Fragrance is one class throughout the cosmetics trade that usually struggles to promote on-line, with nearly all of sales stemming from in-store product sampling.
This additionally means most ecommerce sales are product replenishment (i.e. repeat purchases), fairly than shoppers shopping for fragrance for the primary time.
The Covid-19 pandemic has compelled brands to assume digital. While fragrance sales have proven indicators of restoration since lockdown started – UK sales of luxurious eau de parfum and eau de toilette improved from a 67% loss to a decline of simply 13% because the reopening of non-essential retail shops, based on NPD – this highlights the reliance on offline retail channels, which new lockdown measures are as soon as once more prone to influence.
Now greater than ever, brands are being compelled to adapt and discover new methods to have interaction customers by way of digital channels, in addition to incorporate know-how in shops.
Virtual consultations to duplicate in-store customer support
Throughout 2020, fragrance brands have centered on the promotion of basic or well-loved hero fragrances as a way to drive repeat purchases. Speaking to Vogue Business, Laura Azaria, SVP of selling for L’Oréal USA designer fragrances, commented on the heightened shopper curiosity in basic fragrances: “It’s a testomony to the truth that when procuring on-line, the buyer is searching for one thing that they know and belief,” she stated.
At the identical time, nonetheless, brands have additionally recognised that this reliance isn’t sufficient to counteract the losses from brick-and-mortar closures. Consequently, many have been discovering new methods to drive engagement on-line, reminiscent of digital consultations or ‘fragrance discovery consultations’, as luxurious model Sana Jardin calls them. As the model states: “one-to-one discovery periods are tailor-made that can assist you discover our fragrances, discover the one(s) for you and study extra about our socially acutely aware model.” Customers are requested about their scent preferences and given a breakdown of assorted fragrance profiles over Zoom, basically changing the kind of service they might normally obtain in retailer.
As effectively as scheduled consultations, some retailers are investing in know-how to permit shoppers to attach with employees on demand. One instance of that is The Fragrance Shop, which has not too long ago partnered with know-how app Hero – a instrument that permits in-store employees to attach with on-line shoppers by way of chat or video. The concept is to duplicate the in-store expertise (just about), enabling one-to-one customer support, and permitting shoppers to attract on the professional information and recommendation of employees. At the identical time, the know-how permits employees to see what shoppers are searching on-line, in addition to offering them with the power to arrange offline appointments and consultations.
The same enterprise by the Perfume Shop, this time utilizing GoInretailer’s know-how, reportedly contributed to a forty five% progress in month-on-month sales from new fragrance launches again in August. While the Perfume Shop launched the tech again in 2019, lockdown restrictions resulted in a spike in curiosity from shoppers with no different selection however to buy fragrance on-line.
Ecommerce samples and touchless know-how to drive sales
Elsewhere, brands are utilizing on-line quizzes and personalisation profiles to information customers in direction of their preferrred scent. Atelier Cologne’s ‘Perfume Finder’ instrument, for instance, asks about private preferences associated to nature and feelings.
Atelier Cologne’s ‘Perfume Finder’ instrument asks shoppers about their preferences when discovering a scent, reminiscent of which feelings the fragrance ought to embody. (Image: Atelier Cologne)
These instruments are helpful for engaging customers within the on-line journey, however they don’t clear up the primary barrier for customers, which is the power to scent a fragrance earlier than buy. Other methods inside magnificence ecommerce, reminiscent of evaluations or AI-powered purposes, both do not need the identical influence or don’t apply relating to fragrance merchandise. It’s not not possible to drive sales on this method, in fact, and there are examples that show shoppers are prepared to purchase fragrance on-line. Back in 2017, Glossier launched a fragrance, Glossier You, that was solely that can be purchased by way of its web site. Crucially, within the run as much as the discharge, it despatched out samples with each order positioned on Glossier.com, and positioned ‘scratch ‘n’ sniff’ stickers in magazines. Word of mouth was additionally key, with Glossier producing buzz from influencers and consumer generated evaluations.
It seems brands are taking heed of Glossier’s method, with Covid spurring on new methods to advertise and monetise sampling. Amanda Morgan, UK Managing Director of fragrance model Diptyque, not too long ago advised Cosmetics Business: “I see a pattern for a lot extra samples, paid samples, the place shoppers can spend a small sum of money shopping for samples of many launches that will likely be redeemed in opposition to future purchases.”
Indeed, we now have already seen this sort of technique being rolled out by retailers just like the Perfume Shop, which provides customers a present voucher for 10% off purchases over £30 after they purchase three samples. Similarly, Sana Jardin permits customers to redeem what they spend on samples in opposition to a full value bottle.
While ecommerce is an rising channel for fragrance, know-how can also be serving to fragrance retailers to align with security laws in shops. In June, Hong Kong-based firm Meiyume launched a prototype for a touchless sampling resolution. According to the model, “the answer is movement activated and can dispense any kind of fragrance or skincare product. The mechanism makes use of current ‘off-the-shelf’ merchandise so there isn’t any must design new tester packaging or change the present provide chain.” Essentially, it implies that customers can pattern a fragrance with out having to the touch something.
Eight examples of in-store know-how improvements for the Covid-19 period
Expansion to new classes and multi-functional fragrances
Due to ‘keep at house’ restrictions, curiosity in house fragrance has considerably risen this 12 months. According to NPD Group information, UK sales of status room fresheners elevated 37% in March, whereas sales of status candles rose 6% and status diffusers rose 3% in comparison with the identical interval in 2019.
Retailers and cosmetics brands are definitely seeing larger demand for much less conventional fragrance classes. In August, The Times reported that candle sales at Selfridges had gone up 54% since March, whereas candle sales at Diptyque have been up 100% in contrast with March final 12 months.
Diptyque can also be an instance of a model that has tailored effectively to Covid, significantly when it comes to aligning to the brand new demand for multi-functional fragrances (and discovering new causes to put on fragrance). This summer time, it launched the ‘Fleur De Peau’ multi-use fragrance, which might be sprayed on the pores and skin in addition to within the air or on materials near the pores and skin reminiscent of clothes or linen. Diptyque noticed large demand for the multi-use product, and it bought out nearly instantly after launch. The model has additionally launched plenty of fragrance ‘wearables’, together with bracelets, brooches, and stickers.
diptyque is proud to announce that our Prêts-à-Parfumer Perfumed Bracelet was awarded Best Fragrance Accessory within the Scent class by #AttractBestOfBeauty https://t.co/mD6n1R4WxQ@Allure_magazine pic.twitter.com/f2VZ8oHEne
— diptyque Paris (@diptyqueparis) September 17, 2020
Elsewhere, brands are discovering new demand for fragrances that are designed to calm, alleviate stress and support sleep, in addition to promote hygiene or sanitise pores and skin. The New York Times reported in May that sales of Shen Beauty’s ‘Functional Fragrance’, which supposedly has ‘anti-stress’ advantages, had tripled since February. The CEO of Eurofragrance, Laurent Mercier, emphasised the necessity for brands to develop into areas outdoors of conventional fragrance, telling Personal Care: “Today, shoppers need all of it: merchandise that are good for his or her well being and the surroundings and that supply wellbeing and security.” He continued, “We have additionally labored on merchandise that drastically scale back disagreeable odours, as it can be crucial for shoppers to reside in more and more hygienic, sterilised areas.”
It’s no shock that many fragrance brands have launched their very own hand sanitisers this 12 months. Innovation of product could possibly be an enormous focus going into 2021, with brands designing merchandise outdoors of conventional fragrance, particularly as a way to clear up points associated to the pandemic (reminiscent of dry palms).
Jo Loves is the most recent model to discover a hole out there with its ‘Hand Sanitiser and Hand Lotion Duo’, which dispenses hand moisturiser and hand sanitiser on the similar time. The model is probably going hoping will probably be the proper present for many individuals this Christmas.
Digital Shift This autumn 2020 Chapter 1 – Covid-19’s ongoing influence