Amazon acquired online shoe retailer Zappos for approximately $1.2 billion in 2009.
Zappos was founded in 1999 by Nick Swinmurn after he noticed that shoppers lacked a convenient way to buy shoes online. The company became known for its customer-service culture, including free shipping, free returns, and a call-center approach that encouraged lengthy conversations with customers.
Amazon announced the acquisition in July 2009. Zappos shareholders received Amazon stock, and Zappos continued operating as a distinct brand after the deal. The acquisition is often discussed in startup circles because it combined a large technology company with a younger business known for a distinctive workplace culture.
The deal is sometimes confused with Amazon’s acquisition of other retail brands. Zappos remained especially associated with shoes, customer service, and its Las Vegas-based operations.