American Marketer

Retail

Sephora, Net-A-Porter, Nordstrom ranked as leaders in personalization innovations

September 18, 2017

Sephora customers are treated to a host of personalized features. Image credit: Sephora

 

LVMH-owned Sephora is ranked as the top customer experience provider as it continues to stronghold the digital and in-store retail experience, based on what its audience wants.

The beauty retailer is finely in tune with what its audience finds exciting and is making the customer experience more enjoyable and convenient, earning its spot as Sailthru’s top brand in its Personalization Index rankings. Net-A-Porter and Nordstrom also rank in the top five, but mass-market brands and startups are holding the majority.

Increased personalization
Sailthru’s findings show that the digital retail world has paved the way for those who get it right to dominate in customer experience. For instance, JustFab, Walmart and eBay make up the rest of the top six brands, likely due to their strong focus on digital convenience.

Sephora sits at the top with a total score of 79, with its Web site earning 29, email 26, mobile 11 and other 13. Sailthru signifies Sephora’s success to its “assisted self-service” philosophy, and saw double-digit growth in 2016.

Its personalization tools go far beyond traditional retailers, catering to the individual based on exact skin type and tone, eye and hair color, as well as interests.

For instance, Sephora encouraged peer-to-peer communications through the launch of its recent Beauty Insider Community.

Sephora is starting a conversation via its Beauty Insider Community. Image credit: Sephora

Instead of spurring a dialogue between brand and consumers, as many marketers often work towards, Sephora took a different approach to generating conversation among its enthusiasts. The beauty industry relies heavily on peer recommendations, and consumers often put more stock into influencers and friends’ opinions rather than brands themselves, making Sephora’s Beauty Insider Community an accurate read of current trends (see more).

Digital department stores
Net-A-Porter’s personalization efforts focus on the brands, designers and styles of interest from the customer. Based on an intensive customer survey, the digital retailer shares recommendations and “How to Wear it” guides.

The high-end retailer has scored a 64, managing to balance its luxury experience with a highly tailored and innovative shopping platform.

Department store Nordstrom has been able to recreate its focus on customer service that was prevalent in its stores to an online presence. Intertwining editorial content on mobile and digital, the retailer has grown its online sales as a major driver of its total revenue.

Sailthru notes that its digital strategy focuses on detailed customer reviews, a word cloud of customer comments and informative accurate fit and sizing content.

For instance, Nordstrom ventured into the world of digital publishing with the release of the first issue of its new online magazine, called simply “n.”

N.'s Issue 01. Image credit: Nordstrom

The digital publication is a combination of editorial and catalog aspects, bringing customers not just images and prices of new products, but also putting those goods in the context of outfits and seasons. Nordstrom joins the many upscale retailers who now publish their own digital magalogs (see more).