How does Zappos work as an electrical dealer?

Online shoe merchant http://www.aliyun.com/zixun/aggregation/10822.html ">zappos has a wide range of popularity among users, thanks in part to its very convenient shipping and return rules." How does Zappos do this while doing cost control?

Let's go to the Zappos headquarters in Henderson (Zappos was acquired by Amazon in 2009). The vast majority of entrepreneurs can also learn from Zappos here Some of its experience:

1. Work closely with logistics partners

10 years ago, Zappos worked closely with its transport partner UPS when it was a small size. Zappos's purchasing manager, Travis Moneta, works with UPS's global sales director. UPS is Zappos's only logistics partner, so it can get the best discounted price from UPS. "If there's only one option, it's becoming a partner," Moneta said. "It seems to him that the money saved by other logistics providers is far from compensating for the loss of customer experience and poor relationship with the carrier."

Zappos also encouraged his suppliers to use UPS logistics, with Zappos UPS accounts, which increased the volume of Zappos for more discounts. UPS uses its management software for free to help Zappos to estimate returns for the next week based on current sales, a small business that can also be used. This prediction allows Zappos to do a good job of planning, saving labor costs. Each package can be made with a clear estimate, and small businesses can use the service.

2. Transport costs into marketing costs

Zappos its "overnight delivery, free return within one year," The distribution of goods policy as its training user loyalty is an important method.

For example, on February 29, 2012, Zappos a big promotion, extending its free return for a year to four years. Moneta said the promotional policy will not allow the company to cut much meat, because most customers are receiving goods within a few days of processing returns. Those due to delay in the loss of goods as a result of marketing expenses, Zappos for promotion and won a good reputation.

3. Build a warehouse near your transporter

When Zappos was first established in 1999, there was no warehouse, and his suppliers delivered the goods directly to the customers ' homes. While this saves on warehousing costs, this makes delivery time and transport operators fickle, with poor customer experience.

2002, Zappos the warehouse to solve this problem. Its warehouse is only 17 miles from the UPS Global Shipping center Worldport. The nearly 4 million square foot storage center in the center of the United States offers a number of benefits to Zappos, including minimizing the cost of transporting goods to UPS.

If the volume of orders surges, UPS's mobile warehouse can be transported quickly to assist in the work. In addition, Trac says, at peak times, the frequency at which ups reaches Zappos here can be reached once per hour. But for other retailers, UPS takes only once a day. So once the order is well off, we have to wait for the next freight container and delay the day.

Because UPS Worldport very close, Zappos can ensure that orders are delivered the next day before 4 o'clock in the afternoon in the eastern time, and few online retailers can make such a guarantee. Such rapid delivery reinforces Zappos's customer loyalty. In addition, due to the proximity of the UPS Shipping center, returns are generally sent to the early morning of the flight, you can quickly for customers to deal with refunds, reduce customer waiting time, while reducing the number of customers to enter the advisory telephone, to reduce the work of customer service personnel.

4. Encourage return policy to stimulate sales

In Zappos's one-month customer service training, Zapoos employees have learned to encourage customers to select two yards per shoe to ensure a suitable customer size. Although this rule increases the amount of returns and adds additional shipping costs, it makes it more expensive for customers to hesitate when they order. ' The key is that we want to make customers happy and you can do that with a very convenient return policy, ' says Moneta.

Zappos's free return policy is very simple. In the Zappos site has a significant location of the relevant return information, on the site to the goods plus the return of the label, the goods sent back are very good operation. The simplification and transparency of return operations is very important. A survey by comscore this year for UPS shows that 63% of customers pay attention to the return rules before they place a single order.

5. Delivery first, return second

Zappos Most orders are delivered overnight. But the customer returns to take is the land transportation, this saves the cost for the Zappos. Moneta said customers are not very worried about returns. Zappos also encourages customers to use UPS MyChoice services in order to save shipping costs and deliver faster and quicker delivery. This free tool allows ups to better arrange which customers deliver at home and which can be delivered directly to the customer's office. To avoid the trouble and waste caused by multiple deliveries.

(Via Entrepreneur Products China)