Beauty & wellness brands look to reinvent–and reinvigorate–the subscription model
From monthly sample boxes to discounted auto-renews, the subscription model packs a customer-pleasing punch for beauty and wellness brands. But with a significant churn rate–not to mention the reopening of physical stores, subscribers expecting an elevated experience, and supply chains still grappling with the effects of the pandemic–brands are feeling the crunch when trying to stay competitive.
To combat churn and elevate the customer experience, brands need to focus on five key factors.
1. Going Bicoastal
To get orders out to customers quickly–and efficiently–brands should be going bicoastal with their fulfillment provider. By having products on both coasts, you can reach customers across the entire country faster, and lean on additional stock if you’re running low in one location. And, with intelligent routing logic, orders can be fulfilled as much as possible from the nearest facility, then directed to fulfill from the facility with the remaining inventory.
2. Splitting Orders
A major issue for churn is product availability, but backorders are an ongoing issue–especially now with supply chain delays. The best way to manage? Split orders into multiple fulfillments.
If a customer has three items in a recurring subscription and one is backordered, you can immediately ship the in-stock products so the customer receives as much of their order as possible. Plus, with the right technology, the backordered product will be flagged to ship immediately the moment it comes back in stock.
3. Elevating the Unboxing Experience
From customized packaging and expertly wrapped products, to personalized thank you notes and samples, creating an unforgettable unboxing experience takes subscription orders to the next level.
But the unboxing experience goes far beyond a few moments of box-opening bliss. First, it creates a sense of anticipation, where customers look forward to their purchases. Second, it helps spread brand awareness, as expert unboxing experiences are often shared on social media by satisfied customers. And third, it fights churn and builds retention–by offering a premium experience and unexpected gifts, brands can help bolster retention.
4. Setting Up the Right Return Process
It might sound counterintuitive, but having the right return process in place can help stop churn. No matter how good a brand or their products, it’s inevitable that returns will happen–what matters next is how well it’s handled. By making returns quick and effortless, a user-friendly return experience can encourage a customer to keep purchasing, and to feel comfortable knowing they have the flexibility to change their minds and orders in the future.
5. Having a True Fulfillment Partner
Having the right plans and processes in place is key–but without a true fulfillment partner, even the best laid plans can go array. The right partner should be a true extension of your team, and should:
- Give you real-time visibility into every SKU and order, and to your full inventory position across all channels
- Surpass customer expectations by offering 1-2 day shipping, maintaining your exact packaging and unboxing experience processes, bundling and kitting products to meet demand, and customizing orders for VIPs
- Provide a full omnichannel experience by allowing you to rapidly scale across all channels (without adding risk or complexity to your operations)
- Innovate faster with cutting-edge proprietary software, automation of crucial fulfillment process, and elimination of manual work