3 Ways to Create Community in Experience-Driven Retail

I americium an unabashed admirer of nan French omni-retailer Sephora and nan master beauty supplies elephantine Sally Beauty, not conscionable because I americium 1 of their customers — but for really they person positioned their brands done diversification and advanced exertion solutions. As some a CMO and a consumer, I person a unsocial position of really these 2 manufacture leaders person utilized changeless innovation arsenic nan ground of their success.

Sephora has a history arsenic a trailblazer. This was nan marque that pioneered nan try-before-you-buy arena pinch sample-sized beauty products for illustration lipsticks. It was besides 1 of nan first brands to build a website backmost successful 1999. After launching its ain Innovation Lab successful 2015, Sephora moreover led nan usage of augmented reality and AI successful providing virtual constitution and hairstyling. By Sephora's ain definition, digital and invention are portion of its DNA.

Sephora figured retired early that a beingness unit shop exemplary is excessively easy disrupted, but an online-only attraction is excessively narrow. By taking an omnichannel approach, they were not conscionable trading products anymore but experiences. Sally Beauty has taken a akin approach, bringing nan salon acquisition in-store alongside virtual colorist consultations, unrecorded streaming events and user-generated content campaigns.

However, beauty businesses do not needfully request either of these companies' resources to support up pinch nan latest trends. A batch of nan activity connected nan backmost extremity to support maturation tin beryllium addressed by agile exertion platforms.

Related: 3 Effective Engagement Tactics to Help Small Businesses Create Authentic Connections With Customers

1. Use automation to diversify and scale

We learned done nan disruptions to accepted unit during nan pandemic that diversification is key. Brands cannot conscionable beryllium a one-show pony — they request different ways of driving revenue. As consumers progressively look to brands to supply a one-stop shop wherever they unrecorded and play each day, Sephora is nan spot to get your lashes put connected in-store, person your constitution applied, and get your hairsbreadth done, each successful 1 place.

Sally Beauty recognized nan powerfulness of diversification erstwhile it decided to unfastened DIY hairsbreadth salons astatine galore of its locations successful 2023. Formerly nan go-to spot for professionals to bargain their hairsbreadth supplies, nan institution now targets caller professionals and hairsbreadth colour DIYers.

But really acold do you return diversification? It's important to find nan correct equilibrium betwixt innovating and staying successful your wheelhouse. Businesses wanting to connection different in-store experiences should look to package pinch in-built functionalities that let them to standard quickly, specified as:

• Inventory management
• Appointment scheduling/booking
• Marketing/promotions
• Client notes/customizations
• Payment processing/tipping
• Loyalty/membership programs

There is nary request to reinvent nan instrumentality — tech companies already supply customizable options that will optimize evolving business models without creating further strenuous workloads.

Related: Why Automation is Crucial for each Small Business Owners

2. Leverage user information to thrust growth

Automation allows brands to attraction connected customer experience while their chosen level useful successful nan inheritance managing growth. This includes monitoring nan user behaviour down emerging trends daily. For example, if nan latest craze is botox aliases body-shaping, nan solution should person each nan features and functionality to support those services.

Platforms besides request to beryllium integrated pinch membership reward programs truthful they tin usage that customer information to get caller marketing. In my experience, educating our businesses connected really to target consumers and measuring that information connected a accordant ground is crucial. We return nan insights generated connected our level to supply infographics that make targeted recommendations alongside lawsuit studies of businesses that person been successful.

When looking for your ain solution, see platforms that tin provide:

• A marketplace and app geared towards really and wherever consumers are searching.
• Detailed reports that break down which online channels customers are utilizing to make bookings, specified arsenic hunt engines for illustration Google Maps and nan platform's app.
• Trending information that tracks nan fame of circumstantial services, specified arsenic hairsbreadth coloring aliases nail design, complete time.
• Alignment betwixt caller offerings and your existing civilization and branding.

Ideally, you want to leverage SEO to guarantee your business shows up earlier competitors connected platforms specified arsenic Yelp, Apple and Google Maps. Providing data-rich insights will thief businesses make amended decisions and study really to amended usage their chosen level to maximize growth.

3. Focus connected customer retention and recurring revenue

The oft-cited Gartner stat that 80% of early revenue will travel from 20% of existing customers shows nan value of retention to viability and growth. Consumers are simply much consenting to walk pinch companies pinch whom they already person a bully relationship. People are besides consenting to walk much erstwhile they feel portion of an experience. In immoderate customer-facing interaction, a streamlined travel tin heighten retention rates.

One of nan large issues for businesses to lick on that travel is nan anticipation of maximum convenience. For example, accelerated nutrient has historically been celebrated owed to its convenience — but group expect to get moreover healthy food accelerated today. Sephora and Sally Beauty person done a awesome occupation turning that displacement into an opportunity. By allowing customers to get aggregate things done successful 1 place, they person managed to grow but without downgrading their branding.

Related: Sephora Is Putting Customer Favorite Merchandise Behind Lock and Key

Stay successful your wheelhouse

I person a rewards paper from some Sephora and Sally Beauty, and I cognize I'm not alone. We emotion nan free offers, stacking our rewards and plotting what we are going to acquisition during their adjacent sale. But if you are seeking to diversify your ain beauty offerings, understand that for each their precocious exertion solutions, these companies stayed successful their wheelhouse. The quality is they person done this highly well. Similarly, erstwhile businesses let tech to hap successful nan background, they will beryllium free to attraction connected building their ain beauty empires.