Zappos is powered by serviceProviding the best service and online shopping experience possible.Free shipping both ways. 365-day return policy.Fast fulfillment. Expedited delivery. Fast, friendly & expert customer service.
Training helps them prosper and maintain culture
*Culture Book - Tony Hsieh, CEO of online shoe merchant Zappos.com, asks each employee to write a 100- to 500-word description of the company's culture every year for a book.
Employees are encouraged to use their personal emotional connection on every call. For example, they might ask about a dog barking in the background or send flowers to a bride.
*deciding to invest in “surprise” (free) upgrades to overnight shipping for most customers. This means that most orders are delivered within 24 hours, despite the web site indicating it will take 2-5 business days.
Most customers are upgraded to overnight shipping
REMEMBER, Profitability and growth are dependent on a firm’s ability to successfully acquire and retain customers. The keys to building loyal customer relationships are to fiercely focus on gaining not only market share, but customer share. Keep the customers you have acquired by managing the customer experience, developing a customer recovery strategy, and creating a winback plan to win back high net-worth customers who defect. There’s enormous opportunity out there…seize it!
Super Bowl Customer Experience Presentation for SOCAP WI
Customer experience super bowl<br />Myra Golden<br />
Customer experience dna of zappos<br />Zappos is powered by service<br />Providing the best service and online shopping experience possible.<br />Free shipping both ways. 365-day return policy.<br />Fast fulfillment. Expedited delivery. Fast, friendly & expert customer service.<br />Best selection<br />Over 1100 brands.<br />Over 150,000 styles.<br />3 million pairs of shoes.<br />Photographed in multiple angles.<br />Videos of many products.<br />100% of products inventoried (no drop ship).<br />Zappos is a service company that happens to sell shoes, clothing, handbags, eyewear, watches (and eventually a bunch of other stuff).<br />
Great customer experience = $$$<br />Zappos is committed to WOWing each and every customer.<br />Customers come…<br />7.4M total purchasing customers (about 2.5% of US population)<br />3.3M have purchased in the last 12 months<br />Customers come back…<br />On any given day, about 75% of purchases from returning customers<br />Repeat customers order >2.5x in the next 12 months<br />Customers come back, order more and order more often…<br />Repeat customers have higher average order size<br />$111.98 – first time customers <br />$143.22 – returning customer <br />
Early on its life, zappos made a deliberate decision to re-direct its marketing budget towards delivering exceptional customer service with a great company culture,<br /><ul><li>encouraging customers to order as many products as they wanted in order to “try them on,” then offering free return shipping for a full 365 days
only listing products on the site when stock was in their own warehouse (which actually lowered sales by 25% at a time when the company was still in the red)
deciding to run their warehouse operation 24/7 to deliver super-fast turnaround on orders, despite it being an inefficient way to manage fulfillment </li></li></ul><li>Early on its life, zappos made a deliberate decision to re-direct its marketing budget towards delivering exceptional customer service with a great company culture,<br /><ul><li>encouraging customers to call them about nearly everything. Their call center takes 5,000 calls per day, and employees work independent of scripts, quotas, or call time limits. The longest call to date has been four hours. Zappos views the phone experience as a branding device, and speaks to virtually every customer at least once.
deciding to invest in “surprise” (free) upgrades to overnight shipping for most customers. This means that most orders are delivered within 24 hours, despite the web site indicating it will take 2-5 business days. </li></li></ul><li>What customer’s see…<br />
Customer Service:What Customers Experience<br />Fast, Accurate Fulfillment<br />Friendly, helpful “above and beyond” customer service<br />Refer customers to competitors’ web sites<br />
Customer Service:What They Do Internally<br />No call times, no scripts<br />No sales-based performance goals for reps<br />Run warehouse 24/7<br />5 weeks of culture, core values, customer service, and warehouse training for everyone in Las Vegas<br />Culture book<br />Interviews and performance reviews are 50% based on core values and culture fit<br />
Zappos new-hire training<br />5-week training period that immerses employees in the company's strategy, culture, and obsession with customers<br />Incubation Program to help new hires transition from training to call floor<br />
Self Monitoring (Full circle feedback)<br />Launched a QA program a few years ago…<br />Removing the fear of poor performance<br />Rep selects a call and reviews<br />Lead also selects a call to review<br />Focus is on coaching and feedback<br />
Advancement & reward<br />Any employee can be a Lead within 5 years<br />Promotions all based on skill set, skill set based on core values<br />Courses offered to develop skill sets, small raises for completing skill set courses<br />Professional Life Coach on staff<br />“Happiness” survey monthly<br />
Ongoing training: pipeline<br />Zappos history<br />Professional development<br />Career development<br />Time management<br />Science of Happiness<br />How to Write Emails<br />Communication <br />Finance<br />“Holiday Helpers” (outside of CLT)<br />
Zappos Core Values<br /> Deliver WOW Through Service<br /> Embrace and Drive Change<br /> Create Fun and a Little Weirdness<br /> Be Adventurous, Creative, and Open-Minded<br /> Pursue Growth and Learning<br /> Build Open and Honest Relationships With Communication<br /> Build a Positive Team and Family Spirit<br /> Do More with Less<br /> Be Passionate and Determined<br /> Be Humble<br />
How best buy got email right<br />Personalized the email<br />Acknowledged my satisfaction with the product<br />Explained policy in lay terms<br />Exercised empowerment<br />Restored my confidence in Best Buy<br />
Starbucks has mastered warm customer experiences<br />