💄Program Evolution

Evolving Sephora Beauty Insider with Loyalteez

Sephora Beauty Insider has 34M+ members climbing tiers for better earning. Here's how to give everyone the same value.

February 6, 202610 min readBy Loyalteez Team
program-evolutionsephorabeautyretailtiers
Beauty Insider
Tier ClimbRewards BazaarSephora-Only
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Sephora Beauty Insider: climb the tier ladder for better earning rates. What if everyone got the same value from day one?

Sephora proves loyalty can be about belonging, not just earning. 80% of sales from Beauty Insider members. "I'm Rouge" means something—identity, exclusivity, community. But it's still closed-loop: points only work at Sephora, tier maintenance is annual, and the Rewards Bazaar creates frustration when popular items sell out.


The Old Model: Beauty Insider Tiers

Tier Annual Spend Key Benefits
Insider $0 (free) Birthday gift, 10% off seasonal savings
VIB $350/year 15% off seasonal, free shipping $35+
Rouge $1,000/year 20% off seasonal, free shipping always, exclusive events

Base earning: 1 point per $1. Point value: ~1-1.5¢. Redeemed in Rewards Bazaar—limited quantity, weekly drops, popular items sell out fast.


The Math That Doesn't Add Up

For Members

  1. Point value opacity — No clear dollar equivalent
  2. Rewards Bazaar frustration — Popular items sell out instantly
  3. Tier maintenance — Must re-qualify annually ($1,000 for Rouge)
  4. Closed-loop — Points only work at Sephora

For Sephora

  1. Tier inflation — Many customers at Rouge level; benefits costly
  2. Ulta competition — Ulta offers ~6.25¢ per point vs. Sephora's ~1-1.5¢
  3. Scarcity model — Rewards Bazaar creates hunt behavior but also resentment

The Loyalteez Redesign

Category Percentage Purpose
LTZ Token 1% Portable, universal—ecosystem distribution
Perks 3% Exclusive beauty experiences and products
Total 4% Focus on experiential differentiation

Preserving the Community

Sephora's magic isn't just points—it's identity and community. Loyalteez enhances it: Achievement perks replace tier maintenance. "Rouge" becomes an unlock, not a treadmill. Experiences expand through perks that attract from beyond beauty—a frequent flyer's LTZ might unlock a beauty masterclass.

The beauty brand that connects to the ecosystem first expands its reach beyond beauty shoppers.


How to Implement It

// Sephora purchase (same rate for all—no tier complexity)
await fetch('https://api.loyalteez.app/loyalteez-api/manual-event', {
  method: 'POST',
  headers: { 'Content-Type': 'application/json' },
  body: JSON.stringify({
    brandId: process.env.LOYALTEEZ_BRAND_ID,
    eventType: 'place_order',
    userEmail: customer.email,
    domain: 'sephora.com',
    metadata: {
      order_id: order.id,
      order_value: order.total,
      // Track old tier for analytics (but don't use for earning)
      legacy_tier: customer.beautyInsiderTier,
      // Loyalteez: 1% for everyone, no tiers
      ltz_earned: Math.floor(order.total * 10)
    }
  })
});

// Message: "You earned 1,000 LTZ! Same value for everyone—no tier climb required."

See: Event Handler API


Before/After Summary

For Sephora

Current Model Loyalteez Model
Program reaches beauty shoppers only Perks attract from entire ecosystem
Rouge/VIB maintenance creates expectations Perks are à la carte; no accumulated status
Rewards Bazaar items sell out Perks have clear LTZ prices; supply matches demand

For Members

Current Model Loyalteez Model
Must spend $1,000/year to stay Rouge Value earned is permanent; no maintenance
Points only work at Sephora LTZ works everywhere
Items sell out; must watch for drops Perks available when you want them

The Headline

Sephora proves loyalty can be about belonging, not just earning.

Being "Rouge" means something because it's about identity, not just math.

Now imagine: That identity portable. That community expanded. That experience amplified. That status permanent.

Sephora doesn't need to abandon what makes it special. Sephora needs to share it with an ecosystem.

See Also

Ready to evolve your loyalty program?

See how Loyalteez adds network reach to your existing program, making rewards portable across the ecosystem.