SEPHORA-RETAILING FOR SUCCESS From the beginning, Sephora has carried quality skincare products. Excellent retailing techniques, however, are the real driving force behinds Sephora's success. The company's open-sale environment allows consumers to try any product, or even take home a free sample, before they buy. A great location in the heart of the New York City retail district makes it easy for Sephora to attract potential buyers.

Sephora also invests a lot of time and money into training their sales staff so that when customers enter the store, they gain a total shopping experience in which their every need is met. The salespeople are not paid on commission, so they are free to give honest recommendations of products that would be best for their customers. As you watch the video, notice what other retailing methods Sephora uses to promote sales.

Questions

1. Visit www.Sephora.com and browse the online store. How does Sephora use the online environment to promote its products without the advantage of letting customers try before they buy?

2. Sephora is working out the details of a new loyalty program, and they have asked you to give your input and advice. What do you tell them? How should they integrate this new program with the retailing mix they have already adopted?