nbsp;Zappos.com is known for selling name brand shoes and bags for a slightly lower price and free delivery. However, they want to change their image and be known for their good customer service, and as a result will be eliminating free shipping, which is what separates their price from other stores. They have admitted that they do not think they can offer low prices while also offering the best customer service.
http://www.marketingpilgrim.com/2008/02/zappos-drops-price-protection-and-overnight-shipping.html
One Comment
One thing that confused me about this article is why would they want to cut free shipping if they are looking to satisfy their customers better? It seems as though taking away this incentive, and not lowering prices at all will make some customers shy away from making a purchase beucase they cant save those few extra dollars.