So Avant Garde increases average revenue per customer for loyalty members by 400% with loyalty program
What we've done
So Avant Garde partnered with Bubblehouse to implement a tailored loyalty program, resulting in a 400% increase in average revenue per customer, a 39% higher average order value, and a 2.8× higher redemption rate among loyalty members.
Facing challenges in retaining customers and increasing average order value, So Avant Garde collaborated with Bubblehouse to develop a bespoke loyalty program. The program featured tiered rewards, referral incentives, and points multiplier campaigns, leading to a 400% increase in average revenue per customer and a 39% higher average order value for loyalty members.
So Avant Garde
So Avant Garde is an eCommerce site that sells perfumes direct to consumer. So Avant Garde is an direct to consumer important arm of The Fragrance Group, who distribute a slew of perfumes in the US including Starck Paris, Lalique Perfums, and Perfums de Marly.
So Avant Garde faced the challenge of being able to maintain its customers once they acquired them. This is especially true since Avant Garde sells a product, perfumes, which are available to purchase at brick and mortar locations such as department stores, boutiques, and other online marketplaces. With this challenge in mind, giving customers a good reason to stay purchasing on the So Avant Garde website, made loyalty an obvious choice to keep customers on the site.
Additionally, in an environment where consumer spending on discretionary goods is becoming tighter, Avant Garde also faced the challenge of growing average revenue per customer, average order volume (AOV), and average number of purchases per customer on the site.
So Avant Garde had not implemented a loyalty program in the past, so Bubblehouse was able to come in and craft a bespoke solution given Avant Garde’s business dynamics and customer preferences.
”The Bubblehouse team has been professional, knowledgeable, and great at communicating with us on every step of the project. Our customers immediately began interacting with the rewards programs upon launch, and the program has increased customer engagement and reward program user AOV, and has provided us with an elevated platform for offering discounts and promotions to our customers.”
Solutions
Bubblehouse and So Avant Garde together crafted a loyalty and referrals solution that boosted average revenue per customer, AOV, and purchase frequency by 40% on each metric compared to those that did not participate in the loyalty program.
Through a sophisticated program that combined earning points towards future purchase credit, a tiered system that allowed for additional benefits for VIPs, and referrals, So Avant Garde is now much closer to maximizing repeat customer revenue potential than they were before.
Additionally, the loyalty solution allowed So Avant Garde to run points multiplier campaigns where customers could earn double or triple points on important dates for promotions, which helped boost revenue too. This added another weapon in the Avant Garde toolkit to maximize revenue.
Bubblehouse and Avant Garde implemented a powerful points program which gave customers the ability to earn points on purchase and apply them towards future purchases
Bubblehouse and Avant Garde implemented a tiered status solution with unique benefits for VIPs, and a powerful referrals program
Bubblehouse’s email marketing team helped the brand create an email marketing strategy around referrals to engage customers in the most effective way
A beautiful user interface for loyalty was also a top priority to maximize engagement, which was right in Bubblehouse’s wheelhouse since it provides industry leading design programs for loyalty clients
Solutions
Main takeaways
Since launching the program, So Avant Garde has seen tremendous results which goes to show how much brand VIPs appreciate the program and are sticking with So Avant Garde as their primary purchasing destination because of it.
For loyalty members, defined as those active in the loyalty program, they had on average 2.78x higher average purchases compared to non members. While redeemers purchased 3.9 times per year, non redeemers only purchased 1.4 times per year. This goes to show how the loyalty program has an important effect in getting customers to increase their purchase frequency.
A similar result is shown with the average revenue per customer and AOV KPIs. Redeemers had a 3.95x higher average revenue per customer, where for redeems it was 944 USD and for non redeemers it was 239 USD. Again, this shows how loyalty is an important component for customers who spend the most on stores. With AOV, likewise, redeemers have a 39% higher AOV compared to non redeemers, where redeemers came in with an AOV of 241 USD and non redeemers with an AOV of 173 USD.
The Results
Loyalty redeemers had 2.78x higher average purchases compared to non-redeemers (3.9 times per year vs. 1.4 times). Loyalty redeemers had 3.95x higher average revenue per customer compared to non redeemers (944 USD vs 239 USD per year).
Loyalty redeemers had 39% higher AOV than non redeemers (241 USD vs 173 USD).
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