The aim of this paper is to discover how Sephora has developed its power of attraction, the loyalty of its customers and prospects by setting up sophisticated and personalized customer communication strategies. Sephora is a division of Moet Hennessy Louis Vuitton (LVMH), the world's leading luxury products group. LVMH luxury brands express the most refined qualities of Western "Art de Vivre". The mission of the group is to symbolize the elegance and creativity throughout its products and the culture it represents blending tradition with constant innovation. The philosophy of excellence and innovation at the heart of LVMH reflects directly in the spirit of Sephora. Sephora is the leading retail beauty chain in Europe. The first store was opened in France in 1969. It was a new concept of free access to the products. In 1979, ten new stores were opened in France. Few years later, the stores were bought by the British Boots. In 1994, the company chose the name Sephora for all the stores and in 1997 Sephora was acquired by LVMH. Sephora opened its first US stores in New York in 1998, in Canada in 2004 and has recently expanded in China.
Tags: Sephoramission, Sephora CRM, Sephora CRM analysis, Sephora marketing strategy, CRM in sephora
[...] For example, Sephora sends regular mailing following the RFM segmentation to promote some brands Customer Intimacy Customer Database Development Sephora has launched its loyalty program in 2003 in order to intensify and optimize its customer's relationships. Moreover, thanks to this program, Sephora's aim was to increase its activity in a fast, sustainable and efficient way and regarding the Sephora concept base. Data mining In March 2006, Sephora had 2,4 millions of loyalty card holders in France. The group calls on an external provider: E-laser which is responsible for point's management. [...]
[...] For example, by offering a present for customer's birthday, Sephora increases sales opportunities when the customer comes to the stores to have his present CRM strategy A wide range of services Customers go not only in Sephora to buy a perfume or an accessory, but also to enter in a space consecrated to the beauty and the cares of the body. Even if the Sephora's concept is based on open-sell stores, a wide range of complementary services are available in order to make the customers in a special ambiance: relaxation, beauty care, privilege The gift token: Sephora sell some gift token to the value of or The beauty care diagnosis: the customers can benefit from free personalized skin diagnoses which allow them to have beauty care advices adapted to their needs. [...]
[...] With sephore.com, Sephora wanted to deliver a branded shopping experience for beauty products that would offer high quality regardless of the channel (stores, catalogs, web, phone or email) and build valuable relationships with its customers. Since the launch of sephora.com in 1999, the company has been offering the largest and most diverse selection of beauty products on the Internet, with more than 10,000 products and hundreds of brands. Sephora.com has become the leading online retail beauty site in the US, delivering more than 20 million pages monthly with a high level of performance. [...]
[...] Tax refund of Sephora proposes to its foreign customers a tax discount of 15% if the customer is not European and if he buy for more than the same day. The loyalty card Sephora offers a loyalty card to some targeted customers. To begin, the customer fill a membership form, send it back and receive its loyalty card with a welcome gift and a bonus of 25 points. The principle of the card is based on points, is equal to 1 point. [...]
[...] Customer Portfolio Analysis Swot Analysis Strengths First, Sephora concept is an open-sell environment where people can touch and try the products. Moreover, Sephora provides a wide range of services: beauty care diagnosis, make-up, Nail, eyebrow, smile and hair bars Then, sephora.com is the leading online retail beauty site in the US, delivering more than 20 million pages monthly with a high level of performance. Finally, Sephora has developed a strategy to retain customers and make them loyal: the Sephora loyalty card with rewards and advantages. [...]
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