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?
What are archetypes? And why are they important to branding building?
Watch our latest slideshow presentation to learn how to create authentic customer loyalty and develop a powerful brand that customers can’t live without.
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?
Last year MINI Cooper celebrated their 50th birthday in Great Britain. The event featured live concerts, unique classic Mini’s, and 25,000 fans from around the world. The film “Rebel without Pause” was created by MINI to celebrate their brand lovers from around the world and the passion they have for their MINI. You will find that MINI customers are more alike than they are different.
Most brands are focused on constantly creating new customers instead of retaining the ones they already have. These brands change their message, products and events often and they worry little about those customers who already chose them. These brands attract transactional customers and rarely form a loyal following.
Cult brands understand that retaining a customer is more profitable than constantly making new ones. But loyal customers don’t appear over night, a brand has to be consistent over years to attract these customers. Customers who engage in a relationship with a brand have done it because they know what they can expect from the brand. To create a loyal following a brand must have traditions that brand lovers can rely on. Traditions give customers a sense of being part of something bigger than themselves, a feeling of being part of a family.
World Wrestling Entertainment are masters of creating and keeping traditions alive. For the past 25 years WWE has given their fans Wrestle Mania. This super bowl of wrestling is the climax of an entire year of brawls. The event was first produced in 1985 and 25 editions have been produced as of 2009. All of the events produced have been sold out within a short period of time, with recent editions being sold out within minutes of tickets going on sale.
To keep traditions alive a brand must spend time with their brand lovers. The WWE Fan Axxess Tour is three-months of parties, rallies, and autograph signings for fans across 14 cities in North America. The event energized more than 237,000 fans in the lead up to Wrestle Mania 23.
Keeping the tradition alive paid off for WWE. in 2007 Wrestle Mania 23 achieved 1.2 million pay-per-view buys, achieving global revenues in excess of $24.3 million. “Once again, the WWE fans have responded and made Wrestle Mania 23 a record-setting success,” said Geof Rochester, Senior Vice President, Marketing.
When you rally around your customers you keep traditions alive. Those traditions become memories in your customers minds and your brand becomes part of their life.
“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.
When a person first hears the term Cult Branding, there are two basic responses. Understandably, some might be put off by the term “cult” which rightly has negative connotations. Second, if they are a marketer, they often get excited about the idea.
Who is a Cult Brand? Sure, there are some easy answers that might come to mind: Apple, Oprah, Harley-Davidson, and Star Trek, to name to a few. (Review a list of Cult Branding profiles here.) But these appear to be anomalies more than anything else.
The small business owner might say, “Yeah, that’s great for them, but I’m a little shop. I can’t create that kind of a customer loyalty.” A valid concern, but not necessarily true.
The chief-level marketer of a Fortune 500 company might say, “We’re a global brand with mass market appeal. We can’t just cater to a small group. We’ll lose market share.” A valid point, but again, not necessarily true.
The important take-away from Cult Branding, as the concept’s originator BJ Bueno often notes is that great brands serve their customers better than anyone else. Any business can learn the principles that Cult Brands live by and adopt whatever principles seem appropriate in their context.
As BJ explains, “We must recognize that brands don’t belong to marketers. Brands belong to the customer. The customer’s embrace is the only vote that counts, yet it is constantly ignored by strategies that place our products and services as the ‘goal’ rather than the means to satisfy our customer’s needs, wishes, and fantasies.”
Cult Brands actually uphold a higher level of integrity by focusing on the needs of those who support and grow their business: their best customers (or what we call, Brand Lovers).