Assignment Topic

Zappos: A Passion for Creating Customer Value and Relationships

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Program: __BSAM_____________________ Semester: ___6th___

Course: ___A&AM______________________ Section: _____A____

Assignment No: ______01_______________ Assigning Date: ________________

Due Date: ________21/Mar/2023________ Submission Date: __19/Mar/2023_

Group Name: __________________________________________________________________

Group Leader Name: ______Kamran Naseer_____________ SAP-ID: ___70110749_____

Group Member Name: ____ Anzala Umer _______________ SAP-ID: ___70113059_____

Group Member Name: ____Saria Cheema_______________ SAP-ID: ___70109057_____

Group Member Name: ________________________________ SAP-ID: _________________

Group Member Name: ________________________________ SAP-ID: _________________

Remarks:
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Instructor’s Signature
 Zappos: A Passion for Creating Customer Value and Relationships

Introduction:
Zappos is a Las Vegas-based online retailer that specializes in shoes, clothing, and
accessories. Nick Swinmurn founded the company in 1999 after having difficulty finding
a specific pair of shoes in a physical store. He recognized the internet potential to provide
a wide range of shoes and founded Zappos, which quickly became known for its
excellent customer service and emphasis on customer satisfaction.
Problem:
● How to differentiate itself from other online retailers.
● faced how to manage its inventory effectively.
● faced difficulties in hiring and retaining employees who shared its customer-centric
culture.
Detail and solution of problems:
How to differentiate itself from other online retailers:
One of the most difficult challenges that Zappos faced was differentiating itself from
other online retailers.
Solution:
The company chose to priorities customer service and making the online shopping
experience as seamless as possible. Zappos invested heavily in technology to make its
website user-friendly and easy to navigate, and it offered free shipping and returns to
lessen customer anxiety about ordering shoes online.
Zappos faced how to manage its inventory effectively:
Another issue is that the company business model relies on stocking a large
inventory of shoes in order to provide customers with a diverse selection, which can be
expensive and inefficient.
Solution:
Zappos implemented a complex inventory management system that allowed it to
track real-time sales data and adjust inventory levels accordingly.

Zappos faced difficulties in hiring and retaining employees who shared its
customer-centric culture:
It was challenging for Zappos to find and keep workers who embraced its
customer-centric culture. Long hours, in-depth training, and an emphasis on developing
connections with customers are all part of the company distinctive and demanding
approach to customer service. The most recent Zappos TV ads feature “Zappets,”
puppet like characters styled after actual Zappos employees, highlighting interactions
between Zappos customer service reps and customers. Free delivery, free returns, and a
365-day return policy have been the cornerstone of Zappos’ customer-centric approach.
Solution:
Zappos solved this issue by creating a stringent hiring procedure that gave
cultural fit top priority and by spending money on employee training and development.
Success:
Despite these difficulties, Zappos managed to become a market leader in online
commerce and was bought by Amazon in 2009 for
$1.2 billion. Now, Zappos priorities customer service and has increased the range of
products it offers by adding clothes, accessories, and homewares.
Conclusion & Suggestions:
In conclusion, Zappos embraces a culture like no other. Zappos hire people who
are passionate about customer service and the brand. Focus on customer and employee
organizational culture has allowed Zappos to surpass many other online retailers. The
passion of being best in the market has allowed Zappos to take organization to the next
level. Even if Zappos suffers a drop in sales or product, it could bounce back because it is
practicing and looking for employees who are comfortable with change. The above
mentioned ways used by Zappos which continue production during times of crisis.