Zappos Preso 2009-04-30 UNLV

Zappos Case Study Alfred Lin – COO/CFO [email_address] Follow me on Twitter: twitter.com/ zappos_alfred UNLV – Formulating Business Strategies Class April 30, 2009

A Little About Me (Alfred) My Background ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Zappos at a Glance Corporate Background ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Recent Recognition: Nice, but we pay more attention to our customers ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Customer service value proposition in action… Zappos is committed to WOWing every customer. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Power of repeat customers and word of mouth...

Repeat customers order more and more often… % customers who buy again within next 12 months (repeat customers) avg # purchases by repeat customers over next 12 months % repeat customers multiplied by avg # purchases March 2001 20.4% 1.50 0.31 March 2002 27.0% 1.74 0.47 March 2003 33.5% 1.96 0.66 March 2004 44.6% 2.36 1.05 March 2005 51.0% 2.53 1.29 March 2006 51.3% 2.66 1.37 March 2007 54.3% 2.67 1.45 March 2008 54.2% 2.69 1.46

Zappos is about the 3 C’s: C lothing, C ustomer Service, C ulture C ustomer Service C lothing C ulture

Customer Service: the Zappos way… Establishing a personal emotional connection with the customer See Experience Feel What customers first see on Zappos web site? What customers experience after their order? What we do to establish a personal emotional connection? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Culture: establish “committable core values”… Every employee is asked to live & breathe the core values and inspire the culture in others. ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Zappos Delivering Happiness (customers and employees) ,[object Object]

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7 Steps For Building A Brand that Matters

Step #1 ,[object Object],[object Object],[object Object],[object Object],[object Object]

Step #2 ,[object Object],[object Object]

VALUES & CULTURE ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Step #3 ,[object Object],[object Object],[object Object],[object Object]

Commitment to Transparency: Examples ,[object Object],[object Object],[object Object],[object Object],[object Object]

Step #4 ,[object Object],[object Object],[object Object],[object Object]

VISION ,[object Object],[object Object],[object Object],[object Object]

ENTREPRENEURS: ,[object Object]

VISION ,[object Object],[object Object],[object Object]

Step #5 ,[object Object],[object Object],[object Object]

Step #6 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Step #7 ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

At the beginning of what is possible… Just getting into the third inning of ecommerce ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Evolution of Zappos Brand Transcends shoes & service ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Put a little Zappos in your day… …to contact me or get a tour… ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Legal and Financial Disclaimer ,[object Object],[object Object],[object Object],[object Object],[object Object]

Zappos Preso 2009-04-30 UNLV

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