Online electronics retailer Newegg Inc. aims to reduce the worry and risk associated with doorstep delivery of its often pricy products, such as laptops or gaming systems.
A new checkout feature lets Newegg.com customers choose to have their package held for pickup at one of more than 2,500 FedEx Corp. locations, including 1,800 FedEx retail stores. Consumers select a shipping option at checkout and on the shipping page choose “Ship to a FedEx Location” and the store where the package will be held. FedEx will call the customer when the package arrives. There is no additional charge for the service.
The hold-for-pickup option “gives customers peace of mind about shipping to secure locations, with the flexibility to pick up their orders when and where it’s most convenient,” Newegg says. Kunal Thakkar, Newegg’s senior vice president of operations, says it took about four weeks to get the option integrated with the retailer’s shopping cart and functioning on the site, with two weeks for programming and two weeks of discussion with FedEx to finalize implementation.
Newegg is No. 17 in the Internet Retailer 2016 Top 500 Guide with estimated 2015 web sales of $2.94 billion, according to Internet Retailer’s Top500Guide.com. In addition to selling computer components and other technology gear, Newegg operates an online marketplace for other merchants to sell directly on Newegg.com.
“FedEx has always been an integral part of our order-delivery infrastructure, with reliable, timely delivery of customers’ orders to their doorsteps,” Newegg CEO Danny Lee said Thursday in announcing the service. “Today, we expand our collaboration by giving customers the option of delivery-for-pickup at FedEx locations near their home or office.”
Newegg uses FedEx, UPS Inc. and OnTrac as its shipping vendors.
Newegg already offers will-call order fulfillment at some of its distribution facilities in North America. In July, the e-retailer opened a facility in Ontario, Canada, that allows customers to pick up orders and view some of Newegg’s latest tech products. Called the Hybrid Centre, the Ontario showroom is modeled after one in the Los Angeles area, which is across from Newegg’s global headquarters.