WEBVTT 00:00:03.000 --> 00:00:06.300 I've never left Sephora with way more products than you intended 00:00:06.300 --> 00:00:07.900 to buy when you first step in the door. 00:00:07.900 --> 00:00:12.400 You're probably not the only one Sephora was named retailer of 00:00:12.400 --> 00:00:16.500 the year at the 2018 World retail Congress and it seems 00:00:16.500 --> 00:00:20.100 that people can't get enough hear some sneaky way. 00:00:20.100 --> 00:00:23.000 She might not have noticed that Sephora get you to spend more 00:00:23.000 --> 00:00:26.000 as soon as you walk into one of their locations, 00:00:26.000 --> 00:00:28.600 you'll notice what makes Sephora different from the traditional 00:00:28.600 --> 00:00:32.700 department stores that competes with Sephora has nearly all of 00:00:32.700 --> 00:00:34.200 their products on display. 00:00:34.200 --> 00:00:38.400 So customers can try just about every it's great for the customers 00:00:38.400 --> 00:00:41.700 because they can test stuff out but it's equally great for the 00:00:41.700 --> 00:00:45.200 company because you're in the store for longer which means 00:00:45.200 --> 00:00:50.000 you're more likely to buy more a 2015 study found that the likelihood 00:00:50.000 --> 00:00:53.700 of purchasing a product increases with time spent holding 00:00:53.700 --> 00:00:56.800 and looking at it in the store the more time you spend trying 00:00:56.800 --> 00:01:00.000 out a product the more it feels like it's already in your possession 00:01:00.000 --> 00:01:01.600 and you need to purchase it. 00:01:02.800 --> 00:01:06.400 Sephora also have kiosks talked with makeup remover tissues 00:01:06.400 --> 00:01:10.400 and other necessities so customers can clean up and more importantly 00:01:10.400 --> 00:01:13.700 so that they can try more products throughout the store. 00:01:13.700 --> 00:01:17.100 And if you're not sure what to get Sephora has even developed 00:01:17.100 --> 00:01:20.300 special technology to match customers with their perfect 00:01:20.300 --> 00:01:25.000 Foundation Shades the device called color IQ scans your skin 00:01:25.000 --> 00:01:26.600 to assign you a four number code, 00:01:26.600 --> 00:01:30.400 which gives you a curated list of all the foundation sheets 00:01:30.400 --> 00:01:33.300 from different brands that will best match your specific 00:01:33.300 --> 00:01:36.200 skin tone. And if you're not taking advantage of the samples 00:01:36.200 --> 00:01:40.600 the shelves are also set up with an eye on wallet the most expensive 00:01:40.600 --> 00:01:43.500 products are placed on top shelves because they're the easiest 00:01:43.500 --> 00:01:46.900 to reach while cheaper items are on the bottom shelves. 00:01:46.900 --> 00:01:50.600 And of course the checkout line is surrounded with travel-size 00:01:50.600 --> 00:01:52.400 Good Eats to tempt you at the last minute. 00:01:52.400 --> 00:01:55.200 So when you're up against the register lines and you know, 00:01:55.200 --> 00:01:56.800 you're kind of looking all those many products, 00:01:56.800 --> 00:01:58.800 you'll find things that are maybe, you know, 00:01:58.800 --> 00:02:00.700 five $10 depending on what it is. 00:02:02.700 --> 00:02:03.500 Same for a lot of reasons. 00:02:03.500 --> 00:02:06.300 Maybe there's you know primer you really want to try but you don't 00:02:06.300 --> 00:02:08.400 want to spend $25 on the full size. 00:02:08.400 --> 00:02:11.400 I'm just got a smaller one for 10 bucks for all the smaller 00:02:11.400 --> 00:02:14.600 products and their smaller price tags me seem like a good deal 00:02:14.600 --> 00:02:18.400 there often not take for example, the Glam glow supermud mask 00:02:18.400 --> 00:02:23.700 the full size cost a whopping $59 in comparison to the mini 00:02:23.700 --> 00:02:28.100 half ounce jars for $25 seems like a seal but in reality 00:02:28.100 --> 00:02:33.000 the mini costs $50 per ounce while the full size jar comes 00:02:33.000 --> 00:02:35.200 out to about $35 per ounce. 00:02:35.200 --> 00:02:36.900 So if you're looking to save money, 00:02:36.900 --> 00:02:40.200 the larger product is actually more cost-effective 00:02:40.200 --> 00:02:43.800 another way Sephora gets customers to spend more is simply 00:02:43.800 --> 00:02:45.700 by being there go to beauty store. 00:02:45.700 --> 00:02:49.400 They accomplish this by carrying a diverse array of France 00:02:49.400 --> 00:02:52.900 including ones that can't be found anywhere else a number 00:02:52.900 --> 00:02:57.400 of popular Beauty Brands like Nars and Urban Decay are exclusively 00:02:57.400 --> 00:03:00.900 sold at Sephora the company oven collaborates with Brands 00:03:00.900 --> 00:03:02.400 to release limited edition. 00:03:02.700 --> 00:03:07.000 Which not only draws customers in for pressures them to purchase 00:03:07.000 --> 00:03:11.200 the product exclusive item that you can't get anywhere else 00:03:11.200 --> 00:03:15.700 because you never really know what you're going to find exclusive 00:03:15.700 --> 00:03:16.800 brands in items. 00:03:16.800 --> 00:03:20.600 Make it easy to keep coming back more than anything Sephora's 00:03:20.600 --> 00:03:25.100 all about building brand loyalty case and point their robust 00:03:25.100 --> 00:03:28.700 Rewards program going to the Harvard Business Review reward 00:03:28.700 --> 00:03:31.700 programs. Not only encourage Customer Loyalty, but can also 00:03:31.700 --> 00:03:35.600 get new customers to shop like older more profitable customers 00:03:35.600 --> 00:03:39.500 and the longer a person has been a customer the more profitable 00:03:39.500 --> 00:03:44.200 baby come to the store and the less they cost a certain Sephora 00:03:44.200 --> 00:03:47.900 beauty Insider program has three cheers and anyone can sign 00:03:47.900 --> 00:03:51.300 up for the basic level members are in a point for every dollar 00:03:51.300 --> 00:03:54.800 they spent as well as perks like a birthday gift and Beauty 00:03:54.800 --> 00:03:59.000 classes. The highest most coveted here is Rouge and you have 00:03:59.000 --> 00:04:02.000 to spend $8,000 in a calendar year to qualify. 00:04:02.800 --> 00:04:07.200 Exclusive benefits include significant discounts on all merchandise 00:04:07.200 --> 00:04:10.900 during Sephora sales and free 2-day shipping year-round 00:04:10.900 --> 00:04:18.500 in and only just recently this past year. 00:04:18.500 --> 00:04:24.600 Did I become a Vib Rouge exclusive rewards include sponsored 00:04:24.600 --> 00:04:27.600 trips with cosmetic brands to New York City or Los Angeles 00:04:27.600 --> 00:04:32.800 and some members have even spent more than $35,000 to rack up 00:04:32.800 --> 00:04:34.800 enough points to redeem on such tricks. 00:04:34.800 --> 00:04:40.100 But is it worth the $1,000 to reach Rouge status Vib Rouge 00:04:40.100 --> 00:04:44.600 has benefits at Vib doesn't have like early access to products 00:04:44.600 --> 00:04:48.500 like invitations to like Sephora events facials, 00:04:48.500 --> 00:04:51.800 whatever if that's something you're interested in and work towards 00:04:51.800 --> 00:04:56.800 it sure, but if not Vib is literally so similar, 00:04:56.800 --> 00:04:59.200 they're so similar in terms of their benefits. 00:04:59.200 --> 00:05:02.400 I don't think it's worth it to actively try to spend $1,000 00:05:02.400 --> 00:05:06.800 a year. How to reset status after all both Vib and Rouge members 00:05:06.800 --> 00:05:11.100 have access to Sephora sales Sephora definitely makes it easy to 00:05:11.100 --> 00:05:14.200 spend more but finding good deals isn't impossible 00:05:14.200 --> 00:05:17.600 for constantly put things on clearance just maybe not at the 00:05:17.600 --> 00:05:18.600 Forefront of the story. 00:05:18.600 --> 00:05:21.100 No keep an eye on the website and keep an eye on their social 00:05:21.100 --> 00:05:23.800 media Pages like for Instagram or Twitter or see what promotions 00:05:23.800 --> 00:05:27.400 are going on and really just kind of focus on some of the the 00:05:27.400 --> 00:05:30.300 sales and promotions they do because a lot of the times you can 00:05:30.300 --> 00:05:32.900 get, you know, equally good products for a little bit less money.