Omni-channel beauty retail experience matters now
Implicated by the pandemic, numerous beauty stores have shut down due to rapid shifts in buying patterns and decline in retail sales. To ensure business sustainability, beauty retailers are now finding new solutions to attract shoppers back into brick-and-mortar stores.
To help retailers get back on track or even unlock new business opportunities, Grab introduces an Online-to-Offline (O2O) solution – targeting potential customers on the Grab platform and providing incentives to drive in–store footfall.
How Grab’s O2O strategy improves beauty retail business?
Grab is one of the most frequently used mobile platforms in Southeast Asia today, connecting consumers with a variety of services, ranging from ride-hailing, mobile payment, food delivery, to others.
O2O Closed Loop Strategy is one mobile advertising unit provided in Grab app, empowering brands to improve in-store footfall and sales by offering exclusive redeemable product vouchers.
Let’s dig further into how Grab directs audiences from online awareness and consideration to offline purchases.
1. Consumer sees ad
The product banner ad will be served to target audience on feed, which is the first page of the app that is highly visible, hence giving your ad the potential to drive higher click-through rate.
2. Consumer saves reward
When users click on the ad, they will be directed to the GrabRewards page where they can collect the reward as shown in the ad, and save to their rewards wallet.
Brands are allowed to specify the Terms & Conditions of the rewards, such as discount value and type, time frame, venue for redemption which are to be displayed on the details page.
3. Consumer redeems reward
By specifying your store as the venue for redemption, it sets a requirement for the receiver to visit your retail store in order to redeem the reward, subsequently driving footfall traffic.
During the redemption, a PIN code will be sent to the counter staff, making the reward redemptions at Point of Sale (POS) trackable.
4. Consumer reminded to redeem
In the online-to-offline user’s flow, there is another key feature that cannot be ignored, which is O2O Reminders, which link users to the Details page. There are two types of reminders, both are targeted to users who have saved the reward:
a) Consumer on feed: Consumer is reminded to redeem reward when scrolling the feed.
b) Consumer books a ride: Ride is booked to a location where the reward can be redeemed and the user is reminded to redeem reward during his/her trip.
GrabAds O2O client: Kiehl’s
Kiehl’s adopted Grab’s O2O Closed Loop Strategy to drive foot traffic for its Made Better event, by offering samples redemption reward.
Over the course of 2 campaigns with a total duration of 6 weeks, Grab’s O2O solution delivered more than 1 million unique reaches. Of all rewards saved, the samples-redemption rate was 5.07%.
In the campaign, Kiehl acquired more than 10% of the new customers who purchased other Kiehl’s products when redeeming samples. And there are close to 30% of redemption receivers who never used their products aware of their brand on Grab. In addition, nearly 70% of users said that they are impressed by the brand samples and willing to purchase in future.
Media report and survey for campaign evaluation
To evaluate campaign success, GrabAds has comprehensive end-to-end tracking capability for advertisers to receive the following statistics – impressions, unique reach, ad clicks, number of rewards saved, reward redemption rate and audience demographics, which are helpful for future campaign optimization and re-targeting.
Moreover, to gain better understanding of shoppers’ purchasing behavior, GrabAds are also able to conduct post-campaign survey among users who redeemed the reward. The survey result provides the advertiser with the overall customer acquisition potential, future purchase intention, the number of customers who purchased while redeeming and so on.
Drive footfall to your beauty retail
Footfall represents potential sales. With Grab’s solid presence in the Southeast Asia region, you will be able to tap into the platform’s extensive user base to reach different unique audience segments to drive retail sales effectively.
IH Digital is an Asia-focused digital marketing agency providing Consultancy, Strategy, Content, Social Media, Media Buy, Web Development, SEM & SEO.
Interested to advertise on Grab as an online-to-offline advertising solution for your beauty retail business? Contact us today for quotation.