Page visits: 2795
4.6 Stars
Score 916

Woot.com

Title: woot.com/Founded Year: 2003Company Type: Privately HeldWebsite-url: www.woot.comIndustry: RetailStatus: OperatingEmployee-count-range: 201-500Number of Followers: 2910Founded: start date and age|2004Key People: Matt Rutledge(Founder and former CEO)Products: Electronics, Household Goods, etc.Revenue: US$164 million (2008) 39.7% from 2007Number of employees: 140

Woot.com is an online store and community that focuses on selling cool stuff cheap. It started as an employee-store slash market-testing type of place for an electronics distributor, but it's taken on a life of its own. Woot is the pioneer of the "one d

Ratings 1 Review

Company Score

Consumer Rating

Expert Rating

Expert Rating

Final Score 85

Prices90
Shopping Experience100
Safety100
Reliability90
Customer Service60
Return Policy50
Shipping Time40
Differentiation90

Advance Rating

Were you able to contact merchant via
Email100%
Did you recieve the product?
Yes100%
Is it your first time buying from this merchant?
Yes100%
Product quality
As described - perfect condition100%
Shipping Time
Package received in timely manner100%
Shipping cost
Merchant offer free shipping100%
Customer Service
Merchant offer contact via email only but willing to resolve any issue100%
Return Policy
Merchant offers 30 days100%

Expert Review

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Company Overview:

Founded on 2004 by former CEO Matt Rutledge, WOOT! is considered one of the earliest and most popular “one deal” online retailers. The theory behind its business strategy was creating focus, hype and differentiation despite the competitive e-commerce conditions. This agenda led Woot’s founders to employ the “one-deal-a-day” notion as their business model. This model created the focus needed for offering aggressive deals with up to 70% in savings for the end consumer. The focus was possible given the narrow array of products offered at a given day. Consumers who took advantage of these deals were then incited to visit the site and shop again via sophisticated e-mail marketing approach. This unique shopping experience included unconventional product descriptions in which products were described through humorous short stories written by the sites’ content writers. (At the same time, more serious, technical information was provided below the Woot-written description). The combination of highly attractive deals with well executed social media approach created an immediate hype among consumers. On June 30th 2010, the growing popularity of the site led to its acquisition by one of the worlds’ largest internet retailers - Amazon for $110 million. Since the acquisition, the company had gone through major changes, six of its key founder executives including the CFO Rene Gonzalez, the CTO Luke Duff, and CEO Matt Rutledge left the company. Apart from the changes in management, the business model had a significant impact as well. The website began offering a large array of consumer products on a daily basis including a selection of wine, shirts, home goods, electronics and more.

Financials

As previously mentioned WOOT! is now acquired by its parent company Amazon. However, the recent figures prior to the acquisition (2008-2009) show $164 million in revenue with 39.7% growth compared to 2007.

Customer Service

The company handles large volumes of orders daily which leads me to discuss the company’s weakest point – customer service. Woot offers merely email communication as its main channel of support and customer service related issues. Unfortunately, despite a thorough research throughout the website I was unable to find a phone number to discuss an issue that I may encounter as a consumer. According to a report provided by the BBB as of December 8, 2014 there are 354 filled complaints against WOOT most of which are representing problems related to the product or the service (210 out of 354). A break-down of the complaints and their related categories is
Advertising / Sales Issues 15
Billing / Collection Issues 16
Delivery Issues 106
Guarantee / Warranty Issues 7
Problems with Product / Service 210
Total Grading F
 
On the other hand, Woot utilizes advanced email and RMA support systems. Emails are replied within 24-48 business hours by the website’s support team. The return policy allows returns within 21 days from the day of purchase. Not all products are refundable.
WOOT! reserves the right to impose a 15% restocking fee for any product that is returned and is not damaged and the original shipping charge will not be refunded. Otherwise, the customer can expect to receive a full refund for a defective product. Third party customer reviews websites such as Resllerratings.com give WOOT! very poor ratings (1.29 out of 10). However, these ratings alone shouldn’t deter a potential customer from having business with WOOT!. The large majority of these websites generate their revenues from affiliated online businesses, which are in return promised to obtain an access to respond and solve customer related issues resulting in higher ratings. These policies lead to a situation in which ratings are granted based on affiliated program
membership rather than on companies’ performance. Hence, they fail in providing the end consumer with a good and genuine piece of advice for a future online purchase.

Shopping Experience

The website is user friendly and is very fast and easy to navigate through. After spending 5 minutes on the website I was able to locate and access every piece of information that may be necessary. Product descriptions are clear and concise. They provide the sufficient information needed for making a deciding whether to purchase a certain product or not without overwhelming the customers with loads of
technical details. From the moment you choose a product it takes 4-5 clicks of a button before your order is processed. Similarly, requesting an RMA# (Return Merchandise Authorization) is just as simple.

Competitors

Though, WOOT! is considered one of the pioneering sites to work as a One-Deal-A-Day site, new competitors realized the financial potential associated with such business strategy and were able to build their own customers’ community using the same approach. A partial list of these sites includes: Groupon, 1sale, Dailysteals, Offers.com and many more. Despite the ever-strengthening competition WOOT! is able to differentiate itself by offering a large variety of products along with a unique shopping experience. Since its acquisition by Amazon the company had gone through a major transformation. It extended its focus beyond consumer electronics and is now offering many selections of Wine, Home & Garden, Sport goods, Toys, and shirts.

Pros and Cons

Pros:

  • New exciting products every day
  • Reliable and safe
  • Attractive price and exciting, shopping experience 
Cons:
  • Very long shipping times
  • Strict return policy
  • Lack of phone line for solving customer service related issues

Final Words

WOOT! is a great modern online bargain store that represents an excellent shopping experience with deep understanding of its customer’s preferences. It achieves this goal by offering highly attractive deals on a daily basis while maintaining a vibrant social media approach with blog, emails and Facebook pages. Consumers want to make a purchase and become a member of its large community. The company’s weakest point however lies in its customer service performance. If you are the kind of a customer looking for exciting products at discounted prices, WOOT! is the right store for you. Just be sure to rmain patient as shipping times can get frustrating and getting help isn’t as convenient.

Five things you need to know before you make a transaction with WOOT!:

  • The website is very safe. As a consumer purchasing at the store, you may be certain that your information is well protected by the means of the latest encryption technologies. This fact is not surprising given that WOOT’s payment methods are developed by Amazon.
  • Great value for every dollar spent. The deals offered at the site are sold at aggressively discounted prices and in many cases are the cheapest to be found in the market.
  • Products purchased on WOOT! will be delivered at the customer’s address in 99% of the cases. However, the delivery times are significantly longer than average. Most products are shipped within five days from the date of purchase whereas the default shipping method service offered may take up to 8 additional days before delivery. Many of the complaints against the company refer to this issue. It isn’t unusual to find customers who have been waiting for more than two weeks before the product is shipped.
  • Not all products are new. Before you make a purchase on WOOT! be sure to check the product’s condition. Many of the items are sold as “Refurbished” or “Open Box”. The condition is normally stated in one of the top rows in the description section.
  • Be ready to communicate via emails in case you encounter an issue as other alternatives are not available.


  • April 10, 2015
  • Elana
 
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Customer Reviews

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Albert
Four Stars
on 2/2/17

They Offer a discounted pricing on Refurbished/ New Products, not the best quality of products. my tv had a low-quality picture, it's not their fault since it was a cheap tv anyways I am satisfied with the purchase overall

Website Traffic

Locations

woot.com Location

  • 4121 International Pkwy,, Carrollton, TX, US 75007
  • hostmaster@amazon.com
  • +1.9724173959
  • Hours of Operations: N/A
  • Service: N/A
  • Location Type: Headquarter

Financials

Privately Held

Articles

Woot (originally W00t) is an American Internet retailer based in the Dallas suburb of Carrollton, Texas. Founded by electronics wholesaler Matt Rutledge, it debuted on July 12, 2004. Woot's main website generally offers only one discounted product each day, often a piece of computer hardware or an electronic gadget. Other Woot sites offer daily deals for T-shirts, wine, children's items, household goods; two other sites offer various items. On June 30, 2010, Woot announced an agreement to be acquired by Amazon.

Sales model

Woot's tagline is "One Day, One Deal". Originally, Woot offered one product per day until its stock of that item was sold out, or until the product was replaced at midnight Central Time with the next offering. If a product sold out during its run, the next item would not appear until midnight, except during Woot-Off promotions. However, post-acquisition from Amazon, if a product sells out fast enough (generally before Noon CST), a new product will be offered for purchase.

Products are never announced beforehand. This sales model means that defective products cannot be replaced, only refunded. The company also does not provide customer support for the products it sells; in case of problems, customers are advised to seek support either from the manufacturer or through the online user community on the Woot forums.

Woot operates within the one-deal-a-day business model. Customers may buy up to three of the day's item, although the site has occasionally limited product quantity to one per customer.

Woot does not reveal sales figures unless the item sells out or a new item is for sale. Except for Shirt.woot, items are shipped only to the United States, using FedEx Ground, FedEx SmartPost, or United Parcel Service. All items, regardless of size or weight, are shipped for a flat fee.

Woot sometimes sells refurbished items. In 2011, sales of 6,200 refurbished Motorola Xooms included a small number (about 100) which weren't refurbished properly, and may have been sold with data from the devices' previous owners.

Marketing style

Woot's main site previously featured a daily podcast by Matthew Shultz, that briefly described the item up for sale and included a humorous song or skit. This has since been replaced by a weekly video podcast. Photoshop contests among Woot forum users for prizes, including cash, free shipping on Woot orders, and the Monkey Prize (typically a random monkey-related item of little or no value) were other promotional events.

Community members have contributed back to the site by offering Woot-related services. These include status checkers, Dashboard widgets, and Windows Sidebar widgets to report when the next product is listed; there are also webcasts and other means to monitor the site's status.

Special events

The site occasionally deviates from the one-product-per-day model for a "Woot-Off". A Woot-Off lasts for an unannounced length, usually 24–72 hours. During a Woot-Off, products usually sell out quickly, and when one product sells out, it is replaced within a minute or two by a new product. A percentage bar shows how much stock of the current product remains. However, Woot never gives the exact quantity available until after the item has sold out.

Beginning with the "gamma" launch of the Neuros MPEG 4 Recorder on February 9, 2005, Woot has occasionally partnered with another company to launch a new product with a one-day exclusive Woot sale..

Starting in July 2005, Woot began occasionally offering a blind grab bag officially called "Random Crap", in lieu of typical product sales. While today its accompanying picture of a paper lunch bag with a question mark has kept its unofficial name "Bag of Crap", (BOC) it was originally dubbed "Bag of Crap" during the early years of the site when a physical bag of some kind (notebook, iomega zipper bags, etc.) was sold with the 1–3 "craps" and was part of what you were buying. Today, the BOC contains at least three "crappy" items and one bag whose value and quality are not guaranteed, but sometimes expensive items are included. The BOC has been known to sell out in a matter of hours. During the January 25, 2011 selling, the website received a record 3.1 million requests, and the product was sold out within eight seconds.

During April Fool's Day 2008, Woot staged a Woot-Off offering the same product repeatedly, except for a few brief periods when Woot sold Bags of Crap instead. Three years later on April Fools' Day, Woot staged a "Bag of Crap" flash game, which users were instructed to play in order to win the privilege of buying Bags of Crap.

On April 1, 2011, eight thousand Bags of Crap were sold. Later in the day, once the Bag of Crap selling period was over, a Woot admin said that there were over seven million attempts to get the Bags of Crap.

Debuting on March 10, 2010, Woot ran limited one-hour versions of the Woot-Off called Happy Hour. These events were promoted solely via Twitter, and did not appear on woot.com's front page. Happy Hour didn't quite work out and was put on an indefinite hold by August 2011.

World of Wootcrap

A special event was held on July 11, 2014 celebrating Woot.com's tenth birthday.

Related sites

Woot has created several spin-off sites, some following a similar business model as the main site, others providing other retail-related services. These include:

  • Wine.woot 2006–2017
  • Shirt.woot begun 2007
  • Sellout.woot 2007
  • Kids.woot 2009–2017
  • Deals.woot closed 2016
  • Home.woot 2011–present
  • Sport.woot 2012–present
  • Electronics.woot launched 2012 as Tech.woot, renamed Electronics.woot in 2014
  • Tools.woot 2013–present
  • Accessories.woot 2013–2017
  • Computers.woot 2014–present

See also

  • List of deal of the day services

References

Citations
Notes

Bibliography

  • Time magazine's "50 Coolest Websites 2005"
  • PC Magazine site review
  • Motley Fool article
  • New York Times article
  • National Public Radio All Things Considered interview with Woot writer Jason Toon and developer Luke Duff (Streaming Audio)

External links

  • Woot website, including Blog and Forums
  • Chrome Extension Woot Checkers
  • Firefox Addon Woot Checkers