Retailers drill into data for customer insights
October 7, 2015 02:04 PM
Deckers Brands, owner of the Ugg, Teva and Sanuk brands, has enjoyed a surge in e-commerce sales, led primarily by the Ugg brand and with a boost from personalized marketing, the company says.
“That’s one of our biggest growth areas—email personalization,” says Joey Colman, senior marketing manager for e-commerce at Deckers, whose parent company is Deckers Outdoor Corp. Colman, who was at the National Retail Federation’s Shop.org 2015 Digital Summit in Philadelphia this week, attributed part of the growth to Deckers’ year-long use of AgilOne’s customer analytics platform, which lets Deckers analyze certain customer segments on the fly.
Data showed that shoppers buying Ugg footwear, for example, were open to buying a second pair of boots or other footwear within 30 days of their first purchase. That data upended the retailer’s belief that Ugg shoppers bought boots only once every 12-18 months because of the boots’ seasonal nature, Colman says.
Deckers Brands, No. 146 in the Internet Retailer 2015 Top 500 Guide, also owns the Ahnu and Hoka One One brands.
Deckers’ global online sales increased 28.4% to $233.1 million in fiscal 2015, and while Deckers did not report prior-year sales, the growth percentage reported puts web sales at $181.5 million in fiscal 2014.
Women’s apparel retailer Lilly Pulitzer (No. 723) uses AgilOne to identify unique segments of its shoppers, who range broadly in age and style, says Janie Paradis, vice president of marketing at Lilly Pulitzer. Lily Pulitzer reaches its segments with a new program of personalized marketing messages. “We’ve had tremendous success in personalizing our communications with our customer,” she said at the Shop.org conference.
The software also enabled Lilly Pulitzer to learn that shoppers who enter its e-commerce site through the apparel section are more valuable than other shoppers, Paradis says. Shoppers who start in the apparel section of the site often migrate to accessories or small goods and add to their cart, she says. The company can even differentiate how shoppers are migrating through the brand, whether their engagement is on the rise or whether they are in jeopardy of lapsing, she says.
The company also can differentiate when shoppers who previously visited the site via apparel return through another segment, such as small goods or accessories, she says. “It helps us understand the path of purchase and communicate better, and we’re now not afraid to drive people who are shopping online into our stores,” Paradis says.
AgilOne, which charges a monthly subscription fee and requires at least a one-year contract from its retail clients, this week demonstrated its latest feature, a mobile app for retailers to personalize shopper greetings, at the Shop.org conference.
The app lets in-store employees access a shopper’s birthdate, loyalty level, history with the company and other details so they can interact on a personal level, an AgilOne spokeswoman says.