<< by Janet Driscoll Miller on November 10th, 2009
Pubcon Vegas kicked off this morning with a keynote from Zappos CEO, Tony Hsieh. Tony’s presentation was entitled “Delivering Happiness”.
Tony started out by running a pizza shop in college, and he met Zappos’ CFO back in college after the CFO, one of their best customers, was found selling Tony’s pizza by the slice on the side! Tony founded LinkExchange and ran it from 1996-98, and he eventually sold it to Microsoft for $265M. Why did he sell? He said that when the company got larger, the culture was lost. It was one thing they hadn’t considered much, and it suffered. After selling LinkExchange, he invested in several companies, one being Zappos.
Zappos has 1400 employees and is headquartered in Las Vegas. They consider themselves “powered by service” and see themselves as a service company that happens to sell clothing, shoes, etc. About 75% of their daily sales are from repeat customers. Last year they did $1B in gross sales. They rely on word of mouth marketing and focus marketing budget on making service better.