True Classic needed to increase customer retention and lower CAC

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In an increasingly competitive market, even eCommerce successes like True Classic face high customer acquisition costs. So as ad rates continued to rise, they focused on increasing LTV. Troy Petrunoff, Director of Owned Media at True Classic, says that’s why they set out to increase repeat purchases and lean into its most valuable customer segments.

To do this, they considered several strategies, including subscriptions and points-based loyalty. Overall, the results were less than stellar, and the loyalty program was difficult to manage.

So Troy began to explore paid membership programs. His interest was twofold:
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• ‍Encouraging repeat purchases: The right membership program would entice loyal customers to return (and reward them for doing so), creating a positive cycle of repeat purchases and customer satisfaction.
• Standing out in a competitive industry: He hadn’t seen many membership programs in the fashion or apparel spaces, so he was eager to test one out. If it worked, True Classic would be ahead of the curve.

When he discovered Inveterate, he was eager to try our program on for size to see if it made the difference he was looking for.

Inveterate’s bespoke solution for paid memberships revitalized True Classic’s customer loyalty

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The Inveterate team immediately began strategizing with Troy to figure out how to meet True Classic’s needs. Here’s what they came up with:
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• Full funnel integration – True Classic revamped its email and SMS marketing flows to promote the program, allowing customers to join and gain membership benefits across all segments and product pages.
• In-cart reminders – When customers view their cart, they’re shown how much members would save on that purchase and are prompted to sign up.
• Conversion-driving perks – Members receive early access to new products, exclusive offers, members-only gifts, and SMS notifications reminding them what rewards they’ve earned. The FOMO effect further drives signups and member participation.
• Improved testing – The membership program naturally segments customers into an extremely valuable cohort. Built-in levers like cash back incentivize members to return, allowing True Classic to focus on growing LTV.

What’s more, Troy says Inveterate’s membership program distinguishes True Classic from brands with less desirable perks.

True Classic increased revenue per customer 44% with its Inveterate-powered loyalty program

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Thanks to their revamped loyalty program, True Classic’s revenue began to climb, and it continued to grow as they expanded segmented testing.

In the past few months, they also added a 10% off benefit that doubled their opt-in rate from 4% to 8%. When coupled with improved merchandising on the site, they boosted opt-ins to 12%. Here are the other success metrics they’re seeing:

In Troy’s words, True Classic is “leaning in” to its revitalized membership program. They look forward to expanding the program internationally and perfecting the entire member experience.