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What makes Zappos marketing strategy stand out above the crowd?
Cultivating relationships and social networks are certainly contributors. Using the many new social media tools and social platforms, yes?
Marketing, at its best, is about the future. Unfortunately, we spend most of our time stuck in the past. We research what already happened and extrapolate forward to produce a plan. It’s not that we’re lazy, we simply know a whole lot more about the past than the present or the future.
It’s been nearly half a century since Philip Kotler first published his Principles of Marketing, which has defined the practice of millions of professionals worldwide ever since. It’s no stretch to say that before Kotler, there was no true marketing profession.
What made Kotler different than what came before is that he took insights from other fields, such as economics, social science, and analytics, and applied them to the marketing arena. Although that may seem basic now, it was groundbreaking then.
Today technology is transforming marketing once again. Although up to this point, most of the impact has been tactical, over the next decade or so there will be a major strategic transformation. This, of course, will be a much harder task because we will not only have to change what we do but how we think.
We already know that marketing is becoming more social, local, and mobile, just as we know that big data and new interfaces such as touch, voice, and gesture are becoming increasingly more important. What comes next?
Note that “The more a person limits himself, the more resourceful he becomes.”
—Soren Kierkegaard
History is filled with examples of people who embraced their limitations rather than fought them. Dr. Seuss wrote his most famous book by only using 50 different words.
Ingvar Kamprad only had enough money to start a business selling match sticks. He turned it into IKEA. George R.R. Martin writes best-selling novels using decades-old technology. Richard Branson has built 400 businesses despite having dyslexia.
Our limitations provide us with the greatest opportunity for creativity and inventiveness.
When choosing to learn from other marketing strategies, it is always helpful to choose one of the top dogs. Ones that stand way above the crowd. Zappos is certainly one of those in this category we believe. One that we regularly follow.
Social networking is not about farming followers, it’s a way of cultivating relationships.
– Hubspot
Meet Zappos. They have been successfully executing their marketing strategy with a social focus since the first days of social media. For over 5 years, and their strategies have played a significant role in their growth.
An introduction to Zappos is probably unnecessary.
But let’s examine one of the Zappos top advantages … their company culture. The four dimensions of their culture core values (our favorite company culture):
Mission
Deliver ‘WOW’ through service
Do more with less
Adaptability
Embrace and drive change
Pursue growth and learning
Involvement
Create fun and a little weirdness
Be adventurous, creative, and open minded
Be passionate and determined
Consistency
Build open and honest relationships with communication
Build a positive team and family spirit
In our opinion, the company has inserted itself into the American e-commerce landscape more quickly and craftily than any retail company in history (even considering its parent Amazon). It has forever changed the way companies market themselves to customers.
Zappos has obviously built their business entirely in the digital realm. With a strong presence on multiple social networks, the brand has set a high bar when it comes to being social and engaging its customers. They are at or near the top of nearly every major brand ranking in customer service and social media.
Zappos’ ability to wear so many hats … corporate success, “local” favorite, and Internet sensation warrants strategic examination.
Why is Zappos’ marketing strategy such a difference-maker? There are key reasons in our minds:
Zappos marketing strategy … going to its customers
When Zappos uses an example of their customer service, it shares it on Google+, posts it to Facebook, tweets it on Twitter, and pins it on Pinterest. It clearly goes to where all its customers like to hang out. Cross-promotion is more valuable as the world becomes more digitally focused.
Each network provides an opportunity to reach their audience in a new channel. Integrating their strategy on each is crucial to increasing visibility and promoting the brand.
Market segmentation
The company has stayed focused exclusively on e-commerce, competing on those who prefer excellent customer service. One could say they set the mark for everyone to target in customer service. And they make it the core of their marketing strategy.
Execution
The company continues to focus on its original product bundle that includes shoes and continues to add new products slowly, ensuring it can maintain its quality service. They keep their focus and attention to the details of great execution and service.
Related post: Jaw-Dropping Guerrilla Marketing Lessons and Examples
Zappos marketing strategy … social media
One of the earliest adopters of the use of social media for marketing and social commerce, Zappos has certainly taken a leadership position. Their social media strategy is built around their company web site and 5 additional core social platforms, including Twitter, Facebook, Pinterest, G+, and Youtube.
We will review Zappos’ social media strategy in detail below.
Adaptation and Innovation
Zappos’ business innovation via its website, has been a huge success. Why you may ask? Because they have combined the concepts of change, experimentation, social media, customer engagement, and market research.
They made the results key components of both their brand as well as their marketing strategy.
Have you given Zappos a try? What did you think?
Zappos marketing strategy … customer relationships
Instead of solely focusing efforts on accumulating new customers, it cultivates its current relationships. This ensures more fans/followers (by word of mouth marketing) in the long run, as well as the continued existence of brand advocates.
This holds particularly true in its emphasizing the importance of customer service.
Customer engagement
They believe in letting customer engagement and conversation occur as naturally as possible. What is most important is that they listen carefully, observe, and apply new ideas from what they learn.
Encourages sharing
Happy customers are eager to share good experiences and offers.
For example, the Zappos promotions like “buy 1 get 1″ garner an extraordinary amount of engagement on social media through comments, “likes,” and shares.
Experience customization
Want to know one of the most effective examples that Zappos uses to build its marketing and create reciprocity with its customers?
By surprising them!
People like getting things for free and like them, even more, when they are viewed as ‘favors’. But even more, they love receiving these favors as surprises.
For instance, did you know that Zappos automatically upgrades all purchases to priority shipping … without so much as even a mention on the sales or checkout page?
Why give away this sort of benefit without mentioning it?
Simple …
a company like Zappos (known for their legendary customer service) recognizes the benefits of surprising people with a next day delivery.
That’s not even mentioning the fact that this shipping creates immense goodwill between Zappos and their first-time buyers. (I still remember my first order.)
Lots of ideas here that can be easily replicated … which ones do you feel could benefit your business?
How could you improve the Zappos customer service campaign concept for your business?
The bottom line
At the end of the day, Zappos’ rise to online dominance really just revolves around turning an otherwise complicated shopping experience into one that feels quaint and easy. It accomplished this by setting up a strong behind-the-scenes infrastructure that puts the customer experience at the forefront.
And isn’t that what their new strategy is all about—giving the customer what they want where and when they want it? Unfortunately, it is much easier said than done.
Zappos is one of many businesses we can learn from. Please post your comments below, offering questions or your own great examples of social marketing strategies.
It’s up to you to keep improving attention to your brand.
All you get is what you bring to the fight. And that fight gets better every day you learn and apply new lessons.
When things go wrong, what’s most important is your next step.
Try. Learn. Improve. Repeat.
Are you devoting enough energy in each of these steps to improving attention to your brand?
Do you have a lesson about making your brand better you can share with this community? Have any questions or comments to add in the section below?
Mike Schoultz is the founder of Digital Spark Marketing, a digital marketing and customer service agency. With 40 years of business experience, he blogs on topics that relate to improving the performance of your business. Find them on Twitter, and LinkedIn.
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