Problem

Recognizing that increasing AOV (average order value) is a good way to increase sales, Chalhoub turned to Lumi to identify ways to increase AOV.

Approach

‍ Using Lumi, Chalhoub was able to identify customer behaviour patterns relating to AOV, including the fact that AOV was higher for in-person transactions than online transactions. Lumi then used information including purchase frequency, resident status, and cross-brand activity to find customers that could be open to in-person shopping, and estimated the impact this conversion could have on revenue.

Impact

Lumi identified $60M in additional revenue that could be generated if easily convertible customers made just one of their yearly purchases in person instead of online.

Next Steps

 Understanding that encouraging in-person shopping is critical to improving AOV, Chalhoub can now explore actions such as:

• Exclusive In-Store Promotions
• Enhanced In-Store Experience
• Personalized Invitations

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