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· Posted on
February 21, 2024

Adore Beauty posts double-digit revenue growth

And in the words of DJ Khaled...You smart, you loyal. I appreciate you.

What's the key learning?

  • Adore Beauty's sales jumped 18% to over $113 million thanks to a jump in customer numbers
  • Adore's loyal, returning customers were the real MVPs, leading to 71% of their revenue
  • Customer acquisition is important for growth, but customer loyalty works even better.

Background: Adore Beauty is an online beauty retailer that launched back in 1999. In 2020, this crew listed publicly, taking its valuation to more than $650 million.

 

What happened: Today, the company's market cap is around $254 million 📉. But Adore just announced sales jumped 18% to over $113 million thanks to a jump in customer numbers.

 

What else: Adore's loyal, returning customers were the real MVPs, leading to 71% of their revenue.

 

So what's the key learning?

 

💡Customer acquisition is important for growth, but customer loyalty works even better.

 

💡We know that loyal customers are 60 to 70% more likely to make repeat purchases than new customers. And loyal customers spend around 33% more per transaction. They also act as brand advocates.

 

💡Adore's loyalty program which launched last year has been key in bringing customers back time and time again...and it's paying dividends now.

‍

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