Valued at more than $500 billion, the beauty industry has scaled drastically over the last decade, becoming more innovative and competitive, with many brands finding unique techniques to own the customer journey. With a vast number of categories falling under the umbrella of “cosmetics & beauty” and a large number of retailers wanting a piece of the “beauty pie”, it became a highly competitive industry.
During the lockdown, more brands started investing in chatbots, artificial intelligence (AI), and big data to gain information about their customers and build loyalty. According to a Gartner study, 60% of businesses worldwide have already deployed AI, and they expect to double the number of data automation and AI projects within the next couple of years.
With such a big number of cutting-edge technology options available on the market, the question for business leaders is how to leverage this data wisely—without invading everyone’s privacy—to build a long-lasting relationship with customers.
How to deliver what consumers want and need; pairing advanced technology with old-school business practices to keep current customers satisfied—and create new ones in the process?
Whether companies like it or not, our community interact with artificial intelligence every day. Companies like LivePerson and Foursquare create more personalized and relevant experiences by building innovative applications that bring customers in and keeping them engaged.
Customers, who click on personalized recommendations, are 4,5x more likely to finish the purchase. Finally, 31 % of the revenue on e-commerce, is explained by product recommendations.
As a Digital Beauty Advisor Platform, Revieve takes their product feed and technology to the next level. At Revieve, we gather real-time data from skin analysis of the user's selfie image to instantly provide detailed diagnostics and individualized product-matching offers. To further personalize the recommendations, the product recommendation engine considers the users’ personal information, as well as own preferences and concerns regarding their skin and product consumption.
Today’s brands are all about personalized experiences. Activities that were once as singularly oriented as cycling and buying skincare treatment now offer an entire ecosystem of experiences that span everything from gym sessions and at-home services to in-store and large-scale events.
Creating an experience both in real time and online can be tricky for most businesses, but Sephora, for example, is succeeded in that sense. Bridget Dolan, the senior vice president for Omni Experience and Innovation at Sephora says: “The panel audience that it comes down to leveraging smart technology that gives customers the confidence not only to look great, but also to have the tools to re-create their experience in their own home.”
When customers shop online, Sephora utilizes a “virtual artist” to help clients “try on” makeup and teach them how to create the same look on their own skin.
According to a study by The HydraFacial Company, 80% of consumers follow a consistent skin-health routine. However, given that they rate their treatment as only 6 (on a 10-point scale) indicates they aren’t quite satisfied.
The newly launched HydraFacial Skin Health Assessment takes all factors of skin health into consideration with a series of easy-to-answer questions, and it provides a personalized plan.
“We understand consumers value simplicity and personalized experiences, and our Skin Health Assessment allows us to start a conversation with consumers before they even step foot in a provider location,” Fawcett adds.
Understand your customers' skin progression with Revieve’s AI Skincare Advisor. Based on results and data from the wish list of consumers' profiles, you would be familiar which personalized rewards are of interest and useful to your specific customer.