LITITZ, PA — A new report from Listrak, the 2025 Beauty & Fashion Benchmark Report, has unveiled critical insights into consumer behavior and marketing strategies, emphasizing the growing impact of SMS campaigns, loyalty programs, and AI-driven solutions for beauty and fashion brands.
The report highlights that beauty shoppers are twice as likely to convert after receiving SMS cart abandonment messages and 2.6 times more likely to convert following SMS price drop alerts. Fashion consumers, too, showed a significant shift toward mobile purchases, with every analyzed SMS campaign achieving year-over-year conversion growth in 2024.
Loyalty programs emerged as a major driver of engagement. Beauty brands saw a staggering 60-times increase in loyalty-related messaging sends year-over-year, achieving twice the conversion rates compared to other benchmarks. Meanwhile, fashion brands increased loyalty sends by 167%, reflecting a strong focus on revamped loyalty strategies to retain existing customers.
To tackle challenges such as window shopping and dormant customers, brands leaned on urgency-driven campaigns and reactivation efforts. Browse abandonment sends in the beauty sector grew by 51%, and cart abandonment sends rose by 42%. For fashion brands, low inventory, price drop, and replenishment campaigns gained traction, while reactivating inactive shoppers became a priority as acquisition costs increased.
The study also underscored the value of AI-driven strategies in marketing. Listrak’s data recommends brands adopt tools like AI-powered product recommendations in email campaigns, analyze channel affinity to target customers on preferred platforms, and encourage deeper product discovery through recurring automated campaigns.
The findings, based on analysis of 125 billion messages sent by over 1,000 e-commerce clients in 2024, offer vital guidance for brands looking to optimize their marketing strategies in the competitive beauty and fashion sectors. According to Listrak, the insights highlight evolving consumer preferences and the importance of leveraging data-driven solutions to drive real-time results.
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