Image copyright: ericajoy via Flickr

Everything I’ve ever heard about Zappos has reinforced my belief that skippiness is good for business. Following this week’s news that Amazon.com has agreed to buy Zappos in a deal that tops $900 million, I’m surer than ever.

Feel-good employment

Under the heading of Success Stories, Inc magazine says,

Zappos, the online shoe retailer that has won renown for its stellar customer service and feel-good employment practices, announced that it was selling itself to Amazon.com.

The article goes on to reference a letter sent to employees by CEO Tony Hsieh, saying,

that although Zappos would be a part of a larger company, it would preserve its quirky culture that focuses on keeping workers happy.

Reading that, and being a little biased about this kind of thing, I see a simple skippiness formula:

(products people want)+(“stellar customer service”)+(“feel-good
employment practices” that “focuses on keeping workers happy”)
=very happy owners.

I don’t mistake a simple formula for an easy formula. Each part is hard work in itself and pulling the whole thing together, consistently, over enough time to build a significant business takes more focus, clarity, commitment and discipline than most leaders can muster. But when it does come together, the editors of Inc pay compliments and investors pay far more than just their attention.

The thing that bothers me is, why don’t more businesses try?

Glad to be involved

Is it because it’s not easy? Maybe, but it has to be worth the effort.

Owning/running/working in a place like Zappos must be better than the opposite – a business that offers products people don’t want, with grudging service and feel-bad employment practices that make workers unhappy. I don’t believe anyone goes in to business or takes a job intending to make it like that. It just kinda happens, especially when leaders are concerned with the pursuit of money as an end in itself.

Running a business in the pursuit of skippiness takes an alternative perspective. It’s the idea that businesses should be started and run with the explicit objective of making customers, staff and owners all glad of their involvement.

This week Zappos “powered by service” proved beyond doubt that if you do a good job, all kinds of money will flow.

Neatly filed under Skippiness on July 27, 2009

Image copyright: kurtphoto via Flickr

It’s been three months since I wrote my first post for Shearing Layers and threw it into WordPress. I guess like most new bloggers I’ve found it an exciting, miserable, nerve wracking, delightful, low, high, skippy experience.

A big thank you to everyone who’s said things about Shearing Layers, given me feedback, and sent such interesting people my way.

Here are the most popular posts:

Bringing products to market

• How to build a financial model
• Get out of the building
• A short cut to the short list
• How to get ready for market
• How to write a plan
• Is the back end bomb proof?
• Making promises
• Ice cream and how to deal with entrepreneur’s risks

Managing

• How do you decide what to do
• What do all those people do?
• Everyone speaks
• A little help from your friends
• Hire on attitude
• Let the driver do his job

Some of these posts also make it to a series I’m building on the shearing layers themselves:

• How to build a financial model
• What do all those people do?
• How to get ready for market
• Making promises

With three months under my belt I’ve finally bitten the Twitter bullet, please follow me @sn1ck.

Here’s to another three months.

If you like what you find here please subscribe to the RSS feed for a little slice of Layers cake whenever it’s on the table.

Neatly filed under Skippiness on June 25, 2009

I have a Jura coffee machine at home. I bought it because I love coffee and the Jura is a fantastic machine that makes GREAT coffee that is consistently, wonderfully, perfect.

When I turn the Jura on, it goes through a little routine that heats the water and cleans things out. It takes about 45 seconds. And then, it is … ready. I don’t have to guess. I didn’t have to read the manual to discover that readiness follows the heating-rinsing routine. The machine tells me. The little LED display goes from Heating, to Rinsing, to Ready.

And every morning I think – as I press the button and breathe deep – wouldn’t it be lovely if everything was so well behaved, and told you when it was ready for action. The idea, the plan, the presentation, the product, the team, the soufflé.

Sometimes it’s obvious. Most of the time, not.

Take the guesswork out. Test. Get out of the building, and test.

Put together your best version of the answer. Take it on the road. Talk and listen. Test.

What do you think? Is it ever too soon to test?

Image copyright: captainmcdan via Flickr

Neatly filed under Managing,Skippiness on June 18, 2009

Image copyright: pipiwildhead! via Flickr

At its simplest, life comes down to a series of choices, or more often, a parallel of choices.

After deciding which new market or new product to go for, two types of choice dominate the day to day: how should we prioritise our time? and, should we go with option A or option B (or C, D, E, or F)?

This is no time to sway back and forth. You have to make decisions.

How do you decide what to do?

As I was looking in to this I came across a speech given by YCombinator founder Paul Graham at the StartupSchool2008 conference last year, he dealt specifically with the “how do you decide” question. His answer?

Do whatever is best for your users. You can hold on to that like a rope in a hurricane and it will save you if anything can. You can pull on that rope and it will guide you through everything you have to do. Figure out what they want, make them happy doing more of that.

Is he right? Absoloodle! Any choices that are best for customers tend to be pretty good for getting customers too. And customers make everything else possible.

If I could though, I’d add “in the long term” to the end of Mr Graham’s sentence. Running any kind of sustainable business, especially one that skips, is about winning in the long term. So doing whatever in the long term is best for your customers feels better to me.

Whether you’re prioritising time or choosing a fork in the road, put the customer front and centre, think long term, and swallow the results.

Neatly filed under Managing,Skippiness on June 5, 2009

When I went to see Jack Welch speak on management, I knew what I’d be getting – candour, leadership, persistence, values – no need to explain, no sales pitch required. You had me at the name.

When I’m looking for a coffee and comfort in an unfamiliar town, finding a Starbucks makes me smile.

A brand that I know, like and trust is a short cut to the top of my short list – very often, it’s a shortlist of one. Nothing new there, brands are important, let’s move on.

If brands are important, how do I get one? How to build a reputation people trust?

Make a promise people care about – or, put another way, build a fantastic product that people want. I know that sounds so obvious that it’s hardly worth the pixels it’s displayed upon but a) there’s loads of rubbish out there, and b) there’s plenty of products, particularly technology products, that nobody wants or cares about.

Tell them you exist, in a language they understand – or, put another way, talk like you care about the customer rather than about yourself. The language you use to talk about your thing internally may be the same language that your customer uses externally, but it’s probably not. Use customer language, not marketing/management/leading/essential speak.

Deliver, deliver, deliver – or, put another way, fulfil your promises. We buy from people we trust, prove you deserve it and we’ll buy again and tell our friends.

Reputations are built around happy customers. Customers are happy when we do what we say we’re going to do, and we do it brilliantly.

Neatly filed under Keeping Promises,Making Promises,Skippiness on May 25, 2009