esmi Skin Minerals Australia tripled average customer spend, and increased customer conversion with LoyaltyLion

Challenges and goals

The impact of a global pandemic has accelerated the growth of the cosmetics ecommerce market. As people place greater importance on self-care and well-being, skin-care, hair-care, and bath-and-body products have all benefited from an uptick. This has also been coupled with increasing awareness of the impact of cosmetic products on the environment as users seek more eco-friendly products.

Australian brand, esmi Skin Minerals’ high-converting website has grown in leaps and bounds since its migration to Magento 2 in October 2019. Today, it continues to attract high global traffic and maintains a strong customer base.

With more consumers being forced to shop online, cosmetics brands have had to increase digital marketing efforts, from digital PR to working with influencers. This has made a competitive space even tougher.

esmi Australia responded to this challenge by working together with Convert Digital and LoyaltyLion to:

• Increase conversion rates and realize a return on investment quicker by rewarding customers for their loyalty
• Drive customer engagement and loyalty by rewarding customers for their interactions with esmi Australia
• Gathering more reliable insights and using their customer loyalty data to personalize interactions and emails

A loyalty-led solution

Having worked with LoyaltyLion on many projects, Convert Digital knew we were the right partner to deliver on esmi Australia’s goals.

We were selected as the preferred loyalty partner because of the comprehensive customer insights generated and displayed within our platform, our market-leading integrations with Klaviyo and Zendesk and Shopify, and the advanced customization of rewards and activities available through our API. esmi Australia knew that they would receive the highest level of loyalty expertise working with LoyaltyLion.

esmi Australia worked with Convert Digital and LoyaltyLion to build a unique loyalty program that includes:

• An integrated, on-brand loyalty program page with explainer and dedicated URL
• Loyalty points in exchange for completing onsite activities, along with points for custom activities such as subscribing to their YouTube channel
• Program tiers to gamify the loyalty experience and entice customers to purchase often to unlock tier-specific benefits
• Loyalty emails are personalized and automated with loyalty data
• Upgraded customer service experiences using loyalty points to resolve customer issues via integration with Zendesk

Implementation and onboarding

With years of experience in building effective loyalty programs via LoyaltyLion, Convert Digital worked with esmi Australia to:

• Understand their requirements in terms of tiers, points, terms, and conditions
• Select and set up the right advanced features such as Tiers including a hidden tier, automated LoyaltyLion emails, and an Integrated Loyalty Page
• Develop custom rewards via LoyaltyLion’s API
• Design an on-brand and user-friendly loyalty program experience
• With planning complete, Convert Digital then worked with LoyaltyLion on the technical implementation of the program, including UAT and rigorous testing with internal teams.

A dedicated onboarding manager was assigned and provided training on how to manage the program on an ongoing basis. Ongoing support was also provided through a dedicated onboarding Slack channel. This training and support gave esmi Australia’s team the confidence they required to execute loyalty-led marketing campaigns with LoyaltyLion emails and start using customer loyalty data while answering queries through Zendesk.

esmi Australia’s loyalty program was initially soft- launched, then released to all customers with the support of a substantial marketing campaign. The program launched on time and with minimal disruption to the esmi Australia team thanks to the combined loyalty and technical expertise of LoyaltyLion and Convert Digital.

Once live, esmi Australia was given access to priority support via email, and assigned a Customer Success Manager, as the main point of contact, who continues to work with them to keep their loyalty program optimized and delivering on the agreed goals.

Continuous optimization and results

In just 12 months, esmi Australia’s loyalty program delivered:

• Enrollment of 58% of their customer base
• A 2x increase in loyalty program member average spend
• Redeeming members spending on average of 3x more than non-members
• Drop-off rates for first to second purchase of 43% for loyalty program members, compared to 75% for non-members

Via quarterly business reviews and day-to-day sharing of best practices and new features, esmi Australia will continue to work with their dedicated Customer Success Manager to optimize their loyalty program, maximize the return on their investment, and better keep in touch with their customers.

They are among the first stores to implement the latest features from our market-leading integration with Klaviyo, which allows them to use loyalty data and segmentation to trigger emails when a customer has a reward available, moves up a tier, or becomes at-risk.