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MAC Cosmetics Case Study – Insider

“Since its inception, MAC stands for unrivalled expertise in makeup and its popularity has grown through a tradition of word-of-mouth endorsements from makeup artists, models, photographers, and journalists around the world. At MAC, we are constantly looking to innovate with new trends and features to make a consumer’s shopping journey memorable! Through Insider we have been able to further strengthen gamification and through the exciting ideas deployed on our website, we aim to be seen as a forward looking brand with a long-term desirability to purchase.”

Karen Thompson

India Brand Head

About MAC.

MAC Cosmetics is a Canadian cosmetics manufacturer that was founded in 1984. The company has been headquartered in New York City since it became a subsidiary of Estee Lauder Companies in 1996.

The company took the industry by storm, offering a wide range of products that blended street savvy with glamorous style and panache. It operates and sells cosmetics products in over 105 countries around the world today.

 

Rather than driving sales through traditional promotional techniques, MAC relied on the integrity of its carefully formulated product line. With over 50 collections hitting the shelves each year, MAC is committed to developing new categories and products to serve the demands of consumers and professional makeup artists. It operates and sells cosmetics products in over 120 countries and territories around the world today.

 

Founded in: 1984

Numbers of stores: 62 across India and online on Nykaa, Myntra, Tata Cliq, Purplle, Boddess and ShoppersStop

Operates in: 120+ countries and territories

Number of employees: +10800 employees

MAC Cosmetics wanted to deliver personalized experiences at scale on their website to target the younger generation of customers coming in.

Through this, they aimed to achieve conversion uplift and increased revenue.

 

Insider offered MAC Cosmetics a wide set of features and tools including ready-to-use templates, gami1ication capabilities, a fast and agile approach, offers and promos support with onsite and offsite scenarios, and algorithm based recommendations for cross sell. By adopting a cross-channel approach, MAC was able to engage their customers across both, the desktop and mobile. This was critical in their decision of choosing Insider.

MAC Cosmentics’ tech stack comprised of an email, live chat and onsite changes.

 

MAC Cosmetics’ parent company, ELC Corp, has had a successful experience working with a number of their brands in Europe. Using the experience with these brands, Insider has been able to adjust the integration model, use cases and solutions to the best possible effect. This made a strong case for choosing Insider.

Journey with Insider 

The Insider team offered support to make the onboarding process as smooth as possible for MAC, and the journey was as follows:

 

“The team at Insider is very helpful and proactive at all times, and always quick to respond when needed. The product has a nice interface, and is filled with so many features that we learn something from everyday. On the whole, we have had a remarkable experience with Insider.”

 

Anaa Peshimam,

Digital Commerce and Marketing Manager India,

The Estee Lauder Companies Inc.

 

ESTEE LAUDER

COMPANIES

Gamification templates for lead collection.

 

Challenge

 Turning anonymous website visitors into subscribed customers is a challenge most brands face. With the lack of an incentive, new customers often drop off without completing the first purchase. MAC Cosmetics wanted an interactive means to get their first-time website visitors to complete the purchase while also improving the lead collection on their website.

Result

 This led to an improved conversion rate of 4.43%, along with a clickthrough rate of 64.95%. They also generated a massive 53,000 leads within just two days of implementing this solution.

Solution

 After going over various options with the Insider, MAC Cosmetics decided to implement the wheel of fortune gamification to engage and incentivize their website visitors. This offers users a chance to spin the wheel to

get a coupon code in exchange for their email address.

 

The discount coupon gave the customers an incentive to complete their first purchase. The wheel of fortune helps convert anonymous website visitors into leads that marketers can nurture into customers in the long run. This proved to be a win-win situation for both MAC Cosmetics and its customers.

Using a simple game to promote a limited time offer.

 Challenge

 MAC Cosmetics wanted a newer, more exciting way of promoting a limited time offer. They wanted to try something they hadn’t done before, which would encourage customer interactions and improve their likelihood to purchase.

Result

MAC Cosmetics achieved a conversion rate of 4.78% and a clickthrough rate of 29.28%.

Solution

The onsite experimentation product, Memory Game, was chosen for this campaign by MAC’s team, upon Insider’s recommendation. This is a simple game to give a fun little experience on their website which will increase the user’s involvement with the brand.

Delivering personalized product recommendations using Insider’s Al-powered Smart Recommender

Challenge

Competition is intense in the cosmetics industry and to stay ahead of the crowd, MAC realized that they needed to show their customers personalized product recommendations to improve its conversion rate and Average Order Value (AOV). MAC was looking for a platform that would enable them to proactively promote complementary products to buyers (cross-selling) across their web and mobile web channels to nudge them on their path to purchase.

Result

The Al-powered smart recommendations helped MAC achieve an add-to-cart rate of 20.56% and a conversion rate of 2.3%.

Solution

Using Insider’s Al-powered Smart Recommender, MAC was able to show its customers relevant product recommendations in real-time. On the product and cart pages, MAC showed the products that were often viewed or purchased together to nurture an interest to buy additional products with the validation of the purchase behavior of other customers.

The company also showed the top sellers to highlight the products that were most trending in the market. By showing products that other customers were also purchasing, MAC was able to nudge a wide range of customers to purchase more

Curating delightful customer experiences by creating an Instagram-like mobile experience.

Challenge

 Today’s mobile using customers have a very short attention span and hence managing to keep them engaged proves to be a challenge for brands. MAC wanted to capture the mind share of their customers by offering delightful experiences to showcase its products.

Result

MAC saw a 11.3% conversion rate uplift for Singles Day lnstory. They were able to generate 7.28% Average Order Value (AOV) uplift and 29% clickthrough rate when it was live on Singles Day

Solution

MAC Cosmetics began using Insider’s lnStory to create lnstagram-like stories to deliver immersive experiences on the mobile web, thus providing a rich visual experience.

Using the lnStory dashboard, the brand was able to showcase its best selling products, trending products, festival and seasonal offers, and a lot more on its mobile website. MAC was thus able to keep its customers engaged on the mobile web for a longer time.

Tackling cart abandonment using Al powered customer journeys.

Challenge

 MAC Cosmetics had its fair share of cart abandonment on the website, and wanted a solution to follow-up with those users to retrieve their carts and drive purchases.

Result

Architect resulted in a colossal 14.45% clickthrough rate and a conversion rate of 16.69% across channels.

Solution

Insider’s Architect, the Al-backed customer journey builder was the chosen solution to improve engagement across channels. Re­ engaging customers who dropped off without purchasing after showing interest in products is essential to drive up revenues. By consolidating data from user behavior across different channels using the Unified Customer Database, MAC was able to create unique customer journeys for each customer for maximum impact and efficiency. This allowed MAC to re-engage with potential cart abandoners and get them to shop by showing personalized product recommendations.

By engaging across both the desktop web and mobile web, MAC was able to establish multiple channels of communication to continue engaging their customers. MAC also set up web push notifications that could target customers even when they weren’t on the website. Building a cross-channel journey helped them target their customers with the right message at the right time on the right touchpoint.

A Bright Future

MAC Cosmetics India, enthused by the gamification options used so far, are looking at experimenting with even more gamifications as and when they are available. They also intend to orchestrate more complex customer journeys across channels, using deep segmentation to aid hyper-personalization at all points.

Having built a sizable 111 personalisations across touchpoints so far, MAC intends to step up and continue building more personalisations to continue engaging with customers across various channels.

Insider Growth Management Platform (GMP) helps digital marketers drive growth across the funnel, from Acquisition to Activation, Retention, and Revenue. Leveraging real-time predictive segmentation powered by Artificial Intelligence, Growth Management Platform empowers marketers to deliver personalized journeys across the web, mobile web, mobile apps, and ad channels. Built on a unified data layer, GMP is easy to implement and simple to use, avoiding the need for complex integrations and dependency on IT teams. Insider simplifies the life of digital marketers and helps them drive growth for their brands, with zero marketing waste.

Insider is a technology company with offices in London, Paris, Singapore, Tokyo, Hong Kong, Seoul, Sydney, Helsinki, Barcelona, Dubai, Moscow, Warsaw, Taipei, Jakarta, Manila, Wellington, Istanbul, Kiev, Ho Chi Minh City, Bangkok, Brussels, Amsterdam, Luxemburg, Ankara, and Kuala Lumpur. Insider has been recognized as a Leader in the G2 Grid for Mobile Marketing for 18 consecutive quarters. Insider Growth Management Platform is firmly positioned in Gartner’s Magic Quadrant for Multichannel Marketing Hubs 2020.

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