Challenge

Given how competitive the beauty industry is, DIME recognized that while they could leverage built in audiences of their brand partners to help them acquire new customers, there would be a real challenge to continue to bring customers back and their success in retention would be the pathway to long-term success.

The brand understood how important their most loyal customers could be in terms of repeat purchases, but also as brand advocates in their own social communities. In order to appropriately reward and engage their most loyal customers, they first need to be able to easily identify them and treat them as true VIPs with timely rewards, personalized communication and convenient experiences.

However, to achieve this type of retention-first personalization at scale DIME needed to be able to access real-time insights, all in one place and work with a strategic partner to amplify their strategy. Previously, the brand used multiple sources and “DIY” evaluation strategies from various platforms — it was simply not a reliable, repeatable science.

Solutions

By leveraging Yotpo solutions’ unified data, DIME could evaluate their customers effectively. It also means they were able to identify their most engaged and profitable customer: an active Loyalty member subscribed to SMS who has purchased from more than one collection type.

By first understanding this information, DIME was able to partner with their strategists at Yotpo to identify this most valuable audience and build a more tailored communication journey for these customers to promote repeat purchases and cross-category adoption as well as work to curate similar behavior in even more customer cohorts.

DIME found the unique synergies available in Yotpo with the connected platform to be extremely powerful; not only to personalize communication, but ability to personalize at scale. DIME was able to reach out directly via SMS to collect meaningful UGC post-purchase and learn even more about what their customers love and why. Additionally, with their loyalty audience top of mind, they worked with their Yotpo strategists to create a network of flows tailored for loyalty audiences, letting them know about VIP upgrades, available loyalty points to redeem and building out early access campaigns for new product launches to this audience.

Results

With unified customer data, DIME’s segmentation and tailored communication efforts are simple to execute. In fact, DIME has already seen a major lift in ROI on texts tailored to their loyalty members. “We know that those customers like to hear from us, and our SMS campaigns just kill it every single time conversion-wise. Having that communication channel available with our most loyal customers has been a game changer for us,” says Salomon.

The brand has multiple versions of their abandoned cart flow: (1) Customers receive a discount to bring them back. (2) Eligible loyalty members can redeem points on their abandoned cart.

This strategy, which is only possible with the Yotpo Platform, has paid off. DIME consistently sees 130x ROI on this flow, win-back flows, and redemption reminder automated flows, which are triggered by preset events DIME has created these bespoke experiences given the ease and effectiveness of their SMS marketing campaigns.

DIME’s increased loyalty engagement has also prompted an increase in active redeemers. Redeemers are spending, on average, $60 more than non-redeemers. And, 70% of the brand’s loyalty members are subscribed to SMS. DIME learned that when they engage a loyalty member via SMS, these customers are twice as likely to redeem loyalty points and, on average, purchase 3x more a year than loyalty members not subscribed to SMS.

With the unified data that comes with interconnected solutions, DIME has increased their repeat customer rate by 38% — bringing them to a 55% RCR overall (and still moving upward).

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