Wednesday, December 5, 2012

Sephora's E-commerce vs. Sephora's Brick and Mortar Stores

Brief Overview..

Sephora Stores: Sephora operates approximately 1,300 stores in 27 countries worldwide, with an expanding base of over 300 across North America. Sephora opened its first U.S. store in New York in 1998, its first Canadian store in Toronto in 2004. Sephora's North American headquarters is located in San Francisco, with corporate offices in New York and Montreal (Sephora.com).

Sephora.com: Launched in the U.S. in 1999 and Canada in 2003, the foremost beauty site on the Internet is also Sephora's largest North American store in terms of sales and selection of products and brands (Sephora.com).

How Sephora.com Overcomes the Drawbacks of Online Shopping

Sephora.com is a very strong e-commerce that stands by itself. As stated in their website, their e-commerce is their best and largest store when compared to their brick and mortar stores. Sephora.com does an outstanding job in supplementing the drawbacks of online shopping. The reasons that some people do not shop online in general would be: because you cannot see or try the products, and because you have to wait for the product to be delivered. Sephora.com provides the best solutions for these problems. Sephora.com offers free returns even after the product is opened and used, which can hurt their revenue in the short run, but will help more customers to shop online which is better in the long run. Also, Sephora.com provides 3-day free shipping for purchases over $50. Most of Sephora's customers buy over $50 in one purchase, so customers are willing to shop at their e-commerce due to the fast delivery.

Compare and Contrast
(Sephora.com vs. Sephora's Brick and Mortar Stores)


- Accessibility and Customer service

Both Sephora.com and brick and mortar stores
  • Free returns on products even after opening and using

Sephora.com
  • Provides accessibility by providing through information about company, brands, and products
  • Provides customer reviews and more product selections than their brick and mortar stores
  • Easier for customers to compare products online, by looking at the ratings and customer reviews of the products
  



Sephora.com's "What's New", "Editor's Picks", "Bestsellers"



Sephora's brick and mortar stores
  • Very approachable and helpful sales associates
  • Customers can test most of the products before purchase and get personalized advice on those products through these sales associates
  • "Beauty Studios" to provide customers a makeover


 

Sephora's Beauty Studios

- Reward Program and Marketing Concepts

Both Sephora.com and brick and mortar stores
  • Both provide the "Beauty Insider Program", which enables you to receive 1 point every dollar you spend. You receive a free deluxe sample with your purchase when you accumulate 100 points in your Beauty Bank. When you Beauty Bank hits 500 points, you can choose to spend them on a fabulous free gift: a limited-edition full-sized product-handpicked for Beauty Insiders (Sephora.com)
  • Gives birthday gift free with purchase
  • Mails registered customers with promotional catalogs and coupons
    
    Sephora's Catalog Compared to their Competitor Ulta's Catalog
  • Rewards V.I.B. (Very Important Beauty Insider) status to registered Beauty Insider members who spend a minimum of $350 on merchandise, during one calendar year. V.I.B.s receive exclusive rewards, coupons, and customer service
  • Uses billboard advertising, newspaper advertising, and catalogs to their customers
  • Sephora's Billboard Advertising

    Sephora's Ad at Bus Stop


Sephora.com
  • Gives out more samples and the samples have a broader selection
  • Markets customers through emails that are sent twice per month; emails contains promotions, new/hot product updates, and beauty news on new/hot items  


Sephora.com's Marketing through Emails

Sephora's brick and mortar stores 
  • Promotes merchandise in store by sales associates suggesting merchandise directly
  • Has advertisements and signage in store

Sephora's in-store advertising


1 comment:

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