126% Increase in Campaign Revenue After One Month

The Brief

Droplette, a premium skincare brand in the Health and Beauty Industry, was experiencing significant success with a substantial monthly revenue. However, they were noticing that subscribers were dropping off considerably within four months of using their product, highlighting the need to prioritise retention and increase their Customer Lifetime Value (CLV). Seeking to capitalise on low-hanging fruit in retention, Droplette enlisted the expertise of Blend to analyse their current state, identify areas of improvement, and implement strategies to boost CLV.

 

Droplette's primary challenge was to address the drop-off in subscribers at the fourth month and improve customer retention. While their acquisition strategies were performing well, there was untapped potential to unlock more value from existing customers. Blend's core objective was to increase the Customer Lifetime Value by leveraging data-driven insights, personalisation, and targeted initiatives to drive customer engagement, loyalty, and repeat purchases.

How Blend helped

Blend's strategic approach involved utilising two essential frameworks: the Simplify, Optimise, Innovate (SOI) process framework and the PECTI prioritisation framework. 


The SOI framework ensured a methodical approach, focusing on simplifying the user experience, optimising existing features, and innovating with new strategies. The PECTI framework ranked initiatives based on factors such as proof/confidence, ease of implementation, cost, time to see the impact, and potential impact, guiding the team in selecting the most effective actions with the quickest return on investment.

 

One of the key areas Blend advised on was the onsite subscription process. Conducting a comprehensive audit, we identified pain points and quick wins. We discovered that the lack of options for one-time purchases deterred customers who didn't want a subscription. Additionally, the subscription durations didn't align with likely usage patterns, leading to customer confusion. To address these issues, Blend recommended offering clearer options for one-time purchases and aligning subscription durations more effectively.


We also observed that visitors to Droplette's website needed more guidance in understanding the brand and its products. The technical and jargon-heavy website copy lacked a focus on the benefits the products could bring to customers’ lives. To improve this, we suggested rewriting product page copy using a problem-agitate-solution (PAS) framework to emphasise how products addressed customers' pain points. Detailed FAQs were also recommended to address common concerns identified through message mining and customer feedback analysis.


Furthermore, Blend identified the need to guide new visitors through a user journey tailored to Droplette's unique skincare solution. We recommended a revised approach that first educated potential customers about Droplette’s skincare products and then guided them to identify their needs before attempting to get a purchase from them. Additionally, we advised to streamline customer account management to address the lack of a clear path for existing customers to manage their subscriptions.
 

Finally, the need to optimise the customer journey through Droplette’s email marketing channels was just as crucial. As it stood, Droplette’s customers were spending a considerable amount of money via email campaigns and flows, but it was obvious that these customers were probably not going to stick around for the long-term. Email messaging was too focused on immediate gains rather than on nurturing customer relationships through education and personalisation - two useful tools that were imperative if Droplette wanted to make the switch from customer acquisition to retention. 

 

Upon analysing Droplette's email marketing practices, Blend identified an opportunity to drive significant improvements in customer engagement and revenue. By implementing educational and targeted, hyper-personalised email campaigns and flows through Klaviyo, Blend achieved remarkable results within just one month.


After having redesigned their email template to be appropriate for multiple use cases and consistent with the brand's website, we turned our attention to email campaigns and flows. We implemented 6 Core Flows with a focus on customer retention and an emphasis on maximising the Customer Experience (CX). In addition to improving metrics and increasing overall revenue from flows, these flows continuously update and collect new profile properties about subscribers while simultaneously segmenting the list into engaged and unengaged profiles to target for Winback campaigns or suppression, and ultimately, improve overall deliverability, list health, and Customer Lifetime Value. These flows, along with regular optimisations and A/B testing encourage a higher CLV. 


Thanks to Droplette’s on-site skin assessment, we were able to gather crucial customer profile properties and information that allowed us to implement segmentation in flows and campaigns based on customers’ skin concerns, goals and purchase history. This meant that customers were now no longer receiving incentive-based communication from Droplette, but engaging messaging that helped build trust and meaningful relationships. We created and implemented detailed email flow and campaign strategies with the aim of encouraging repeat purchases, increasing and maintaining subscriptions, as well as education on the brand itself and how it could help customers achieve their skin goals. 

 

What’s more, we partnered with Black Crow AI, a leading tech company that specialises in advanced customer data intelligence and analytics solutions. Their technology extends the tracking capabilities of a website's cookies, enabling us to continue sending targeted Abandoned Cart, Add to Cart, and Browse Abandonment Flows to Droplette users even after the cookie window has expired. This unique capability proved instrumental in re-engaging potential customers and encouraging them to complete their purchases or explore Droplette's products further, leading to increased conversions and revenue for the brand.

The results

After implementing these improvements, Droplette experienced a significant increase in customer engagement and revenue generation compared to the previous month:


✔︎ Flow Open Rates increased by 5% 

 

✔︎ Flow Average Order Value increased by 5% 

 

✔︎ Flow Revenue increased by 18% 

 

✔︎ Campaign Revenue per Recipient saw a remarkable 148% increase 

 

✔︎ Campaign Click Rates surged by 69%
 

✔︎ Revenue from Campaigns increased by a whopping 126% 

18

Increase in Flow Revenue compared to the previous month

69

Increase in Campaign Revenue Open Rates compared to the previous month

148

Increase in Campaign Revenue per Recipient compared to the previous month

126

Increase in Campaign Revenue compared to the previous month

Seen enough?

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