Campaigns to attract new customers are expensive. Sally Beauty decided to look inward, understand its own community and focus its strategy on those who already knew it. The result: more sales, more repeat business and a more profitable business.
Sally Beauty is one of the largest beauty chains in the world, with more than 5,000 stores in 13 countries. In South America, it operates in Chile and Peru, offering hair, skin and nail products under brands such as L'Oréal, Olaplex, Schwarzkopf and Revlon.
On key dates like CYBER, all brands compete for attention. But the difference is not only in the discounts, but in who receives them. Sally Beauty decided it didn't want to rely solely on new customers and decided to build loyalty with those who already knew it. And to do that, she first had to understand them.
Increased revenues
Recurring customer orders
Record sales
The team thought they knew their customers, but as they analyzed the transactional data with Data4Sales, surprises emerged. The pandemic had brought a flood of buyers... but more than 80% of them had only bought once. And worse: 86% of the base was inactive.
How do we develop the customers we already have instead of continuing to invest only in attracting new ones?
The answer was in the data. Knowing how often they should come back to shop, what products they were choosing, how much they were spending, and at what time of day. If 14% of the base was generating all the revenue... what would happen if the rest were activated?
They connected their VTEX store to Data4Sales and activated the Customer Lifecycle Machine. This allowed them to identify who was active, inactive, in first or second purchase, or ready to be reactivated.
Together with Felipe and his team, three key objectives were set:
As the team itself says:
"It was not to stop acquiring, it was to acquire better. But above all, it was to stop ignoring the potential of those who already trusted us."
"With the right understanding of the data, we know and segment our customers. When it comes time for trade dates, we work on developing buyers based on their day-to-day behavior."
