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4 Key Metrics to Track When Using Beauty Tech for Your Brand

May 7, 2021 · 4 minutes read

For brands looking to increase their online performance, beauty tech is key. In particular, beauty technology software as a service (SaaS) can drastically improve the consumer shopping experience by digitizing the entire product selection and shopping process. Customers will have all the tools they need to make better purchasing decisions.

However, brands can’t just implement this tech and forget about it. If they want to use things like virtual try-on or shade finders, they must decide which key business metrics they want to measure, monitor, and improve. This can help them see what is working for the customer and what isn’t.

This isn’t always easy. As brands are deciding on which beauty tech to add to their brand experience, they may face roadblocks from the company executive team and implementation team who don’t understand the capabilities of beauty tech. By defining these key performance metrics, brands can be more informed and better make decisions about the implementation of beauty tech.

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In this article, we’ll show you the top key performance indicators (KPIs) and SaaS metrics brands can and should track once they have deployed.

Beauty Tech: Key Performance Metrics

Once implemented, beauty tech can instantly help transform the customer’s shopping experience on the site. That’s why it’s important for brands to track key SaaS metrics so they can tell what is and isn’t working. From increased time on-site to a boost in sales, these are the top KPIs to measure when evaluating the success of beauty tech:

1. Beauty Tech & Impact on Sales

Increased sales are just one of the KPIs to watch with beauty tech. If products are suddenly selling more after implementation, it’s likely that beauty tech is the catalyst.

The main reason for this is that beauty tech allows the customer to discover more SKUs. Instead of having to search the site for what they need, customers will receive automatic recommendations based on the shade finder recommendation or their interaction with a virtual try-on module.

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They can find similar color options, shades, textures, and patterns without the need for a hard sale. The more brands that allow the consumer to try, the higher chances they’ll find the things they like and put them into the shopping cart. One example of this is the beauty company, Madison Reed.

“We can actually see the impact on our sales numbers from people using our Virtual Try-On tool,” said Corey O’Neal, Senior Product Manager at Madison Reed. “And in recent months, with more people staying at home because of the coronavirus, we’ve seen a 10x rise in our hair color sales.”

2. Beauty Tech & Conversion Rate

Tracking sales is good, but brands also need to think specifically about conversions. After all, what is it about the virtual try-on process that is convincing the shopper to make a purchase?

Ideally, conversions happen because virtual try-on gives them confidence in the product. When beauty tech is set up correctly and accurately, beauty products can be represented with extreme precision, thus giving consumers hyper-realistic digital beauty experiences.

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When beauty brands take the extra time and effort to meticulously set up each SKU with great precision, it results in amazing improvements in conversion rates in return. Cosmetic company e.l.f. greatly benefited from this implementation.

“We also found that those interacting with our virtual try-on had a 200% higher conversion rate — from shopping to actually purchasing,” said Ekta Chopra, VP of Digital, at e.l.f. Cosmetics “This means that augmented reality isn’t just cool technology, it’s actually working for us.”

3. Beauty Tech & Website Traffic

Along with sales and conversions, it’s also imperative to track website traffic. In most cases, when brands add virtual try-on, shade finder, skincare diagnostics, or another beauty tech tool, they’ll see an explosion of web activity.

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This is because consumers are curious. They like to learn more about themselves and what products would work for them, especially when the process is completely painless and efficient. As an example, artificial intelligence (AI) skincare technology allows users to learn more about the health of their skin. This is valuable both from a cosmetic standpoint as well as a medical one. One company that’s using this to their advantage already is Marianna Naturals.

“We can see the metrics for people who come to our site and use our skin diagnostics tool, so we can absolutely credit the tool with what has been a 300% boost in the traffic to our website,” said Joel DeBellefeuille, Co-Founder, President & CEO of Marianna Naturals.

4. Beauty Tech & Time on Page

Yes, beauty tech will attract more visitors. But are these page visits meaningful? Are customers browsing products or quickly clicking away? Interactive solutions like beauty tech should keep users engaged with the website, encouraging them to spend more time exploring the products and trying on new SKUs. After all, who doesn’t like to discover and explore things in a fun way? Beauty tech lets users interact with the shopping experience with personalized attention, so it’s superior to a traditional web experience.

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With the right use of technology, brands are sure to see improved time-on-page SaaS metrics. Companies like Coffret D’Or have already seen a 2.48x increase in time spent on the page after implementing beauty tech. And consumers of the KATE makeup brand are similarly engaged.

“We also had users staying 4.3 times longer on the revamped campaign site compared with our previous campaign site without virtual makeup features,” said one of the company’s marketing representatives. “This proved that an enriched brand website experience leads to a more interactive and satisfying consumer journey.”

Dive Into the Beauty Tech World With these key performance metrics in hand, your brand will be unstoppable when it comes to implementing beauty tech.

Beauty Tech: The Complete Guide 2021

Get expert advice from Perfect Corp. and be part of the beauty tech trend. Contact us for details on beauty tech solutions trusted by 300+ brands globally.

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