INTRODUCTION

Introduction

! Fortune 500 Best Companies to Work For:

Highest Ranking Newcomer

23

Brief History of Company

In Search for the Perfect Pair of Shoes

Founded in 1999 by Nick Swinmurn

Nick was looking for a specific pair of shoes but
was unsuccessful

He then decided to quit his day job to start an
online shoe retailer &

was BORN


PRODUCTS

Key Features

! Free Shipping Both Ways (Within US)

! 365-Day Return Policy

! Real Inventory in Warehouse Available for All
Products

24 Hours Warehouse

! Contactable 24 hours a Day, 7 Days a Week

1800 contact number is prominently placed on every page of the site

! Providing

Wow Customer Service

If products are unavailable, sales staff direct customers to competitors

LEADERSHIP & MANAGEMENT

Man Behind the Scenes

Brief History

Harvard Student: Computer Science Degree

Management Philosophies

! Marketing Strategies:

Invest in only minimal advertising

Management Philosophies

! Associating Brand with Person

Deeper and more meaningful connections

CULTURE

Culture

! An Abstract from the Zappos 2008 Culture Book

C : Creating an

U : Understanding &

L : Lifestyle that

T : Translate to

U : Utmost

R : Respect for

E : Everyone

Culture Book

! Annually Issued By Zappos

! Published for Every Employee, Partner, and even
Vendors

! Thoughts written by employees are directly

transferred into the book

Ten Core Values - 1

Build Open & Honest Relationship with Communication

Build a Positive Team and Family Spirit

Do More with Less

Be Passionate & Determined

Be Humble

Ten Core Values - 2

Deliver WOW Through Service

Embrace and Drive Change

Create Fun and A little Weirdness

Be Adventurous, Creative, and Open-Minded

Pursue Growth and Learning

Hiring Process

! Two Interviews

! Types of Training:

Company Culture Training

Hiring Process

Mandatory Service
Training for all
Positions

Answer Phones

(2 Weeks)

Packing Shoes into
boxes (1 Week)

Hiring Process

! After 4 Weeks of Training

They are offered US $2000 to leave

company if there is NO Culture Fit

Creating the WOW

Customer Service

SWOT ANALYSIS

SWOT Analysis

! Brief Review

Zappos SWOT Analysis

! ZAPPOS

SWOT Analysis

Strength

! Culture Management

The 10 Core Values & Hiring Process

Culture Book

Strength

Positive Work Environment

Financial Incentives

100% Medical & Dental insurance

Family Environment

! Best Selection

No Call Time



0
0
0
,
0
15

3
Millio
n

%
0
0
1

Strength

! Repeat Customers

UPS: Fast Shipping & 365 Refund Policy

Word of Mouth / Viral New
Marketing

Customers
Acquired Heard
About Zappos
through:

- 44% from Internet

- 43% from Word of
Mouth

- 13% from Others

Weakness

! Unattractive Website

! Cluttered & Difficult Navigation

! Personal Product Recommendation Office

Problem with execution

Unwanted recommendations (Especially
when shopping or others)

Weakness

! Price Competitiveness

! Coupons

Payment Methods

Opportunities

! Branching Off to Various Products Categories

Especially non-commodity products

Apparels, accessories and even cookery

Reflects Customer Loyalty

BOUGHT

OVER

Threats

! Amazappos or Zappozon?

! Tough to Maintain Culture with Expansion

! Financial Crisis

Layoff 125 employees

! 365 Refund Policy: Achilles Heel?

High Costs

Environmental Friendly?

CONCLUSION

Conclusion