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How rag & bone fashions new revenue streams from triggered text messages

rag & bone: up close and personal messaging

Luxury urban clothing brand rag & bone has  optimised performance across email and text message and driven increased revenue – while reducing customer acquisition costs (CAC) – by using triggered messaging.

Founded in 2002, rag & bone quickly became synonymous with British heritage style that combines directional with modern design. Now, the New York-based fashion brand’s bricks-and-mortar estate has expanded to 42 stores internationally, including three London outlets.  rag & bone is also stocked across several UK luxury retailers, including Selfridges and Harrods, and while it had traditionally focused on wholesale, it has been strategically growing its direct-to-consumer (D2C) offer over the past few years.

As part of its D2C strategy, rag & bone sought new ways to connect with shoppers.  However, with the increasingly high CAC needed to engage luxury shoppers – especially in the context of increased competition and demand for eCommerce brought about by the pandemic – the fashion brand wanted to make its owned channels work harder, as a cost-effective way to engage, convert, and remarket to customers.

rag & bone had already been working with Wunderkind, having first turned to the behavioural marketing solution in 2019 to optimise its on-site experience and grow its marketable lists.  Wunderkind’s personalisation technology enabled the luxury fashion brand to better understand and directly remarket to those same users.

This meant it could send personalised, triggered emails, based on the intent and behaviours shoppers displayed throughout their browsing journey, to move them  down the conversion funnel and improve online performance. 

Having already seen success in driving revenue across its email channel with Wunderkind, increasing triggered email traffic to the site by 3.7x which drove 7.27% of total digital revenue for the brand, rag & bone wanted to expand their marketing capabilities across further channels, namely text messaging. 

Implementing Wunderkind’s Smart Sender, a text message feature that uses on-site behaviour to send individual customers texts based on when they’re most likely to buy, rag & bone was able to open up text as a standalone sales channel.  With automated triggers optimising send times, Wunderkind text messages now make up 9.8% of rag & bone’s total digital revenue.  

And, because it was able to integrate email and text message engagement through one platform, enhancing personalisation via a 360-degree view of the customer, rag & bone now sees over 20% of their total digital revenue driven from Wunderkind. 

Aaron Detrick, VP of Digital at rag & bone, comments: “Wunderkind has been an incredible tool to ensure that we’re maximising our spend.  It helps us bring consumers back to site with thoughtful experiences based on intent they’ve shown on our website.”

Danielle Auerbach, Senior Director, Customer Success EMEA at Wunderkind, adds: “The CAC was already rising for retailers well before the covid-19 pandemic – but the explosion in demand for eCommerce we saw in 2020 has meant competition across biddable channels, which has accelerated CAC to an unsustainable level.  As such, brands now need to unlock the potential in their owned channels as a way not only to improve sales, but to enhance engagement with their shoppers.”

“By opening up new channel capabilities, such as text messaging, and integrating them with existing marketing capabilities like email, retailers can deliver enhanced customer experiences that drive conversions, boost loyalty and increase customer lifetime value,” she concludes. 

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