In this new video, L2 Founder Scott Galloway speaks about how retailer Boots is dominating the U.K. Beauty Market. Boots e-commerce grew 17% year over year in 2013, and accounted for 78% of online media spend among Beauty retailers. For the first time when mentioning dominance and retailer in the same sentence, we are not talking about Amazon, Galloway said.
Featured in our Digital IQ Index: Beauty®| U.K., Boots has done what no other U.S. retailer has been able to do: convince mass and beauty retailers to distribute in the same place and bypass the traditional grocery store and department divide.
Galloway attributed a large part of Boots’ success to the Advantage Card, a loyalty program launched ten years before Sephora. Close to 18 million people make a purchase on Boots Advantage Card each month, and 60% of their purchases are eligible for the loyalty program. Galloway called Boots the ten-ton gorilla in Beauty, pulling off what no other Beauty retailer has.