot more. I did not know, as someone here said, that UPS will allow you to intervene and do your own paperwork. How you catch them and arrange this I don't know. However, in the case of Newegg.ca, they have some bulk service deal with their carrier that reduces this fee to quite minimal.

Biggest issue I have with all this, though, is time. Just getting the processing done seems to delay a cross-border shipment by 3 to 10 days.


yep...
By DASQ on 4/8/2009 11:13:03 AM , Rating: 3
I've yet to buy anything from NewEgg.ca

Their pricing is just not competitive. Now that I know the shipping comes directly from the states for every order, I'll avoid it further.

What I don't understand is that if .ca ships from .com warehouses, how come .ca doesn't carry everything .com does? Does that sound right to you?




RE: yep...
By TomZ on 4/8/2009 11:36:04 AM , Rating: 4
You should cross your fingers and hope for a Newegg distribution center in Canada. Here in the US, Newegg's pricing, selection, and service are second to none. I've stopped even shopping anywhere else for computer parts since Newegg always had the best price when I comparison shopped anyway.

I also had a kind of nasty MB/CPU/RAM problem late last year, and Newegg handled that perfectly for me. So I'm pretty confident in their customer service as well.


RE: yep...
By wempa on 4/8/2009 12:41:27 PM , Rating: 3
Agreed. I get almost all of my hardware through Newegg. I recently had to replace a lot of my PC hardware. I figured that I'd check out the Microcenter B&M store near me. It would have cost me about $150 more + tax to get what I needed. And, as you mentioned, returning products is NEVER an issue with Newegg. I guess the shipping cost is keeping them from being competitive in Canada. That sucks.


RE: yep...
By Ratinator on 4/8/2009 1:19:30 PM , Rating: 2
For now I will stick with NCIX in Canada.


RE: yep...
By VaultDweller on 4/8/2009 11:41:35 AM , Rating: 4
quote:
Their pricing is just not competitive. Now that I know the shipping comes directly from the states for every order, I'll avoid it further.

I find their pricing competitive - at the very least, they absolutely demolish NCIX, which is probably their largest competitor in Canada. However, NCIX has a great price-match policy, so that does tend to negate any other company's price advantage. NCIX's price-matching, combined with pricebat.ca to find the best prices in Canada, is a winning combination.

As for shipping: NewEgg actually gets product to me faster than other e-tailer in Canada. If I place an order at NewEgg on Monday using the cheapest shipping option, I get the goods on Wednesday (sometimes) or Thursday (at the latest). From NCIX or other companies shipping from BC, it would get to me on the next Monday at the absolute earliest.

Depends on where you live, I guess. It takes 2-3 days to get from the NJ facility to NB, and it goes through Quebec - so people in Quebec would probably get it even faster.

quote:
What I don't understand is that if .ca ships from .com warehouses, how come .ca doesn't carry everything .com does? Does that sound right to you?


This is what vexes me. NewEgg.ca's selection is very lacking compared to .com. No Enermax power supplies? An almost non-existent selection of LCD monitors? WTF? I've repeatedly sent product requests, noting that the products I want are in stock newegg.com, but nothing ever comes of it.


RE: yep...
By ZipSpeed on 4/8/2009 1:47:56 PM , Rating: 2
To further add, those living in Calgary, Edmonton and Winnipeg, Memory Express now has a price match policy. Granted, their selection is nowhere near as large as the Egg or NCIX, but if Memory Express carries the same product, they will match. Alreayd PM'd a few things with NCIX and Newegg saving myself the hassle of shipping costs and of course, the waiting.


RE: yep...
By SavagePotato on 4/8/2009 3:31:25 PM , Rating: 2
The trick to NCIX is their standard pricing is atrocious. You have to buy on the sales, or price match. They have a sale pretty much every month.

As for Newegg, I ordered something from them, I can confirm it comes from the US, it shipped from California and came up through Richmond then across to Alberta with UPS.

In all smaller areas now UPS and Purolator have a deal going where they are delivered by the same drivers. So UPS to smaller towns gets delivered by the Purolator guys. Big cities I assume no difference. I get UPS packages in this puny town now just as fast as Purolator. The trick though, do NOT have them deliver to your home if you can help it. Use a business address if at all possible. When I get shipments sent to work I get way, way better results.


RE: yep...
By TSO on 4/8/2009 12:09:36 PM , Rating: 2
If you don;t find them competitive, where do you shop? I monitor ncix, tigerdirect, memoryexpress. I often find newegg.ca competitive, but it depends on the item and what specials they have on that week.


RE: yep...
By Titanius on 4/8/2009 12:22:35 PM , Rating: 2
I also monitor those sites and I can tell you one thing that I do, go to NewEgg.ca find items you want, open a tab, go to NCIX, select those same items, pricematch them to the NewEgg prices (if required) and checkout. NCIX is in Canada so its shipping is a lot better than NewEgg's shipping because of obvious US/Canada restrictions (border charges etc).

If NewEgg wants my business, they will need to fix their shipping costs and work out something with the Canada Customs or make a shipping center here in Canada.


RE: yep...
By BernardP on 4/8/2009 3:00:03 PM , Rating: 2
Exactly!

Same for me. When I order from NCIX instead of NewEgg, I avoid Quebec provincial sales tax and pay less for shipping. NewEgg needs a canadian warehouse in BC to put themselves on equal footing with NCIX.

Only real advantage of NewEgg is better availability of a wider range of products.

For consistently better prices than NCIX, try DirectCanada.com, also located in BC. Also an easy pricematch for NCIX.

I hope someone from NewEgg.ca is reading this thread.


RE: yep...
By mwnl on 4/10/2009 3:27:46 PM , Rating: 2
right, ncix is better in all respects...


RE: yep...
By ATC on 4/8/2009 3:51:27 PM , Rating: 2
quote:
Their pricing is just not competitive.


I think that depends on the items. I had to buy three things in the last couple of months (an expensive Canon toner cartridge, a high-end office Brother P-touch unit and a WD external passport drive firewire model) and I compared the exact three items at shops locally (FS, BB, NCIX and Staples) and even with the shipping (which was expensive) they still came out about 30-35% cheaper through Newegg, so I ordered.

Here's the problem for me though. The shipping took forever and, looking through the shipping log, my stuff appear to have gone through every single city, town and village from California to Alberta. It took 16 days to get here. The expedited shipping option was even more ridiculously priced. And to top it all off, UPS left my package on the front door without even a knock on the door (I was home all day). That's the side of newegg.ca that I do not appreciate.


RE: yep...
By Flunk on 4/8/2009 3:55:10 PM , Rating: 2
There is a point to that, the shipping that New Egg charges in Canada basically kills it for me. It's just cheaper to order from NCIX, and I don't have to deal with border hassles either.


RE: yep...
By cochy on 4/8/2009 4:14:38 PM , Rating: 2
I've bought from NewEgg on a number of occasions. I love their service. Shipping costs is an issue sure, but that can be mitigated by ordering a lot or watching for "free shipping" specials.

NCIX is great two, but Newegg wins hands down on web site design. Tigerdirect is the dumps.


RE: yep...
By BruceLeet on 4/8/2009 9:20:48 PM , Rating: 1
I agree. I haven't purchased from .ca yet. And I dont plan to until:
Prices are competitive with other canadian e-tailers. Shipping is free.
Paypal w/ bank transfer is accepted. I dont own a credit card and don't plan to, ever. They seem to bring down individual economy.


UPS Sucks
By arazok on 4/8/2009 11:57:57 AM , Rating: 2
The worst thing about using UPS to ship to Canada is that unless you upgrade to an overpriced expedited shipping, UPS charges you a customs brokerage fee of $25 or $50 (I forget the exact amount). They essentially bill you to fill out some paper work. No other courier charges this fee.

If you aren’t home when they deliver, the nearest branch is often a good drive. In Burlington Ontarario where I live – the nearest UPS drop-off is in Hamilton. And it’s only open from 7:00-9:00 AM, and again at 3:30-5:00PM – both during rush hour, making it an hour drive for me to pickup a stinking package.

Whenever I’m buying from the US and I see UPS shipping, I run.




RE: UPS Sucks
By Bainne on 4/8/2009 12:40:12 PM , Rating: 2
Second
UPS is the USA is GREAT, but in Canada... UPS = United Parcel Smashers.

Newegg should switch to Round boxes for their products, as that is the eventual state that packages arrive in from UPS...

Newegg is really good on most every front, but they aren't even a Canadian company - They are an American company putting their foot in the Canadian market's door - I would prefer to support true Canadian businesses, not some ridiculous USA conglomerate.

NCIX with their PM policy is practically unbeatable, though compared to Newegg, customer service is a little slower - but shipping has vastly improved. Most of my recent orders were out the door in a matter of hours. Those who wait longer probably just order hard to find parts or were difficult customers making changes.


RE: UPS Sucks
By frobizzle on 4/8/2009 2:53:53 PM , Rating: 2
quote:
UPS is the USA is GREAT

Huh??? Don't know about where you are but UPS sucks royally in this area!

While I have the highest regard and praise for NewEgg, the biggest mistake they made was switching from FedEx to UPS!


RE: UPS Sucks
By UNHchabo on 4/8/2009 2:58:42 PM , Rating: 2
quote:
UPS is the USA is GREAT, but in Canada... UPS = United Parcel Smashers.


They are fairly often in the US, too. I lamented when Newegg switched from Fedex to UPS by default for this very reason.

A friend of mine once insured, then shipped, a 26" CRT monitor from his workplace using UPS, knowing that there was no door large enough for them to carry the box through. Sure enough, when the box arrived at its destination, it was about the same size as a pizza box, and he was able to take the insurance money to buy a new 24" LCD monitor.


California Customers
By mikefarinha on 4/8/2009 11:14:25 AM , Rating: 2
I'm curious as to how the increase in sales tax has affected NewEgg's sales in California. I imagine that a lot of NewEgg's customers are from CA so I hope that they take the appropriate actions to weather this current economic recession... which is particularly bad here in the 'Golden' state.




RE: California Customers
By consumerwhore on 4/8/2009 2:18:14 PM , Rating: 3
I live in California and whenever I use pricegrabber.com, Newegg *still* comes out ahead most of the times even with taxes included. And given that shipping will be faster too, I still shop at the egg often.

What can I say? They're that good... :)


RE: California Customers
By Oregonian2 on 4/9/2009 2:26:09 PM , Rating: 2
I've found that NewEgg to be disappointing in terms of pricing most of the time (not all). They used to be my number-one place to shop with great service and good prices (not as low as no-names in Brooklyn, but a lot lower than other name brand web sites).

But not anymore, their prices are now not so good.

Example: earlier this week I have been shopping for a laptop for my sister who lives on the other side of the country but who isn't a "computer person". There's a HP laptop that seems to meet the requirements she gave me. NewEgg's price is currently $750. Directly from HP is $700 w/free shipping. From Amazon.com (with themselves as the seller) it's $642. Identical standard stocked config -- no differences other than price. Amazon is at least as reputable as NewEgg with equally great service. NewEgg competitive? No, not even with HP.com itself.

The great NewEgg no longer exists much of the time (sometimes good deals, but generally disappointing, esp. if Amazon sells it).


I don't get this article
By Bainne on 4/8/2009 12:44:20 PM , Rating: 2
I really don't get the purpose of this article.
It just seems like a PR stunt to advertise for Newegg publicly?

The information contained in the article really isn't anything new - Heck I could have told you the same information.
"A warehouse in Canada is the next logical step"
No duh sherlock... now if they were announcing an actual warehouse in Canada that would be news - this is nothing but useless publicity




RE: I don't get this article
By Pakman333 on 4/8/2009 2:40:47 PM , Rating: 2
Well, I found good info from it. It is in an interview style as opposed to regular reporting style.

Just because you know soemthing doesn't mean everyone else does.

If their warehouse is in New Jersey that is not too far from the border. If their sales go up they will have to build another warehouse. If economy stays bad maybe they won't.


By Asmordean on 4/8/2009 2:05:53 PM , Rating: 2
UPS in Canada isn't that great but UPS going over the border is incredibly unreasonable.

Say the shipping via UPS on an item comes to $17.50. You can expect to pay another $25 to $30 in brokerage fees.

Ship the same speed via FedEx and it'll cost you $23.50 but the brokerage fee is part of that so no surprise.

Ship it via USPS and it'll cost you $8 and $5 in brokerage.

Bring in free shipping here on large items like Amazon.ca or Newegg.com does in the US and I'll consider them.




By Icelight on 4/8/2009 4:08:50 PM , Rating: 2
Sorry, but you don't pay brokerage fees for stuff shipped from Newegg to Canada. You pay a $1 fee added in to "handling" to ensure you don't get hit with UPS's ridiculous fees.


ups
By PascalT on 4/8/2009 2:11:17 PM , Rating: 2
As long as Newegg Canada uses UPS there's no way I am ordering from them. UPS loves to rape people with "brokerage fees". I once paid $170 of fees on a $250 item and another time I paid $40 on a $60 item. No thanks?

Also why buy from an American company that ships from the US when NCIX is within Canada and has great prices already?

And a lot of Newegg Canada's stock seem to be low or non-existent.

They'll need to do a lot better for me to consider buying from them.




RE: ups
By Trippytiger on 4/10/2009 3:23:55 AM , Rating: 2
Taxes and brokerage fees are included in Newegg's shipping and handling fees. No surprises there.


NAFTA/Free trade?
By limitedaccess on 4/8/2009 3:11:19 PM , Rating: 2
I've always wondered this, but how come none of these free trade agreements come into play here? Can someone explain this?

I mean I just visited the canadian government site and -

http://www.international.gc.ca/trade-agreements-ac...

quote:
The phase-out of FTA tariffs was completed on January 1, 1998. As of that date, virtually all tariffs on Canada- U.S. trade in originating goods were eliminated. Some tariffs remain in place for certain products in Canada's supply-managed sectors (e.g. eggs, dairy and poultry products).


Electronics and computers fit into this group?




RE: NAFTA/Free trade?
By RagingDragon on 4/8/2009 10:29:18 PM , Rating: 2
The FTA covered goods manufactured in Canada or the US, and was superceeded by NAFTA which covers goods manufactured in Canada, the US, or Mexico. Most electronics and computers are manufactured in various asian coutries, and thus are not covered by NAFTA.


By DeepThought86 on 4/8/2009 12:40:52 PM , Rating: 3
Their "handling fee" is 13% to Ontario i.e. PST + GST. Why do they charge PST when they're shipping from the US? For this reason, it makes more sense for somebody in Ontario to order from a BC company like NCIX to avoid the PST.

Californian Newegg's PST charges are outrageous




International Sales
By Nehemoth on 4/8/2009 12:12:28 PM , Rating: 2
That's the only thing that I ask to then.

Even the shipment should be in united states but for god sake accept International credit cards.




By electriple9 on 4/8/2009 1:19:52 PM , Rating: 2
What about better shipping rates, and less handling fees.




NewEgg is the Pits
By burpnrun on 4/9/2009 2:07:17 PM , Rating: 2
Their "Canadian" website has items appearing one day, and then disappearing the next, only to appear the next day. The selection to Canadians is NOWHERE near as complete as the U.S. site. Shipping is slow, the shipping costs are exorbitant, and there's always GST/PST added in.

I prefer true Canadian sites like NCIX and others, where the shipment arrives much sooner, PST is eliminated if an out-of-province sale is concerned (their domocile is BC), there's more shipping options, and the shipping cost is much lower.

I have utterly given up on thinking of NewEgg as "less expensive" than real Canadian sites. When you add in all the other taxes and high shipping costs, they are ALWAYS more expensive and slower.

If they want my (Canadian) business any more, they better become a true Canadian operation. Otherwise, they are just another American bottom-feeding, blood-sucking retailer of little or no benefit to Canada, its economy, and its consumers.




$20 per item newegg surcharge?
By Belard on 4/9/2009 5:10:09 PM , Rating: 2
So where does this $20 per item surcharge on Newegg come from?




By Saosin on 4/11/2009 12:58:42 PM , Rating: 2
If I recall correctly Newegg were planning a European entry about 1-2 years ago. What happened with that?




New egg is irrelevant...
By Gannon on 4/9/2009 4:53:14 PM , Rating: 1
... to anyone who's been shopping for computer parts in Canada for a long time.

NCIX kicks newegg's ass, Newegg needs to GET ON THE BALL. The people here are clueless about NCIX because they do not live in canada. For now NCIX > Newegg

There was a time I wished newegg WAS in canada because they had stuff that other retailers didn't for better prices. i.e. it would still cost me less to buy in US dollars. But for the most part that isn't true any longer.

NCIX has CONSTANT sales every week with heavily discounted items, you can get a 4890 right now for $269 CDN, thats much better then the $319 they are asking for the 275 pre-ordered.

Also use PRICECANADA.COM and compare video card prices, newegg is batshit insane for what it wants for video cards compared to NCIX.

Newegg is going to seriously have to get it's shit together if it wants to compete with NCIX and a few other retailers that have great deals now and then directcanada.com




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