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Gamers Nexus Meeting with Newegg to Discuss Customer Service Issues


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Steve Burke from Gamers Nexus recently purchased a Gigabyte motherboard from Newegg and opted for expedited shipping as he needed it quickly for a content piece. By the time it arrived, however, he had already sourced a different board and no longer needed the unit from Newegg so it was returned.

 

Something Burke didn’t notice when he placed the initial order was the fact it was an open box item, meaning it had been returned by someone else and deemed resellable by Newegg. Burke said he never opened the shipping box the board came in, much less its retail box. He submitted an RMA, shipped the package back and waited.

Newegg eventually e-mailed Burke and said the RMA was rejected due to bent pins on the CPU socket. Burke tried to resolve the matter through traditional customer support channels, but was unable to make any headway. It wasn’t until he used his platform on Twitter that Newegg suddenly became responsive and wanted to rectify the situation.

 

WWW.TECHSPOT.COM

Steve Burke from Gamers Nexus recently purchased a Gigabyte motherboard from Newegg and opted for expedited shipping as he needed it quickly for a content piece. By...


 

 

 

 

TLDR, Newegg has had some pretty questionable issues with Open Box returns lately. In this case Gamers Nexus bought a mobo that was Open Box but ended up never needing it and returned it without even opening the box it was shipped in, yet Newegg initially refused to issue a refund. Now he is going to meet with them in person to talk about what happened and soon there will be another video with that interview. 

Edited by UltraMega

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I'll listen to what they have to say.  I'm still going to choose to buy my parts elsewhere until they straighten up over there though.  Seems like ever since they put in that marketplace thing to compete with Amazon, they've REALLY turned downhill.  It's almost as if they see their vendors doing shady things, so they think they too can get away with it or something, I dunno.

 

I'm still SUPER curious to hear their explanation to HOW that mix up even happened.  Watched the LTT video about that scandal the other night, and yeah.....doesn't seem like there's too terribly many possibilities on how that happened.  It really almost sounds as if it was purposeful, maybe not by newegg themselves but maybe an employee just trying to meet deadlines or reach certain "perks" in the job or something.  Either way, they need to fix it ASAP or they're going to go the way of Future Shop or TigerDirect soon.

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12 minutes ago, pioneerisloud said:

I'll listen to what they have to say.  I'm still going to choose to buy my parts elsewhere until they straighten up over there though.  Seems like ever since they put in that marketplace thing to compete with Amazon, they've REALLY turned downhill.  It's almost as if they see their vendors doing shady things, so they think they too can get away with it or something, I dunno.

 

I'm still SUPER curious to hear their explanation to HOW that mix up even happened.  Watched the LTT video about that scandal the other night, and yeah.....doesn't seem like there's too terribly many possibilities on how that happened.  It really almost sounds as if it was purposeful, maybe not by newegg themselves but maybe an employee just trying to meet deadlines or reach certain "perks" in the job or something.  Either way, they need to fix it ASAP or they're going to go the way of Future Shop or TigerDirect soon.

Yea I'm also super curious. I would love to see some footage of their RMA department, but I doubt we'll get that. 

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Just now, UltraMega said:

Yea I'm also super curious. I would love to see some footage of their RMA department, but I doubt we'll get that. 

Did you watch the LTT video by chance?  He brings up a very good point about potential "perks" the employees might strive for in the company.  He didn't know for sure since he doesn't work there, but its a very valid point for businesses like Newegg.  I know banks and call centers both have incentives once you meet certain metrics every pay period.  It's very possible the employees might have certain metrics they need to meet every day or week or whatever.  And those metrics COULD cause an employee to do shady things just to get his measly $50 bonus on his check or whatever it may be.

 

It could also be company policy.  I doubt that though because anything actual policy is in writing, and if they had what they did in writing......man oh man the lawsuits they'd face.  So I doubt its actual company policy directly.

 

It COULD just be a random rogue employee doing this type of thing.  But again, that's doubtful too since that employee "should" be fired pretty quickly if newegg actually cared about their customers and their policies and incentive programs weren't pushing for certain behaviors.

 

I dunno for sure though obviously.  Either way, its clear that this has been a regular problem and their business is tanking due to them catching GamersNexus with it and the story getting so much publicity.  Maybe GamersNexus can talk some sense into Newegg and fix whatever is causing this.  I can certainly hope (we all can). 🙂 

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1 minute ago, pioneerisloud said:

Did you watch the LTT video by chance?  He brings up a very good point about potential "perks" the employees might strive for in the company.  He didn't know for sure since he doesn't work there, but its a very valid point for businesses like Newegg.  I know banks and call centers both have incentives once you meet certain metrics every pay period.  It's very possible the employees might have certain metrics they need to meet every day or week or whatever.  And those metrics COULD cause an employee to do shady things just to get his measly $50 bonus on his check or whatever it may be.

 

It could also be company policy.  I doubt that though because anything actual policy is in writing, and if they had what they did in writing......man oh man the lawsuits they'd face.  So I doubt its actual company policy directly.

 

It COULD just be a random rogue employee doing this type of thing.  But again, that's doubtful too since that employee "should" be fired pretty quickly if newegg actually cared about their customers and their policies and incentive programs weren't pushing for certain behaviors.

 

I dunno for sure though obviously.  Either way, its clear that this has been a regular problem and their business is tanking due to them catching GamersNexus with it and the story getting so much publicity.  Maybe GamersNexus can talk some sense into Newegg and fix whatever is causing this.  I can certainly hope (we all can). 🙂 

I didn't see the LLT video, but it seems unlikely that they would apply perks to RMAs specifically. I think far more likely they just have crappy management that perhaps feels pressured to turn away as many RMAs as they can get away with and they pushed too far. 

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13 minutes ago, UltraMega said:

I didn't see the LLT video, but it seems unlikely that they would apply perks to RMAs specifically. I think far more likely they just have crappy management that perhaps feels pressured to turn away as many RMAs as they can get away with and they pushed too far. 

That could be as well, yeah.

 

And I think I might be using the wrong word.  IIRC the last bank I worked at called it an "incentive program".  Basically the thought would be so many x% of RMA's end up being perfectly fine the customer just didn't want so they can resell those.  Which that in and of itself is fine.  If the RMA tech gets so many % of that type of RMA they'd get a bonus on their check or something.  IF, huge IF there, IF that was the case (or similar), I could see how an incentive program would cause an employee to pull shady RMA tactics so they get their bonus.

 

And no, it wouldn't be JUST their RMA program with an incentive program, it'd be across the entire business.  Customer service would probably get x% of their surveys need to be 5 eggs or something maybe to get their bonus.  Things like that.  All just examples, but its the general idea behind it.  Incentive programs are pretty common, and if they're written a certain way they absolutely can cause an employee to do illegal things just to get their little "bonus" on their paycheck.  I could tell you stories that'd make your blood boil after working in the banking industry for 4 years of how incentive programs "help" lol.

Edited by pioneerisloud

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2 minutes ago, pioneerisloud said:

That could be as well, yeah.

 

And I think I might be using the wrong word.  IIRC the last bank I worked at called it an "incentive program".  Basically the thought would be so many x% of RMA's end up being perfectly fine the customer just didn't want so they can resell those.  Which that in and of itself is fine.  If the RMA tech gets so many % of that type of RMA they'd get a bonus on their check or something.  IF, huge IF there, IF that was the case (or similar), I could see how an incentive program would cause an employee to pull shady RMA tactics so they get their bonus.

 

And no, it wouldn't be JUST their RMA program with an incentive program, it'd be across the entire business.  Customer service would probably get x% of their surveys need to be 5 eggs or something maybe to get their bonus.  Things like that.  All just examples, but its the general idea behind it.  Incentive programs are pretty common, and if they're written a certain way they absolutely can cause an employee to do illegal things just to get their little "bonus" on their paycheck.  I could tell you stories that'd make your blood boil after working in the banking industry for 4 years of how incentive programs "help" lol.

Yea they probably do have some incentives for employees in some other areas, but I just can't see how it would apply to RMA even for a somewhat shady company. It would be REALLY shady if they did that for RMA. 

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42 minutes ago, UltraMega said:

Yea they probably do have some incentives for employees in some other areas, but I just can't see how it would apply to RMA even for a somewhat shady company. It would be REALLY shady if they did that for RMA. 

Depends on how the incentive program is worded I suppose, legally.  I'm sure what they're doing is 110% legal according to the paperwork.  It's definitely not company policy to take a busted board in RMA and slap an "Open Box" sticker on it and send it back out the door.  However, it COULD be incentivized if an employee has certain metrics to meet and they just want to clock in, clock out, and get their paycheck with their weekly bonus on it.  Still could just be a rogue employee doing shady things too, or a bad manager or something.  We don't really know yet.

Definitely agree, the whole thing is shady all around.  I'm glad they're inviting GamersNexus in and willing to talk about it.  We'll just have to see how this whole mess turns out.  I absolutely hope its in favor of Newegg's customers, because they've been just this giant rock in the PC Hardware industry for the better part of 20+ years.  Probably why its such a huge story in the tech communities. :laugh_laugh:

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Could also be straight up incompetency but that would reflect a bad process allowing that to happen. Given the comments, sounds like this is not a one off case.

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18 hours ago, UltraMega said:

 

:lachen:They messed around, and now they're about to find out is how I'm viewing this. :lachen:

 

Inb4 Newegg Tigerdirect's themselves up.

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4 minutes ago, iamjanco said:

 

ha!

 

This just in:

 

2022-02-19_01-46-10.jpg.ea6ad0b87ac7deba09ee35a8e4cae35e.jpg

 

That's nice.  Still don't care, not my problem. :lachen:

 

Newegg needs to do a lot more than extend their "hassle free return policy".  I want to see policy updates or incentive program updates, whatever it was that caused employees to do these kind of shady things.  I want to see a resolution to the root of the problem, not a bandaid on a broken arm.

 

Until then, I'll keep my money away from them.

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12 minutes ago, pioneerisloud said:

That's nice.  Still don't care, not my problem. :lachen:

 

Newegg needs to do a lot more than extend their "hassle free return policy".  I want to see policy updates or incentive program updates, whatever it was that caused employees to do these kind of shady things.  I want to see a resolution to the root of the problem, not a bandaid on a broken arm.

 

Agreed. Btw, just in case it's not obvious, I'm not promoting them, just the messenger. 😉

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5 hours ago, iamjanco said:

 

Agreed. Btw, just in case it's not obvious, I'm not promoting them, just the messenger. 😉

Messenger.gif.0a711eee7557fafe27b1a8cc5f707bac.gif

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I watched the whole video. It definitely felt like Newegg was in damage control mode at the start, but it's good to see some positive actions come out of the meeting.

 

Since most of the guys Steve met with were fairly new to the company, I'm curious how much knowledge they have of what led to the current situation with all of their customers (not just Steve) as well as what the corporate culture was like prior to their arrival that played into their complacency and customer-unfriendly policies. Also, it remains to be seen whether there will be any actual change in the corporate culture.

 

Those VPs and directors need to be empowered to enact change themselves and the C-suite needs to promote proactive efforts to improve the customer experience across the organization instead of reacting when a YouTube channel as large as Gamers Nexus is victimized and has the resources to put things into focus.

 

It's good that they are trying to put out these fires rather than letting them burn out of control which is truly the absolute worst outcome, but they need to invest resources in collecting customer feedback and acting on it at the lowest levels. Otherwise, this type of thing is destined to happen again.

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17 hours ago, mouacyk said:

I would to see Newegg restored to its former glory.  Do they though? Microcenter is too far away and Amazon has its own PR issues.

 

What HE said! lol, the 2 closest Micro Centers to me are roughly 250 miles away each. We're talking 4 hours EACH way that my wife would have to drive my epileptic azz.Unless I'mm taking her on a vacation to a nearby place where they are,I don't see it happening since she's also not in the best of health. They even closed the Best Buy in our town,now I'm limited to Walmart,Office Depot,or on line for parts.🙄

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25 minutes ago, schuck6566 said:

 

250 miles away each. We're talking 4 hours EACH way

Same boat.  I struggle to not resent Micro Center and the folks that live close to one 🤣

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7 minutes ago, ArchStanton said:

Same boat.  I struggle to not resent Micro Center and the folks that live close to one 🤣

 

I was going to bring up how much of a shame it was that Fry's is gone, but even if the owners weren't stealing from the company, running it into the ground, and turning the stores into consignment outfits, it turns out they never had as big of a nationwide presence as Micro Center. Fry's was primarily in California and Texas.

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46 minutes ago, ArchStanton said:

Same boat.  I struggle to not resent Micro Center and the folks that live close to one 🤣

monkey-look-the-other-way.gif

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59 minutes ago, ArchStanton said:

Same boat.  I struggle to not resent Micro Center and the folks that live close to one 🤣

I struggle with not resenting Micro Center for not being better with online purchases. I have one about an hour from me.....but I have to drive through the traffice epicenter of the US to get to it.

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53 minutes ago, ciarlatano said:

I struggle with not resenting Micro Center for not being better with online purchases. I have one about an hour from me.....but I have to drive through the traffice epicenter of the US to get to it.

The one here in Denver is about 30 minutes from me with no traffic. Probably more like 40-45 mins in typical traffic. Not a place I'd go on the daily, but not too far away that I won't go there if I need to. They've saved my ass on more than one occasion. 

 

My only problem with them is where they put the store, they are in a high sales tax area, so it sometimes negates deals vs. just buying online...depending on if the online shop charges tax or not. I've noticed some do, some don't...and then of course shipping.

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CPU: AMD Ryzen 9 5900X
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1 hour ago, Diffident said:

I only live 7 miles from Microcenter.  It's really convenient.  😝

Or as my buddy says "its dangerous". His work moved offices and now he can see Micro Center from his window.

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CPU: AMD Ryzen 9 5900X
GPU: Nvidia RTX 3080 Ti Founders Edition
RAM: G.Skill Trident Z Neo 32GB DDR4-3600
MOTHERBOARD: ASUS Crosshair VIII Dark Hero
SSD/NVME: x2 Samsung 970 Evo Plus 2TB
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PSU: Corsair RM1000x
MONITOR: LG 48" C1
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