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Βούρτση Κωνσταντίνα - M5AΠ1815017
Δόγια Δέσποινα – M5AΠ1815014
Χαϊδεμενάκη Στυλιανή – Μ5ΑΠ1815038
 1000 stores – 23 countries
› 450 in USA & Canada
 In metropolitan areas & shopping malls
 Partnership with JC Penny e...
 Sephora.com
› 30% of the U.S. online market
 Beauty Insider Program
› 15 million customers signed up
› 80% of Sephora’s...
Pros
 21.000 products
 Discounted mass-market
products and prestige
brands – beauty
“superstore”
 Strip malls & easy pa...
Pros
 First to have active
review boards 
posting reviews on
amazon for products
bought on Sephora
 Cheaper prices
 Va...
Pros
 Deep discounts in
luxury brands – “flash
sales”
 Prestige brands not
available at Sephora
Cons
 Only online shop
...
Pros
 Convenient
 Brand expert
employees
 Variety of product
categories
Cons
 Not expertised in
Beauty products
 Limi...
Strengths
 Strong brand recognition
 Positioned as an expert in
beauty industry
 “top of the times” products 
customer...
 The biggest online beauty website
 Reward program – VIB
 Engaged & Loyal customers
 Strong content – Talk about thing...
Weaknesses
 No retail stores in rural areas
 Not every prestige brand (e.g. Chanel,
MAC)
 Small staff size
 No saloon ...
Budget Category Description/ Programs 2011 Budget Allocation
Video Production
(professional Sephora
videos)
•positioned as...
Budget Category Description/ Programs 2011 Budget Allocation
Facebook Development •Maintain our strong
presence
•Continue ...
Budget Category Description/ Programs 011 Budget Allocation
Store Kiosks •Boosts in-store
experience
•Ability to compare
p...
Print Catalogs
 Half length catalogs
 2 times/year
Direct mail pieces  email
On Facebook:
 Lack of archival capacity
› Same questions over & over again
› not easy way to save & query responses
 Not...
Q & A forum
Strong search functionality
Safe and private environment
Recognition of “superusers”  “beauty
master”, “beaut...
 Create a banner on Facebook for direct
registration to Beauty Talk
 Use links in Beauty Talk to the other social media
...
need
Seeking
information
evaluation
of
alternatives
purchase
use
Post
purchase
behavior
Promotion activities,
Advertisment...
 Growth of website visits among current
and new users
 Valid and timely update of product
information
 Improve and refr...
 Raise of customers loyalty
 Customer relationship management-
identify most profitable customers
 Provide users with p...
 Enhance page functionality  more
search filters
 No 1 online community for anything
beauty related
 Maintain balance ...
 Increase number of fans
 Raise reach per post
 Active management and consistent presence
 Organization and constant r...
 Increase the number of followers
 Engage followers
 Expand reach and create buzz
 Redirect user to the official websi...
 Organization and constant renewal of
the company's channel
 Emphasis in counseling and in promotion
of the brand
 Comb...
 Optimization of Website’s mobile version
(customized)
 Increase downloads of iPhone app
 Improve download speed of the...
 Collect useful Feedback
 Increase traffic from online search results
 Keep clients for longer duration on the site
 R...
need
Seeking
information
evaluation
of
alternatives
purchase
use
Post
purchase
behavior
Sustain old customers, attract
new...
Awareness
Bounce rate
Landing page
First visit
Single page visit
Traffic source
Unique visitors
Interest
Direct tra...
Awareness
# fans
#posts
Post reach
Total reach
Interest
Growth (%)
Traffic to
website
Purchase
Other actions
Talkin...
Awareness
# followers
#Tweets
Tweet
Impressions
Interest
Growth (%)
Traffic to website
Profile Visits
Purchase
Other...
Awareness
Views
Interest
Traffic to website
Audience
Retention
Purchase
Other actions
Subscribers
Shares & Share
Rate
...
Awareness
Frequency of use
Interest
Number of
downloads (and
upgrades)
Unique sessions
Time spent per
session
Growth R...
Return On Investment -ROI = (Derived Value
- Investments)/ Investments
Funnel Visualization
End Action Rate=%Searchers/...
 Enterprise (Social) Listening Platforms- ELP
 Text Mining/Analytics:
 Platform API (Application Programing
Interface) ...
Digital Marketing - Sephora Case
Digital Marketing - Sephora Case
Digital Marketing - Sephora Case
Digital Marketing - Sephora Case
Digital Marketing - Sephora Case
Digital Marketing - Sephora Case
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Digital Marketing - Sephora Case

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Digital Marketing - Sephora Case

  1. 1. Βούρτση Κωνσταντίνα - M5AΠ1815017 Δόγια Δέσποινα – M5AΠ1815014 Χαϊδεμενάκη Στυλιανή – Μ5ΑΠ1815038
  2. 2.  1000 stores – 23 countries › 450 in USA & Canada  In metropolitan areas & shopping malls  Partnership with JC Penny exclusive beauty retailer  288 brands, over 20.000 products › Prestige brands except for Chanel & MAC  Target group: 25-35 year old women  Pricing: MSRP  Promotion: samples, 2 discounts events each year (loyalty card)
  3. 3.  Sephora.com › 30% of the U.S. online market  Beauty Insider Program › 15 million customers signed up › 80% of Sephora’s sales  Facebook  900.000 fans  Beauty Talk – Q&A forum  Twitter 100.000 followers  Online Video/ Youtube › UGC and Professional videos  Mobile initiatives › WAP – optimized for mobile users › iPhone application
  4. 4. Pros  21.000 products  Discounted mass-market products and prestige brands – beauty “superstore”  Strip malls & easy parking  Full- service salon  Extended target group 44+ women  tend to be more loyal  Approachable & in style personality › Considered as “more down to earth” Cons  No niche makeup brands  “Off-mall” locations  Less retail stores  Less loyal customers (only 7 million in loyalty program)  Weaker digital presence › E-shop & Social media  No mobile offering in 2010  “Fast follower” of Sephora › 29% market share
  5. 5. Pros  First to have active review boards  posting reviews on amazon for products bought on Sephora  Cheaper prices  Variety of products  Recognition Cons  Not expert in Beauty retail products (low variety and stock)  No retail shop › No possible product testing and experimentation  No loyalty program
  6. 6. Pros  Deep discounts in luxury brands – “flash sales”  Prestige brands not available at Sephora Cons  Only online shop  No mainstream brands  Deep discounts only for a short period  Limited stock
  7. 7. Pros  Convenient  Brand expert employees  Variety of product categories Cons  Not expertised in Beauty products  Limited line products  No online shop  No digital presence
  8. 8. Strengths  Strong brand recognition  Positioned as an expert in beauty industry  “top of the times” products  customers willing to pay more  Private label products – value for money  Open sell, self-service in store setup  Fun & party atmosphere, no pressure to buy, free trial  Animations – Coordinate messages both offline and online
  9. 9.  The biggest online beauty website  Reward program – VIB  Engaged & Loyal customers  Strong content – Talk about things people care  Free samples (on-line and off-line)  Online search advertising (googleAdwords)  traffic to website  Strong presence in social Media  Mobile iphone app  Integrated exprerience
  10. 10. Weaknesses  No retail stores in rural areas  Not every prestige brand (e.g. Chanel, MAC)  Small staff size  No saloon experience  No discounts  Some app features slow to download  No android app
  11. 11. Budget Category Description/ Programs 2011 Budget Allocation Video Production (professional Sephora videos) •positioned as expert advisor •balance between Sephora’s and UGC videos •More “how to” videos cross selling 100.000 (10%) Video/YouTube Advertising •Trend: less reading - more video viewing •Attract new customers •Enhance repurchase •Inform for promo, services, events 100.000 (10%) Video Contest •Take advantage of the UGC video to create content •UGC videos boost credibility of products •Brand engagement 50.000 (5% )
  12. 12. Budget Category Description/ Programs 2011 Budget Allocation Facebook Development •Maintain our strong presence •Continue promotions 50.000 (5% ) Holiday / Viral Promotion •Maintain buzz •Catch attention •Enhance seasonal sales 50.000 (5% ) Social Partnerships •Partnership with a women’s block or site •Sharing audience •Boosting digital presence 150.000 (15%) Mobile •90% of our clients use i- products •Expand and improve iphone app •App for ipad 250.000 (25%)
  13. 13. Budget Category Description/ Programs 011 Budget Allocation Store Kiosks •Boosts in-store experience •Ability to compare products, prices •Ratings, reviews, information •No need for more staff or further training 150.000 (15%) Twitter •Strengthens social media presence •Drive traffic to website, youtube •Not everyone has FB profile •Promotes events and contests 50.000 (5% ) Beauty Talk •Promote the forum and blend it with FB •Improve platform’s environment 100.000 (10%)
  14. 14. Print Catalogs  Half length catalogs  2 times/year Direct mail pieces  email
  15. 15. On Facebook:  Lack of archival capacity › Same questions over & over again › not easy way to save & query responses  Not recognition of “superusers”  No way to mask a client’s identity  24% of respondents said yes!
  16. 16. Q & A forum Strong search functionality Safe and private environment Recognition of “superusers”  “beauty master”, “beauty heaven”, “VIB” “Superusers” become opinion makers Enhance credibility, brand engagement & loyalty Opportunity to provide a wealth expert advice
  17. 17.  Create a banner on Facebook for direct registration to Beauty Talk  Use links in Beauty Talk to the other social media pages How to blend it with Facebook? How to promote the forum?
  18. 18. need Seeking information evaluation of alternatives purchase use Post purchase behavior Promotion activities, Advertisment, Social Media, Website, Beauty Talk, E-mails, Mobile app Social media, Mobile app, Website, Beauty Talk, E-mails, In store, Promotions (catalogs), Advertising Social media, Beauty Talk, Website, Mobile App, Promotions (free samples), In- store (trial) Retail store, Website, mobile app Social media (how to videos), Beauty talk, Website, Retail store Social media, Beauty talk, Website, Mobile app, Retail store
  19. 19.  Growth of website visits among current and new users  Valid and timely update of product information  Improve and refresh the functionality and design of the context  Constant monitoring and derivation of website statistics
  20. 20.  Raise of customers loyalty  Customer relationship management- identify most profitable customers  Provide users with perks and rewards  Regular communication with clients by email  Coordination of all digital media for an integrated strategy  Contribution in promotion acts and synchronization of media in a digital campaign › statistics of preferences and profile of online beauty shoppers
  21. 21.  Enhance page functionality  more search filters  No 1 online community for anything beauty related  Maintain balance between responses of sephora experts and other members of sephora’s community  Encourage user participation through gifts and rewards  Collect useful Feedback
  22. 22.  Increase number of fans  Raise reach per post  Active management and consistent presence  Organization and constant renewal of the content of the page  Redirect user to the official website  Immediate response to messages or to user complaints addressed directly to the company  Encouraging more users for active presence and participation  Continuous rewarding of super-users  Collect useful Feedback
  23. 23.  Increase the number of followers  Engage followers  Expand reach and create buzz  Redirect user to the official website  Make followers to republish promotions, messages and information about the brand or products  Collect useful Feedback
  24. 24.  Organization and constant renewal of the company's channel  Emphasis in counseling and in promotion of the brand  Combination and balance between Sephora’s and UGC productions  Increase number of shares, embeds and referrals from other Videos in Channel
  25. 25.  Optimization of Website’s mobile version (customized)  Increase downloads of iPhone app  Improve download speed of the various features of the app  App - Functionality that facilitates mobile purchases  App development suitable for iPad
  26. 26.  Collect useful Feedback  Increase traffic from online search results  Keep clients for longer duration on the site  Reduce returns  Lowering call center visits  Encourage repeat visits  Enhance communication between clients  Consolidation as the main platform for ratings and reviews regarding the products of Sephora
  27. 27. need Seeking information evaluation of alternatives purchase use Post purchase behavior Sustain old customers, attract new customers, offer integrated experience(fun, innovation) Brand awareness, feedback (beauty talk, social media), UGC videos, in store traffic Strengthen brand image, in store traffic, strong online presence attract new customers, growth sales, brand name awareness, online & offline traffic, customer service Added value by content in social media, site & beauty talk, customer service Low regret, consistency, re- purchase , customer service, WoM
  28. 28. Awareness Bounce rate Landing page First visit Single page visit Traffic source Unique visitors Interest Direct traffic Average time on site # Pages per visits Single page visit Bounce rate #Scroll down-up clicks Click path Visitor recency Depth visit Visit duration First visit Return visitor New visitor Purchase Other actions Downloaded content Registrations # clicks / link Sales volume shopping cart abandonment rate Convertion rate Re-purchase Repeated actions WoM Repeat visitors Sales per customer
  29. 29. Awareness # fans #posts Post reach Total reach Interest Growth (%) Traffic to website Purchase Other actions Talking about (likes, comments, shares, votes or events, check- ins, number of new fans) Engagement Posts per day Response time Response rate Re-purchase Repeated actions WoM Talking about (likes, comments, shares, votes or events, check-ins, number of new fans) Response time Response rate Amplification rate = shares/post
  30. 30. Awareness # followers #Tweets Tweet Impressions Interest Growth (%) Traffic to website Profile Visits Purchase Other actions Mentions Tweets Linking to you Engagement Rate Favorites Replies Link Clicks Re-purchase Repeated actions WoM Mentions Engagement Rate Retweets Amplification rate = retweets/tweet
  31. 31. Awareness Views Interest Traffic to website Audience Retention Purchase Other actions Subscribers Shares & Share Rate Coverage, Links & Embeds Likes / dislikes Favorites Re-purchase Repeated actions WoM Referrals from Other Videos in Channel Comments Favorites Likes / dislikes
  32. 32. Awareness Frequency of use Interest Number of downloads (and upgrades) Unique sessions Time spent per session Growth Rate Application loading time Length per visit Behavior flow Purchase Other actions User retention and Churn rate Convertion rate Transactions (redemption and purchases) Re-purchase Repeated actions WoM Number of app user reviews Avg. customer rating – Like reviews
  33. 33. Return On Investment -ROI = (Derived Value - Investments)/ Investments Funnel Visualization End Action Rate=%Searchers/% Active Users
  34. 34.  Enterprise (Social) Listening Platforms- ELP  Text Mining/Analytics:  Platform API (Application Programing Interface) tools › Facebook Insights: Sephora can constant monitor its page on Facebook › Tweet Reach: measuring tool evaluate tweets posted (#Sephora), tweet volume, access, cost, accounts who have read or retweet the post, what can affect users about Sephora and its products  Site analytics Solution

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