Final Words

There's not much you can conclude about touring a warehouse like Newegg's, there's no buying recommendation, there are no roadmaps to talk about, or upgrade paths to plan out. That being said, there are a couple things that we took away from the experience:

Quite possibly the most impressive part of the tour was the automated setup of the warehouse that Newegg's logistics team lead by VP, Howard Tong designed. Wherever possible the room for human error was minimized or completely removed, and the system itself is constantly learning from the way that Newegg's customers shop to further optimize itself as time goes on. The likelihood of your order getting damaged at Newegg's warehouse is very slim from what we saw, everything is handled very carefully and wrapped very meticulously. As we mentioned earlier, the potential for human error is as minimal as possible; we can only imagine what the Newegg folks would do to their warehouse if they had a few capable robots.

The other very impressive aspect of the tour was exactly how clean the warehouse was. While we wouldn't want to eat off the warehouse floor regardless how clean it was, we were quite impressed at how tidy the whole operation is.


From left to right: Howard Tong (VP), Anand and Ken Lam (Vice Chairman)

Given that the AnandTech readers were some of the most vocal in favor of Newegg in its early days, VP Howard Tong did have some nice things to say for you all:

"As you can see Anand, we put great effort into building a bulletproof infrastructure because we are committed to ensuring our customers have the best service. Sure, you can find smaller companies that may be a dollar or so cheaper, but at Newegg we decided we wanted to give our customer the best experience every time, and that is why we must invest into advanced systems that other companies do not have. We built all this with the customer specifically in mind.

Newegg has never before given the public this kind of exclusive look into its internal business proceses. At Newegg we have always loved the AnandTech reader. These are people whose deep love and understanding of technology help drive its innovation and advancement. In appreciation for this passion we will always do our best to give our tech customers the best selection, prices and service."

We hope this tour has been enjoyable and we'd like to thank Newegg for giving us the opportunity to present you with it. Now head on over to the entry form and try to win those Athlon 64 X2 4600s.

Shipping and the UPS/FedEx Debate
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  • Minot - Monday, February 20, 2006 - link

    Anand, did Newegg give you any insight into their refurbished product opteration? I'd be interested to know where the items come from (i.e. percentage from working returns and percentage from manufacturers) and how often they arrive at Newegg. I'b been buying refurbished parts from Newegg for years and I've found some brands that always come with full accessories and others that are hit and miss. Is there any rhyme or reason to know the accessory status of the item before you order?

    Great article! Keep it up! -MINOT-
  • JumpyBL - Monday, February 20, 2006 - link

    Any winners yet?
  • DAPUNISHER - Saturday, February 18, 2006 - link

    It is Willy Wonka's Chocolate Factory for Computer enthusiasts :P
  • neweggvp - Friday, February 17, 2006 - link

    To confirm what Anand explained, Newegg did not pay Anandtech for this article. Anand and Newegg just thought it would be nice to show a little bit of the Newegg operations.

    Newegg also has no affiliation with EggHead.

    Hope this clears up a couple questions.

    Best Regards,

    NeweggVP.
  • andrep74 - Friday, February 17, 2006 - link

    It's completely a win-win situation. NewEgg gets advertising, costing them perhaps a lunch with Anand, several CPUs for a contest, and draws more consumers to their website. Anand gets a free meal, perhaps some free product, and draws more readers to his website with a contest. Now if that isn't capitalism, what is?

    My kudos to them both...
  • PWNettle - Friday, February 17, 2006 - link

    Thanks for the article - it's cool to read how NewEgg does its thing.

    I've bought parts for 3 builds and some additional components from NewEgg and I've always been very happy with it all.

    UPS el cheapo shipping usually takes 3-4 days to reach me but it's not THAT big a deal since that's still pretty quick.

    The only thing that irritates me is that when I order parts for a complete PC they usually get shipped from 2+ locations - and it's painful to have every part for a new build EXCEPT the case, which arrives the next day. :)
  • Davelo - Friday, February 17, 2006 - link

    Is Newegg related to EggHead Software? Remember them?
  • Glenn - Friday, February 17, 2006 - link

    What a way to start my day!! Read this article and was enlightened and impressed with the way an order progresses and how they get them to me so fast! As usual Anand~ good work and thank you!

    Then I read all these bulls**t childish comments! I could go on for hours about what I'm thinking but all I really need to say is~ Anand has earned the respect of most of us because of his informative website and articles. I've gained most of my computer knowledge from his website since I first signed on in 1996. I really don't know what I would do without it. In my opinion, NewEgg owes some of its success to Anand and the exposure they gained in his forums. Particularly early on! I really don't mind if they paid Anand for the article, in fact, I hope they did! He earned it well before this article was ever written! A good part of these etailers profits are directly attributable to Anands website! With so many of us having the ability to share experiences, information and recommendations on this website they have benefited greatly! Keep it up Anand and I wish you continued success! My only recommendation would be to have the mods filter out the childish jerks that never seem to have anything productive to say about anything!

    And jnmunsey, where do you come off with comments like that? What an idiot!
  • JBT - Thursday, February 16, 2006 - link

    Man I wish I could spend just 5 minutes in there with a shopping cart...
  • amish - Thursday, February 16, 2006 - link

    i used my work email addy for the contest. not like i'm going to win, but i hope that any email that could be sent makes it through my employers spam guard.

    anyways, the pic of all of those CPUs just sitting there was awesome

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