Category: Case Study
Vertical: Beauty & Cosmetics
Est. Read Time: 2 min

 

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Since 2011, Boutique Etiket in Montreal’s Golden Square Mile has been helping people find the best products for their skin. Etiket provides superior service to customers in the market for results-oriented skincare products, makeup, niche perfumes and other beauty products. They also offer a number of spa services ranging from facials to spray tans. Forging relationships with customers is a crucial part of this independent business, however a loyalty program had never been considered until their customers started asking for one. 

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Challenge

For Etiket founder Simon Tooley, proper service and good relationships are the lifeblood of his business. “We don’t focus on sales, we focus on helping people achieve healthy skin, and our customers sense this and trust us,” says Tooley. Through the use of e-mails, their blog, and personal touches like adding hand-written notes to online orders, Etiket focused on educating customers about skin care and successfully positioned themselves as a go-to destination for expert advice.

While the company developed a strong brand and a sizable group of regular clients, they still wanted to do more to encourage people to visit the store more frequently, and explore their other services. "Many times, people came to the store to find a really great perfume, but then they forgot about us,” explains Tooley. “We wanted customers to discover our spa services and try new products.” However, it wasn’t until his customers began asking his staff about discounts or rewards for their patronage that he began to search for a loyalty solution. "In my experience working for big retailers, loyalty solutions were complex, expensive systems for major enterprises. I never knew a flexible and affordable solution existed for independent stores like mine,” said Tooley.

 

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Solution

After being unable to find a loyalty program for small businesses, Tooley found Thirdshelf in 2015. Customers of Etiket now have just what they were requesting: a points-based program that enables them to receive rewards. For each dollar spent, members receive one point. When they reach certain point thresholds, they receive rewards such as free gifts or services. Shoppers are keen to join the program, and Etiket’s membership, or contactable database of customers, grew by 131% in the first year alone – which Tooley attributes directly to customers wanting to join the new loyalty program.

Tooley also got everything he was looking for: a solution that encourages repeat visits, new product trials, and helps him stay in contact with his customer base. In addition to the loyalty software, Etiket uses Thirdshelf’s built in e-mail and SMS tools to let customers know about new products and in-store events, and because Thirdshelf is directly tied into his POS, he can see that his offers and campaigns have directly contributed to a 5% increase in overall sales.

Results

Easy-to-use e-mail tools that boost sales
While many of Etiket’s promotional email campaigns revolve around in-store giveaways with no purchase necessary, e-mail marketing has become a serious profit-driving tool for Etiket. For example, customers are invited to come get a free tote bag and demo a new skin care product.

Results of one recent email:
8% conversion rate
25 people redeemed the offer
$2100 in direct sales as a result of the email (in 2 days)

Tooley says that customers who come to redeem an offer feel like they’ve been invited into someone’s home. Without being pushed, they feel open to discovering new brands, and they usually buy something.

“It takes my team and I less than an hour to come up with an idea for an email campaign, to draft it in the system and send it out in French and English,” mentions Tooley. “With Thirdshelf, we don’t have any back and forth with a content agency. It takes us 15 minutes at my desk to create the email and add visuals. The time saved is quite significant.”

 

“I know Thirdshelf is working because after each email, which takes no time at all to create, I see sales increase days later.” — Simon Tooley, Owner, Etiket

 

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A growing database of customers
The new loyalty program has helped Etiket dramatically grow its database, however, it’s how they use their list of customers that makes all the difference. “Face-to-face meetings are so important for us. Having the tools to connect and invite customers back into the store is what has made all the difference,” explains Tooley.

He also emphasizes that the points program is never used as a sales tool: at the checkout, new customers are offered 10% off if they sign up with their email, not before. “We reward customers for shopping with us and give them an option to join our Etiket Insiders Club, but we don’t use points to push them to buy – that short term focus on driving sales isn’t the best way to build trust.”

More profitable relationships
Etiket uses their Thirdshelf loyalty marketing tools to encourage customers to try new products and services, and it’s working. “Now that we have this great channel to invite them back to the store and a points program that rewards them, they’re more interested in trying our other services, such as spray tans or pedicures. When we build that trust, they’re more open to discovering everything we have to offer,” says Tooley.


“The more relationships we have, that is, people we’ve met and people whose purchases we can track and understand, the stronger our business.”


Ease of use
Staff at Etiket were able to learn how to use Thirdshelf and get customers signed up within one day. “The staff love it. Redeeming an offer is literally as easy as clicking one button on our point of sale checkout screen.”


About Etiket
Etiket is a luxury retail destination providing the best in skincare and beauty products, as well as exclusive perfumes and accessories including a range of unsurpassed aesthetic services. 

 

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