Beauty Retailer Activates Durable First-Party Data Strategy Using Customer Lifetime Value Modeling
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InfoTrust’s client is a global leader in skin care, make-up and fragrance products. The company’s products are sold in high-end retail stores globally, providing the highest quality products for all skin types. The client wanted to drive higher ROI across their advertising platforms by improving their audience strategy.
The InfoTrust team built customer lifetime value (CLV) models for the customers in the client’s database. The models were designed to provide customer-level predictions of future purchasing activity to give the client’s marketing team insight into the holistic value of customers. To build the models, InfoTrust leveraged the client’s CRM, loyalty program, transaction history, and Google Analytics data stored in BigQuery in Google Cloud Platform (GCP).
As a data-driven organization, the client planned four phases of testing to prove the value of using CLV as part of their first-party audience strategy. Not only do the insights from the models empower the client to implement a customer-centric strategy to drive greater revenue and ROAS, this first-party data strategy helps the marketing team adapt to the recent privacy changes in the industry.
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