1. Zappos: Happiness in a Box
Presented by: Chris Heath

2. Company History
Zappos is an online company that sells shoes and other apparel
The company was founded in 1999 by Nick Swinmurn and is currently run by CEO Tony Hsieh
From the start Zappos has focused on great customer service and developing a culture at work that is unique

3. Employee Hiring and Training
Zappos only hires happy people
One of their questions during the interview process is on scale of 1-10 how lucky are you
Found that people that consider themselves lucky performed better
Passed on many well qualified and smart candidates because they were not a cultural fit
Every employee must go through Customer Loyalty Team (CLT) training so they can learn how to WOW customers
Zappos only hires happy people
One of their questions during the interview process is on scale of 1-10 how lucky are you
Found that people that consider themselves lucky performed better
Passed on many well qualified and smart candidates because they were not a cultural fit
Every employee must go through Customer Loyalty Team (CLT) training so they can learn how to WOW customers

4. Happy Employees Equals Great Customer Service
Employees are able to determine when they receive raises by taking classes and mastering skills
Not paid based on the amount of calls they handle a day
One call lasted 7 hours and 28 minutes
MSN Money ranked Zappos.com in the top 10 for customer service

5. Repeat Customers
75% of sales on any given day are from repeat customers
During period Q407 first time customers spent $ while repeat customers spent $156.27
Mostly word of mouth marketing

6. Stories Of Success Personal Concierge
A flight attendant from Qantas was in San Francisco and needed to exchange a pair of shoes
She had no access to a computer and did not know where a UPS store was
A Zappos CLT member found the closest UPS store and asked them to print the label for her

7. Stories of Success Caring For The Sick
A Grandmother ordered some Lelli Kelly shoes for her four year old daughter that was going to have heart surgery
The CLT member had special shoes, flowers, and a homemade card signed by team members sent to her

8. Stories of Success From Confusion to Mobility
The women's dad had a stroke and was trying to learn to walk again
The CLT member had all the shoes overnighted even though she was only going to keep one pair
The shoes ended up being molded into his cast

9. Stories of Success Offering Praise and Gratitude
A women went on the Breast Cancer 3 Day in Denver and left an auto-reply on her
A CLT member got the auto-reply and decided to sent the woman a card to let her know what an admirable thing she was doing

10. Twitter
Tony originally created the account as a personal search engine, but soon realized the power Twitter could have in growing the brand
He now has over 1.7 million followers
“You can’t stop the waves, but you can learn to surf” –Jon Kabat-Zinn
“At Vegas airport. While in bathroom, I had an AMAZING revelation: Toiled seat covers are shaped exactly the same as life vests!”
499 employees are now using Twitter with the only rule being, “Use your best judgment”

11. Blogs and YouTube Every employee is able to blog on the website
Zappos feels its better to see what every employee is thinking even if it is not positive
They want to see the good, the bad, and the ugly
They have two different channels on YouTube: ZTV and Inside Zappos
ZTV shows the virtues of Zappos and has 187 videos with over 2 million views
Inside Zappos shows the fun employees have at work
Inside Zappos has 870 videos with almost 600,000 views

12. Amazon Zappos merged with Amazon in a stock exchange in 2009
The deal was valued at 1.2 billion dollars
Though they became a part of Amazon they were kept as a separate entity and were able to maintain their culture
Q net sales were up almost 50 percent compared to Q1 2009

13. Summary
Zappos has been able to grow their business through amazing customer service
This amazing customer service is made possible by creating a culture at work that allows team members to have fun
Team members constantly go above and beyond
Zappos has also been able to grow its’ brand through new social media outlets such as Twitter and YouTube

14. Questions a. Alfred Lin b. Tony Hsieh c. Nick Swinmurn d. Matt Zappos
1. Who founded Zappos.com?
a. Alfred Lin
b. Tony Hsieh
c. Nick Swinmurn
d. Matt Zappos
2. Which is not a core value?
a. Be professional at all times
b. Do more with less
c. Be humble
d. Pursue growth and learning
3. Repeat customers accounted for what percentage of sales?
a. 20
b. 45
c. 75
d. 90