White Orchid Proposal
Hey Kim!
Thank you for our conversation the other week. We did send over one proposal, but we realized that it wasn’t the full extent of what we wanted to show. We did more research on the cosmetics industry, to come back with a full plan of what we can do for White Orchid Cosmetics.
Ecommerce Benchmarks for Beauty Brands
To start, I wanted to share some averages of the cosmetics industry in ECommerce, and how they affect our plan and set up for your ecommerce marketing.
Overall Retention Rate
Overall Retention Rate for Beauty Brands across the board, is 23% (20.4% for Make Up specific) meaning an overall order volume of about 1.6 orders per customer on average.
This means that most customers that make a purchase through your site, may only ever be making that one purchase through your site. To mitigate this, and to get more repeat business, we are heavily going to focus on creating loyal customers, and repeat business.
In the past we have run email marketing campaigns that target consumers who have already made a purchase through your website. These campaigns can feature new and exciting products, deals, or updates to the company and brand. The consumer needs to see value in the email, and preferably see a Call To Action. Something that would make them want to make another purchase through the website again.
(Ex, loyalty coupons, BOGO offers, limited time specials, or limited edition products).
Average Lifetime Customer Value (CLV)
Makeup and Skin Care have a higher customer retention rate, and often a higher average cost per order compared to other industries when it comes to online sales in the beauty industry. The average customer lifetime value when it comes to makeup and cosmetics comes to about $78 USD.
This means that we want to be able to make each client that we have make a purchase through your site, as meaningful and profitable as possible.
With other online Ecommerce websites, we’ve used something called an upsell-downsell funnel. In short it’s a way of having consumers make larger purchase orders through the website to make the average order size bigger. We’ve already managed to have this guest move through our ads, get to the website, and are ready to check out. Let’s make the most of this client while we have the opportunity.
Average Time Between Orders
Makeup in particular (throughout the beauty industry) looks like it has the fastest turnaround time when it comes to people reordering your product. With an average in the industry coming in at a mark of 70 days between orders.
This is good information to have because it lets us know how soon we should be targeting people after they purchase through the website again. If for example we had an average turnaround time of 120 days, it would be less important to do monthly or bi-monthly customer retention, when the client is ready to buy again.
For us, this means that we should be contacting our previous clients around 2-3 months after each purchase specifically, along with our monthly email marketing campaigns to maintain loyal customers, and drive repeat business.
Average Conversion Rate
The average conversion rate for beauty brands is 5.2%, with makeup specifically coming in at 5.0% on the dot. Conversion rate in this statistic means the amount of people that click through to your website advertisement that ultimately end up purchasing a product.
5% is a HIGH conversion rate for ecommerce in general. We want to target this, or better as a measurable metric for you.
Your website looks gorgeous, it’s clean and modern. Our goal would be to only make minor edits to it, when need be, to increase your overall conversion ratio. Bringing clients to your page doesn’t matter if your website isn’t producing.
Average Lifetime Customer Value (CLV)
Makeup and Skin Care have a higher customer retention rate, and often a higher average cost per order compared to other industries when it comes to online sales in the beauty industry. The average customer lifetime value when it comes to makeup and cosmetics comes to about $78 USD.
This means that we want to be able to make each client that we have make a purchase through your site, as meaningful and profitable as possible.
With other online Ecommerce websites, we’ve used something called an upsell-downsell funnel. In short it’s a way of having consumers make larger purchase orders through the website to make the average order size bigger. We’ve already managed to have this guest move through our ads, get to the website, and are ready to check out. Let’s make the most of this client while we have the opportunity.
This is the industry average for where most websites like yours get their visitors from:
Customer Lifecycle
Our Goal Process For Building Client Bases
Month One
Focus On Facebook And Google Ads, With The Intent To Show Off New Brand And Product.
Goal is to build name and customer trust, and of course narrow down the start of our eCommerce Customer Basis
Month Two
Continue to Grow a Baseline customer base through Facebook and Google Ads.
Start Doing simple remarketing campaigns to target guests that haven’t made purchases through the website yet.
Continue working on the website SEO to be able to have more natural clicks from people looking for products, or the company specifically.
Month Three
Start Email Marketing Campaigns. Customers that have made purchases through the website can start to be reached out again to start making follow-up purchases.
By now we would hope that we would have a target facebook & google audience where we can manage a constant stream of new clients coming through, and have retargeting and email marketing campaigns to maintain recurring customers.
Services We Can Provide
Facebook and Google Marketing
We can use Facebook and google marketing to create a new client customer base, as well as help maintain previous guests through retargeting campaigns.
This is going to be the main focus to start to actually start growing the website, customer base, and sales.
Email Marketing Campaigns
One important thing for the beauty industry is making sure that we can capitalize on repeat business.
We can use monthly and bi-monthly email marketing campaigns with emphasis on “Calls to Action” to make sure we can make the most out of a loyal customer base.
Scheduling Social Media Posts
You’re already killing it with social media. It looks well designed and well taken care of. We can schedule media posts at the most opportune times for people to view, engage and hopefully purchase.
We want to free up some of your personal time to not have to worry about social media posts, and let us worry about the times for you.
As a brand that’s being built, we would want to make sure that we could have weekly or bi-weekly meetings to make sure that we are doing what we need to do to keep up past your standards, and keep your company moving in the right direction.
Your Investment
Since we want to earn your business, and hopefully be able to grow as long-long term clients together, I want to do what I can to get this thing started.
We would be willing to do the whole program for only $1000/month + ad spend.
Both the social media scheduling and the email marketing campaigns will be included in this as well.
I would hope that we can use the brief meetings weekly, or bi-weekly, to make sure we’re all going in the right direction, and using our time and resources to get the best results possible for you. We want to continue supporting a brand that you’re proud of, and can consistently grow.
P.S.
The company lives by the no contracts rule. We feel like we should earn your business month to month and provide the best service we can day-in, and day-out. The first month however, is a lot of data collection. It’s slow, and patient. But the outcomes of proper data collection are enormous. It takes time to grow into the powerhouse that White Orchid is capable of.
If there are any questions I can answer for you, please feel free to call or text me anytime at 780-940-0836.
Hope to hear from you soon,