increase in the conversion of the number of high LTV customers
prediction accuracy
increase in LTV
A rapidly growing beauty brand offers both one-time purchases and subscriptions for hair products.
To maintain profitable growth the brand knew they couldn’t rely on last year’s playbook.
The tectonic shifts in privacy made it harder, more costly, and less predictable for brands to acquire new customers.
Acquiring the most profitable customers matters more than ever.
One of the levers at brand's disposal to attract the right customers is the recommended product for the first order.
Yet they didn’t have the data or the experimentation process in place to know which products will help them achieve this goal.
Profit margin is not a short-term metric. It takes a few months to know if a customer that converted from a campaign/initiative will buy once or again and again.
A consumer goes on the brand’s website and based on the patterns of their user experience, Ocurate makes an LTV prediction.
Ocurate analyzed event-stream data to determine how each variable correlates to LTV: what browser they use, what they click on, their buyer's journey, and more.
Out of all the variables analyzed, Ocurate made recommendations on the initiatives that can be moved through intervention (called “moveable levers”) and that have the biggest impact on LTV.
These recommendations help the beauty brand make fewer guesses on what to test and accelerate creativity.
Ocurate recommended tint rinse as product add-on to be tested with customers with the highest growth potential.
Testing on the right audience is crucial to the experimentation process because there are some customers that will never buy again regardless of intervention.
The use of Ocurate’s data analysis and experimentation allows them to increase the speed & confidence in the testing process and know precisely what initiatives drive profitable revenue.
