"It's a $27 blender that performs exactly like a $27 blender."
The '700W peak power' is a momentary burst; the blender's actual sustained power is 500W, sufficient for basic smoothies but not for heavy-duty tasks like making nut butter.
This is for the buyer whose primary constraint is budget. If you make occasional, liquid-heavy smoothies in a dorm or first apartment, it performs the basic function for a minimal cost.
Anyone blending daily, using large amounts of frozen fruit, or trying to pulverize fibrous greens should invest more. The 500W motor is not designed for that workload and will likely fail prematurely.