Beauty beyond the bottom line

As the summer heat peaks and beach days are in full swing, beauty brand CMOs are already setting their sights on the horizon – specifically, the looming behemoth of Black Friday and Cyber Monday (BFCM). It might seem premature to think about holiday sales when sunscreen is still flying off the shelves, but in the fast-paced world of beauty e-commerce, early preparation is key to success. 

BFCM isn't just another sales event; it's a make-or-break moment that can define a brand's entire year. But here's the key: focusing solely on these high-octane sales periods can lead to a pitfall that boosts immediate results but potentially stunts long-term growth. 

So, what does this mean? 

Imagine your brand as a multi-story building. The bottom floor is where sales happen – it's all about conversion. The upper floors are where you create awareness and interest. The trap occurs when brands become so focused on that ground floor that they neglect the rest of the building. Eventually, there's no one left upstairs to send down to make purchases. 

In the digital beauty world, it plays out like this: brands pour resources into conversion-focused activities, seeing an initial drop in CAC as they become more efficient. But over time, they max out their addressable audience. Without creating new demand through upper-funnel activities, CACs suddenly skyrocket, making the business unsustainable. 

Don’t let the pressure build 

In the months leading up to BFCM, it's crucial not to neglect higher-funnel activities. While it's perfectly appropriate - and even necessary - to focus heavily on conversion during the peak BFCM period, maintaining some investment in upper-funnel strategies can yield significant benefits. 

Think of it like preparing for a marathon. In the months before the race, you build your endurance and strength (upper-funnel activities). During the race itself (BFCM), you push hard to capture the demand you've built (conversion tactics). But even during the race, you don't completely abandon your form and technique (maintaining some upper-funnel presence). So, what's a savvy CMO to do? The answer lies in accurate measurement and a balanced approach. 

Consider the insights from Fospha's Black Friday/Cyber Monday eCommerce advertising report. They analyzed data from UK, EU, and North American Direct to Consumer (D2C) eCommerce brands, who collectively spent $27 million on ads.  

What they uncovered was eye-opening: 

Meta and Tik-Tok emerged as the hero channels for the BFCM period. Despite already high spending levels, these channels saw a marginal increase in ROAS throughout the holiday period even as brands scaled their spend.  

Fospha's data shows that brands who maintain a presence across the full funnel during BFCM often see better overall performance. They're not just capturing existing demand, but continuing to create it - setting themselves up for success beyond the holiday season.  

Moreover, this highlights that consideration-stage marketing, especially on platforms like Meta, played a crucial role. While conversion media performed strongly overall, brands saw a significant lift in consideration ROAS on Meta during the BFCM period. 

The lesson? Without comprehensive,  full funnel measurement , these brands would have missed crucial opportunities to optimize their BFCM strategies. They found their digital sweet spots by looking beyond surface-level metrics and understanding the interplay between different stages of the customer journey. 

Time to adapt 

For beauty brands, this means looking past the obvious BFCM numbers.  

It's about balancing those irresistible BFCM offers with brand-building activities that create long-term value. 

But here's the kicker: you can't manage what you can't measure. The reality is the customer journey in the beauty industry is more complex than ever. Your potential customers are bouncing between TikTok tutorials, Instagram ads, YouTube reviews, and Google searches before making a purchase. 

So, as you plan your BFCM strategy in these warm summer months, think beyond the bottom line.  

Yes, those conversion numbers are important. But equally crucial is how you're building your brand for the long haul. Are you investing in creating content that resonates with your audience? Are you tapping into emerging trends like sustainability and inclusivity? Are you leveraging AI and AR technologies to create personalized experiences that blend brand building with sales activation? 

Fenty Beauty's recent introduction of an AI-powered shade finder for foundation showcases how brands can use technology to enhance customer experience and drive sales. This innovation not only aids in immediate purchase decisions but also builds long-term brand loyalty by providing personalized solutions. 

As you're mapping out your BFCM approach, challenge yourself to look beyond the obvious channels and metrics.  

Dig deeper, ask tougher questions, and be willing to challenge your assumptions. Your brand's hidden opportunity might be just around the corner. But you'll never know unless you're willing to look for it.