Diane von Furstenberg Attributes 11% of Revenue to Personalization

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Diane von Furstenberg Attributes 11% of Revenue to Personalization

By Tim Denman - 08/29/2018
Diane von Furstenberg is leveraging machine-learning technology to create personal experiences for shoppers.

Diane von Furstenberg (DVF) is leveraging machine-learning technology to create in-the-moment experiences ― serving the right message, offer or product in the right place and at the right time, increasing brand engagement and customer loyalty. DVF attributes 11% of its e-commerce revenue to its ability to create personalized experiences for each and every visitor.

The luxury apparel manufacturer and retailer partnered with Qubit to provide its customers with this next-gen experience. After the launch of its new website, DVF used Qubit Pro to introduce experiences like social proof, basket reminders, user-specific offers and smart e-mail collection experiences, all served at moments defined by an individual’s behavior and intent. Bag reminders alone drove substantial revenue, while offers saw a 20% conversion rate amongst those targeted.

“As a brand, we’re under pressure to maintain growth and revenue in a highly competitive landscape, particularly from online-only retailers,” said Felipe Araujo, senior director of e-commerce, Diane von Furstenberg. “The luxury industry itself has seen a major shift towards e-commerce, with 40% of purchases now influenced by online content. Previously luxury brands defined themselves by an exclusive in-store experience; this change in focus, combined with an online presence that required updating, was the catalyst behind our decision to implement Qubit Pro and Qubit Aura.”

Qubit Aura, the AI-powered product discovery solution, curates one-to-one experiences for visitors to the mobile website and allows them to see more of the product catalog and more of what’s relevant to them within in a few swipes and interactions. With hundreds of products available at any one time, artificial intelligence is the only way DVF can ensure relevancy on mobile, especially given the confines of the small screen and attention spans. For DVF, mobile now accounts for over 50% of traffic and continues to grow, the challenge is that mobile revenue is significantly less than 50% of web revenue. With Qubit Aura, DVF has increased conversion on mobile by four times for those that use the solution.

 “The premise of cutting-edge personalization technology is as old as commerce itself,” said Graham Cooke, CEO, Qubit. “With a refreshed brand, Diane von Furstenberg saw the chance to deliver this. By providing the right tools, Qubit was able to set the retailer on the path to personalization, a strategy that has been proven to deliver six percent revenue growth for those that implement it.”