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They probably did eat a bit on that, however: 1) Most customer's don't return stuff anywhere close to the rate you do (they usually get it right the first time
by randy 18y ago
They probably did eat a bit on that, however:
1) Most customer's don't return stuff anywhere close to the rate you do (they usually get it right the first time. It's also a hassle to return stuff, even if it's free).
2) I can imagine with your atrocious rate ratio of returns, you'd be far more inclined to pay a few more dollars to make that experience better via Zappos then stinge out and deal with paying for the return shipping and poor customer service issues elsewhere. (i.e. if they raise their prices, who cares? Everyone knows Zappos was built on their excellent customer service and selection, not their prices)
(Note: I personally haven't used Zappos myself, but I've heard Tony talk about his customer service oriented culture in person and they sure seem to be doing just fine with it).
- DougBTX 18y ago> I can imagine with your atrocious rate ratio of returns Or, another perspective: Imagine you go to a shoe shop, and you try on three or four pairs before you buy. For Zappos, that would be a return rate of 3:1, reduced only by the inconvenience for the customer to return the shoes.
- randy 18y agoPerhaps. Though for me, trying on a pair of shoes in the store and putting them back on the shelf is a much different experience then ordering them online, waiting a few days, trying them on, and then re-packing them up and going to the post office to ship them back. When I buy stuff online, I usually want to keep it.
- mattmaroon 18y agoWell, I bet they return shoes a lot. Not as much as I did (and that was only due to 2 different brands having odd sizes) but I'd not be surprised if half of their orders end up returned. It's not a hassle at all with Zappos, it's trivial. I'm the kind of guy who would just eat the $50-$100 if it required more than 10 minutes of my time. I've got boxes full of crap to prove that.
- randy 18y agoI think you're missing my point. > I seriously question the economics of Zappos... I really feel like any day their prices are going to go up to MSRP and they're going straight out of business. >> It's not a hassle at all with Zappos, it's trivial. I'm the kind of guy who would just eat the $50-$100 if it required more than 10 minutes of my time.
- dcurtis 18y agoYou value your free time at a rate of 300-600 dollars an hour? Wow.
- forgotmyaccount 18y agoPost-tax! Must be a patent attorney. Yet somehow he's posting on Hacker News...