Big Data brings Beauty and Wellness industry to a higher level

By -


One of the sectors of the beauty and wellness industry that never stops growing is the skincare services and cosmetics sector, despite the decreasing growth of -8% in 2020 due to the pandemic, skincare is one of the most profitable product category, as its revenue is projected to generate roughly 177 billion U.S. dollars in 2025 according to Statista.com. And Big Data plays a huge role in this industry. The use of Big Data and artificial intelligence has helped companies to develop alternative or completely new products offerings for consumers. One of the impacts of the pandemic is that it accelerated the creation of online solutions and people changed their habits of consumption. To develop targeted pricing strategies to serve this emerging generation of consumers, companies make use of big data and technologies that help them to understand their audience.

 “Big data has proven its ability to help beauty brands optimize a variety of processes. From package and formula design, marketing and sampling campaigns, and strategic plan development, big data can provide access to analyses of consumer behavior and wants, especially for companies that are interested in targeting Gen Z buyers.” (clarkstonconsulting.com)

 

Another major help from Big Data to the industry is the personalization of products and services. Through Human generated data companies can now personalize their products and services according to their customer’s needs. One example of that is the company ‘The Ordinary’ that creates products for skincare using information generated from the website visitors. By only one click the customers can create a specific Regimen and choose the products that best suit their needs. Using algorithms and machine learning companies like ‘The Ordinary’ receive these structured data and analyses them to ensure the optimization of their products and the satisfaction and loyalty of their customers.

 

“Without the big data analytics, companies are blind and deaf, wandering out onto the web like deer on a freeway.” – Geoffrey Moore

Comments

  1. Unknown28 January 2022 at 15:05

    Osnei
    I really appreciate your post regarding the impact of Big data in the skincare industry. Definitely the big data is optimizing a variety of processes such as formula design, marketing and sampling campaigns, and strategic plan development.
    It’s interesting the example hat you gave concerning the company ‘The Ordinary’ that creates products for skincare using information generated from the website visitors. It’s incredible, by only one click the customers can create a specific Regimen and choose the products that best suit their needs.
    Thank you very much for sharing this new concept that is changing our lives for the better. The usage of data generation is availing us to get the best formula to keep our skin care.
    Thanks
    Natália

    ReplyDelete
  2. Rafael Prado de Farias3 February 2022 at 06:42

    Hi Osnei,

    Thanks for sharing this lovely post,

    I absolutely agree with you when you mentioned that people have changed their habits of consumption during the pandemic. In fact, people are shopping more online and many businesses had to adapt themselves to this big change. Big data is playing a major role during this change, it can analyze customer behavior and help companies to offer personalized solutions. The ordinary was an excellent example of how Big Data is helping the Wellness industry with the personalization of products and services. I trust their recommendations and it makes me feel comfortable while purchasing their products.

    I am looking forward to your next post. Thanks.

    Rafael Prado

    ReplyDelete
  3. Roger Nunes4 February 2022 at 12:08

    Great mention of big data use by The Ordinary Osnei! It can be something so subtle as creating bespoke personal items but the amount of data that runs in the background is almost never truly considered. I suppose that's why business now are really focusing on analysing all data from customers from every source to create exactly what the customer wants, resulting in them returning.
    I remember a while ago CocaCola were doing a campaign with personalised bottles and cans. I think it was through big data analysis that they chose the most common names in specific regions for mass production.
    A creative marketer's playground if they do it properly for sure.

    ReplyDelete
  4. Paola6 February 2022 at 08:06

    Hi Osnei,

    I really enjoyed reading your post!

    I completely agree that the beauty and wellness industry was so much impacted by the pandemic. The use of big data is certainly a way to personalize customer experience especially in a popular sector such as skincare.
    I am particularly obsessed with skincare and when shops were closed during the lockdown I have actively looked for websites that could give me the same type of experience “The Ordinary” gives. A good example is the website “MaisonLoo”: on their website you can provide a series of details regarding your skin and they will then analyse this data and suggest you the best creams, night masks etc for your skin type.

    Thank you again for writing about this topic!

    Paola Orrù

    ReplyDelete

Post a Comment

Popular posts from this blog

SEO and the benefits for Health and Wellness companies

By -
Image
The health and wellness industry is constantly growing and every day we see new companies on the market with innovations to attract new consumers. The new generation of consumers are more educated to the online environment,  and as they are more and more dependent on websites and mobile apps looking for information it is really important for these companies to employ SEO that works. But what is SEO? SEO (Search Engine optimisation) is the process of making improvements on and off our website in order to gain more exposure in the organic results of search engine results pages (SERPs) and, thus, more traffic. (Callan, Julian. 2022) It is through SEO that companies will generate more traffic to their websites and social media channels and consequently convert those visits into sales. First step is to know your audience, learn who your target audience are by determining their geographic locations, sex, age, and needs. Then you will focus on the content, relevant content is very importa...
Read more

Customer Data for SME - The Benefits and Challenges

By -
Image
Have you ever noticed when you enter in any website a pop up appears for you to agree with the Cookies policy on that page? Always when you agree with that you are giving permission to that specific website to collect any possible data generated by your visit. Any move made inside that page will generate data for many purposes. The same way, when you are digitalizing your business, you need to have in mind that to understand your customers behaviours, to personalize your digital marketing campaign, and to generate income through your digital platform you must collect data from the page’s visitors. The use of customer data can be really beneficial for your business as your marketing strategies will be based on that, but also can be challenging if that data is not managed correctly. On this blog we will discuss some benefits and challenges of using customer data for your SME marketing campaign. Improve customer experience When creating a webpage or a profile on social media you must have...
Read more

How Big Data can be beneficial for Spas and Wellness Businesses

By -
Image
  The sector of Spas and of wellness in general has been thriving in the last few years. Especially since the Covid pandemic started, people want more and more to use services offered by local wellness businesses. Therefore, it is crucially important for these businesses to take good care of their online presence and to increase their visibility through the use of big data. What is Big Data?  Big Data could be described as all the information that can be collected and analysed with the use of analytical  tools to produce insights on customer behaviours and patterns. This knowledge can then be used by businesses to make decisions on their marketing or sales strategies. A business can also use this data to effectively improve customer experience; for example, understanding which parts of a website need to be modified in order to satisfy customers.   How can Big Data be useful for a business?  First of all, big data can be used by companies to personalise their mar...
Read more