Madam Glam Overhauls its Subscription Program with Subscribfy: Half of the Shoppers Join and Spend 165% More!
Client
Madam Glam
Industry
Nail Care & Beauty
About Madam Glam
Madam Glam is a New York City-based beauty brand founded in 2014. The founders pursued a lofty objective: to create salon-quality, responsibly sourced nail and gel polishes. Today Madam Glam has a catalog of more than 1,800 gels and 800+ shades that are certified vegan and cruelty-free. New exclusive products and colors are introduced every month, so there is always something new for Madam Glam’s shoppers to discover.
The Challenge
In early 2021, Madam Glam introduced product subscriptions with the goal of increasing retention and generating a steady stream of recurring revenue. However, despite all marketing efforts and discount incentives to encourage subscription, the subscription rate remained in low single digits. After conducting shopper surveys, Madam Glam executives discovered that customers were reluctant to use subscriptions because they didn't want to receive the same nail polish every couple of months. Instead, they preferred to shop for monthly product drops and collect various colors from the Madam Glam catalog. Subscribing to the same nail polish would take away from the fun of the shopping experience!
Solution
Madam Glam's team approached Subscribfy for assistance in designing a unique subscription experience that wouldn't confine shoppers to receiving the same nail polish repeatedly. The key requirements were: providing complete flexibility for subscribers to shop the entire product catalog and delivering a clean UX that would encourage shoppers to opt for the subscription.
A team of Subscribfy UX Specialists and Growth Strategists conceived the Madam Glam VIP Club, which offers a subscription experience where VIP Club Members pay $29 every month in exchange for $29 in store credit. This store credit can be used to purchase any product from the Madam Glam catalog. In addition, VIP Members receive a 50% discount on every order, enjoy free shipping, participate in giveaways, and gain exclusive access to new collections.
Lastly, to eliminate any friction, shoppers can try the VIP Club experience for free during the first month and have the flexibility to pause or cancel their subscription at any time.
Impact
Madam Glam and Subscribfy teams collaborated to create an offer that would make it a no-brainer for shoppers to opt in and become subscribing members. Impressively, after 12 months, 50% of Madam Glam shoppers have joined the VIP Club!
Club members spend 165% more than regular shoppers, and they are the driving force behind Madam Glam's consistent growth, even during the CAC crisis. Operating the business, developing new products, and introducing new collections have become a smoother and more predictable process thanks to the stream of recurring cash flow that Madam Glam can tap into.
Additional shopper surveys revealed that this strategy has given Madam Glam a competitive advantage. 98% of VIP Club Members disclosed that they no longer shop for nail care products from other brands because they have a "store credit wallet" they can use to shop at Madam Glam and enjoy a 50% discount.
After working with Subscribfy for over two years, Madam Glam is positioned better than ever to succeed in the challenging e-commerce environment, all thanks to the VIP Club Membership!
