App Provider Rankings: Ulta Beauty Revamps Digital Strategy to Boost Engagement
With the shopping season upon us, PYMNTS’ App Provider Rankings take a peek into shopping apps. And what we found were some strategies paying dividends in retail app usage and access.
We’ll start with Ulta Beauty, the cosmetics and skincare retailer, which has been on a mission to overhaul its digital presence to counter rising competition and enhance customer loyalty. It posted 5 points on the App Provider Rankings for a total of 48. The company’s mobile app, now accounting for two-thirds of eCommerce sales, has seen a 16% increase in adoption through targeted communications and exclusive offers.
In a bid to amplify its social media impact, Ulta has doubled its influencer network and launched “Ulta Beauties,” an employee ambassador program. These initiatives have generated more than 250 million social impressions and increased earned media value.
The company is also expanding its retail media network, UB Media, partnering with Rokt to introduce aritifical intelligence-powered non-endemic ads. This move allows brands like Hulu and PayPal to reach Ulta’s loyal customer base. Additionally, Ulta has introduced new digital platforms, including a beauty community forum and wellness-focused content hub.
Target, which registered 3 points on the App Provider Rankings for a total of 68, changed its mobile app to address frustrating customer behavior impacting its employees.
The retailer’s Drive Up service, which allows customers to shop online and have their items delivered to their car, has been plagued by a practice called “double tapping,” where customers click the “I’m on my way” button, then immediately follow up with the “I’m here” button, interrupting the preparation process for workers. In response to complaints, Target updated its app to prevent customers from tapping both buttons in quick succession, now prompting users with a message urging them to allow extra time for order fulfillment. This update follows a recent change to its return policy aimed at preventing fraud.
In its third-quarter financial results released Wednesday (Nov. 20), Target reported double-digit increases in Drive Up orders.
Meanwhile, Best Buy posted 3 points on the App Provider Rankings for a total of 63. PrettyLittleThing and The Home Depot rounded out the top five “Movers and Shakers,” with each posting three points on the App Provider Rankings.
Home Depot is driving its digital transformation with the launch of “Sidekick,” a machine learning-powered mobile app that provides store associates with real-time insights to prioritize tasks and quickly identify out-of-stock items.
The company also revamped its Pro Xtra loyalty program with a tiered structure (Member, Elite, and VIP) that offers exclusive benefits to high-spending customers, such as prioritized support and personalized assistance, aimed at increasing customer loyalty and sales.
The PYMNTS.com Shopping Apps page offers a monthly ranking of smartphone Shopping Apps, assessing them based on publicly available information and exclusive app usage data, helping users identify the top performers in the market. The ranking aims to provide precise insights into app performance, aiding stakeholders in making informed decisions.
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