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Amazon's Customer Service Secret? Automatic Refunds

Jeff Bezos detailed a few perks that keep customers coming back to the site in his letter to shareholders.

In a crowded market of online streaming video, Amazon is working its way ahead with a simple customer service tool, the company's CEO, Jeff Bezos, said in a letter to shareholders: Automatic refunds. "We build automated systems that look for occasions when we’ve provided a customer experience that isn’t up to our standards, and those systems then proactively refund customers," he noted.

Bezos cites a positive reaction from one customer in the letter—something that anyone who compares a refund with just a feedback note that apologizes from Netflix's automatic streaming service can appreciate.

The automatic refunds also go for a few other of Amazon's services, including it's pricing guarantee. "Most customers are too busy themselves to monitor the price of an item after they pre-order it, and our policy could be to require the customer to contact us and ask for the refund. Doing it proactively is more expensive for us, but it also surprises, delights, and earns trust," he said.

Read more about how Amazon makes you love them using big data here.