Campanie
General Information:
Strategic approach:
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Context: For Sephora, the acceleration of their e-commerce strategy is not merely a strategic choice but a pressing business imperative. In a rapidly evolving marketplace, staying on top of customers’ minds has become paramount for brands seeking to distinguish themselves amidst the relentless clutter of competitors and to safeguard long-term customer loyalty. Consumer behavior is undergoing a profound transformation. The traditional concept of ownership is giving way to a new paradigm focused on access to products and services. This shift is catalyzed by a rising tide of expectations among consumers, who demand more from brands than just products – they seek experiences, values, and identity. Challenge: Sephora's primary challenge was twofold: low awareness of their e-store as a sales destination while concurrently contending with formidable competition from Notino and Douglas in the beauty market. 1. Low Awareness as a Sales Destination: Google’s Internal data indicated a surge in demand of 15.14% for the Beauty & Personal Care category – though Sephora’s online presence experienced a disheartening 6.52% year-over-year decline, falling below even 2021 levels. Sephora’s e-store was primarily known as a resource for product research, rather than the go-to platform for purchasing. Consumers often resorted to other e-commerce giants, such as Notino and Douglas when making a product acquisition. 2. Intense Market Competition: The Romanian e-commerce market is highly competitive, and Notino and Douglas are dominant players in the Beauty & Personal Care segment. Competing against these established giants required a unique approach to stand out, draw consumers to Sephora’s e-store, and drive sales. Moreover, pricing is not competitive, so we needed to compete on service and total value, not just price. Accelerating their online presence was not just a business objective; it was an imperative to ensure they could distinguish themselves in a crowded marketplace, attract new customers, and secure customer loyalty. Objectives: Sephora aimed to: Achieve a 25% YoY increase of website revenue. Achieve a year-over-year increase in conversions by over 30%. Achieve a year-over-year increase branded search queries by over 15%. Approach: Our approach was not simply about media; it was about a dynamic, data-led strategy onboarded to mitigate a competition that was not manageable in a traditional coverage war. To compete effectively with more formidable retailers, our strategy was built on the foundation of careful selection of battles and harnessing valuable data sources. We recognized the significance of identifying and targeting consumer intent, utilizing insights from Google Trends to remain aligned with shifting demand patterns. We leveraged purchase data from Google Merchant Centre to continuously fine-tune our product offerings, shining a spotlight on star products that resonated most with buyers. This data-driven approach allowed us to make informed decisions and optimizations, ensuring that our strategy was nimble and adaptable. |
Execution:
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