All Hands Meetings and Employee Bonus

Zappos Blogs: CEO and COO Blog

All Hands Meetings and Employee Bonus

by Tony H. CEO on Mar 3, 2008 in CEO and COO Blog34 comments

This past Friday and Saturday, Alfred and I hosted a 1-hour all hands
meeting in Vegas and in Kentucky. For Vegas, we rented out the Henderson
Pavilion, and it was the first time in over 5 years that we had gotten all
the departments together. In Kentucky, we rented out a movie theater and
it was the first time we had gotten all the shifts together. For both
locations, it felt like we were one big family, and it was really neat
seeing everyone together and feeling the energy of the crowd.

We went through our financials for 2007 and made a surprise announcement
about the bonus we were going to give to everyone for helping us beat our
operating profit goals for 2007: Each employee would receive a bonus check
equal to 10% of whatever he or she made in 2007 — roughly equivalent to 5
1/2 weeks of pay! The response from both crowds was amazing!

We then went over our goals for 2008, and spent about half an hour taking
questions from the audience. The public version of our powerpoint
presentation is here:

| View | Upload your own

http://www.slideshare.net/zappos/zappos-all-hands-2008-02-29-public

We spoke with some employees after each of the meetings, and it was great
hearing what they planned on doing with the surprise bonus check. Some
people were planning on saving most of it, while others were going to use
it to pay off medical bills that they were previously stressed about
figuring out how to pay. When back at the Vegas office, the daughter of
one of our employees came up to us to say “Thank you for the trip to
Disneyland with my mom.” It was great to hear the stories of how we were
able to positively affect our employees’ lives!

Comments

Dec 24, 2009 at 11:18 am Isaac said:

I'm in the process of having a house built. This money will go directly towards that. It will cover the closing costs and dramatically help in obtaining certain items in the house that we thought we'd have to forgo for awhile.

I can't express how appreciative and how well-timed this bonus was for me. Thanks!

- Isaac

Dec 24, 2009 at 11:18 am ZC532 said:

I am going to pay bills and save half. My fiancee will be moving out here in December.

Thank you so much for such a wonderful blessing.

Dec 24, 2009 at 11:18 am ZC529 said:

Tony and Alfred to the rescue! This could not have come at a better time. My two roommates and I (all of us Zapponians) have been struggling to find a new home in less than a month with no security deposit. To make matters worse, my car was recently broken into and my insurance won't cover the damage. Now, neither of these stressful events is a problem. In addition, my poor little turtle, who has been stuck in a tank about 70 gallons too small for quite some time, will finally get a new home! Tony and Alfred for President and Vice President 2012!

Dec 24, 2009 at 11:18 am ZC527 said:

I am very appreciate for my bonus! As a new Zappos employee on July 31st 2007 my dreams have come true in many ways, one being my dream job!

Now I can have even more wonderful dreams as I'm going to buy a new Tempur-Pedic bed that I have been dreaming about with this wonderful bonus!

Here's to you in sweet dreams!!! Elizabeth ITKY Tech Support Supervisor

Dec 24, 2009 at 11:18 am ZC521 said:

Even though I will not receive the 2007 bonus because I started Jan 28th, I must admit I was very happy for everyone else...it's a sign that the company is making strides in the right direction and it gives me something to look forward to. What a great gesture on their part. Congrats everyone.

Dec 24, 2009 at 11:18 am ZC540 said:

I just had to take this opportunity to thank you for giving me the opportunity to work for such a spectacular company! Never in all my working years (more than I will mention) have I ever worked for a company that has cared so much for the employees! I have had very few jobs over my years, and only one other company stands out that cared about their employees. They run a close second to Zappos.com, but they were a small family owned company. You literally brought tears to my eyes today! Thank you again! This could not have come at a better time!

I wear my Zappos badge proudly wherever I stop on my way home, and that is a first! I also make sure to tell every person that asks who we are to be sure to check us out! Believe it or not, I have run into several of them again and they have thanked me!!

I also want to tell you how much working for your company has helped me grow in my own personal life! I love my second family here at Zappos!!

Thank you again!!

Patricia CLT

ps: My fiance fondly calls me the Internet Queen, and made fun of all the things I shop for online! Working at Zappos has taught me to be more observant of the customer service I receive, and if they do not come close to what we give, then I don't go back! In regards to feeling safe as part of the e-commerce world, I can attest that the majority of my shopping is now online so I don't use gas, nor do I contribute extra to the pollution. I had to show my fiance on paper that I do save due to free shipping from the places I order from! Of course, none are overnight!!! But, it does help!!!

pss: I am SO looking forward to canceling my amazon.com account!!! Zappos Rocks!!

Dec 24, 2009 at 11:18 am ZC536 said:

I am doing a total renovation on my life. I am setting goals and coming up with standards for my life. It is time for me to GROW UP.

So I plan to grow up and make sure I am living proper.

Thank You Tony and Alfred for the help. Mike Ju PM Outlet Processing Supervisor

Dec 24, 2009 at 11:18 am Rowena D. said:

Taking the Kids to Disneyworld!!! Of course will save some as advised in the meeting :) But will definately be enjoying ourselves at the happiest place on earth...next to Zappos!

Thank you! Rowena and Jay D.

Dec 24, 2009 at 11:18 am ZC539 said:

Its a rare thing to find such generosity.

I'm using the extra money towards a deposit on a really nice apartment right next to Zappos! I'm going from a undesirable 1 bedroom thats 700 square foot to a beautiful 1200 square foot 2 bedroom with a wood burning fireplace! The fascinating thing is...it's the same cost monthly.

Thank you for helping me get out of that wreck of a place I lived in before.

Dec 24, 2009 at 11:18 am ZC548 said:

Tony,

Although I had taken the day off, I did attend the meeting on Friday (my granddaughter was spending the night, and came with me). I'm so glad I did! I am awed by the bonus we are all going to get (your generosity made me cry) especialy knowing that this was money you could have put in your pockets! I was even more awed by where the company is heading.

I was so inspired by what was said and presented that today I truly want to be the best CLT that I can be. I want to think of ways to make things better for everyone and I want to try to come up with ideas that will be beneficial for our company.

Laura

Dec 24, 2009 at 11:18 am RayMorgan said:

My bonus is going to go towards a place for me and my soon to be wife. I was trying to figure out the best how I was going to pay for everything we are going to need (wedding, honeymoon, place to live) and this bonus will really be a great help.

Thanks a lot!

Dec 24, 2009 at 11:18 am ZC552 said:

I am going to buy airline tickets for My Mom (who has Alzheimers) and another family member to accompany her to fly out to Las Vegas from Tennessee. Mother's Alzheimers disease appears to worsen almost weekly now; I want to get her out here where we can have fun together, while she's still aware of her surroundings and still recognizes the family and people she knows. This wonderful bonus has made that possible to bring us together, and to enjoy some time and have "fun money" to do some things with while she's here! Greatest Blessings and Wishes and Special Appreciation to Tony and Alfred for their Caring and Giving Hearts and their Sharing with all of us!

Dec 24, 2009 at 11:18 am ZC553 said:

Tony and Alfred, I started here on 1/8/07 and was homeless. My dear husband of 20 years decided he wanted a 20 something and took off to Mexico. As a result our home was lost. Last year was the pits for me, but working at Zappos gave me the strength to move forward and start getting a new look on life. With you being so generous to give up you bonus, I am now able to purchase my own townhouse---In my name only!!!! Without Zappos, I don't know where I would be today!! Thank you both for all that you do for all of us. Viola NPS Team

P.S.--Hey Tony, Will you marry Me? Alfred, I would ask you too, but I saw the ring on you finger!

Dec 24, 2009 at 11:18 am ZC311 said:

Hey Tony and Al, Thanks for the bonus! I'm not sure what else to say about a company that continues to wow me. My bonus I have no plans for yet. But some I'll save and some I'll buy shoes with, from the worlds greatest web site!

Dec 24, 2009 at 11:18 am Mr.Ryan! said:

Words cannot express my fellings of this blessing. I'm so proud to work with such a great company! I work with employees but rather friends and family. This will help me try to make a dent in my credit cards and the other half will be saved for a rainy day. Thanks Tony, Alfred, and everyone as a team!

:-)

Zappos... not only a company but a way of life!

Dec 24, 2009 at 11:18 am ZC465 said:

This is such an amazing gift for doing a job that I love. The timing on this is so spectacular as I need to get a new transmission to get my vehicle back on the road and whatever doesn't get used for that is going to have part placed in my 401K and the rest in an interest bearing account to regulate my mortgage payment. In my many past 'jobs' I've never had this kind of recognition or respect and for that I want to thank each and every one of you I deal with. This is, without a doubt, the BEST family I've ever worked with and the LAST one I ever Want to work with.

Dec 24, 2009 at 11:18 am Scott said:

Thanks again Tony and Alfred! As I mentioned to you via email, we're all completely "Wow"ed by your generosity. And while I will still feel completely guilty (the guilt is my mother's fault, hehe) about accepting the bonus, because you've already done so much for us, I'll definitely put it to some good use, paying off my car loan. You guys rock!

Dec 24, 2009 at 11:18 am ZC570 said:

So everyone around me keeps talking about all the awesome things they are going to buy with their money. Xboxes, Vacations, etc. I am like...oh my gosh, I can get a hair cut! oh oh and a pedicure! These last few months have been kind of rough for me but coming to work everyday has kept me sane. This money is just an added jackpot to my already amazing daily experience. I love you guys and I love zappos!

Alicia L

Dec 24, 2009 at 11:18 am ZC465 said:

Thank you Tony and Alfred for thinking of the employees before yourselves! Knowing that we have bosses that are willing to give up their raises so that the employees can have extra is so much more than AWESOME! I have family that lives in TN and they want to move to KY just to work at Zappos!! You guys rock and so do ALL Zappos employees!!! PS- I'm taking Tony's advise and putting my bonus in the bank to sit on!!

Dec 24, 2009 at 11:18 am ZC587 said:

I just wanted to say thank you...and share what I shall be doing with this amazing bonus, since after all, what I'm spending it on is because of you Tony. :)

I'll be buying a 360 Elite, and 2 DDR dancepads, due to my recent DDR obsession, because Tony decided to put one downstairs. :P

Thanks! :)

I know I dont' have to put my name, everyone knows who I am :)

Dec 24, 2009 at 11:18 am mr|uno said:

I'll be that much closer to having 0 debt after this =)

And I'll finally be able to start saving for a house!

Dec 24, 2009 at 11:18 am ZC625 said:

I am currently in the process of trying to purchase my first home and this bonus money will prove invaluable. I keep saying to myself that this job just can't get any better and then you guys go and do something like this. My friends and family are always astounding at all the good news I bring them about Zappos.

Moving to Las Vegas has been the best decision I have made in my life. I decided to move to Las Vegas in the fall of 2005 on somewhat of a whim. I bought a one-way plane ticket with no job, no place to live, and no idea what I was going to do. I was lucky enough to meet someone at ManPower who convinced me to take a job at Zappos. At the time I had almost depleted all of my money I had brought with me when I moved. This person at ManPower (I'm embarrassed to say that her name escapes me right now) told me two jobs that were available for immediate interviewing. I can't remember what the other company was but I know that at the time it was paying $2.50-$3.00/hr more than Zappos. However, this woman told me that if I wanted a job then go with company X. If I wanted a great job with positive people, a great work environment, and room to grow then go with Zappos. When I showed up for work on day one I knew that I had made the right decision.

Dec 24, 2009 at 11:18 am ZC635 said:

Hi Tony,

What a great company you have created. It is refreshing to see a CEO care about their people like you do.

-Charles

Dec 24, 2009 at 11:18 am Katye D. said:

I'll just tell you and Alfred one more time, thank you, thank you, thank you, thank you, thank you! Ok, well that was more like five times, haha... I still cannot believe that such an exuberant company would share their success with their employees the way you and Alfred have. It shows how much you really do appreciate all the work, wait...teamwork everyone contributes. I have only worked here 7 months, and I cannot imagine working for a more amazing company. If I wrote a list of why I am proud to be a part of the Zappos family, I would honestly be writing for hours! Zappos is really one in a million!

At the All Hands meeting, it really hit me how much of a difference in peoples' lives you are making. While everyone was standing and clapping, I looked over and saw one of my coworkers crying tears of happiness. I know she had been going through some hard times, and it made me so happy to know that this is going to help her and her kids. Of course, for those who aren't going through hardships, it is going to be great to buy something nice for ourselves (or someone else!) and save the rest for a rainy day. Some will finally be able to take their kids to Disney land, or buy DDR mats (I'LL BE COMING OVER TO BATTLE!!! LOL), take their honey on vacation, or pay off debt...Everyone should be so proud of the success in 2007! We couldn't have done it without each and every one of us! I can't wait to see what 2008 has in store.

PS. To show how much I live the Zappos life... Yesterday, I went to the DMV to register my car and renew my drivers license. After I got my new drivers license, I sat down with the DMV clerk to register my car. It seemed like it was taking forever, and I was really getting impatient! The clerk was moving slow and snails and it was irritating me. I was going to say something, and caught myself starting to get snippy. Jokingly, I said to myself, "Be nice. That's not very 'Core Value-ish...'" I giggled a little and let it go. When we were almost finished, the clerk said to me, "Oh, wow! Do you work for Zappos?!?!" I shop there all the time! They're so great! I hear it's an awesome place to work!" She had seen my work badge around my neck. I replied, "Yes, it definitely is. Zappos is an amazing company...and is definitely fun!" We chit chatted for a bit before I left.

Imagine if I had taken my frustration out on the clerk before she had seen my Zappos badge? It would not have given her a good example of how great this company is. I am sure with the rude people she gets all day, she appreciated someone nice for a change. Funny thing is, when I got home and looked at my license again, I noticed that my zappos lanyard is in my license picture too! Maybe that'll get me out of a few tickets! Just kiddin! I thought it was too funny, though.

Thanks again!

Dec 24, 2009 at 11:18 am ZC659 said:

Dear Tony and Alfred- I just want to thank you both so much for everything you're doing for us. The every day benefits that we get while working here are amazing, the bonus is nothing short of a miracle. This is coming at such a critical time for me. I won't go into details, but I wasn't sure what I was going to do until the meeting Friday. I need the money so badly, and God sent two angels to help me out. That probably sounds a little melodramatic, but it's true. It isn't going to solve all my problems, but it is definitely going to help. So, again, thank you so much.

Dec 24, 2009 at 11:18 am ZC669 said:

Hi Tony and Alfred,

Thank you som much for the bonus, it was quite a surprise and could not have come at a better time. My car is now approaching 200,000 miles, although it is still running, time is running out due to mileage and it is time to start looking for a new one. Thanks Again for all you guys do for us, this is truly the best company to work for and you guys are the reason why it is the best place. May you continue to be bless for all you do for us as well as the community.

Donnie

Dec 24, 2009 at 11:18 am ZC670 said:

Tony and Alfred! I cannot even express how grateful I am to work for such an amazing company! I have been w/ the company for 2 years and enjoy coming to work everyday! This bonus is just what me and my family needed. My Fiance was in and out of the hospital last year and we have been struggling to pay off these medical bills. Now I can pay off my debt and maybe put a down payment on a car too!!! Thank you!!You have really made a difference in all of our lives!!

Dec 24, 2009 at 11:18 am ZC411 said:

Hi Tony and Alfred,

I don't even know where to begin to thank you for all you kindness and generosity. Everyday I find myself relaying to anyone who will listen, stories on how Zappos.com has changed my life. I have only been here a month and 4 days, but I can tell you that I have no desires to work any place else and that making the decision to accept the offer from Zappos was one of the best decisions I've ever made. Thanks for the life altering experience. I only hope I can make as much of a difference here as you've made for me! Thanks again.

Dec 24, 2009 at 11:18 am GDubb said:

Hey Tony & Alfred,

Unfortunately I wasn't feeling well last Friday, so I didn't make it to the "All Hands" meeting. Upon returning to work on Sunday, I couldn't believe what I heard. The fact that you guys would share last year's profits with the entire company was/is almost unbelievable! I'm completely WOW'd by this! I've never worked at a company where you see the CEO on a regular basis, let alone where the CEO has actual interactions with "regular folks" within the company, such as personally passing out our New Years shot glasses or Christmas sweaters. I'm continually WOW'd by this company & the people within, which is simply amazing! I can't imagine working anywhere else and although I've only been with the company a little less than 4 months, I plan to stay for a VERY long time! All of this is just to thank you for both of your immense generosity! Words cannot express how much of a blessing this is for me. I'm so appreciative to be working for such a fantastic company with such amazing executive management! I am truly blessed with this job/family. THANK YOU SOOOOOOOO much! You guys are SUPER awesome!

~GW~

Dec 24, 2009 at 11:18 am the sooz said:

Hey Tony and Alfred!

I also did not make it to the meeting but hearing about it when I came back to work and reading how much it has impacted my co-workers, better yet my extended family here at zappos, almost brought me to tears! You guys do so much for us on a day to day basis that it always shocks me how much you truly care about all of us. I've been here for a little over 4 months now and it just seems to keep getting better. My husband has started to say, so what did Tony give you today? haha But really I appreciate so much the culture you have created and how important it is to you for us to maintain it. Thank you ever so much!!!!

Dec 24, 2009 at 11:18 am ZC732 said:

Wow, these are some amazing stories. I just wanted to add a thought that came to me when I read the blog about the experience one of my family members had at the DMV. It wasn't too long ago that I also was at the DMV with a friend and we were talking about Zappos and as it happens we ended up in a discussion with the rep who was helping us, the rep next to her, and the customer the other rep was helping. Both of the reps LOVED Zappos, and the customer swore she was going to check it out when she got home.

What struck me about all this is that DMV workers just love us! While this could be an amusing statement, I think there is something deeper at work here. As we all know, working at the DMV is not always the most glamorous or satisfying of jobs. DMV workers have to deal with angry people, communication breakdowns, working for a government agency, and on and on. I think it is important for us to remember how well we have it here, especially when taken in the context of what other people go through at their jobs on any given day. All those wonderful folks at the DMV who love us love the "experience" of us. They can depend on us for a comforting experience after a stressful 8 hours.

It is my belief that this analysis feeds into the primary reason as to why we are beloved by so many people. Yes, our service is great, but beyond being great, we are like a comfort food, dependable and satisfying. A good 75% of jobs in this country are jobs people have to do, not jobs people want to do. We should take great pride in the fact that we get to do what we want to do for a company we want to do it for and remember that such a thing is a luxury in today's world. So, go out there and be your customer or vendor's comfort food because they need you.

Dec 24, 2009 at 11:18 am ZC743 said:

Tony, I just want to say WOW what a great company to work for. I tell all of my friends and family about this place. I am always wowed with this place. All I can say is thank you, thank you, thank you!!!!! Zappos Rocks.

Tracy Ham Fulfillment center

Dec 24, 2009 at 11:18 am ZC1308 said:

I don't work at Zappo's (maybe I need to move to Vegas!), but have been a customer for a long time, and have always been exceedingly happy with the service I have received. From the variety, to the ease of locating what I'm looking for, to the prices and newer product areas such as bags and clothing, I couldn't ask for a better destination to shop online! I noticed the blog link at the top today for the first time, and after reading through these posts WOW!!!!!!! As a customer it is wonderful to know that the GREAT experience I have as a shopper with your company is equalled (if not exceeded) by that of the employees! Kudos!!!

Dec 24, 2009 at 11:18 am admin said:

Being able to give out bonuses is always great, both for the company and the employers. If bonuses are paid, the company has made money and reached goals. That is the general at least. I guess it's different if you are higher up in a financial company? http://profiles.friendster.com/johnnymorgan

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