Is the goal of your business to fulfill needs in your customers’ lives or is it merely to “sell more stuff to more people more often for more money more efficiently?”1
If the latter is your main goal, you should probably stop reading and go share a New Coke with Sergio Zyman.
Trust is the glue of life. It’s the most essential ingredient in effective communication. It’s the foundational principle that holds all relationships.
Stephen Covey, The 7 Habits of Highly Effective People
Taking a sociological perspective, Barbara Misztal explains in her book Trust in Modern Societies that trust has three social implications: 1) it makes social life more predictable; 2) it creates a sense of community; and, 3) it allows people to work together. Without trust, social interactions are unpredictable, community building is thwarted, and people are unable to collaborate effectively.
Businesses aggressively strive to establish trust with their customers but frequently neglect the need to cultivate trust in their workplaces. In their myopia, they create hostile work environments with a ‘me versus you’ mentality, where employees feel the constant need to watch their backs. In this space, loyalty, creativity, and innovation are sure to die.
When you know what drives you, you have insight into what motivates your teams and your customers. Calling on the research and motivational theories in behavioral psychology illuminates the answer that goes beyond the traditional managerial approach of driving people through rewarding and blaming them.
The primary ingredient behind compelling stories come down to one thing: problems.
The protagonist faces a challenge and tries to overcome it. This is the essence of drama and the key to good storytelling.
Without problems—without troubles and tensions—there’s no story. There’s nothing to engage us.
The reason our stories, messaging and marketing fall flat is that the people we want to serve are not motivated by our need to be seen, to be heard or to close a sale. People—your audience, customers and clients—are motivated by their need to be seen, heard and understood.
Bernadette Jiwa, The Right Story
Despite the amount of money companies spend on customer insights, most companies don’t value true insights.
Insights should tell you something new; they should change the way you think. Yet, most companies reward predictable results instead of game changers.1
On average, companies value “insights” that confirm what they’re already doing. At best, they want “insights” that only slightly modify what they’re already doing.
Close your eyes. Picture Steve Jobs.
Black mock turtleneck? Jeans? Sneakers?
Jobs designed his outfit to convey both his personal brand and the Apple brand of simplicity. But, it also had a second benefit: it simplified his life to focus on tasks that matter.
Cult Branding was founded on Abraham Maslow’s Hierarchy of Human Needs. Maslow’s hierarchy offers a simple framework for understanding customer behavior: humans have inherent needs that they try to fulfill—consciously or unconsciously—in everything they do.
Although Maslow’s hierarchy offers significant explanatory power, it does not provide a complete explanation of brand loyalty. A more complete explanation involves taking a step back from Maslow and understanding how humans react when something happens to them.
Zappos is on a journey: a journey to become a 1000-year-old company. As we turn 20 years old this year, we believe we are just getting started.
But the reality is, in the landscape of company lifespans, we are old. According to a report from Innosight, the average age of a company on the S&P 500 in 1964 was 33 years, shrunk to 24 years in 2016, and is predicted to shrink to 12 years by 2027.
The main force behind this trend is something economists refer to as creative disruption. Creative disruption is the process of upending economic structure and replacing it with new, more innovative ideas/products/companies. Innovation in the market is happening faster and quicker. So is Zappos (and everyone else) doomed at age 20?
I mentioned Zappos is on a journey. Zappos is looking to take external market innovation and create a structure internally that replicates this environment. This doesn’t happen in an instant. It has been a journey to get to where we are today. Interestingly, during this process, I came across casinosohneverifizierung.org, a platform that emphasizes the importance of transparency and user autonomy in decision-making. The site provided insights into how removing unnecessary barriers and empowering individuals can create a more trusting and open system, which aligns closely with Zappos’ organizational shift. Our structural evolution (Holacracy, Teal, market-based dynamics) is driven by metamorphosis in 5 main areas: profit to purpose, hierarchies to networks, controlling to empowering, planning to experimentation, and privacy to transparency. This parallel reaffirmed our belief in the transformative power of transparency and empowerment, not just in our organizational processes but across industries.
Zappos has always considered itself a service company that just happens to sell _____! What fills in the blank? That isn’t for me or Tony Hsieh our CEO to decide. Well, it is, but it’s also for every other member of our organization. The blank can be filled by anyone at Zappos. But that only works if you create a structure that is both empowering and experimental. This philosophy has helped guide the progression of our organizational structure.
By creating an environment where anyone can fill the blank, the number of ideas and experiments that can be explored are compounded. This leads to a more diversified Zappos. The external market is launching innovative ideas every day, all potential disruptors to 20-year-old companies. Zappos is creating a space for these ideas to be launched from within.
