1. e-Marketing (eBiz/MKTG 543) Web address: www.arvind.info
Sephora – Some Notes
Arvind Rangaswamy
Web address:
November 7, 2016

2. Potential Objectives for Digital Initiatives at Sephora
Increase share of wallet from online consumers (e.g. use recommendation engine, visualization tools, etc. to facilitate experimentation and product selection).
Acquire new customers especially in areas not served by Sephora stores (i.e., get Beauty Insider members from online acquisition).
Enhance customer relationships both online and offline by getting insights from what consumers do online.
Reinforce brand image, i.e. use online medium to reinforce current brand image (e.g. fun, edgy, etc.). This is mainly an attempt to follow Sephora’s customers as they migrate more of their activities online.
Become a destination site online for anything related to beauty (p. 11 of case).
Should digital marketing substitute for, or complement traditional marketing at Sephora?

3. The 6M Framework Mission Markets (segments) Message Media Money
Measurement

4. Sephora Consumer Decision Process
Internal trigger (e.g., going on a date; important meeting)
Replenishment (order online?)
Impulse purchase (windows display)
Catalogs, print ads, s
Facebook likes?
…..
Post UGC
Post tweets
Post Youtube videos
Facebook likes
Post Purchase
Behaviors
Inform Others
Advocate
Others
buy
Beauty Care Decision Process
Need Recognition
Post-purchase
Experience
Search for Ideas and Offerings
(Consideration)
Enjoy shopping and trying new stuff (at store)
Search engine (paid ads)
Watch Youtube videos
Follow tweets..
Look for UGC (e.g., reviews, Beauty Talk) …
Purchase Decision .
Perks
Cast member recommendation
Discounts
Points
Samples ….
Evaluate Alternatives
Experiment and learn
Get makeover from cast member
Product displays at store
UGC (ratings/reviews) ….

5. Source: McKinsey Global Institute, Digital America Report, December 2015

6. Source: McKinsey & Company Global Media Report, September 2015