Newegg’s Competitive Landscape

B-COP Analysis

Index

• Background• Method• Findings• Recommendations

Background

• Newegg – “Once you know, you Newegg”– Started as:• Online computer parts company

– Branched out into:• Full PCs / Laptops / Software• Major electronics (TVs, DVD Players, etc.)• Apple Products• Cell Phones, Digital Cameras• Game Consoles, Games• Networking Switches / Servers (Enterprise)

Method

• Alexa (http://www.alexa.com)• Found NewEgg’s 10 Direct Competitors• Found Indirect Competitor’s from Direct• Top 10 Competitors– Highest Traffic Rank

• Determined Ranking, Traffic Flow– RVP Chart– Competitive Landscape Chart

Top 10 CompetitorsRank Company Traffic Rank Competition Type

#0 Newegg 591 -

#1 Ebay US 22 Direct

#2 Amazon.com 47 Indirect

#3 Ebay UK 96 Indirect

#4 Yahoo Auctions 100 Indirect

#5 Dell 210 Direct

#6 Compaq / HP 237 Indirect

#7 BestBuy 439 Direct

#8 Ebay AU 484 Indirect

#9 Apple Store 527 Indirect

#10 Wal-Mart 541 Indirect

RVP (Relative Rank Vs. Page Views)

Competitive Landscape

Yahoo Auctions

The Apple Store

Compaq / HP

Ebay AU

Ebay UK

Amazon.com

Newegg

Direct CompetitorsIndirect Competitors

From NewEggTertiary

Findings

• Newegg has no major “Two-way” traffic competitors

• Looking at Alexa.com, most traffic that points “In” to Newegg is from non-competitors

• Newegg has migrated away from traditional “PC parts” e-sellers and into mainstream electronics e-commerce– No “PC parts” competitors

• Biggest competitor: = Ebay (3)

Recommendations

1. Should launch an e-marketing campaign touting their superiority over online auction websites– Safety, security, warranties, refunds, etc.

2. Should continue to branch into non-hardcore PC parts consumers (marketing & website)

3. Should get into profitable segments that compete with Amazon to attract visitors and increase sales– Online DVD / Music sales

Resources

• Alexa (http://www.alexa.com)• Newegg.com (http://www.newegg.com)

Questions?