Latest / The Retention Marketing Podcast with Fexingo: Email, SMS, and Loyalty for Repeat Customers / How a Beauty Brand Uses SMS to Recover 25 Percent of Churned Customers
Transcript
- Lucas: So Luna, I've been digging into a pretty specific win-back tactic that a beauty brand used recently, and the numbers are genuinely impressive. Glossier — the direct to consumer skincare and makeup brand — ran an SMS campaign targeting customers who hadn't bought anything in six months or more. And they managed to recover 25 percent of those lapsed customers within thirty days. Luna: Twenty-five percent is huge. Most win-back email campaigns I've seen hover around 5 to 10 percent. What did they do differently? Lucas: The key difference, I think, is the medium. SMS has open rates north of 90 percent, and people check texts within minutes. But it's not just about the channel — it's the way they structured the message. They didn't just send a generic 'We miss you' text. They used a three-part framework. Luna: Okay, let's hear the framework. Lucas: First, a personalized product recommendation based on what the customer had bought before. If you'd bought their Boy Brow, the text would say something like 'Your Boy Brow is almost out — here's a restock offer.' Second, a limited-time discount — 20 percent off, but only valid for 48 hours. Third, a short survey link: 'Tell us why you haven't shopped lately.' That last part is smart because it gives them data to fix the underlying issue. Luna: I love the survey. So many brands just try to sell again without understanding why the customer left. Was it price, product satisfaction, or just forgot about the brand? Lucas: Exactly. And they found that about 40 percent of respondents said they'd simply forgotten about Glossier — no negative reason. That's a huge opportunity. A well-timed SMS reminder with a small incentive was enough to bring them back. Another 30 percent said they'd switched to a competitor, and the survey helped Glossier identify which competitors and why. Luna: What about the other 30 percent? Lucas: About 20 percent said price was the issue, and 10 percent had a poor experience — shipping delays, product quality, that kind of thing. So Glossier could segment their follow-up. For the price-sensitive group, they might send a bigger discount later. For the poor-experience group, a personal apology from customer service. Luna: So the SMS isn't just a one-off blast — it's the start of a conversation. That's smart. Lucas: Right. And the results: 25 percent of the targeted segment made a purchase within 30 days. The average order value was actually 15 percent higher than their typical customer's first order. These weren't just bargain hunters — they were real loyalists who just needed a nudge. Luna: That's the ideal win-back scenario. You're not just buying back a customer at a discount; you're re-engaging someone who will spend more. Lucas: Now, a couple of nuances. First, they only sent one SMS per customer in that 30-day window. No follow-up if the person didn't open it. They wanted to avoid being spammy. Second, they used a dedicated short code so the replies went to a real person, not an automated system. That personal touch matters. Luna: That makes sense. If someone texts back 'Why did you send this?' and gets an auto-reply, it feels cold. But if a human responds, it builds trust. Lucas: And here's the thing — this isn't just for beauty brands. Any business with repeat purchases can use this approach. Think about a subscription box service, a pet food company, or even a local coffee shop with a loyalty app. The framework is the same: personalized recommendation, time-limited offer, and a request for feedback. Luna: What about timing? When's the best moment to send a win-back SMS? Lucas: Glossier sent theirs on a Tuesday at 10 a.m. local time. They tested a few slots and found that mid-morning Tuesday had the highest click-through rate. That's pretty standard for SMS — weekdays, not too early, not too late. But they also segmented by time zone, which is easy to forget but crucial. Luna: And I imagine they tested different offers too. Was 20 percent the sweet spot? Lucas: They tested 15, 20, and 25 percent off. The 20 percent offer had the best conversion rate relative to the discount cost. 25 percent brought in more people but at a lower average order value — people were more likely to just buy the cheapest item. So 20 percent was the most profitable. Luna: That's exactly the kind of testing most brands skip. They default to 'Let's do 20 percent off' without checking. Lucas: And that's the takeaway, really. If you're going to run a win-back campaign, test your offer, test your timing, and above all, listen to what your customers tell you. The survey data is gold. Luna: It's funny, we talk a lot about acquisition on this show, but win-back is sometimes more cost-effective. The customer already knows you, already liked you once. You just need to rekindle that. Lucas: Absolutely. And if these marketing conversations have sparked something you've actually used in your own work — maybe a tactic like this — honestly, if today's episode was worth a coffee to you, that's the link: buy me a coffee dot com slash fexingo. It keeps the show ad-free and independent. Luna: Yeah, we love that it's listener-supported. No sponsors, no interruptions. Lucas: So, back to the data. One other thing Glossier did: they measured redemption by using a unique promo code for each customer. That way they could track exactly who came back and what they bought. That's how they knew the average order value was higher — they linked the code to the purchase data. Luna: That's a great point. Too many brands use a generic code like 'WELCOMEBACK20' and then can't tie the purchase back to the specific campaign. You need unique codes to really measure effectiveness. Lucas: And that data feeds back into your CRM. Now you know which customers are worth re-engaging and at what price point. You can even build a predictive model: if someone hasn't bought in 90 days, what's the probability they'll respond to a 20 percent off SMS? Luna: That's the next level. But for most small businesses, just starting with the framework — personalized message, limited offer, survey — can make a big difference. Lucas: Exactly. And don't overlook the legal side. In the U.S., you need prior consent to send marketing SMS — which you probably already have if you're collecting phone numbers at checkout. But make sure your opt-in language covers win-back messages. And include an opt-out in every text. Luna: Good reminder. Nothing kills a relationship faster than feeling spammed. Lucas: So to recap: Glossier's win-back SMS campaign recovered 25 percent of lapsed customers, with a 15 percent higher average order value. The framework is three-part: a personalized recommendation, a time-limited discount, and a feedback survey. Test your offer and timing. And always measure with unique codes. Luna: I'm definitely going to try this with a few clients. Thanks for the deep dive, Lucas. Lucas: Thanks, Luna. And thanks to everyone listening. If you try this approach, let us know how it goes — we'd love to hear your results.