tag:blogger.com,1999:blog-32202893.post3814538945468966319..comments2023-10-18T08:32:17.510-07:00Comments on Kevin Hillstrom: MineThatData: Zappos Sales Trajectory And Customer Metrics: 2000 - 2012Unknownnoreply@blogger.comBlogger2125tag:blogger.com,1999:blog-32202893.post-18083447028854718672008-04-17T08:52:00.000-07:002008-04-17T08:52:00.000-07:00The data suggest your theories are accurate. The ...The data suggest your theories are accurate. The only way to get close to 7.6 million buyers (ever) was to basically reduce the annual repurchase rate over time.<BR/><BR/>In fact, it looked the like annual repurchase rate could have been in the mid 60s a few years ago.MineThatDatahttps://www.blogger.com/profile/14014200122021988374noreply@blogger.comtag:blogger.com,1999:blog-32202893.post-13436821842646117212008-04-17T06:59:00.000-07:002008-04-17T06:59:00.000-07:00Nice job, Kevin! Thought you'd enjoy running the ...Nice job, Kevin! Thought you'd enjoy running the numbers...<BR/><BR/>The challenge with the pure online model is that over time, the overall quality of new customers acquired tends to deline quickly *and* you need more "push" to aquire each new customer as the natural attraction power of the site declines. <BR/><BR/>In other words, the "early adopters" are the most likley to find you on their own and are the biggest spenders.<BR/><BR/>So the incremental profit of each new customer add declines in the out years. Will be interesting to see how they address this. <BR/><BR/>They can go "Amazon" and add more lines (electronics?) / more countries, or they can stick with it and optimize on flat growth.<BR/><BR/>If they go public, probably the former.Anonymousnoreply@blogger.com