Slide 4: Protect the VIP Brand If we don’t protect the VIP Program brand, identity and reputation, no one will do it for us. The tribe will respond to a “call to arms” but if we don’t take the lead, the evangelists have no one to follow.When you Google “Zappos VIP Program” a high ranking website returned is titled “Zappos VIP is a total waste” (http://youlookfab.com/welookfab/topic/zappos-vip-is-a-total-waste) This blog is based on the complaint that even by joining the Zappos VIP program, you are not guaranteed free overnight shipping if you forget to login to the VIP through human error, you lose the benefit of the VIP shipping. While there are some comments sympathetic to Zappos other comments include that notion that Zappos does not want VIP members to actually benefit from the free overnight shipping all the time and so Zappos makes it easy to not login and is counting on people forgetting. Also there is a comment that there’s no reason to join because of getting orders [randomly] upgraded for free. Unusual for Zappos, is that there is no official response from Zappos posted, this should definitely be followed up on to at least address the concerns posted.
Slide 5: Tell the VIP Story Without its own story how can we explain why there are VIP’s? Why is there a website, what is its reason for being? Without a story, the VIP Brand doesn’t have its own character and personality distinct from the Zappos brand. A big deal is made of customers having bragging rights but who brags about being a Windows user? Apple and Linux fans can’t keep their mouths shut. Why? Because Apple and Linux tell their stories and become “people”. Widows doesn’t tell theirs well. VIP may offer a great benefit in the guaranteed delivery, but if there is nothing more, how do we tell the VIP story, and why would anyone care?
Slide 6: Seamless Navigation If this slide appears confusing to you, then it has successfully made the point that there needs to be a better integration of the VIP website and Regular Website. As mentioned above, there are currently two different websites for regular and VIP customers. How often do VIP customers forget to login to the VIP website and either require assistance to access the VIP website and migrate their order? How many VIP customers don’t want to spend the time trying to switch over, do not get the benefit of the overnight delivery because they forgot to login altogether, or have to contact CLT after they’ve placed an order in order to try to migrate an order that’s already been placed?There needs to be a better system of integration that will redirect VIP members to the VIP site. This protocol should be based on VIP Splash Screen login that appears once when arriving on the Zappos site and before checking out. There should also be a corresponding automated script that will migrate the order to the VIP checkout without having to change browser pages/tabs. Additionally, there should be a conspicuous link on the header bar of the regular Zappos pages to login to your VIP account. This login should remember your shopping cart/wish list selections when you transfer to the VIP site.Understandably, the ultimate goal is to have members remember the VIP website on their own in order to mitigate costs associated with Google rankings. However a more robust VIP Program and social media presence will help raise the VIP brand recognition which will in turn help VIP members remember to access the VIP site directly.
Slide 7: Mission Objectives
Slide 8: Grow the Culture – Build the Brand The employees are engine that have grown the Zappos brand, but it’s the customers who are key to grow VIP. 75 percent of Zappos sales come from repeat customers. This group of 75 percent should be VIP members. The VIP members must be treated as an integral part of the internal Zappos culture and should be part of an external Zappos culture that promotes evangelism and word of mouth marketing. The biggest triggers of Zappos’ word of mouth is when members are surprised and delighted through different acts of WOW and PEC experiences. Inclusion of VIP Members in building and promoting the brand is an absolute necessity. 75% of Zappos sales come from repeat customers. This group of repeat customers should all be VIP members. The VIP members must be treated as an integral part of the internal Zappos culture and should be part of an external Zappos culture that promotes evangelism and word of mouth marketing. The biggest triggers of Zappos’ word of mouth is when members are surprised and delighted through different acts of WOW and PEC experiences, this is no different for VIP members.While guaranteed free overnight shipping is a great marketing point, because it’s relatively easy to get upgraded shipping over the phone, the uniqueness of the reward is in danger of becoming diluted to the point where the bragging rights to “make everyone else jealous, one order at a time” rings somewhat hollow and feels superficial to the VIP Member, moreover this is a relatively shallow vesting of the customer’s interest and passion with the Zappos brand. It may become difficult to consider yourself a VIP when you are in a program where the same rewards are easily available to those who are not members and that single reward is the only thing that markedly distinguishes you from non-VIP’s. Besides passive Word of Mouth advertising by VIP members, they should be made to actively feel like part of the Zappos culture and active stakeholders in the success of the Zappos brand. Some ideas for creating this environment include:
Slide 9: viPartnershipVIP partnership in creating exclusive merchandise/clothing available only to VIP members. Allowing members to submit designs for custom Zappos t-shirts/fashion/couture items that can be vetted by Zappos and then submitted to online VIP members gives a sense of inclusion into and ownership of the Zappos culture. For instance, over a 3 month period the VIP program accepts submissions of exclusive t-shirt designs. At the end of that period, Zappos employees get to select the top 24 designs. After the vetting by Zappos employees, the top 24 are posted for voting online by the VIP Members. At the end of a given period, the top 12 designs will be selected and the Zappos staff will work with the winners to finalize a design to be sold in limited quantities over the next year (one per month) and all winners will be given credit, a short bio space (if requested) and one of each of the winning shirts.
Slide 10: VIP Member Surveys. At the conclusion of the purchase and for 72 hours after (a link can be sent with the confirmation email), the VIP members should be invited to take a 5 question survey addressing quality of experience, quality of product, etc. and include an open section for sharing testimonial, detailed concern or suggestions for improving VIP Program or Zappos in general. Without being told, the Member should receive an e-gift card of a random denomination ($5-25) following completion of the survey. Members who offer specific suggestions that are implemented in a significant way should be sent an e-gift card for $50-100 and a thank you note from the applicable Director or Manager.
Slide 11: Exclusive Access to Zollar store. Create a program whereby VIP members are given exclusive access to purchase Zappos branded items available through the Zollar store. Additionally Zollars can be randomly credited to the customer accounts for special occasions, such as birthdays, VIP membership anniversaries, wedding anniversaries, submitting testimonials, blogging about Zappos (reasonable restrictions on number of posts), participation in VIP contests or events, visiting and going on a tour of Zappos, cross promotion with participation in the Zappos Insights program, i.e., attend bootcamp, participate in blog, webinars, etc.
Slide 12: Foursquare Style promotion. Earn badges for participation on VIP site. There are endless possibilities for badges on the VIP site that could be displayed on a personal page for activities that could earn badges. Various activities could include different types of products (i.e., men’s shoes, couture, kitchenware, etc.), reviewing a product, participating in surveys, etc.
Slide 13: Easter Eggs & Social MediaVIP benefits and rewards should remain “Easter eggs” that only become well known because of word of mouth. This sense of ownership and active participation coupled with unadvertised rewards will create a sense of community and exclusivity that will increase buzz and give real meaning to VIP membership. As far as Zappos is concerned, they should not be made formal policies insofar as legalities are concerned. This allows for “official deniability” and creates an air of mystery and secrecy to be enjoyed by VIP members. Increase the VIP Brand recognition through increased social media presence. This includes a VIP Twitter feed and a Zappos VIP Facebook page and blog with exclusive content. The VIP Program Facebook Page should feature news, contests, awards, and links to features, articles, interviews with designers, vendors and buyers, and fashion tips available as exclusive content on the VIP blog similar to the structure of the ZI website. This will help foster a sense of community among the VIP Members and will help increase buzz and overall media presence and brand recognition.
Slide 14: Personalized Service for VIP Members When VIP members log on to the VIP website it should be as close to possible to having the same experience as being on the phone. Some ideas to create this experience are: Twitter feed sidebar. While the Twitter feed will not resonate with all VIP members the same as phone conversation, having a streaming Twitter feed on a sidebar will give the sense of being in the middle of live conversations and part of the larger Zappos family. Live Help splash screen. The VIP site should offer a live help splash when you login to the VIP site (similar to BofA or Verizon Wireless) so while the customer may not of thought they needed help when they logged in, the prompt may encourage them to ask questions that they otherwise would not of. This concept is similar to the greeter at a WalMart. As simple as it is to get help via phone or live help, Zappos should be proactive in offering it rather than waiting for the customer to come find us. Even if they don’t need to specifically address a question about shopping, this is an added opportunity to ask a question about Zappos, share a testimonial or raise a concern, and to experience a PEC that might not have ever occurred without the proactive live help offer.
Slide 15: Outreach to Potential VIP Members Roughly five to six percent of the orders are placed through the phone, but most of the phone calls are not customers placing orders at that moment. On average, every customer will contact us by phone at least once in their lifetime. There should be a “third time’s a charm” policy for repeat customers. The “open enrollment” for Zappos VIP service to new customers is a great idea (the 2010 Back to School promotion), but those who have demonstrated ongoing loyalty to Zappos should not have to wait till they have a problem with an order or need help with a return to be offered membership in the VIP program. The reason why catalog and now online sales are so lucrative is that there is a large segment of the market that prefers to shop without the need for phone calls or personal interaction. The at least once in a lifetime average is only an average, how many repeat callers skew the percentage of the number customers who have never actually called? The VIP membership should not be less accessible to online customers simply by virtue that there is no current mechanism to upgrade them to VIP online rather than over the phone. To that end, repeat online customers should be tracked so that within 30 days of their third purchase, they should receive an e-mail invitation from the VIP program that 1) Thanks them for their last purchase and hopes that the item(s) have met with their satisfaction; 2) Thank them for their ongoing loyalty with an opt-in invitation to join VIP; and 3) Include a random denomination e-gift card for their next purchase. Another potential source for VIP membership is through the Zappos Insights program. Along with their registration in the ZI program, all participants i.e., attend bootcamp, contribute to ZI blog, webinars, etc. should automatically be offered VIP membership if not done already.
![Zappos VIP ProgramGrow the Culture-Build the BrandPresented by:Christopher M. Wiseman,[object Object]](https://image-private.slidesharecdn.com/vipproductmanagerpresentation8-100831161301-phpapp02/85/slide-1-320.jpg?hdnea=acl=/vipproductmanagerpresentation8-100831161301-phpapp02/85/slide-1-320.jpg*~exp=1714649014~hmac=08d5f95afdae1e1ceeb2f75bd4fd05c2a9c88e7695614d112232cd9601a9a4c1&cb=1285775066)
![In 1999, a crack commando unit was formed to sell shoes over the internet and was convicted by the status quo of rocking the boat, a crime which they did willfully commit. In 2004, this unit escaped from an outgrown bay area facility to the Henderson, Nevada underground. ,[object Object],Today, still wanted by the establishment, they thrive as soldiers of customer service. ,[object Object],Their current mission: to find new ways of delivering happiness to customers. If you need VIPs to feel part of a distinct culture, and you want to build a new brand, maybe you can hire...,[object Object],The VIP Team,[object Object]](data:image/gif;base64,R0lGODlhAQABAIAAAAAAAP///yH5BAEAAAAALAAAAAABAAEAAAIBRAA7)