Posts Tagged ‘crisis management’

4
Sep

Amazon Finally Wraps Up Orwell Book Mess

written by Scott Olson

A little over a month ago Amazon created a stir when they deleted George Orwell books off their Kindles without notifying the users of the Kindle and in the process deleted any annotations they might have had for school or other purposes. I wrote about their delay in properly addressing this issue in the post Amazon’s Social Media Strategy to Address Orwell Book Deletions from Kindle? Ignore it.

Jeff Bezos later issued an apology for their handling of the incident and it appears that today they have taken a final step toward resolving the issue. Pogue in the NY Times reports that Amazon has redelivered the books to the Kindle along with any lost annotations. This is the right step but should have been taken much earlier. Pogue gets it right when he says:

The Kindle store already sold a different edition of those books that did NOT have rights problems; it should have offered that swap from the beginning.

There is no reason why Amazon couldn’t have found a way to serve their important Kindle early adopters earlier and turned a crisis into an opportunity for superb customer service. For many people this might be a case of too little too late.

Looks like Jeff Bezos must have been reading my posts this week :) . Today before they announced Amazon’s earnings, CEO Jeff Bezos issued an additional apology to their customers:

This is an apology for the way we previously handled illegally sold copies of 1984 and other novels on Kindle. Our “solution” to the problem was stupid, thoughtless, and painfully out of line with our principles. It is wholly self-inflicted, and we deserve the criticism we’ve received. We will use the scar tissue from this painful mistake to help make better decisions going forward, ones that match our mission.

With deep apology to our customers,

Jeff Bezos
Founder & CEO
Amazon.com

(more…)


Yesterday I wrote about Amazon’s failure to address their customer service crisis with the Kindle and their deletion of e-books that was reported in the NY Times. Today I came across a good entry from Seth Godin’s blog titled “Winning on the uphills” identifying that it is in the difficult times that companies define themselves and can excel above their competition. I couldn’t agree more.

One of my business mentors, Craig Tysdal who was the CEO of NetSolve, made this a primary focus of a customer service class that he required every employee to take. He emphasized that your customers remember how you respond to problems, difficulties and crisis more than anything because so few companies do that well. It is the opportunity to turn a negative situation into a positive that can not only solidify customer loyalty, but also create significant positive word of mouth and customer references. (more…)

Amazon made headlines this past week when the NY Times reported that Amazon had deleted books that were unauthorized from Kindle users that had already purchased. It was ironic that one of the books that was deleted was 1984 and served notice not only that Amazon could control the content on their Kindle device, but also highlighted the difference between e-books and a book you buy off the shelf. You don’t truly own the e-book, you are licensing it.

This is an interesting story in itself, but the more interesting part of this story to me has been Amazon’s social media response to the backlash from this story … silence. Check out @amazon, the official twitter feed for Amazon. Four days since the NY Times article and not a single post. Take a look at Amazon’s facebook page, no posting about the topic other than user complaints. Now check out the #amazonfail thread for some interesting reading. I searched on “Amazon responds kindle orwell” and got a full page of complaints, but no organic search results for anything remotely explaining Amazon’s point of view.

I found a few references to the legal reason why Amazon removed the books, but what I haven’t found is any kind of empathy for their loyal customers. Where is Jeff Bezos with a response such as Steve Jobs had when he reduced the iPhone price by $200 shortly after it went on sale? Crises are unavoidable for companies, but bad responses are totally within a company’s control. Perhaps we will see Amazon respond to this over the course of the week, but in my opinion, right now they are blowing it. (more…)

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