Sonos presents its recovery plan after issues with the app.
The company presented a plan that it hopes will significantly contribute to improving its situation and rebuilding relationships.
The recent reintroduction of the Sonos app in May has turned the home audio company into a case study for business schools due to its focus on acquiring new customers rather than maintaining the loyalty of its existing base. The addition of the Ace headphones to its product lineup resulted in a flawed launch, which has had significant repercussions, including lost revenue and a round of layoffs affecting over 100 employees. Moreover, delays in other product launches have been reported, and the effects are still being felt as October progresses.
However, in a recent communication, the company laid out a plan in hopes of improving its situation and repairing damaged relationships. Sonos presented seven "commitments" that include both general principles and concrete actions. Among the promises are an "unyielding focus on customer experience" and "showing humility when introducing changes," as well as more tangible initiatives like extending warranties and appointing a "quality ombudsman."
Sonos' response features a mix of commitments. While aspects such as "constant improvement of the app experience with regular updates" are hard to measure, they have specified metrics such as releasing updated versions of the mobile software every 2 to 4 weeks to optimize the user experience, even after the current situation is resolved.
Among the most notable initiatives is the creation of an "ombudsman" who will act as a liaison between employees and senior management, ensuring that workers' concerns are brought to executives during the development process. To regain user trust, Sonos plans to establish a “Customer Advisory Council,” where users can provide feedback to enhance their products and software prior to release.
As a good faith measure, the company has decided to extend the warranty of home theater products and speakers that were already under warranty by an additional year. The company is committed to ensuring that many of these initiatives are already underway, while others will be implemented throughout the year. Additionally, Sonos has opted to suspend bonus payments to executives from October 2024 to September 2025 unless they succeed in improving the quality of the app experience and restoring customer trust.
According to Sonos, more than 80% of the features that were removed from the app have been restored, and "nearly 100%" is expected to be available in the coming weeks. CEO Patrick Spence has stated, "Our priority since its launch has been, and continues to be, repairing the app. There were mistakes, and we first dug deep to understand how we got here, and then we moved to turn those learnings into actions. We are committed to making changes to be the brand that people love again, offering the best audio system for the home and beyond."