The subscription beauty box made its way to the market in 2010, when Birchbox began offering its subscribers a once-a-month sampling of various beauty products. This was soon followed by a number of other companies.
What is a Beauty Box?
Beauty boxes are essentially a periodic delivery of niche products as an aspect of a marketing tactic and a product distribution technique. These boxes are typically utilized by subscription-based ecommerce businesses, which use a subscription business model. These businesses target a wide variety of customers and indulge a variety of specific interests and needs.
It is projected that in the United States, there are between 400 and 600 different varieties of subscription boxes and there are even more of these boxes available overseas. The subscriptions vary in both frequency and cost, making them much more accessible to a wider array of customers from varying socioeconomic backgrounds. They typically range in cost between $10 and $100.
Success of Beauty Boxes
The success of the beauty box model attests to the profound impact of the direct-to-consumer model on the retail industry. For quite a while, consumers have been moving toward expectations that the merchant will get it right the very first time. As such, it has become noticeable that the attention spans of consumers have shortened for retailers who are unable to line up their offerings with customized preferences right out of the gate.
Some of the Reasons Beauty Boxes are Effective
More is Less
The concept of “more is less” stems from the finding that the more options consumers have, the more difficult it is for them to make a decision and the less likely it will be for them to make a purchase. Additionally, consumers tend to experience buyer’s remorse after selecting from a plethora of options.
Nowadays, there are overwhelming choices and consumers are overwhelmed with what to choose. A beauty box is the ideal solution to indecisiveness and remorse as they package products based on the personal preferences of a customer.
Predictability
Subscription boxes come with a predictable, yet unclear, set of rewards. The majority of subscription boxes are particularly chosen for that specific individual based on particular preferences and needs. This offers convenience while customers are introduced to new trends and brands. Once retailers and consumers transact business in a certain way, it is likely consumers will continue this behavior, particularly if the behavior can be performed easily to and brings satisfaction.
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