Arslan writes:

I wanted to tell you guys about an awesome experience I had with a company. I ordered a pair of sandals from Zappos.com. Right off the bat I got an email that my order was upgraded to two day shipping just because (standard shipping is 4-5 days and is free). I got the sandals but sadly one of straps ripped after a month. I called them and found out they actually have a joke of the day option on the menu.

I listened to the joke and then was automatically transferred to a customer service rep with no hold time. I told her what happened and she apologized several times for the defective sandals. She said because they were defective they would send me new ones for free and I didn't even have to send back the old ones. She even upgraded the shipping to overnight.

I was shocked at how painless and pleasant the whole experience was. The first thing I thought was to let you guys know. I told her how happy I was with their customer service and she gave me the email of the company's ceo (CC'd). Here's a company that knows how to win over customers!

This is the company that after training new hires, offers to give them $1000 if they quit right there, the idea being that if you're not totally committed to the unique Zappos customer-centric culture, they don't want you onboard. Looks like policies like that are reaping dividends with ecstatic customers like Arslan.

From Harvard Business Publishing:

It’s a hard job, answering phones and talking to customers for hours at a time. So when Zappos hires new employees, it provides a four-week training period that immerses them in the company’s strategy, culture, and obsession with customers. People get paid their full salary during this period.

After a week or so in this immersive experience, though, it’s time for what Zappos calls “The Offer.” The fast-growing company, which works hard to recruit people to join, says to its newest employees: “If you quit today, we will pay you for the amount of time you’ve worked, plus we will offer you a $1,000 bonus.” Zappos actually bribes its new employees to quit!

Why? Because if you’re willing to take the company up on the offer, you obviously don’t have the sense of commitment they are looking for. It’s hard to describe the level of energy in the Zappos culture—which means, by definition, it’s not for everybody. Zappos wants to learn if there’s a bad fit between what makes the organization tick and what makes individual employees tick—and it’s willing to pay to learn sooner rather than later. (About ten percent of new call-center employees take the money and run.)

Zappos employees also have no scripts, no call time metrics, and are empowered to do whatever it takes to make you happy.

Why Zappos Pays New Employees to Quit—And You Should Too [Harvard Business Publishing]

He has intended to switch to another shoe seller, but has decided to give Zappos another shot considering the email response he received.

In it, Zappos says "Regarding our decision to stop advertising and promoting free overnight shipping on Zappos, it's actually simply just that: a decision to stop advertising and promoting it, not a decision to actually stop doing it," and "It's true that we would probably get more customers if we continued to market free overnight shipping as opposed to surprising customers with it, but we decided that we wanted Zappos to be known as a customer service company, not a marketing company."

I was pretty disappointed when I read your post about the changes to zappos.com's free overnight shipping policy. Disappointed enough that I would probably not shop there regularly anymore (I run marathons and therefore go through my fair share of running shoes). Soon after reading your post, they sent me a promotional email. I responded with the following email. Their (unexpected) response is copied after my email. The fact that they replied to my email with such an explanation will cause me to at least give them another chance considering how great their customer service has been in the past.

Zappos,

I probably will not use zappos any more. I can live without the price guarantee-even though every retailer in the world has some kind of price matching ability. But the loss of the free next day shipping has turned you in to every other online retailer that I don't use. On to endless.com I go.

matt.

Hello Matt,

Thank you for contacting the Zappos.com Customer Loyalty Team!

We truly appreciate that you contacted us to let us know how you feel. Regarding our decision to stop advertising and promoting free overnight shipping on Zappos, it's actually simply just that: a decision to stop advertising and promoting it, not a decision to actually stop doing it.

This means that the vast majority of our customers will still get their orders as quickly as they have in the past. The only difference is that we made the decision to not advertise or promise it, because we found that our customers were happier when they were surprised by the fast shipping. So, if you order from us and choose the free shipping option, chances are that your order will come just as quickly as they did before!

As a side note, just like before, occasionally our warehouse may run into unexpected challenges. For example, a storm may prevent some of our employees from coming to work. If you pay for the overnight shipping option, your order will be given priority processing in our warehouse and guaranteed 1-business day shipping and handling, even during those times when we experience slight hiccups.

It's true that we would probably get more customers if we continued to market free overnight shipping as opposed to surprising customers with it, but we decided that we wanted Zappos to be known as a customer service company, not a marketing company.

I hope this helps in explaining this recent change we've made at Zappos. If you have any other questions or comments, please don't hesitate to contact us.

We are constantly striving to improve our service. If there is anything more we can do for you or if we could improve your experience, please do not hesitate to let us know. We are always here for you - 24 hours a day, 7 days a week, 365 days a year. We like to think of ourselves as service company that just happens to sell... shoes, bags, clothing, and accessories. 1-800-ZAPPOS-1 (1-800-927-7671) or 702-943-7677.

Stephanie W

Customer Loyalty Representative

PREVIOUSLY: Zappos Zaps Price Protection Policy, Free Overnight Shipping

Online shoe store Zappos.com, renowned for their otherworldly 'just-say-yes' customer service philosophy, no longer offers free overnight shipping or a 110% price match guarantee. Tipster Julie forwarded her conversation with a Zappos CSR confirming the policy shift.

Here is the chat you had recently at Zappos.com
Julie has joined the room
Kathy has joined the room
Kathy: Thank you for contacting Zappos.com! My name is Kathy. How may I assist you today?
Julie: I was wondering if you still offer the 110% price match guarantee?
Kathy: Hello Julie, I'll be happy to help. We no longer offer our Price Protection Policy.
Julie: Oh! Okay, thank you. When did that end?
Kathy: It ended on February 14th.
Julie: Ah okay. Bummer. Thank you!
Kathy: You are very welcome. Please let us know if there is any thing else we may assist you with.
Julie: Will do, thanks!
Julie has left the room

We will no longer be promoting "Free Overnight Shipping" and we no longer will be promoting our price protection policy. Instead, we will be focusing more on our "free shipping" and our expanding selection of merchandise.

Zaz Lamarr meant to return some shoes to Zappos, but her mom passed away and, naturally, she just didn't have time. Zappos arranged to have UPS come pick up the shoes—and then sent her flowers:

When I came home this last time, I had an email from Zappos asking about the shoes, since they hadn't received them. I was just back and not ready to deal with that, so I replied that my mom had died but that I'd send the shoes as soon as I could. They emailed back that they had arranged with UPS to pick up the shoes, so I wouldn't have to take the time to do it myself. I was so touched. That's going against corporate policy.

Yesterday, when I came home from town, a florist delivery man was just leaving. It was a beautiful arrangement in a basket with white lilies and roses and carnations. Big and lush and fragrant. I opened the card, and it was from Zappos. I burst into tears. I'm a sucker for kindness, and if that isn't one of the nicest things I've ever had happen to me, I don't know what is.

I Heart Zappos [ZazLaMarr] (Thanks, Spencer, Nicole, Tab, Kim, Karen, Michael, and Cheryl!)

My wife had ordered a pair of sandals from Zappos. When they arrived, she found that they didn't fit. She tried to order the right size, but Zappos was sold out of her size. So here's what the company offered: she could return the sandals (for free), Zappos would refund the purchase price and they'd send her a $25 coupon toward her next purchase.

But wait — there's more! Zappos also offered to try to locate a pair of the sandals in her size from another vendor. (Hah! Sure, they will!) Fifteen minutes later, the company called my wife and told her they'd found her sandals, in her size, at another online merchant — "and," the Zappos clerk told her, "they're even cheaper at this other site!"

RELATED: Shopping Online: More Revenue From Clothes And Shoes Than Computers

In 2006, revenue from skirts, suits and shoes reached $18.3 billion, surpassing that from PCs, printers and word-processing programs, which totaled $17.2 billion, according to a report to be released today by a major trade group.

The surging popularity of clothing on the Web defies predictions that fashion — which is hard enough to buy in stores, with the aid of sales clerks and fitting rooms — would be difficult, if not impossible, to translate onto the Internet.

Less Risk Seen in Purchasing Clothes Online [NYT]

On the upside, Zappo's is running a $30 a pair clearance sale with free shipping. We must get the Uggs out of first place.

• Amazon has the SanDisk 1GB Memory Stick Pro Duo—the same memory card used by the PSP and most newer Sony products—for $78, plus an additional $10 off if you want to use a mail-in rebate. Amazon is still claiming Dec 23rd deliveries for standard shipping, but go for 2-Day if you really need it.

• Both Zappo's and Shoe Buy have sales running, with free shipping on every order. Zappo's has more clearance items, although you'll have to do some digging to find shoes that have been discounted more than a couple of bucks.

• Today's Woot!: Mark of the Beast Fitness Wrist-Mounted Blood Pressure Monitor for $25, shipped. We know nothing about keeping blood pressure low, because if we kept ours at a reasonable level, we'd be out of a job.