Tony Hsieh

Hsieh showed that generous shipping and returns policies can be a growth strategy rather than only a cost, and his approach still sets shopper expectations for apparel and footwear. Zappos offered free shipping in both directions, a return window extended to 365 days, and around-the-clock phone support, and Hsieh described the extra shipping costs as a marketing expense. Amazon acquired Zappos in 2009. Brands today copying free returns must plan for high return rates, reverse logistics capacity, and return grading costs, which are the operational price of the customer promise he popularized.

• Reverse LogisticsMoving goods from customers back to the brand
• Return RateShare of sales that customers send back
• Return WindowTime allowed to return an item

• Leon Leonwood Bean1872–1967 · Founder of L.L.Bean

1. Tony Hsieh (EBSCO Research Starters) ebsco.com
2. Zappos.com Inc. (Encyclopedia.com) encyclopedia.com