Sephora’s Replenishment Email and the Self-Reference Effect

"We’re focused on getting new customers... is re-engagement worth our time?"

If you’ve thought this, you aren’t the first marketer. And you won't be the last.

You’re also likely missing out on a key opportunity to help your brand drive revenue forward. Especially when you consider that research (here, here and here) shows that:

• Even a 5% increase in retention can result in up to 25% more revenue. 

• The probability of closing a sale with an existing customer is 60-70% (compared to 5-20% for new prospects).

• Yet, 44% of businesses say that they’re not measuring their retention rate… and we all know the Peter Drucker adage, “What gets measured, gets managed.” 😬

In my experience, the re-engagement emails—the emails that support retention and can move the revenue needle in a big way—get overlooked.

Big opportunity? Yes.

Big reward? Double yes.

In this week’s issue you’ll see:

• How Sephora increases relevance in their email marketing copy

• Why relevance really matters to your conversions

• How you can apply Sephora’s strategy in your emails

Let’s dig in.

THE BREAKDOWN

Sephora’s replenishment email

Here's a replenishment email that I received about 3 months after I purchased some new-to-me shampoo:

There are so many clever things happening in this email—let's start at the top:

The subject line & preview:

Subject line: Carolyn, about time to replace your shampoo? ⏰

Preview: Re-up to keep your routine on track

Here's what's working:

• Front-loads personalization (my name) in the subject line—this helps the email stand out in my inbox.

• Mentions the product category (shampoo) featured inside the email—this increases relevance.

• Mentions the desired outcome ("keep your routine on track")—this helps make a subtle connection between taking action and ensuring you never face the painful moment when you realize you've run out of your favorite shampoo.

• Uses alliteration in the preview—a nice touch that helps make the copy sound good.

Here's what we might test:

• Subject line: 

  • Front-load the emoji before the first name merge tag—this is a way to introduce visual texture where there typically isn’t any, which can help the email stand out in the inbox.

  • Swap the mention of the product category with "this"—curiosity loops are a powerful way to increase open rates.

• Preview:

  • Front-load the benefit of keeping the routine on track in the preview, so the reader is first reminded of what's in it for them to take action. This is a way to increase reader motivation.

  • Flip the messaging so that the preview messages the problem realized when you don't replenish (i.e. the acute moment of pain caused by inaction).

The body copy & calls to action:

This is the body section I find most interesting:

Here's what's working:

• Uses dynamic content blocks to put the exact product I ordered front and center, which makes it easy for the reader to reflect on how much product they have left.

• Uses clear copy—this is good for memorability.

• Uses icons to help tell the story of this email (the bell and the calendar are clear signals that this is a replenishment email)—good for readability and readers who scan.

• Uses primary and secondary CTAs that are nicely aligned with the action(s) a reader is most likely to take: reorder now OR decide they'll reorder soon because they don't need to restock yet.

Here's what we might test:

• CTAs: 

  • Flip the color of the "Shop Now" / primary button and the "not ready yet" section, so that the "Shop Now" button occupies the primary position in the visual hierarchy (rather than the "add to calendar" CTA).

• Email body:

  • Reduce the length of this email, so the email content is fully focused on driving the re-stock or reminder scheduling.

  • Test the inclusion of an auto-subscribe prompt, similar to the section seen below (featured in a Sephora review email).

For both CTAs and email body copy, we’d test to see if a meaningful CTR lift is observed, using a counterbalance of revenue generated. (The test shouldn’t win if CTR lift occurs but revenue generated drops.)

THE PSYCHOLOGY

Introducing the self-reference effect.

Self-referencing is a widely studied effect that shows the link between our memory and informational relevance. (If you want to read some of the studies, start here and here.)

Simply put, humans find it easier to remember and recall information later when we believe the information is relevant to us. Essentially, the information sticks in our memory better. And, as we all know, memory plays a critical role in purchasing decisions.

The Sephora email taps into the self-referencing effect with:

• Personalization—like in the subject line (my name) and in the body copy (the product I purchased).

• Needs / Desires Alignment—mentioning "keep your routine on track" helps the reader understand the cost of inaction.

THE ACTIONABLE TIP

(Do) make it personal.

I've since received the same email for mascara, moisturizers and skin masks. Despite using the same email template, the template’s use of dynamic variables continues to maintain relevance.

The key strategy you should swipe for your replenishment emails:

Personalize to increase perceived relevance.

You can do this by:

• Using merge tags and dynamic content to personalize copy, media and relevant product recommendations.

• Using strategically timed automations to deliver your email when the customer is approaching the standard window for replenishment.

• Aligning benefit-driven copy to either message the benefit of taking action OR the cost of inaction.

Bottom line: You can—and should—leverage personalization, purchase analytics and automations to create an exceptional replenishment experience that keeps your customers loyally buying their favorite products from you.