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Copy of Sephora Direct: Investing in Social Media, Video, and Mobil

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karla villarreal

on 23 July 2014

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Transcript of Copy of Sephora Direct: Investing in Social Media, Video, and Mobil

Problem Statement
By:
Sephora Direct: Investing in Social Media, Video, and Mobile

Online traffic to sephora.com
Conversation rate
Number of purchases with online coupon
Number of sephora mobile app downloads
Pinterest Web analytics

Question 3
What are some strategies to become more present on Mexico?


Julie Bornstein, the senior vice president of Sephora Direct, is looking to double the budget for Sephora's social media, video and mobile applications in 2011. She needs to consider which new media platform will have the biggest impact and how to measure that impact to justify spending an additional $1M.
Case
Questions
Question 1
What other social media strategies do you think Sephora should invest on?

Foursquare
Groupon
Shopsocially
Sephora Blog – download article – coupon
Invest on bloggers
Online chat with experts
Video contests on YouTube
Promot Beauty Talk and app on stores kiosks
How to measure ROI (Return on Investment)
for digital marketing and social media?

How to "win" in the digital space
Engage customers by creating emotional connections
Remain innovative and unique compared to its competitors

E-commmerce code from Google Analytics – QR code for each platform.
Happy Hour – exlusive promotion vía twitter
Hubspot
Sephora Beauty Insider registration
UGC (user generated content) on YouTube

How to win more on the digital space?
Reduce print costs.
Keep catalogues but only to the VBIs (Very Important Beauty Insiders)
Buy more online ads than traditional ad to drive traffic to Sephora.com
Should they cut traditional marketing budget to increase it on digital marketing?

Improve conversion rates by making the Web site fast, simple, and easy to use
Offer live online chat
Take advantage of Web 2.0 technologies such as virtual environments
Questions
BACKGROUND
Social Media
Facebook
Twitter
Sephora.com
YouTube
Beauty talk
Mobile app

Started in 1969
• France 1969 - Dominique Mandonnaud
• 1997 - Louis Vuitton and Moet Hennessy
• 1998 – New York City
• “Try the make up on without buying anything
• Science of Sephora
• Sephora.com
o U.S.- 1999
o Can – 2003
• 2006 - JC Penney
• 2007 – Beauty Insider program
• 2009 – V.I.B
• 1,300 stores in 27 countries worldwide,

ROI
Facebook
• In late 2008 they created a Facebook “fan page”.
• By late 2009 had attracted 300,000 fans.
• In 2010 they already had 900,000 fans.
• “Surprise gifts
“Become a Facebook fans and get 10% off your next purchase”.“Sephora Claus”.
• “What color nail polish are you wearing right now?”
Started using twitter in 2009.

• By 2010, 100,000 of users were “following”.
• They use it to spread news about promotions, contests, events and other timely information.

The first uploaded video was in 2007.

• “How to” videos.

• Most popular video “How to Get Smokey Eyes” (1,000,000 of views)

• In 2009 they created an “official” Sephora YouTube channel.

• In 2010, users generated content videos. (makeup tutorials)
1999 with 100 brands
3 millions visitors each month
Online store = higher margins
Free shipping for orders over $50 and 3 free samples.
Sophisticated search and product details.
Young clientele

Question and answer forum
Community
Safe and private environment
Responses from Sephora experts and members
Find the right balance
“Superusers”

Users visiting Sephora.com from their phones
Bridge between the store and the website
Help clients while shopping on stores: reviews
25% used them during the buying process (2009).
1. Sephora.com mobile version
2. iPhone app – 100,000 downloads in the first few weeks
Look up their past purchases
Ratings and reviews, mobile offers, UPC codes

Karla Villarreal
Alejandra Llama
Gabriela Talamás
Alejandra Pimentel

Reduce print costsKeep catalogues but only to the VBIs (Very Important Beauty Insiders)
Buy more online ads than traditional ad to drive traffic to Sephora.com
Question 2
What social media is the most measurable tool?

Should they cut traditional marketing budget to increase it on digital marketing?
Structure
Background
Where they are in social Media
Problem
Solution
Question section
Full transcript