Free return shipping
I bought some water shoes for kayaking this summer from Zappos only because i couldnt find any locally. They offer free shipping both ways so you only have to deal with the inconvenience of getting to a UPS pick up if you need to return them. The shoes didnt fit right so i headed over to the nearest Staples to send them back after ordering a bigger size. I was surprised to see several Zappos boxes on the cart waiting for UPS. The free shipping model seems to be working. And when Amazon integrates them into their store front end i expect they'll get even more business.
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