Constraints are Blessings in Disguise

Before Tony Hsieh invested in downtown Las Vegas. Before Amazon bought Zappos. Before all of the successes, there were many failures.

In the early 2000s, Zappos laid off all but eleven of its ninety employees in an effort to survive. The dot-com bubble popped. Internet businesses were “Over” proclaimed the press. Times were tough.

But in the difficult lies opportunity.

Zappos could no longer pay for expensive marketing. They once advertised behind the home plate of a San Francisco Giants baseball game. When they tracked the sales associated with the ad they only sold a handful of shoes for the tens of thousands they spent.

Those unprofitable and expensive experiments were over.

But maybe tough times could allow Zappos to thrive?

It was the birth of their culture.

Rather than convert new customers, Zappos delighted their current customers. Phone calls, emails, and customer support became growth opportunities. When customers called, Zappos listened, answered, and helped.

Zappos asked: What’s meaningful (it may not be expensive)?

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