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Sephora Revamps Loyalty Program, Includes Cash Rewards

Sephora plans to open 90 additional stores this coming weekend.

Sephora has revamped the Beauty Insider loyalty program, and new benefits allow shoppers to translate loyalty points into discounts.

With the shift, loyalty program members can use 500 points for a $10 credit at checkout. The new benefit is among many, including increased birthday gifts, lower minimums for free shipping and early access to products.

While the program’s May 29 start date will coincide with continued coronavirus-related social-distancing guidelines, Allegra Stanley Krishnan, vice president and general manager of loyalty at Sephora, said planning began pre-pandemic.

“We have actually been working on evolving the Beauty Insider program for quite some time, actually a few years now. We are constantly hearing from our clients about new ways they want to engage with Sephora and the additional value components that they want as a part of the program. We really took that to heart,” Krishnan said.

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Beauty Insider Cash — the program with the cash rewards — is something Sephora shoppers “have been asking for from us for years,” she added.

Sephora will also be having points-multiplier events, which will allow customers to earn either two, three or four points per dollar spent, depending on what tier of the Beauty Insider program they fall into. Rouge members, who spend at least $1,000 a year with the retailer, will see the most points during the events, Krishnan said. Sephora will also have points-for-discounts events and charitable giving options.

Minimums for free shipping are also being lowered to $35 for VIB members and $50 for Insiders — Rouge members already receive free shipping. As soon as social-distancing restrictions are lifted, Sephora plans to roll out new options for interactive-experience rewards. Those options will include interactions with brand founders, facials from a “skin-care guru” or behind-the-scenes access to see how certain products are made.

“As soon as social-distancing restrictions are lifted, we’ll start to get back into our regularly scheduled programming, which is going to be focused more on one-on-one meet-ups with brand founders,” Krishnan said.

Rouge members will have early access to product launches beginning this fall.

After closing stores in March, Sephora opened 70 stores in 13 states last week with new health and hygiene guidelines that the retailer said have been “well received” by shoppers and employees. Sephora plans to open an additional 90 stores across 18 more states this coming weekend. While stores were closed, Sephora’s shoppers went online — the retailer saw a 67 percent increase in online sales in April and May versus last year, the company said, with customers gravitating toward hair care and skin care, as well as DIY services.

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