Google Ventures - Zappos - DTP - November 20, 2013

ZAPPOS.COMDELIVERING HAPPINESSDOWNTOWN PROJECT

Downtown Project

CollisionsCommunityCo-Learning

Slide 3

Slide 4

A Little About Me (Tony)

• 1994-1995: Pizza business in college

Slide 5



• 1996-1998: LinkExchange (online advertising)Sold to Microsoft for $265 million

Slide 6




• 1999: Venture Frogs (investment fund) - Invested in Zappos.com, Inc.

Slide 7





• 1999-Today: Zappos.com, Inc.

Slide 8





• 1999-Today: Zappos.com, Inc.

• 2009: Amazon acquires Zappos for $1.2 billion

• 2010: NYT bestseller Delivering Happiness published

Slide 9

The Power of WOW

‘01 ‘02 ‘06‘03 ‘04 ‘05 ‘07‘00 ‘08

Gro

ss S

ale

s $M

M

$1,000

800

600

400

200

Slide 10

Customer Experience What do customers expect?

What do customers actually experience?

What emotions do customers feel?

What stories do they tell their friends?

How can culture create more stories and memories?

Slide 11

the #1 priority

Slide 12

the #1 priorityCULTURE

Slide 13

the #1 priorityCULTURE

4 weeks of training

Culture book

$4000 offer

Hiring for culture

Slide 14

Clothing, Customer Service, Culture

Customer Service

Clothing

Culture

Slide 15

Clothing

Slide 16

Customer Service

Slide 17

Culture

Slide 18

Clothing, Customer Service, Culture

Customer Service

Clothing

Culture

Slide 19

Delivering Happiness(customers and employees)

“People will forget what you said.People will forget what you did.

But people will never forget how you made them feel.”

-Maya Angelou

Slide 20

Building Great

Slide 21

Ingredient #1

Slide 22

CULTURE“Committable Core Values”

Don’t make your core values just a meaningless plaque on the wall…

Slide 23

Example: Core Values

1. Deliver WOW Through Service2. Embrace and Drive Change3. Create Fun and a Little Weirdness4. Be Adventurous, Creative, and Open-Minded5. Pursue Growth and Learning6. Build Open and Honest Relationships With Communication7. Build a Positive Team and Family Spirit8. Do More with Less9. Be Passionate and Determined10. Be Humble

Slide 24

COMMIT TO TRANSPARENCY

“Be real and you have nothing to fear”

Your culture is your brand

Don’t try to be someone you are not

Parades at Zappos…

Slide 25

“That’s great…

Slide 26

“That’s great…but it would

never work at my company…”

Slide 27

ALIGNMENTIt doesn’t matter what your

core values are…as long as you

commit to them.

Slide 28

Ingredient #2

Slide 29

VISION

“Whatever you’re thinking, think bigger.”

Does the vision have meaning?

Chase the vision, not the money…

Slide 30

VISION

“Don’t chase the paper, chase the dream.”

Sean Combs aka “Puff Daddy” to rapperBiggie Smalls aka “Notorious B.I.G.”

in Notorious

Slide 31

ENTREPRENEURS:

“What would you be passionate about doing for 10 years even if you never made a dime?”

Slide 32

EMPLOYEES:

What’s the larger vision and greater purpose in

their work beyond money or profits?

Slide 33

MOTIVATION

Slide 34

MOTIVATIONvs.

INSPIRATION

Slide 35

Vision & Cultureinspire

Passion & Purpose

Slide 36

Evolving vision and brand at Zappos.com

1999 Selection

2003 Customer Service

2005 Culture and core values as our platform

2007 Personal Emotional Connection

2009 Delivering Happiness

Slide 37

Questions Where does the story begin?

Where does the story end?

How do you reinforce the good memories?

What were the emotions, positive and negative?

How can you create more stories and memories?

Slide 38

What’s your business? You’re not in the _______ business.

Cirque du Soleil is not in the circus business.

You’re in the experience and emotions business.

You’re in the stories and memories business.

Think bigger.

Slide 39

Delivering Happiness - What’s Next?

Clothing

Customer Service

Company Culture

“a great brand is… ______”

Slide 40

Zappos.com

http://media.glassdoor.com/m/7b/2c/00/f6/entrance-to-the-zappos-com-headquarter-office-in-henderson-nv-photo-by.jpg

Slide 41

Las Vegas City Hall

http://brandonwiegand.com/wp-content/uploads/2010/11/Zappos-City-Hall.jpg

Slide 42

Las Vegas City Hall

Slide 43

Las Vegas City Hall

Slide 44

Nike

http://standardatl.com/home/wp-content/uploads/2010/07/Nike_Campus_Tour_01.jpg

Slide 45

Google

http://static.panoramio.com/photos/original/400729.jpg

Slide 46

Apple

http://www.techzek.com/wp-content/uploads/2011/09/apple_campus-1.jpg

Slide 47

Doggy Day Care

http://www.adogsdayout.com/Pix_Overhead_View_ADDO_7-31-08.JPG

Slide 48

NYU Campus

http://www.adogsdayout.com/Pix_Overhead_View_ADDO_7-31-08.JPG

Slide 49

Downtown Vegas - Fremont East

http://www.eatinglv.com/wordpress/wp-content/gallery/odettedowntown/chinatown-038-large.jpg

Slide 50


http://www.lucyvegas.com/sites/default/files/griffin5.jpg

Slide 51


Slide 52


http://roadjournals.viamagazine.com/wp-content/uploads/2011/05/The-Beat-Coffeehouse.jpg

Slide 53


Clothing

Customer Service

Company Culture

Slide 54


Clothing

Customer Service

Company Culture

Community

Slide 55

DOWNTOWN PROJECT - $350M

$ 50M – Small businesses

$ 50M – Tech Startups

$ 50M – Education, Arts, Culture

$200M – Real Estate

Slide 56

DOWNTOWN PROJECT GOALS

Slide 57


Live/Work/Play – Walking Distance

Slide 58



The Most Community-Focused Large City in the World

Slide 59



The Most Community-Focused Large City in the World

The Co-Learning and Co-working Capital of the World

Slide 60

ROI vs. ROC

Instead of maximizing short-term ROI (Return On Investment)…

Slide 61

ROI vs. ROC


We focus on maximizing long-term ROC

Slide 62

ROI vs. ROC


We focus on maximizing long-term ROC (Return On Community)

Slide 63

ROI vs. ROC and ROL


We focus on maximizing long-term ROC (Return On Community)and institutionalizing ROL

Slide 64

ROI vs. ROC and ROL


We focus on maximizing long-term ROC (Return On Community)and institutionalizing ROL(Return On Luck) – Accelerating Serendipity

Slide 65

THE BIG BET

Accelerating Collisions, Community, and Co-Learning

Slide 66

THE BIG BET

Accelerating Collisions, Community, and Co-Learning

…will lead to…

Happiness, Luckiness,Innovation, and Productivity

Slide 67

DOWNTOWN PROJECT - $350M

$ 50M – Small businesses

$ 50M – Tech Startups

$ 50M – Education, Arts, Culture


Slide 68

$50M – Small Businesses

Slide 69


Criteria

Slide 70


Criteria Owner Operated - Passionate

Slide 71


Criteria Owner Operated - Passionate Helps Build Community

Slide 72


Criteria Owner Operated - Passionate Helps Build Community Execution Ability

Slide 73


Criteria Owner Operated - Passionate Helps Build Community Execution Ability Sustainable

Slide 74


Criteria Owner Operated - Passionate Helps Build Community Execution Ability Sustainable Unique or First or Best at

Something

Slide 75


Criteria Owner Operated - Passionate Helps Build Community Execution Ability Sustainable Unique or First or Best at

Something Story-worthy

Slide 76

Natalie

Slide 77

Natalie

Slide 78

Natalie

Slide 79

Natalie

Slide 80

Natalie

Slide 81

Natalie

Slide 82

Check Cashing

http://www.vegaschatter.com/files/100501/checks_cashed..jpg

Slide 83

Check Cashing

Slide 84

Sarah

Slide 85

Sarah

Slide 86

Sarah

Slide 87

Shipping Containers

http://images03.olx.com/ui/8/84/18/1280992807_108377618_4-cargo-containers-40ft-20-ft-For-Sale.jpg

Slide 88

Shipping Containers

Slide 89

Shipping Container Park

Slide 90


Slide 91


Slide 92


Slide 93


Slide 94

Bike Sharing

Slide 95

$50M – Tech Startups

http://img-s.foursquare.com/pix/EN1ZIL0JC5HTCZYD0PW41SWQYJHURTD204ZFZYBFGPM3F5JS.jpg

Slide 96

$50M – Tech Startups

http://timenerdworld.files.wordpress.com/2011/12/romotivefinal.jpg?w=576

Slide 97

The City as a Startup

http://bostinno.com/wp-content/uploads/2011/10/startup-sign.png

Slide 98

$50M – Startups

http://www.shebytes.com/wp-content/uploads/2011/12/venture-for-america-12-12-11.jpg

Slide 99

$50M – Education, Arts, Culture

http://blogs.middlebury.edu/internship/files/2011/01/teach4America1.jpg

Slide 100



Slide 101



Slide 102



Slide 103


http://www.vegasnews.com/wp-content/uploads/3_2_12_burn_vegas_kabik-131-9-588.jpg

Slide 104


http://mikerossart.net/images/mikeross_enter.jpg

Slide 105


Slide 106

Slide 107

Slide 108


http://ecx.images-amazon.com/images/I/510Ph%2BqMw-L.jpg

Slide 109

WHEN CITIES DOUBLE IN SIZE…

Productivity and innovation per resident increases by 15%

(But not true for companies)

Accelerate serendipity -> Accelerate learning -> Accelerate productivity and innovation

Slide 110

3 INGREDIENTS FOR SERENDIPITY

1. Residential density of 100 residents/acre

2. Street-level activity for residents to collide

3. Culture of openness, collaboration, creativity, and optimism

Slide 111

HOW TO ACCELERATE LEARNING & INNOVATION

Maximize serendipitous interactions

Density in the office

Density in the city

Collisions vs. convenience

Slide 112

Las Vegas City Hall

http://brandonwiegand.com/wp-content/uploads/2010/11/Zappos-City-Hall.jpg

Slide 113

DIFFERENT GROUPS COLLIDING

1. 2000 Zappos employees2. 1000 Teach For America corp members

and alumni3. Tech Startup Community4. Small Business Community5. Art and Music Communities6. Other Passion Communities7. Local Residents

Slide 114

LEARNING FROM ZAPPOS & COWORKING…

Culture is to a Company

Slide 115


Culture is to a Companyas

Community is to a City

Slide 116


Culture is to a Companyas

Community is to a CityValues

InnovationSerendipity

ParticipationUpward Mobility

Attracting Startups and the Creative Class

Slide 117

Our Secret Weapon

http://static3.vipasuite.com/resources/dyn/images/459355w783h429s185b/_fn/ogden-3.jpg

Slide 118

LEARNING FROM TED, SUMMIT SERIES, SXSW, BIF…

Curated ContentSerendipity

LearningConnectionsCommunity

Slide 119

Downtown Vegas Every Day

Curated ContentSerendipity

LearningConnectionsCommunity

Slide 120

Fremont St. & Las Vegas Blvd.

Slide 121


Slide 122


Slide 123


Slide 124


Slide 125


Slide 126


Slide 127


Slide 128


Slide 129


Slide 130

Downtown Vegas Monthly Cadence

Slide 131


Week 1 – First Friday Week

Slide 132


Week 1 – First Friday WeekWeek 2 – Tech Week

Slide 133



Week 3 – Fashion Week

Slide 134



Week 3 – Fashion WeekWeek 4 – Catalyst Week

Slide 135

Fashion Incubator – Stitch Factory

Slide 136

Fashion Incubator – Stitch Factory

Slide 137

Return On Collisions (ROC)

What is the value of a resident that is out and about in the community?

Slide 138



3-4 hours/day

Slide 139



3-4 hours/dayx 7 days/week

Slide 140




x 40 weeks/year

Slide 141




x 40 weeks/year= 1000 “collisionable” hours/year

Slide 142

Jake – Flint and Tinder

http://images.fastcompany.com/upload/inline-Made-In-The-USA-Flint-And-Tinder-Undies-And-You-Will-Love-It-b.jpg

Slide 143

Jake – Flint and Tinder

Slide 144


What is the value of a purposeful visitor that contributes to community?

Slide 145



12 hours/day

Slide 146



12 hours/dayx 7 days/week

Slide 147




x 12 weeks/year

Slide 148




x 12 weeks/year= 1000 “collisionable” hours/year

Slide 149


“Subscribe” toDowntown Vegas

Slide 150


1. 100 residents per acre

2. Street-level activity for residents to collide

3. Culture of openness, collaboration, creativity, and optimism

Slide 151


1. 100 residents per acre

Slide 152


1. 100,000

Slide 153


1. 100,000 “collisionable”

Slide 154


1. 100,000 “collisionable” community

Slide 155


1. 100,000 “collisionable” community hours

Slide 156


1. 100,000 “collisionable” community hours per

Slide 157


1. 100,000 “collisionable” community hours per acre

Slide 158


1. 100,000 “collisionable” community hours per acre per

Slide 159


1. 100,000 “collisionable” community hours per acre per year

Slide 160


1. 100,000 “collisionable” community hours per acre per year

2.3 collisionable hours per square foot

per year

Slide 161

OUR BIG BET… 3 Guiding Principles

Accelerate:1.Collisions2.Community3.Co-Learning

And everything else will fall into place…(productivity, innovation, growth, happiness)

What will people say about downtown?

Slide 162

Slide 163

ZAPPOS, DELIVERING HAPPINESS, DOWNTOWN PROJECT

Slide 164

50% of Humans Live in Cities


Slide 165

75% Will Live In Cities in Our Lifetime


Slide 166

The 4-Minute Mile

Slide 167

The 4-Minute Mile

http://en.wikipedia.org/wiki/File:Iffley_Road_Track,_Oxford_-_blue_plaque.JPG

Slide 168

[email protected]

http://langintro.com/lv_dec_2010/pics/0950_emergency_arts_window.jpg

Slide 169

A great

brand

is a story that never stops unfolding.

Slide 170

A great

brandcompany


Slide 171

A great

brandcompanycity


Slide 172

A great

brandcompanycitycommunity


Slide 173

Thank you!

For a copy of this presentation:

[email protected]

For more information:

www.DowntownProject.com

Slide 174

http://www.youtube.com/watch?v=AF4f3l4a4_A

Google Ventures - Zappos - DTP - November 20, 2013

Business

las vegas

big betaccelerating

focused large

core values

purposeful

510ph2bqmw

venture frogs

maximizing