sephora service audit presentation

Megan Cornelius, Blerta Imeri, Alex Myers, Hannah Tillson, and Din Tran

❖ Opportunities & Recommendations

❖ Questions

Agenda❖ About Sephora

❖ Beauty Industry

❖ Sephora’s Competitors

❖ SWOT Analysis

❖ Research Objectives & Goals

❖ Research Methods

❖ Findings

About Sephora❖ Sephora is a beauty-retail company

founded in 1998

❖ There are over 2,000 stores in 29 different countries

❖ Sephora is also located inside of JCPenney stores

❖ Offers a wide variety of products➢ Makeup➢ Skincare➢ Fragrances➢ Haircare➢ Tools

❖ Unique customer service and technology

Beauty Industry❖ Beauty Industry has a wide range

of products ➢ haircare, fragrance, makeup, etc.

❖ Continuous Innovation and product introduction due to fast paced market

❖ Industry is moving toward natural and organic products➢ Limited animal testing➢ Health, and environment concerns

Sephora’s Competitors❖ Main Competitors

➢ Ulta

➢ Walmart

➢ Target

➢ Drugstores

SWOT AnalysisStrengths

❖ Trained professionals❖ Strong Brand Recognition among loyal

customers❖ New industry technology

Opportunities

❖ Young Adult Female emerging market❖ Global Presence❖ Beauty Professional training and

application

Weaknesses

❖ Advertising: very little advertising for company and products

❖ Weak fragrance brand awareness and low sales

❖ Limited locations and brand standardization

Threats

❖ Environmentally conscious stakeholders and companies

❖ Lack of convenience

❖ Analyze the quality of customer service provided to customers at Sephora to determine the effectiveness of Sephora’s customer service

❖ Study why consumers choose Sephora’s competitors

❖ Determine if Sephora’s service is consistent with its mission statement

❖ Identify opportunities for service improvement and make recommendations to Sephora

Service Audit Objectives & Goals

Research Methods

❖ Observation➢ In-store observation of customer and sales

associate interactions

❖ Brief Inquiries of Employees➢ Asked the sales associates a few questions to

increase our data collection

❖ Online Survey➢ RIT Qualtrics

➢ Distributed through social media, emails, etc.

Observation❖ Understand how customers search for,

test, and decide to purchase products

❖ Study how often customers utilize the makeup consultants and whether these interactions led to a purchase

❖ View the level of organization of store products

Sephora Customer Experience

Who Initiated the Interaction?

How Long was the Interaction?

Short - Sales Associate showed Customer to product area / 1 Task done by SA for C

Medium - Sales Associate helped Customer with more than 1 thing

Long - Sales Associate applied 1 or more products onto Customer

Did Customers Use Any Makeup Testers?

Purchase Percents

Brief Inquiries❖ The number of employees that work at one time

➢ Weekday vs. Weekend

❖ Qualifications required for employees

❖ Important skillsets necessary for employees

❖ How new technology has improved Sephora’s customer service capabilities

Sephora Employees

❖ Weekends: 4-5 work at once ❖ Weekdays: 3 work at once

❖ No certifications❖ Customer Service skills

New Technology!

Online Survey❖ Where consumers shop or would shop for

makeup

❖ How Sephora customers rate Sephora’s location, quality of products, atmosphere, and customer service

❖ How Sephora’s competitors were rated in the same categories

How Women Use Makeup

50% Women use makeup everyday

41%Women use makeup 3-5 times a week

Where Consumers Would Shop

35 of 38WOULD NOT

shop at Sephora

Sephora Vs. Competitors

Quality of Products

Atmosphere

Ability to Consult with Makeup Experts

Location

5.7 5.0

5.0 4.1

4.9 2.6

4.6 5.0

Sephora’s Customer Service

67%

of the participants who received

assistance from a sales associate said that

they were more inclined to purchase a

product

Strategic Recommendations

Strategic Recommendations

Price Variety

Increase Promotionsa. Increase Advertising of Sephora Brand

Makeupb. Blind Product Testingc. Fragrance Promotion

Strategic Recommendations

Employee - Customer Service Interactionsa. Continuation of High Employee Expectationsb. Greeters

Locationa. Airport Vending Machinesc. Easy Access Mall Locations

Questions?