A.S. Watson Uses Predictive Modelling to Deliver Successful Product Launches
A.S. Watson Group has worked closely in partnership with brands to help them penetrate specific demographics or enter new markets. Recently this has included Jeffree Star Cosmetics launching exclusively at ICI PARIS XL in Europe, while in Asia we saw a continuing long-term partnership with Maybelline at Watsons Thailand. Both of which, led to a successful and targeted result.
Malina Ngai, A.S. Watson Group Chief Operating Officer says, “At A.S. Watson, due to our extensive global knowledge of the beauty industry and CRM data, we are able to help niche brands like Jeffree Star and major brands including Maybelline launch products onto the market. Using our integrated online and offline model, this allows us to create these types of brand partnerships to specifically target and engage the right customers.”
Long-term Partnership with Maybelline to Personalise Offers
L’Oréal and A.S. Watson Group have developed a long-term partnership working together to drive sales and give customers even more reasons to buy into makeup at Watsons, and aims to regularly offer the best and most relevant deals to their target customers. In 2018, Watsons Thailand partnered with Maybelline on a year-long CRM programme.
Supported by the A.S. Watson DataLab, the Group’s customer intelligence team, this campaign was designed to communicate offers to relevant customers through electronic direct mail (eDM). Watsons targeted members in three phases in order to recruit new category shoppers, grow each customer’s basket value and engage customers in new product offers.
To ensure the campaign leveraged data insight to target the right members, Watsons used a three-stage approach to accurately identify customers and ensure they were provided with the most attractive offers. This 3-stage campaign saw over 3.5 million emails delivered to members, attracting over 170,000 customers to buy into the brand. This targeted and focused approach saw double-digit percentage of the brand’s sales directed attributed to this campaign. In addition, Maybelline’s sales and the number of members recorded double-digit growth compared to the previous year.
Geoff Bellingham, General Manager, Consumer Products Division, L’Oréal Thailand said, “Two of the biggest challenges a brand faces are acquiring new customers and then having those customer shop again with the brand. Our Watsons Thailand CRM programme allowed us to successfully achieve both of those goals for Maybelline. All customers and especially beauty shoppers want relevant, more personally curated offers and this partnership was carefully created to ensure the right offers for right people. The activity is just one example of the close and successful collaboration between Watsons and L’Oréal.”
Jeffree Star Cosmetics Powered by Predictive Modelling
With social media led beauty brands taking over the industry, ICI PARIS XL were delighted to launch the world-renowned beauty influencer Jeffree Star’s cosmetic range in November 2018 exclusively to customers in The Netherlands and Belgium.
To launch the brand to its customers, ICI PARIS XL created a digital campaign to target the customers whose data and insight profile indicated they would love this exciting new brand, as well as looking to capture new customers who would be interested to be part of the Jeffree Star phenomenon. The digital campaign was created to specifically target those under 35, as this is the brand’s core target market.
Predictive modelling was used to identify and communicate with members who had a high tendency to shop new makeup brands and trends, and these received customised emails announcing the launch, bringing the social media personality to life, as well as highlighting hero elements of the cosmetics range. This very targeted approach saw over 300,000 customers receive personalised emails, leading to an open rate of 25 per cent. Following this 40 per cent then visited the brand’s page on the ICI PARIS XL website with the result that 70 per cent of members under 35 bought into the range during the launch period.
Jeffree Star comments, “Following the success of my brand in the USA, I really wanted to extend my brand’s reach into Europe. A.S Watson has been an amazing partner, providing me with an efficient distribution platform as well as the tools to be able to target my fans and beauty lovers that like to create bright, fun and innovative beauty looks.”