How does Newegg make money off of this?

[TurtleCrusher]

I mean really. Add to the 2day shipping and it's ridiculously unprofitable.

 

[madoka]

They sell in bulk.

 

[Red Squirrel]

Wow free shipping too. Normally they'd make a bit of money off that, or at least break even.

 

[TurtleCrusher]

They sell in bulk.

Packaging and processing this one SATA cable is easily $1.

Wow free shipping too. Normally they'd make a bit of money off that, or at least break even.

No joke. I was about to spend $3 on Amazon, then decided to check Newegg. With Shoprunner the $2.98 shipping charge goes poof!

 

[ViRGE]

Shoprunner isn't free though. You paid for that ahead of time.

 

[TurtleCrusher]

Shoprunner isn't free though. You paid for that ahead of time.

Slickdeals, man. Got 2 free years.

 

[ViRGE]

Slickdeals, man. Got 2 free years.

Okay, well most people paid for it. The point being that Newegg isn't paying anything for shipping because Shoprunner is picking up the tab. They only have to make money off of the part itself.

 

[mnewsham]

Okay, well most people paid for it. The point being that Newegg isn't paying anything for shipping because Shoprunner is picking up the tab. They only have to make money off of the part itself.

Im riding my 2nd free year here too, they keep giving them away...

 

[Demo24]

They don't have to make a significant profit on everything. They may be breaking even on that one part, but better to stock it so they can include it with orders to keep customers.

 

[Lonyo]

They just got a few dollars in free advertising, meaning they don't need to spend as much on marketing.

 

[T9D]

Nearly free advertisement, look you just ran out and posted this on forums like other people do. You're just a tool to them man, a tool, and you fell for it, you could've just bought it and been happy, but now you posted and did work for them, you worked for it, and worked for cheap, you're a cheap tool. I'm sorry tool

 

[jersiq]

nvm

 

[BrokenVisage]

Slickdeals, man. Got 2 free years.

So you missed the ShopRunner for Life free deal? Only need it for maybe 4 or 5 purchases out of the year but nice to know it's always there, plus I remember when it seemed like only Toys R'us used it, it's used by a lot more places now.

 

[Rakehellion]

Nearly free advertisement, look you just ran out and posted this on forums like other people do. You're just a tool to them man, a tool, and you fell for it, you could've just bought it and been happy, but now you posted and did work for them, you worked for it, and worked for cheap, you're a cheap tool. I'm sorry tool

Fight the power.

 

[rudeguy]

They just got a few dollars in free advertising, meaning they don't need to spend as much on marketing.

yep

Loss leader. They hope their advertising on the site gets you to buy some profitable things. Otherwise, oh well. They spent $2 to get a package with their name on it to your doorstep.

 

[alangrift]

That is a crazy deal. I sometimes buy things off eBay and the total cost of the item and shipping is less than how much the cheapest shipping is in the UK.

 

[jagec]

Packaging and processing this one SATA cable is easily $1.

They make it up in volume!

 

[Schfifty Five]

Thanks to the OPs free advertising of newegg, I ended up buying $1,500 worth of stuff. You just made newegg a lot of money OP!

 

[TurtleCrusher]

Thanks to the OPs free advertising of newegg, I ended up buying $1,500 worth of stuff. You just made newegg a lot of money OP!

I don't mind if they make money. I got my items at a super fair price.

 

[Rakehellion]

Self necro.

 

[TurtleCrusher]

Self necro.

Not really a necro. Less than 6 months is not a necro!