Step 2: Competitive analyses

Zappos is consider the biggest competition to any shoe company, in this case Toms it's not safe from competing against them.

How do they draw customers and clients? & What amenities or facilities are offered that you don't have?

"I would define it as always looking for a new way to say and to do things that is both meaningful to yourself, your audience, and your client." (Advertising by Design, Robin Landa, pg. 167)

"As we grow as a company, it has become more and more important to explicitly define the core values from which we develop our culture, our brand, and our business strategies. These are the ten core values that we live by:

1. Deliver WOW Through Service
   
2. Embrace and Drive Change
3. Create Fun and A Little Weirdness
4. Be Adventurous, Creative, and Open-Minded
5. Pursue Growth and Learning
6. Build Open and Honest Relationships With Communication
7. Build a Positive Team and Family Spirit
8. Do More With Less
9. Be Passionate and Determined
10. Be Humble "

(www.zappos.com)

What challenges are they facing?

"The rollout of the user interface, and the expansion into categories including small electronics and cookware, highlight the core of the company's mind-set: find out what the customer wants, and find the best way to deliver it.

One challenge will be convincing customers who are happy to buy shoes from Zappos that they should also turn to the company for other items.:" (http://news.cnet.com/8301-10784_3-9921188-7.html)

I think they are going to hard on adding the new products, because honestly they have to much stuff and when they you go on their its overwhelming to look at so many products and at the end you just don't what to pick from.

I also believe some of their other challenges its the layout of their website it's horrible you don't feel like your shopping.

How do they plan on improving?

If you keep reading in at the end it explains how they are going to improve but I personally think they should come out with a stronger solution. Yes they have great customer service but not only that is going to make succed.

" There is never a guarantee that one ad of any kind will reach millions of individuals or say the right of thing to everyone. But at least there should be a dialogue started that is more dimensional than the piece of paper a consumer holds or the flat box a consumer watches" (Advertising by Design, Robin Landa, pg. 167)

"Zappos is hoping the service that keeps customers coming back will have them looking at new categories. On any given day, 75 percent of orders are repeat customers, Hsieh said. The free shipping and customer service department stand in for advertising as well; Zappos does relatively little traditional advertising, spending about 85 percent of its marketing budget on online buys. Besides print ads in magazines, Zappos' offline buys include ads in airport security trays where passengers place their shoes." (http://news.cnet.com/8301-10784_3-9921188-7.html)