“The world hates change, yet it is the only thing that has brought progress” - Charles Kettering
Brands that are built on fear, are failing quicker than ever. Those that are set in their ways and refuse change are already dead. The funeral is just a detail. Trends such as time compression are erasing the lines of what we once called “natural” change. Industry control freaks are having to face a very scary proposition because all bets are off.
We are living in the most am·big·u·oustime: Now open to more than one interpretation.
Consider that the average consumer is in contact with over a thousand products daily. When customers go shopping the number expands to over 35,000 products and brands. Now add the human factor. The human mind experiences an average of 50,000 thoughts each day. This overflow of information and sensory experiences are eroding what we once considered in marketing the immutable laws.
“Stability is a dead fish floating downstream. The only kind of stability we know in this country is change.” – Henry Ford
To succeed in this crowded marketplace, we must be open to ambiguity. Knowing that there is no longer one right answer. Those days are gone. It’s time to embrace change. The easiest way to get started is to reverse our perception:
Reward failure and Adopt change.
As humans we have always survived by adaptation and breaking habits that were no longer conducive for survival. It’s now time for brands to do the same. Change can be a wonderful thing.
Can you imagine a day at the office where you might be asked to shave the head of your co-worker? Or better yet, how about taking a razor to the mane of your CEO? Leave it to the folks at Zappos to create not just a day, but an annual event called the Bald & Blue Head Shaving Day.
Social grooming is a means through which animals, including humans, who live in proximity can bond, build and reinforce social relationships. CEO Tony Hsieh explained that what originally started out as a dare evolved into a fun team building activity. Now every year, Zapponians line up and get groomed, all in the name of team spirit.
The benefits? Research has shown that social grooming is positively associated with relationship satisfaction and trust. For Zappos, relationships built on trust are the bedrock of their organization.
Watch this short clip on social grooming, the Zappos way.
Jobs are everywhere. We clock in and clock out, putting in the bare minimum just to get the work done. Sometimes though, we find a career where we have a deeper vested interest in our work, motivated by achievement and advancement. Yet if we’re lucky, we’ll eventually find our calling where work becomes our life mission, and our life mission becomes work.
Online retailer Zappos is on a mission to inspire their family of employees to a higher calling. Since the beginning, they weren’t satisfied hiring people just looking for a job to pay the bills. Under their visionary leader Tony Hsieh, the company made a bold organizational move in 1994, relocating their headquarters from San Francisco to Las Vegas, to align themselves with people looking for a career.
Hsieh wrote in Inc. Magazine, “We were having a hard time finding good customer service people in San Francisco. Las Vegas has a lot of call centers and lots of people who want to do customer service as a career.”
Zappos embraces a singular vision—to provide the best customer service—and attracts people who share this passion. But the folks at Zappos aren’t satisfied knowing that their employees are committed to a career in customer service. They constantly strive to inspire their employees to find their true calling—to find personal meaning in their work guided by a higher purpose.
To achieve this, Zappos employs a full-time on-site personal coach, Dr. Vik, who invites employees to take a seat on the royal “throne” for a one-on-one consultation. He regularly tells his guests, “You are worth a billion dollars. Come have a seat and take your life to the next level!” With Dr. Vik’s guidance, employees are empowered to reach their full potential across their work and personal lives.
How many companies employ a full-time personal coach? Most businesses would view this as an unnecessary expense and immediately reject the idea.
Yet Zappos understands that a company’s employees—their people—are a reflection of the brand itself. When employees find their true calling, work is greatly satisfying and meaningful. Their enthusiasm and passion is infectious. And the customers are first to take notice.
Businesses aggressively strive to establish trust with their customers, but oftentimes neglect the need to cultivate trust in their own workplaces. Economist John Helliwell researched the determinants of workplace happiness, and found that trust is the greatest contributor, beating out pay, workload, or perks. A one-point increase on the trust scale can mean the equivalent of the psychological benefits associated with a 40% wage increase.
Online retailer Zappos embraces trust as an essential ingredient in cultivating an enthusiastic and happy workplace. Zappos made its inaugural debut at #23 on Fortune Magazine’s List of “100 Best Companies to Work for,” making them the highest-ranking initiate for 2009. For Zappos, trust is a core business value, established through a steadfast commitment to transparency.
Here are 5 ways that Zappos champions trust within their organization:
The Culture Book: Zappos publishes an annual book, a compilation of employees’ thoughts and reflections on the Zappos culture. Every submission is included and edited only for spelling and typos. The book is given to potential hires for an unfiltered look into the Zappos culture, inclusive of the good, the bad, and the beautiful.
The “Ask Anything” Newsletter: Employees can literally ask anything about the company, even and especially about financials. Answers are compiled and published in a monthly newsletter.
Extranet for Vendors: Vendors can log in and view insider data such as inventories and sales. When asked if Zappos worries whether the information will get into the hands of competitors, CEO Tony Hsieh is not concerned. He is confident that the benefits outweigh the risks, by providing vendors a critical window into their business, promoting a sense of control, and above all else, building relationships based on trust.
Company Tours–Come One, Come All: Zappos has an open door policy and offers everyone a tour of their company headquarters. When reporters visit the headquarters, there’s no official algorithm that dictates who they can speak to and who they cannot. When you have nothing to hide, every employee is authorized to speak to his or her own experience.
Twitter: Zappos actively encourages its employees to join Twitter, and in fact, offers Twitter class as part of their employee orientation. With over 400 employees tweeting, Zappos policy is more of a non-policy: “Be real and use your best judgment.” Hsieh understands the power of Twitter, not just as a way to cultivate transparency, but also to empower employees and strengthen ties within the organization. Hsieh tweeted: “Twittering is like hugging. Just because it’s hard to measure the return on investment doesn’t mean there isn’t value there.”
When employees feel trusted, they tend to be happier. The pay off for companies? Greater productivity and less turnover. And when employees are satisfied, customers tend to be satisfied too. So what do you have to hide?
A powerful way to reach your consumers is through your brand’s alignment to a cause. Even something as simple as caring for others can transform the perception of your business. Having a cause gives your brand purpose and power, helping your organization get to the heart of the matter.
Companies that demonstrate a sense of social responsibility stand out in a world of increasingly undifferentiated goods and services. Goodwill is the only asset that competition cannot undersell or destroy.
The key to cause branding is the selection of a cause aligned with your corporate goals. Most cause-branding programs should be, at their heart, about enhancing corporate brands in ways that are meaningful to key constituencies including customers, employees, communities, public officials, or suppliers.
Cause-branding strategies directly benefit your business by:
Deepening consumer loyalty
Transforming the brand’s reputation
Deepening employee loyalty
Growing the number of Brand Lovers
Strengthening ties with business partners
Growing sales, at times exponentially
Despite its many advantages, cause branding does have limitations and pitfalls. It is not an antidote to a damaged reputation. A cause can never turn a brand into something it’s not. Rather, it’s a way of making a strong brand even stronger.
Remember to activate your brand and bring your Cause Branding to Life.
Chris Robert, assistant professor of management at the University of Missouri-Columbia’s Robert J. Trulaske Sr. College of Business, studied the effects of humor in the workplace. While it’s an axiom that a happy workplace boosts morale, Robert found that humor is positively associated with workplace performance and employee retention.
Robert explains, “If you have positive emotions about your job, you’re less likely to quit. You might get a better job offer, but it will take more to draw you away when you like where you work and you like the people you work with.”
Great companies like online retailer Zappos intuitively understands the power of humor and its ability to ease stressful situations, build rapport and foster cohesiveness within the workplace. At any moment during the workday, the folks at Zappos might spontaneously rally around a friendly Oreo-eating competition, or a “Chubby Bunny Contest.” How many marshmallows can you fit into your mouth?
At Zappos, you might also be a contender in their Thumb Wars competition, or have as much fun watching it on the sidelines:
While these antics might be grounds for termination at your average corporation, Zappos encourages its employees to create fun and a little weirdness. In fact, it’s third on their top-ten-list of core values.
In Zappos’s eyes, employees are not just goofing off and wasting time. This is a valued and expected part of their workday. When humor infuses the workplace, it becomes a breeding ground for happiness, productivity, creativity and innovation. And when employees are feeling positive, customers are the first to take notice.
The bar has been permanently raised. Companies like Zappos, L.L. Bean, and Amazon.com have set a new standard in customer service. There’s simply no going back, but apparently many retailers still haven’t received the memo.
I recently purchased a gift card at the clothing retailer Forever 21. When I submitted the order, I waited for my confirmation receipt via email. I waited several days but nothing came. A week passed; still no word. I logged into my account online to double check that my order was placed. The order was listed but no other information was provided.
I called the customer service center. Apparently, I missed the fine print that my order would be received within 5 to 10 business days. When I asked when it was supposed to ship, the rep replied, “I don’t have that information.” To prevent further delay, I inquired how I could change the shipping address to ensure my niece would receive her gift before graduation day. I was told, “You can’t change the order once it’s been submitted.” Even though the order hasn’t been shipped? The rep repeated, “You can’t change the order.”
With every question, I became increasingly frustrated by the customer service rep’s lack of creativity. She was clearly sticking to the rulebook and primed to say “no” with every inquiry.
I asked one final question, “Can I just cancel my order?” Finally, I got a “yes.” The customer service rep replied, “I’ll go ahead and cancel your order. Can I help you with anything else?”
No, you’ve done enough.
Forever 21 needs to take a lesson or two from Zappos. At Zappos, customer service is an art form, not a necessary evil. It’s not relegated to a specific department, but rather cultivated throughout the entire organization.
CEO Tony Hsieh understands the importance of communication and perceives the telephone as “one of the best branding devices available.” Representatives of their Customer Loyalty Team are not evaluated by length of call time or sales-based performance goals. In fact, team members are expected to ensure that the customer’s needs are fulfilled—however long it may take. If Zappos doesn’t have a specific size or style in stock, customers may be directed to competitors’ websites.
Hsieh explained, “People may not remember exactly what you did or what you said, but they will always remember how you made them feel.” So even if a sale is lost in the moment, the investment pays off in the long run.
Forever 21 not only lost a sale, but most of all, a customer. When the bar is raised this high, who can afford to be Forever Mediocre?
The variations in different brands are as diverse as the men and women who help create them. There are, however, certain qualities all great brands possess.
The singular characteristic that all brands with loyal customers share is high integrity. After all, who would become loyal to a business if the brand were not honest, trustworthy and willing to serve?
Here are four signs that your brand possesses a high level of integrity:
1) Your brand demonstrates a willingness to genuinely serve its customers.
Great companies don’t just create meaningless slogans like “Customer Service Excellence”—they champion customer-centric values as a way of operating every aspect of their business. These businesses go beyond expectations to stand above their competitors. In addition to creating beautifully designed products, Apple supports their Mac User Groups (MUGs) as well as Genius Bar to help educate their customers on how to better use their Apple products.
2) Your brand listens to its customers on a meaningful level.
Corporate leaders of high-integrity businesses leave their comfortable offices and directly engage their customers. Sam Walton used to say, “If you don’t know what to do, go ask the customer. If it’s not happening in the store, it is not important to them.” Costco CEO Jim Sinegal apparently agrees; he visits a different Costco store every day.
3) Your brand exhibits caring awareness and a sense of community with its employees.
High-integrity businesses view their employees as family, not workhorses. Financial analysts criticize Costco for its generosity to its workforce but as CEO Jim Sinegal explains, “We’re trying to build a company that’s going to be here 50 and 60 years from now. We owe that to the communities where we do business. We owe that to our employees, that they can count on us for security.”
4) Your brand cultivates a company culture that reflects what its brand represents.
Companies like Apple, Google, Netflix and Zappos live by certain values that ignite passion in their customers. Because the company’s values are aligned with the customer’s values, customer loyal ensues. Led by CEO Tony Hsieh, Zappos has set a new standard in cultivating a customer-centric culture.
Companies with higher integrity aren’t perfect, but they never settle—they continually strive to improve their offerings and better serve their customers. Instead of playing to the competition, they create and nurture their own unique place in their customer’s hearts and minds.
“A company is stronger if it is bound by love rather than by fear.”
-Herb Kelleher
Great brands understand the importance of culture and aren’t afraid to take risks to build them. At Southwest Airlines, former Chairman and CEO Herb Kelleher made it a personal trait to hug and kiss his employees. With fears of harassment lawsuits lurking in the shadows, it’s all too easy for a company to dissuade public displays of affection.
But to Herb and other executives at Southwest, being openly demonstrative and affectionate could not come more naturally. It’s a simple yet powerful way of expressing respect, friendship, gratitude, and most of all, love.
Like Southwest Airlines, love abounds at the offices of online retailer Zappos.com. As an employee, you might visit the office of personal coach Dr. Vik, not just for career advice, but also for a hug to help you get through the day. At Zappos, employees connect to one another, first and foremost, as people.
When companies are constrained by fear, culture building is thwarted. When companies foster an environment bound by love, the culture thrives and prospers. No two companies live by this principle better than Southwest Airlines and Zappos.
