How Fre Skincare Achieved 2.5x LTV Growth with Loyalty & Email Optimization
An integrated approach to customer retention that transformed Fre Skincare's AOV, LTV, and RFM metrics through strategic loyalty program implementation and email automation optimization.
Key Results
Average Order Value
Significant increase in AOV through strategic loyalty program incentives and tiered rewards.
Customer Lifetime Value
Dramatic increase in LTV through improved retention, repeat purchase rate, and AOV.
Repeat Purchase Rate
Substantial improvement in customer retention and purchase frequency through targeted automations.
Client Overview
Fre Skincare is a premium skincare brand specifically formulated for active women. Their products are designed to protect skin before, during, and after workouts with sweat-resistant, anti-oxidant rich formulations. As a mission-driven brand, Fre also plants an Argan tree for every product sold, supporting women's cooperatives in Morocco.
With a growing customer base and strong initial sales, Fre Skincare approached Accelerato to help them transform one-time purchasers into loyal, repeat customers and maximize the lifetime value of their customer relationships.
Challenges
Low Repeat Purchase Rate
Despite strong initial sales, Fre was struggling to convert first-time buyers into repeat customers, with a repeat purchase rate of only 18%.
Extended Repurchase Time
The average time between purchases was 120+ days, much longer than the ideal product replenishment cycle of 60-90 days.
Underutilized Email Marketing
Fre had basic email flows in place with Omnisend, but they weren't optimized for customer lifecycle stages or segmented based on purchase behavior. Email was generating only 12% of total revenue, well below the industry benchmark of 20-30%.
Our Solution
After a comprehensive analysis of Fre Skincare's customer data, purchase patterns, and existing marketing infrastructure, we developed an integrated strategy focused on two key areas:
Strategic Loyalty Implementation
Tiered Loyalty Structure
Implemented a 3-tier program (Active, Fit, Athlete) with increasing benefits to encourage higher spending and engagement.
Strategic Point Economy
Designed a points system that incentivized both purchases and engagement, with bonus points for bundled products to increase AOV.
VIP Experiential Rewards
Created exclusive rewards beyond discounts, including early access to new products, workout guides, and virtual fitness classes.
Referral Program Integration
Implemented a double-sided referral program that rewarded both existing customers and new referrals.
Implementation Process
Discovery & Analysis
Conducted comprehensive data analysis of customer purchase patterns, product performance, and existing marketing effectiveness.
Strategy Development
Created an integrated loyalty and email strategy with clear KPIs, timeline, and resource requirements.
Yotpo Implementation
Designed and launched the tiered loyalty program with custom branding, point structure, and rewards catalog.
Omnisend Optimization
Rebuilt email flows with segmentation, personalization, and A/B testing framework to support the loyalty program.
Launch & Promotion
Executed a multi-channel launch campaign to drive program awareness and initial enrollment.
Ongoing Optimization
Continuous monitoring, testing, and refinement of both loyalty program and email automations based on performance data.
Results
Loyalty Program Impact
72% loyalty program enrollment
Nearly three-quarters of customers joined the loyalty program within the first 3 months.
38% higher AOV for loyalty members
Loyalty program members consistently spent more per order to earn and redeem points.
42% increase in product bundling
Strategic point bonuses for bundles drove significant increase in multi-product purchases.
Email Marketing Impact
28% of total revenue from email
More than doubled email revenue contribution from 12% to 28% of total sales.
53% reduction in repurchase time
Targeted replenishment emails reduced average time between purchases from 120 to 56 days.
32% increase in email open rates
Improved segmentation and personalization drove significant engagement improvements.
2.5x Increase in Customer Lifetime Value
The combined impact of our loyalty program implementation and email marketing optimization resulted in a dramatic 2.5x increase in customer lifetime value over a 6-month period. This was driven by three key factors:
Higher AOV: 38% increase in average order value
Increased Purchase Frequency: 64% improvement in repeat purchase rate
Improved Customer Retention: 78% increase in 6-month retention rate
Accelerato's integrated approach to loyalty and email marketing transformed our customer relationships. The 2.5x increase in LTV has been game-changing for our business, allowing us to scale more efficiently while building a community of brand advocates.
Sarah Johnson
Marketing Director, Fre Skincare
Key Takeaways
Integration Is Key
The most powerful results come from integrating loyalty programs with email marketing, creating a cohesive customer experience that reinforces engagement at every touchpoint.
Personalization Drives Results
RFM segmentation and personalized communications based on customer behavior significantly outperform generic marketing messages in driving engagement and conversions.
Continuous Optimization
The most successful loyalty and email programs require ongoing testing, analysis, and refinement based on performance data and changing customer behaviors.