The Power Of AI And Personalisation In The Beauty Industry
Updated: Mar 1, 2019
Did you know that a kilo of makeup is now worth more than a kilo of gold? It's not surprising when the Health and Beauty industry in the UK is set be worth more than “£26 billion by 2022” (Globaldata.com). The online UK beauty market is also forecasted to grow by “21.1% over the next five years”, making Health and Beauty the fastest growing retail sector in eCommerce. (Retailtouchpoints.com)
So how does personalisation fit into all of this? Why should companies invest in Beauty AI technology when sales forecasts are already so positive?
Quizzes and Customer Profiling
Choosing a new beauty product can be very confusing for a lot of people, especially now we are so exposed to Influencers and Youtubers who are paid to publicise and recommend products to their followers, regardless of whether they are suitable. In order to combat this and for the customer to get accurate and personalised results, the first step is to take a quiz detailing their individual concerns. This can be as thorough or as brief as you like and can be targeted to any category that is relevant to the brand. Questions can include things such as skin type, hair type, allergies, age, budget. The possibilities really are endless!
Once the customer has finished the quiz their Customer Profile will be complete and ready for the retailer to take the next step in the personalisation journey. Want to see a great example in action? Take the My Beauty Matches quiz and find your personalised product recommendations within minutes.
Personalised Product Recommendations
Once the quiz is submitted the retailer will then be able to recommend products that are actually relevant to the customer. For example, a foundation that contains SPF will be recommended to a customer that has listed sun damage as one of their top skin concerns. This will build trust between a brand and their customers meaning they will spend more money and become brand loyal. It's also a great time and money saving tool for the customer as they know for sure that what they've been recommended is suitable for them.
A lot of brands have recently jumped on the bandwagon when it comes to offering recommendations to their customers, but are they doing it correctly? The short answer is no. A lot of brands and retailers are using a simple filtering tool to determine the recommendations (similar to the one that Amazon and Spotify use when they suggest new products/playlists). This simply doesn’t work for beauty as there are so many variables that go into the process. For example, a customer living in Cornwall could have an oily skin type and acne concerns, and so could a customer living in Mumbai, but that doesn’t mean they should be recommended the same products. Climate, location, skin tone, allergies, jobs and lifestyle all have to be taken into account.
This is where our beauty specific AI technology comes in. We are the first and only company in the world to create a comprehensive algorithm that has been proven to continuously help beauty brands and retailers improve their sales and conversion rates by 30-300%. Our AI technology is automated and constantly learning what is working and not working for the retailer, giving them real time insights and results.
Sending out personalised emails to customers is so important when you're wanting to increase conversion rates and sales. How many times a day do you receive emails from companies that include content you have no interest in and delete without even opening? If an email contains products that are relevant to the customer, for example, hair serums to tackle split ends, then they're more likely to actually open the email, click through to the site and make a purchase.
Interested in Beauty Specific AI and personalisation for your beauty brand? By using our Beauty AI technology we can help you optimise your brand and increase conversion rates by 30-300%. Our Beauty Specific AI technology is automated and is always learning what is or isn’t working, helping the retailer to continuously improve their conversion rates while also giving real time insights and results.
Book your free demo today!