But since there wasn't room to keep all employees in one building, investing in hip inter-building transportation seemed the REI's Web team members use scotters to stay in touch with their business colleagues in another building. Today, it appears that REI bet right. Many pundits now believe that companies like REI that do business online and offline will triumph over those that operate only in one realm or the other. Some of REI's success can be traced to its pre-Web attributes. To be able to fulfill Web orders with the same-day speed that online shoppers demand, REI now bar codes all packages.
Overhead scanners record the weight of each package on the conveyor belt and calculate postage.
He contends that's why companies like L.L. Bean, Lands' End, Southwest Airlines and Computer Discount Warehouse have been successful online. Members share in REI's profits, based on how much money they spend. That means REI has long needed to have a single view of its customers and their buying history across all of its distribution channels. It's a useful capability if you're trying to figure out whether your website is bringing in new business or just cannibalizing your existing business. In early 1996, REI's then-COO and Executive Vice President Dennis Madsen began to explore the possibilities for Web commerce.