Zappos Case Study

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Zappos case discussion Case Questions: 1) What are Zappos’ core competencies which provide them competitive advantage? How sustainable are they? What role does corporate culture play in these questions? Core Competencies: i. Customer Service/Relationships: At Zappos, the belief is that every customer interaction is a branding opportunity. They have set out to provide exceptional shopping experience and service to their customers . Specifically, they provide 1. Free, Rapid Delivery ­ Although they no longer advertise the overnight delivery, their strategy of under­promising , over­delivering works by surprising the customers by overnight delivery of packages, when in fact , they’d be expecting it to arrive in 5 days. 2. Fast Web Access ­ their website loads faster than any other retail website. 3. Online Product Information­ provide substantially better information to the customers by taking more pictures from different angles, detailed descriptions of the shoes , expert information on gaits and what shoe was appropriate for a particular customer and incorporating customer feedback on their websites. 4. Return Policy­ they provide a free 365 days return policy, thereby dealing with the issue of fit and making the customers buy more products online. 5. Call Center ­ phone calls answered within less than 20 seconds , there is no concept of a “script” and employees have a free reign in their decision-making and are expected to spend as much time as they need to “wow” customers. They go out of their way to retain the customer loyalty, like finding the unavailable shoes on a competitive website. ii. Strong company culture/values appos culture fostered excellence. The training program is : Z focussed at retaining passionate employees and imparting full business understanding to all of them,

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