Sephora Direct: Investing in Social Media Essay

SummaryThe company Sephora since 2008 through the creation of a untried group has moved into luff marketing and digital initiatives, to wit in the societal networking world, initi all in ally through Facebook.Entering a mod world where there are no clear rules or resembling experience to help you make the best decisions in this area has been a real challenge. After more than two years in this bracing digital environment, Sephora are conducting the 2011 management planning requires a greater assigning by the president of the company who is forgeting to provide the necessary bills and always when the company generates a higher go through .FactorsInnovations introduced in the witness business with no major products beauty companies, Sephora implement two in the raw ways to offer their products to customers Allow test their products without obligation.Business Model inexpensive.The node has many products you want to buy in stores, through offering separate cosmetics (abou t 288 brands of products priced al some equal to that of large businesses).With all that Sephora has turn into the largest retail ambit of cosmetics medium enterprises but with wide market presence, which was a determining broker for the industry recognized manufacturers offered their produce factor which initially were denied.Vice chairperson Julie Bornstein, whose main objective is to find a reason to unspoiltify raise investment in the area of social media, the goal is to quantify the legislate on investment and justify the requirement for increased budgetary tryst for his department.The problem meet how to measure the ROI that allows the fulfillment of the objectives planned.Analysis of aimsDirect marketTheir loyalty program customer called smasher Insiders, started in 2007, created with the intent to subscribe to more about their customers, was strengthened with the inclusion of the idea not hardly provide discounts but provide benefits to their just about frequent customers and the idea to unite the customers buying in store or online posting only your telecommunicate address and date of birth, by e company was sending new virtuoso or even twice a week and the most frequent buyers sent them samples new products, and customers earned one point for both dollar spent on a purchase that could be ransomed for a product according to customer accumulate. dish antenna InsidersAnother innovation was the identification of customers who had an average annual purchases, which were known as clients VIB (Very Important Beauty Insider), who on the website had a distinctive icon, they were invited to special events at stores, and they are delivering gifts Luxury, and fast access to new products. The website Sephora.comThrough the Web site www.sephora.com 2009 the company ventured into a new business model, sales online, which quickly became a very all important(p) business for Sephora because of its low costs and high margins generating revenue compared to a emblematic store. The company saw the need to promote their website and the best alternative was to invest heavily in attracting visitors through the purchase of thousands of keywords (Google AdWords) for brands, products and beauty-related terms, which represent the source most important new traffic to your website. Sephora stimulated offering online purchase including tape transport on purchases over $ 50 plus free sample 3 products per order. This brings them to have 3 million visitors per month and 310,000 visits each day.Social Networks schedule reviews and classification of GoodsIn 2008 the company made the decision to include in their website an application that allows customers to give their reviews even though this initiative was considered high risk, one study showed that most people were connected to the products instead of criticizing. This was promoted via email to Beauty Insiders, and in the first 24 hours had more than 32000 specifications and reviews and alt hough initially the company seek to respond to customers, they pertinacious that they are the same users who resoluteness questions to others.FacebookAfter the positivist experience of receiving reviews and ratings of products through its Web site and its Bazar Voice platform, Sephora decided to venture into other areas of social networking as it is Facebook, the 2009 created the fan page Sephora for customers to partake the company and also serve as a means of direct advertising campaigns, managing to be a channel that greatly influenced the sales. In just two years tripled its audience to 900,000 registered fans and thus Sephora partnered with Facebook to be part of a new feature of the service that allowed people to indicate they like, which allowed espial the inclinations of their customers, conduct surveys about their products.Given the disadvantage of Facebook not to store questions and that clients all the information of a product, I took the initiative to insert into y our website, a gathering for questions and storing responses and allowing through an engine sophisticated search, consult them in a safe, mystic what they called Beauty Talk environment. Additionally allowed classifying people that offered their product knowledge to answer questions of others, establishing a standings in 35 different levels. Analysis of advantages and disadvantagesEstimate the return on investment based on past experience Determine the ROI based on the measurement of customer satisfaction through social networks, blogs, mobile applications and more. Advantages Increased certainty of the return value of investment will contribute to a better analysis for decision-making. He has experience in the use of social networks and benefits achieved.