Saleem Abbas’ Post

Ever wondered how we helped Sephora increase their repeat purchase within their loyalty programme? 👀 Here is one of the secret sauce that had a huge impact on repeat purchase. The Sephora UK loyalty programme had 1 special feature offering 10% off any of your favorite brand for 6 months - "unlimited" you could purchase any product from that brand with the discount. Let's take Huda Beauty as a example - if we were a Huda Beauty Fan, we'd have the ability to use the discount on every product range in her collection - a girls dream yes. Palettes, blushes, foundation, lipsticks. Now to increase cross category purchase we introduced a second "Brands you love discount" - to allow customers to get discount off another category like "Haircare - now you've covered two of your must have beauty categories and receiving discounts off them both! Repeat purchase rates increased by 250% with the introduction of an additional brands you love.

When budgets get tight, there’s nothing a tube of lipstick can’t solve. Or at least, that’s what economists seem to believe. bit.ly/3Iq6ljY Even when people are scrambling to save every last penny, the “lipstick effect” has proved time and again that shoppers will indulge in small luxuries as a compromise since they can’t spend on big ones. And cosmetics giant SEPHORA couldn’t be happier about it. The LVMH-owned chain, which performed “exceptionally” in 2023, was the French conglomerate’s fastest growing segment by sales at a time when luxury spending has been on a rollercoaster ride. Sephora contributed to a 76% profit rise in the selective retailing segment, which includes Duty Free shops and raked in €17.9 billion ($19.4 billion) in sales last year.

Sephora, the beauty maestro, unveiled a game-changing strategy: the 'Beauty Insider' loyalty program! With meticulously crafted tiers based on annual spending, Sephora turned shopping into a rewarding journey. Diamond Divas, VIB Royalty, and Beauty Insiders - welcome to a world where every purchase takes you one step closer to exclusive perks and fabulous discounts!   Why does it work? Because who can resist the allure of prestige rewards? The higher your spend, the more glamorous your perks! 💰🌟 Sephora turned loyalty into a lifestyle, and now every beauty aficionado can experience the VIP treatment. Top-tier rewards, VIP exclusives, and unmatched discounts – that's the Sephora secret sauce! 🤫✨ This ingenious marketing move transformed Sephora into the beauty haven it is today. #SawahMarketing #DubaiMarketing #SocialMediaAnalytics #DataDrivenDecisions #GrowthStrategy #MarketingMagic #ConnectionsThatSell

As a Sephora customer, it's quite disappointing to witness employees being rewarded with merely a cookie after the company has achieved $10 billion in sales. It's evident to any shopper at Sephora how dedicated the employees are. They provide excellent recommendations and offer personalized shopping assistance. Their efforts are a significant contribution to the company's success. Sephora had numerous opportunities to more meaningfully invest in their employees. They could have made company stock available to them, offered a $250 shopping spree within the store, or even hosted a glamorous event to celebrate their hard work with red carpet treatment. Alternatively, a simple $100 bonus in their paychecks could have been a more appreciative gesture. Rewarding their commitment with something more substantial than a cookie would have been a better acknowledgment of their hard work and dedication. #employeeappreciation https://lnkd.in/dehNrgBs

Getting into a retailer like SEPHORA is a huge accomplishment. Once small brands get that initial yes they quickly get hit with the reality that they are in direct competition with 100s of other companies. Some of that competition is going to be multi-national companies that spend hundreds of thousands of dollars to support their brand’s success in Sephora alone. Indie brands cannot compete with that kind of financial power. It’s one of the reasons I support the merchandising effort this retailer has done under The Next Big Thing. The section highlights many of the new entries coming into the retailer. It gives a collective nod to the underdogs. It also becomes a pivotal benchmark for how much product will be sold from those shelves. Products that do well in this section...stay in the store. Products that do not sell well in this section....get discontinued from the store. I encourage customers to seek out The Next Big Thing sections in Sephora. There are separate sections for skin care and hair care in each store nationwide. Black and brown founded brands are being highlighted here. They must be supported to survive. #IndieBeauty #BlackBeautyBrands #Sephora

Driven by self-gifting trends (evident by the most recent Valentine’s Day holiday) and the so-called “lipstick” effect during our stressed economic times, parent company LVMH is seeing stronger revenue growth for Sephora (its multi-brand retailer with wide audience × strong cash generation), and similarly, L’Oreal has benefited from a pre-pandemic increase of 40% in annual revenue despite Chinese markets plateauing. Both brands are benefiting from the tangibility of in-store traffic and sales, including Sephora’s store-within-a-store concept expansion with Kohls. Continuing to build on quality, exclusivity, and product integrity is critical (particularly a cautionary tale with the proliferation of arbitrage online), and forging stronger customer relationships to retain interest throughout digital channels while in enticing frequent visits in-store to test into and expand brand experience are the domain of strong loyalty programs, CX, and commerce innovation. #PublicisCommerce  #customerjourney https://on.ft.com/3T0YtdK

Sephora UK's launch of their new loyalty program MySephora, underscores a critical truth in the beauty industry: loyalty is vital and transformative. Why is loyalty in beauty so powerful? Let's break it down: 1. Deep Customer Insights: Beauty purchases are deeply personal. individual preferences, product affinities, and beauty routines. 2. Personalization at Scale: With rich customer data, brands can offer hyper-personalized recommendations, samples, and experiences that truly resonate. 3. Lifecycle Marketing: From skincare newbies to makeup aficionados, loyalty programs can nurture customers through every stage of their beauty journey. The success of Sephora's loyalty programs showcases the power of well-crafted loyalty strategies in retail. By fostering a culture of loyalty, global brands like Sephora not only drive business growth but also deliver exceptional customer experiences worldwide. Read more: https://lnkd.in/gdccz_u5 #RetailLoyalty #BeautyPersonalization #SephoraRewards

When your brand love for SEPHORA meets the creative genius of the #Unicorns at Digitas North America, magic happens. The Sephora Holiday Savings Event is here, and the "This & That" campaign is pure fire. Think music-driven energy that speaks directly to Gen Z (and all of us who wish we still were). Check out the full campaign! #SephoraSavingsEvent #ThisAndThat #Digitas #UnicornCreative #GenZ #Beauty"

🌟 Have you heard of the "Lipstick Index" coined by Leonard Lauder? 🌟 Despite economic uncertainties, the beauty industry continues to show impressive resilience. Sephora recently announced a record sales year, reporting an astounding €86.2 billion in revenue and €22.8 billion in profit. This success is attributed to strong organic growth across the majority of its business units. Prestige beauty sales outpaced mass-market beauty sales in Q1 2024. Prestige beauty sales grew by 9%, compared to a modest 2% growth in the mass-market segment. This shift suggests that even in challenging economic times, consumers are gravitating towards luxury beauty products. The beauty industry remains vibrant and adaptable, reflecting a deeper consumer preference for high-quality and premium experiences. 🌹💄✨

Keeping it classic with the Sephora 60th and Lexington team! It’s the staple #sephora look - undeniably glamorous! The challenge was to personalize the look to your client. Do you like the cat eye-red lip combo? 💋 SEPHORA Beverly De La Cruz Jeff Paleno Jennifer Morata Wendy Goodman #Sephoralife #SephoraPRO #MakeupTraining #growth #learninganddevelopment