Breaking Down the Bonobos Marketing Breakdown | Part 1

Breaking Down the Bonobos Marketing Breakdown | Part 1

– This is a Bonobos
shirt, or Bonobos, Bonobos Bonobos, I actually don’t know
how to say it, hold on a sec. – [Bonobos Worker] Thank you
for calling the Bonobos Ninjas. – Bonobos, Bonobos. This is a Bonobos shirt,
now I know how to say it. And a couple of years ago
Walmart purchased Bonobos for 310 million dollars, wow. Now a few weeks ago I read
that Bonobos was laying off dozens and dozens of employees. It’s still not profitable
and there are rumors that Walmart wants to sell Bonobos. Bonobos is hurting, why? What’s not working at Bonobos? How could they fix it? And what can we learn from Bonobos? No matter what you sell
or who you sell it to, there are lessons from
Bonobos that all of us can apply to our business. So over the next three
episodes of The Loyalty Loop, we’re gonna break down why
Bonobos is breaking down and what we can learn
from their experience, maybe even how we could salvage Bonobos. And here’s a hint, it has nothing to do with the product itself. All off this and more on the next three very special episodes of The Loyalty Loop. (upbeat electronic music) Now this is me returning
a $600 suit to Bonobos. Can you tell I’m a little annoyed? Yeah, maybe I’m a little more than a little annoyed, actually. But let’s start at the very beginning, ’cause there’s nothing wrong
with the Bonobos product, in fact, I love the product. I like the way this fabric feels, I like the way the clothes fit, I like the fabrics they choose, I love the style that they design around. So what’s wrong with Walmart’s 310 million dollar investment? The customer experience is broken. Crack. Let’s back up to way
before I bought the suit, let’s go back to the
beginning of the experience. I need a wardrobe refresh,
I was actually watching some of the videos of my recent speeches at events around the world, I realized I’m outgrowing my
suits that I wear on stage. In other words, the buttons
that are closing my suit jackets are working way too hard, overtime. That is my moment of inspiration,
and my trigger question is where am I going to refresh my look? Now a few days later my wife
and I were just sitting around, watching an episode of “Queer Eye.” And Tan took one of the makeover subjects to a Bonobos store in
one of those episodes. And in the middle of that episode, I look right at my wife
Elizabeth and I said, “You know what, I think
Bonobos is my look.” She agreed, and all of a sudden Bonobos was my prime brand. So I said, “Let’s go to a Bonobos store.” Now, Bonobos does not
run a traditional store, thy run what they call Guideshops. Now a Guideshop is basically a store where they have one size of everything so you can try stuff on and
you can meet with a consultant or a guide, and they’ll
help you refresh your style. And then everything you purchase
is actually just shipped directly to you, and
you don’t have to leave with a bunch of bags. Now the closest Guideshop
to us is about an hour away in Miami, and we decide
to make an appointment, a Guideshop appointment. This is what they say about
their Guideshop experience. Every Bonobos Guideshop
location is outfitted with a team of knowledgeable
stylish and witty Guides that will give you as much
attention as you want, or don’t want, to make
sure you leave feeling like your best dressed self. Mm, this is awesome, it sounds fun. Just a little foreshadowing
we’re gonna keep coming back to this little paragraph of past. So I decide to commit to the
60 minute Guideshop experience. And it says right there, give
us an hour and we’ll style you a brand new wardrobe, they say. Perfect, this is what I need. Now this appointment is a minimum of a three hour commitment for me. It’s an hour to drive there,
an hour for the appointment and an hour back, three
hours I’m committing to. And I fill out the form, and I’ve executed my moment of commitment. Now, my appointment is five days away, and I get the following
confirmation email. Your 60 Minute Guideshop
Appointment appointment for Friday October 4th, 2019 at 2:00 p.m. at Coconut Grove, Miami
has been confirmed. We’re looking forward to helping you shop. Now I’m excited about this appointment, but I’m also wondering
in the back of my mind, if this is gonna be worth the effort. That is my crucial concern. But over the next five days
I hear nothing from Bonobos. Nothing, I don’t hear anything. And by day four, I’m thinking
of canceling my appointment, because life, like a three hour commitment to go clothes shopping
for me, is a big a deal. I don’t know if it’s gonna be worth it. Okay, we gotta pause here, time out, things are already
going wrong for Bonobos. So let’s talk about how Bonobos could Use just a few of The Loyalty
Loop drivers to transform this part of the experience,
the very first stages of their experience. And we’re gonna see how we
can learn from their mistakes, to make our experiences better. Number one, address the crucial concern. Right after I make the appointment I have one crucial concern, will this be worth my effort? And their confirmation email does nothing to address this concern. So anytime you’re asking a
consumer to make a commitment, you’ve gotta ask yourself,
what’s my consumer’s biggest post commitment concern, and you’ve gotta address it immediately, you gotta address it head on. So what could have Bonobos have done? They could’ve in that
confirmation email said, it’s gonna be a wonderful experience, if you’re worried about,
here’s what a few other people have said about their
60 minute appointment. That might help address
my crucial concern, is it going to be worth it? Loyalty Loop driver number two, they could’ve maximized
the honeymoon phase. You see I’m excited about
this Guideshop thingy, but I have no idea what to expect. So while I’m still excited,
like maybe in the next 24 hours after making that appointment,
they could’ve capitalized on my enthusiasm to just
ask me a couple of questions to shape the experience. For example, they could’ve asked, what celebrity’s style do you like? Just name three, or they could’ve asked what kind of stuff am I
looking for, for my re-style? Am I looking for casual,
suits, golf stuff, whatever. Anytime you’re asking
for someone else’s time, you need to make the best
use of their enthusiasm. And ask for critical
information that’s gonna make the appointment more
effective and efficient and fun for them at that exact moment. You’re trying to shape the experience, by ensuring that they see
you’re gonna value their time. So what simple questions are you asking to help shape the experience, while they’re excited about the experience you’re going to provide. And three, just another easy one, Loyalty Loop driver number three, they could’ve scaled camaraderie. They could’ve assigned
me a specific Guide. Look, they know who’s working on Friday when this appointment is about to occur. And they could’ve assigned me that person and told me a little bit about them, so that I actually feel
like I’m building trust, mutual trust and respect for
somebody who’s on my team. Instead, they’ve done nothing. You see, knowing someone specific is going to be expecting me,
will decrease the likelihood, that I’ll cancel or
change this appointment. So what are you doing to
increase the mutual trust and respect your attendees have for you, before the meeting has even started. Okay, here’s the deal, I
do make the trip to Miami, to the Guideshop and that experience needs a ton of work as well. In fact, I think it gets worse. We’re gonna breakdown that
experience and the pitfalls in next week’s episode
of The Loyalty Loop, you’re not gonna wanna miss that, so make you subscribe and you make sure you get the next two episodes
of The Loyalty Loop, at least. Because we’re gonna
uncover what we can learn from Bonobos’, how do you say it? – [Bonobos Worker] Thank you
for calling the Bonobos Ninjas. – Bonobos’ bad experience. In the meantime, take a look at your post-commitment encounters. Are you addressing their crucial concern? Are you maximizing the honeymoon phase? And are you scaling camaraderie to build mutual trust and respect even before the meeting occurs? That’s it for this episode
of The Loyalty Loop from right here in Key Largo, Florida. I will see you next week,
I think from Austin, Texas in my Loyalty Loop. (upbeat electronic music)


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