Zappos.com is known for its incredibly loyal customer base. The company earned that loyalty by providing levels of service rarely seen in either online or store environments. It should not be hard to understand then that others in retailing are looking to replicate some of the Zappos' magic for themselves.
A case in point is Bonobos, Inc., an online apparel site with the goal of delivering high-quality pants that fit men without the need to enter a fitting room.
The pants, according to an Associated Press (AP) report, retail for $118 and come with a return policy very much like Zappos. As a message on the company's site says, "Any pant, any time, any reason. We'll pay for standard shipping both ways." Bonobos says it will even take exchanges on pants that have been hemmed, washed and/or worn. The company, expects returns on orders and, in fact, encourages consumers to order pants in several sizes to make sure they get the fit they want.
Last year, the company earned $1.6 million in revenue and it expects to double or triple that this year. While Bonobos has yet to turn a profit, it believes its commitment to serving consumers will enable it to be successful in the future. It has also followed in Zappos' footsteps and begun to expand its product selection beyond pants to include polor shirts, shorts and swim trunks.
Discussion Questions: Is the Zappos model something that can work for many other businesses in retailing or is it some type of anomaly? Is Bonobos on the right track for success?