Bath & Unwind beat the competitive beauty market and increased repeat purchase rates by 62%

62%
increase in repeat purchase rates
24%
of their revenue is generated from loyal customers
65%
increase in customer spend
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Challenge

Recent research shows that 31% of online shoppers buy beauty and cosmetics products every few months. However, currently, Amazon is considered the major destination for shopping beauty and cosmetics online. To compete with Amazon and secure ongoing revenue from their customers, Bath & Unwind’s team needed to focus on building longer-term relationships that would translate into repeat purchases.

Solution

To achieve this, they had to create compelling reasons for customers to return to their site so they built a customized loyalty program that is visible across the site. Customers who become a member of their Rewards Points program can earn five points per pound spent. Once they have collected at least 500 points, they can start redeeming their money off rewards. To ensure that customers would engage with their program, they communicated about how their program works and the benefits of joining by creating an Integrated Loyalty Page. Within this loyalty destination, customers can see all components of the program and the ways to earn more points.

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To increase the program’s visibility and engagement further, Bath & Unwind’s team included a link to the page within their main navigation header. Once the customer has created an account, they can also see their current points balance on the main navigation header, which provides continuous motivation to earn more points. By using LoyaltyLion’s Simple Components feature, Bath & Unwind also opted to display how many points a product is worth on each product page.

Results

As a result of their loyalty strategy, 16% of Bath & Unwind’s new loyalty program members become repeat site visitors. They have also seen the repeat purchase rates of members who redeem rewards increase by 62% compared to non-redeeming members. Today, Bath & Unwind’s team generates 24% of their revenue from their loyal customers.

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