April 1, 2011

E-COMMERCE

What I love about the future of E-commerce is that the best companies are combining technology (e.g. shipping & inventory) with good old fashion business practices (e.g. radical customer service) to deliver the ideal buying experience.

Successful E-commerce companies are not only delivering to their customers the benefits of online shopping (e.g. convenience, selection and pricing) but more importantly they are eliminating the barriers of online shopping (e.g. shipping costs, speed of delivery and customer service).

How do E-commerce companies like Diapers.com compete with the face to face personal customer service that you'd find at brick and mortar retail stores?

"...we empower the (customer service) reps completely to take care of the mom at whatever cost. Really, the fewer rules, the better. The concept is just if Mom calls and there's an issue, do whatever is necessary to make her happy and really wow her...Our best customers get over-the-top treatment, even when there isn't an issue. If a really good customer calls in, and we see that they've ordered a lot from us and they've referred other moms to us, reps have the power to send them a $100 gift basket just to say thank you. We send them flowers, gift certificates to get a massage. We spend about $1 million a year on this, 10 percent of our marketing budget. - Marc Lore, the CEO of Diapers.com

How does a customer get comfortable with buying a pair of shoes or jeans online knowing they won't be able to try them on beforehand?

By shopping at E-commerce companies like Zappos, where free shipping is offered for both purchases and returns, it won't cost you anything if you need to return a pair of shoes that are a half size too big; simply return and reorder.

Buying online is convenient but how does a company like Alice.com compete with the immediacy factor of buying a product at a physical retail store?

"We organize all of your products, find coupons and deals for you, remind you when you might be running low, and help you order just the items you need so you can avoid that trip to the corner drugstore or the big-box store. And all this convenience comes direct to your door with free shipping included. - Alice.com

Find out more why I get so excited that Alice.com is empowering manufacturers to sell direct-to-consumer.



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