Zappos Value Proposition

Part 1 A :Zappos Value proposition

Zappos is an on-line retailer that started of focusing on selling shoes, but now they expanded their market niche to selling clothes, accessories, eyewear, watches, sporting goods etc. Nowadays, online retail is such a competitive market so it is very vital for an online retail to stand out to its potential customers. As an online store, it had to create a competitive advantage(16) in order to make it more unique. By focusing on customer loyalty, Zappos has managed to succeed in its customer service (42) value proposition. Zappos commitment to customer service satisfaction is clearly demonstrated by their value propositions. These are free shipping ways, a 365 day return policy and 24/7 customer service.

Zappos took a different approach with their online retail store. Instead on spending thousands of dollars on advertising, they decided to spend money on improving their customer relationship management (271). Without customers, no revenue would be generated from an online retail such as Zappos. When it comes to on-line retail, the customers first impression of a website is very important. Whether the website is user-friendly, not too many ads on the website and whether the process is fast are some of the things customers would use to critic a website. Using CRM predicting technologies (273) would be ways an online company is able to track customer behavior.

Online customers would opt to shop for clothes at Zappos.com because of the wide variety of brands available for them to choose from. Zappos is like a one stop shop. Zappos customers are able to choose from brands such as Betsey Johnson, Tommy Bahama, Juicy Couture and Calvin Klein. With all these brands in one website, this enables the strategy of cross-selling (276) and up-selling (276) a success. For instance, when a customer is about to purchase a dress on Zappos.com, the site shows the customer what other customers who