RPW 6-10-08

Retail Paradox Weekly

Retail News Analysis by RSR Research

6/10/2008

Zappos' Pay to Quit: Employee-centricity Takes Center Stage

By Paula Rosenblum, Managing Partner
6/10/2008

Last week I observed a fascinating conversation on RetailWire about Zappos’ “Pay to Quit” policy. In brief, about a week into a new employee’s training period, someone will approach him (or her) in private and ask candidly if he believes the job at Zappos is the right choice and if it’s a place he believes he will be happy. An offer of $1500 to terminate and walk away is made then and there. According to Internet Retailer, only 3% of new employees actually take advantage of the offer. That’s pretty outrageous. That means 97% of new hires are in it for something more than the quick buck.

For those who don’t know the company... More

'Hair on Fire' in the Retail Executive Suite: Card Check Legislation

By Brian Kilcourse, Managing Partner
6/10/2008

We had the opportunity earlier this year to hear the NRF’s President & CEO Tracy Mullin talk about legislative issues that the trade association is monitoring on behalf its constituents. According to Mullin, the economy is top of mind for most U.S. retail executives, followed by the upcoming presidential election and geo-political issues. But all of these issues pale to something called “card check” legislation in setting retail decision makers’ hair on fire.

According to Mullin, sponsorship for this legislation... More

When the Levee Breaks, When the Well Runs Dry

By Steve Rowen, Partner
6/10/2008

The film industry doesn’t really fall into our wheelhouse of retail coverage, but we have a suggestion for Hollywood nonetheless. Every few years, the major studios release a burst of disaster-related movies, but it’s fair to say we’ve all seen too many films about volcanoes, tidal waves and tornados. Aren’t we due for a new summer blockbuster that tackles the day we run out of oil?

While our silver screen script gem may not get picked up (if it does, the last name is spelled r-o-w-e-n), in reality, public behavior to environmental realities is forcing policy and product changes throughout our industry... More

RSR Featured FastFact: Green Retail

What makes environmental sustainability efforts different from other enterprise-wide overhauls in retail is the customer. For example, the customer may want cross-channel transparency, but she really doesn’t care how the retailer makes it happen. She will not expect the retailer to invest in integrated systems – she just wants it to look cohesive. Green is different. The customer is quite likely to drive the retailer to go green. For example, she wants to see evidence in every shopping channel that the retailer actually cares about the world in which she's raising her kids.

Our respondents to the recent What Can Green Do for You? benchmark study recognize this. Customer demand trumps cost concerns as the number one way to overcome organizational resistance to new initiatives. Here, external business challenges meet internal organizational inhibitors.

To read the full report, click here.