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After getting a little egg on the face, Newegg works to ensure that customers receive their 20% cash back bonus

DailyTech broke the news last week that Newegg's Holiday promotion, which was co-sponsored by PayPal, didn't go exactly as planned. The promotion was originally scheduled to run from November 26 through November 28, but was abruptly pulled from Newegg's website after just a few hours of activity.

Newegg staffers worked the EggXpert forums to calm angry customers and even offered free gifts to those that were dazed and confused by the misinformation and lack of an official response from Newegg.

The wait is over, and Newegg has finally broken its silence on the matter. The company reports that the promotion far exceeded what they expected with roughly 16,000 ordered being taken during the short time the promotion was active. As a result, the funds allocated for the promotion was quickly depleted which led Newegg to end the promotion without warning.

"Unfortunately, some of our valued customers were in the process of making purchases and still under the impression that the promotion was in effect, and may have been inconvenienced or not received an expected benefit," said Newegg's Vice President of Merchandising, Bernard Luthi, on EggXpert's homepage.

Luthi went on to say, "Newegg prides itself on always providing the highest level of customer service. Customer satisfaction is our primary mission. As a result, Newegg will review all purchases made utilizing PayPal between 2:30-5:30 P.M. (PST) on Monday, November 26th and apply the "20% off, up to $50" to each customer placing an order using PayPal during that time period."

It appears that as long as your order was placed before 5:30 PST on November 26, you should have no trouble receiving the 20% cash back reward (up to $50). It is unclear, however, who will be footing the bill for the additional purchases: Newegg, PayPal or both.

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A little planning??
By Desslok on 12/7/2007 12:14:47 PM , Rating: 2
I find it hard to believe that Newegg couldn't see this happening before hand. They have been in business long enough and have run enough promotions to know how much traffic to except.

Having said that at least they are trying to make up for it.

RE: A little planning??
By artemicion on 12/7/2007 12:18:05 PM , Rating: 2
i'm sure the predicted the extra traffic. they probably didn't predict paypal renege on their offer.

paypal sucks. perfect example of a company that has a monopoly in a niche market and using it to leverage its bargaining position to the detriment of customers. who needs good customer service and accountability when there's no other reliable place to go for sending funds over the internet?

we need an alternative to paypal.

RE: A little planning??
By Souka on 12/7/2007 12:20:03 PM , Rating: 2
RE: A little planning??
By FITCamaro on 12/7/2007 12:28:29 PM , Rating: 2
Uh you mean Google Checkout? uses it. I wouldn't mind seeing using it either. Probably will, just a matter of time.

RE: A little planning??
By Spuke on 12/7/2007 1:52:13 PM , Rating: 2
If they do, I'll be moving to Google.

RE: A little planning??
By Silverel on 12/7/2007 2:24:47 PM , Rating: 2
Google+Newegg=Giggity giggity.

It'd be nice to have Newegg pop up in their sidebar ads when searching for any kind of hardware. Some of the companies that take up that space will make up for the cost of advertising with a good 10%+ markup. I've often relied on Newegg to give the best bottom line price.

RE: A little planning??
By compy386 on 12/7/2007 12:19:45 PM , Rating: 2
Clearly a case of someone wasn't really thinking. Not going to fault Newegg too much though. They always come through with good service.

RE: A little planning??
By marvdmartian on 12/7/2007 12:28:28 PM , Rating: 4
Yeah, and it kills me that in the various forums I've seen it discussed at (AT Hot Deals, for one), there's still people that are whining and crying about this, and slamming Newegg for it.
While I agree that the folks at Newegg should've realized the scope of what an offer like this would bring to their online store, and definitely should've slapped someone over at Paypal to make certain that it would last more than 3 hours (let's face it, Newegg was clearly going to have higher volume of sales than a lot of the other e-tailers that are doing this offer), it's certainly not all their fault. The simple fact that they're offering anything at all to assuage the feelings of folks that thought they were getting a good deal (and missed out on the original cutoff) may not be the best deal, but it's sure as hell a lot more than I'd ever expect out of Paypal, and I'd be willing to bet that it's all coming out of the Newegg wallet.

Let's face it, there's a lot of other e-tailers out there that likely would've said screw the people that missed out, and left it at that.

The funniest whiners I've heard are the ones that talk about the thousand dollars they were planning on spending, and expected to get back a couple hundred or more. Um, did ya happen to catch the little caveat that stated a maximum of $50 back?? Yet, they go on and on, talking about how Newegg missed out on such a huge sale, ya-de-ya-de-yaaaaa.......

Yeah, whatever, big spender! [/sarcasm]

"And boy have we patented it!" -- Steve Jobs, Macworld 2007
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