Selling on Newegg marketplace – everything you need to know
How to start selling on Newegg
Do you want to diversify your online business? Expanding onto new platforms is one of the easiest and most effective ways to reach new markets and increase your sales.
While you may have already built a strong online business by trading on global marketplaces like Amazon and eBay as well as growing your website sales, you could be missing out on some high-value niche audiences if you don’t cast your net wider.
We’ll help you uncover the benefits of selling on Newegg, one of the biggest marketplaces in the US.
Selling on Newegg
While Amazon’s exponential growth over the past decade has overshadowed many of its competitors, Newegg quietly built a strong niche marketplace for technology lovers.
Having previously been a first party seller website, Newegg launched its marketplace in 2010 and generated more than $2.5bn in revenue in its first year, according to eCommerce Worldwide. As of 2016, it had over 30 million registered users and over 20 million SKUs.
Newegg is best known as a platform that sells a range of technology, including desktops, laptops, mobile devices and other accessories. But it has gradually expanded its offering with categories such as apparel, arts and crafts, jewellery and home goods.
Tech-savvy men between the ages of 18 and 35 are Newegg’s biggest audience. But by broadening its offering beyond technology, it has expanded beyond this demographic. The categories with the highest year-on-year sales are office supplies, consumer electronics, health and beauty, and automotive, according to godatafeed. This proves that the marketplace is no longer just for sellers of tech products.
Rules of the roost
Like with most online marketplaces, there are a few rules. The most important operational rules on Newegg are:
- Ship within 48 hours – Newegg expects you to ship within 48 hours and will cancel the order if not shipped after 72 hours
- Excellent customer service – enquiries must be responded to within 24 hours
- A 30-day returns policy on products sold
You can learn more about Newegg’s policies here.
Newegg provides sellers with the opportunity to reach both consumers and other businesses.
As well its B2C marketplace, Newegg provides a B2B marketplace, Newegg Business, which allows you to sell in bulk to over 150,000 businesses in the US.
Both US and non-US based sellers can apply to enter this marketplace. The commission rates range between 10 and 15 percent for US sellers, and is fixed at 12 percent for global sellers.
Newegg counts small, medium and large business, educational institutions and government among its B2B audience.
Learn more about selling on Newegg Business here.
Shipped By Newegg
The US marketplace also offers its fulfillment program called Shipped by Newegg (SBN).
This works similarly to Fulfilled by Amazon (FBA), where you send your inventory to Newegg’s fulfillment center and they do the rest. Like Amazon, SBN also provides the service to ship your orders sold on platforms outside of Newegg.
Newegg launched its own version of Amazon Prime in 2014 – Newegg Premier.
Newegg Premier grants you access to its highest spending customers, as well providing you with the ability to scale your shipments with Shipped By Newegg.
The membership program offers sellers a range of benefits, including:
- Access to Newegg’s biggest spenders (who spend 50% more than normal customers)
- Exclusive marketing programs including mailshots and homepage exposure
- Enhance your storefront with the Newegg Premier badge
The operational standards required to join Newegg Premier are significantly higher than on the general marketplace.
To be eligible for Newegg Premier, sellers must:
- Have a consistent customer satisfaction rate of at least four eggs
- Never run out of stock
- Ship 90 percent of orders within 24 hours
To learn more about joining Newegg Premier, check out Newegg’s pdf guide.
Access the US market
Newegg is a great way for non-US based sellers to reach a tech-savvy, high-spending niche in the US. It’s an attractive option for any seller looking to expand their business into the US – and beyond Amazon and eBay.
Newegg offers the same benefits to global sellers as domestic sellers, including access to Shipped by Newegg.
Interested? Learn more about the Global Seller program here.
Deliver customer support excellence
If you’re selling on multiple platforms in several countries, managing customer support on all of these channels can get tricky.
You’ll have messages to respond to in multiple locations, preventing you from obtaining a clear view of your customer support process. Eventually, a customer support team that isn’t equipped with the tools to succeed will lose out on sales.
That is why we built XSellco Fusion. With our eCommerce help desk, you can successfully manage customer support from Newegg, Amazon, eBay, Allegro, Shopify, Magento and more – in one streamlined inbox.
Interested in delivering a first-class customer support experience? Watch the video below to learn more about XSellco Fusion.
Go straight to a free 14-day trial of XSellco Fusion and start empowering your eCommerce business.