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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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RE: This doesn't suprise me
By mindless1 on 12/10/2007 10:23:52 PM , Rating: 3
It doesn't matter the tiniest bit whose promotion it was, because it was Newegg that advertised it to entice sales.

Similarly, if Newegg advertisesa product costs $100, it doesn't matter who manufactured the product. Really! It seems the only people sorely mistaken are those that think anything Paypal did matters. Paypal can pull the rug out from under Newegg at any moment and Newegg's resolution is through paypal, while the customer's is through Newegg.

Newegg did have control of what ads ran on their site and their emails. The moment that the funds ran out they had a basic requirement to put up notice and stop Paypal payments until this change in terms had been agreed upon by the customer making the purchase.

The nonsense about "while supplies last" doesn't cut it. You don't go to a store, see a price on a shelf and take it up to the register only to be told "you don' get what we advertised because we just decided we weren't making enough money if we sell it to you now". EVERYTHING is always "while supplies last", whether it be a Newegg deal or putting change into a newspaper machine to get one. Stating a date makes all the difference and that was what Newegg did to it's customers.
Paypal may owe Newegg something, or may not, but Paypal was not selling the product, the discount was a term of the sale, the seller being Newegg.

It's amazing how some people get confused about what is a very simple matter. Term of sale. Period.

"What would I do? I'd shut it down and give the money back to the shareholders." -- Michael Dell, after being asked what to do with Apple Computer in 1997
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