Is The Beauty Industry Ready For A Data Glow Up?

By Women Love Tech
on 3 August 2023

Shiseido Americas becomes part of the new data glow up movement, selecting Amperity to transform its first-party data strategy.

The beauty market, defined as skincare, fragrance, makeup, and haircare has proven its resilience throughout the years. According to a recent report released by McKinsey, in 2022 alone, it generated approximately $USD 430 billion in revenue. Today, beauty is on an upward trajectory across all categories. It has proven to be resilient amid global economic crises and in a turbulent macroeconomic environment.

Beauty is now an industry that many people, from top-tier financiers to A-list celebrities, want to be a part of—and with good reason. Following a solid recovery since the height of the COVID-19 pandemic, the McKinsey report highlights the beauty market is expected to reach approximately $580 billion by 2027, growing by a projected 6 percent a year. This is in line with or slightly higher than other consumer segments such as apparel, footwear, eyewear, pet care, and food and beverages.

Getting the ‘foundation’ right amidst tech disruption

But this dynamic segment is ripe for disruption, and with technology leading the way, the beauty industry will need to reshape itself around an expanding array of products, channels, the report states. Consumers, particularly younger generations, are set to spur this shift, while “premiumisation,” also continues to evolve. In fact, the premium beauty tier is now projected to grow at an annual rate of 8 percent (compared with 5 percent in mass beauty) between 2022 and 2027, as consumers trade up and increase their spending, especially in fragrance and makeup.

Shiseido Americas takes on the data glow up challenge

Amidst these trends and as consumer shopping preferences and behaviors evolve, one beauty giant, Shiseido Americas Corporation realised it needed a comprehensive solution to bring together and manage multiple data sources across its various brands to advance its marketing goals.

The beauty corporation found Amperity, the leading enterprise customer data platform (CDP) for consumer brands, was the only platform that brings together data from all online and offline touchpoints, including pre-purchase, point-of-sale, and post-purchase customer care to create unified customer profiles. The platform is now the foundation of its first-party data strategy, to help create connected and personalised digital customer experiences across all of its brands.

“As an omnichannel retailer, we are laser-focused on understanding our customers and the channels they want to interact in, while ensuring we are delivering consistent customer experiences,” said Kristin Morseman, Senior Vice-President Americas Digital Transformation at Shiseido Americas. “With Amperity, we can unify and activate all of our customer data with the goal of creating a seamless omnichannel journey for our customers.”

Amperity’s patented, AI-powered identity resolution and unified customer profiles build a complete customer view enabling Shiseido Americas to target shoppers with affinity-based, personalised communications throughout their journey.

“The luxury beauty market is at the forefront of digital innovation, and they are finding unique ways of using data to gain a competitive edge in an omnichannel retail environment,” said Barry Padgett, CEO at Amperity. “By partnering with Amperity, Shiseido Americas now has the critical data foundation required to enable them to deliver real-time personalised customer experiences across in-store and digital worlds.”

About Shiseido Americas

Shiseido Americas Corporation is a subsidiary of Tokyo-based Shiseido Company, Limited (TSE:4911), a leading global beauty company. Shiseido Americas’ portfolio of prestige beauty brands includes Shiseido, NARS, Clé de Peau Beauté, and Drunk Elephant, and several prestige fragrance brands including Issey Miyake, Narciso Rodriguez, and Tory Burch Beauty. Shiseido Americas is headquartered in New York City and employs more than 2,000 individuals in the United States, Canada, and throughout Latin America.

About Amperity

Amperity delivers the data confidence brands need to unlock growth by truly knowing their customers. With Amperity, brands can build a unified customer profile foundation powered by first-party data to fuel customer acquisition and retention, personalize experiences that build loyalty, and manage privacy compliance. Using patented AI and machine learning methods, Amperity stitches together all customer interactions to build a unified view that seamlessly connects to marketing and technology tools. More than 400 brands worldwide rely on Amperity to turn data into business value, including Alaska Airlines, Brooks Running, Endeavour Drinks, Planet Fitness, Seattle Sounders FC, Under Armour and Wyndham Hotels & Resorts.

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