Clothing retailer J. Crew had a bad quarter, posting a 12 percent dip in income. Rather than blaming a softening economy, the company pointed the finger at a web site upgrade gone bad. The company upgraded its web order processing software in June and things went downhill quickly. Botched orders, returns not allowed by the site and, in one case, shipping and handling fees of over $9,000 for 3 shirts have lit up the blogs with complaints about the buggy site. The company has spent $3 Million to fix the problems but the ill-will will be far more expensive to overcome. Company exec’s should brush up on their apology skills, they will need them for quite a while.
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