“The path to purchase has changed enormously,” said Marc Speichert, CMO of L’Oréal USA.
In the latest Brand Innovator Spotlight, learn about the new path consumers are taking and how companies can follow.
The Old Way – Consider, Buy
In the old path to purchase model, consumers confronted a wide marketplace of brands and products. Using information and feelings, they decided on a specific product to purchase. It was a simple, two step process: consider and buy.
“That was the old model,” explained Speichert. “The path to purchase has changed enormously becoming more multi-dimensional with new media.” Businesses are wise to adapt to the new model for increased sales and higher customer satisfaction.
The New Way – Consider, Evaluate, Buy, Advocate
The recent behavior behind purchases has the same two stages as before but with two new stages: consider, evaluate, buy, and advocate.
Similar to before, consumers first consider which brand to select. L’Oréal influences this stage with Destination Beauty, a YouTube channel with tips and news about beauty. Holding the title for most viewed YouTube program, consumers are definitely putting L’Oréal on their list.
After considering their options, consumers evaluate which brand is right for them. “Beauty is personal and specific,” said Speichert, and to address this factor, L’Oréal contributes to typeF.com and eHow Style Channel. These platforms create context that address the individual’s beauty needs.
Consumers then buy the product, but even this stage has a modern twist. Purchases continue to move from physical to digital stores. Speichert gave the Keihl’s Brand as an example of adaptation: “The retail experience … for which Kiehl’s is known in its brick and mortar stores is translated in a very consistent manner online.”
The final goal is for consumers to become advocates for the brands they love. To assist with this transformation, L’Oréal collaborated with Telemundo Communications to launch Club de Noveleras, an online community centered on telenovelas. A point system allows users to earn prizes, such as L’Oréal products.
Following Consumers Down the Path
With the help of Flite, an advertising platform built on cloud technology, L’Oréal can see how consumers interact. The online ads are interactive, and with each click, L’Oréal learns what works and what doesn’t.
“The bottom line is that your customers wield power and control over your brand like never before,” said Speichert. The strategy is turning that power into your company’s advantage.
