Years after quarantine, consumers continue to look for ways to create meaningful experiences from the comfort of their homes, having grown accustomed to those luxuries, Platterful posits.
Lowell Bieber, co-founder of the direct-to-consumer (D2C) charcuterie kit subscription box, noted in an interview with PYMNTS that, even amid the current macroeconomic pressures, the brand’s customers have remained resilient, perhaps because of behaviors that were developed during the early stages of the pandemic.
“I think people … maybe got used to habits that they had during the pandemic, like not going on big lavish trips or anything like that, but trying to keep some experiences close to home,” Bieber said.
Bieber noted that the brand’s boxes (minimum $75 for a one-time purchase) are “a bit more of a luxury item,” noting that the company has not been passing inflation onto the consumer but rather absorbing most of it, a decision that it is “very happy about.”
Most consumers continue to be willing to treat themselves to these kinds of luxuries, even amid cost pressures. PYMNTS’ study “New Reality Check: The Paycheck-to-Paycheck Report – The Generational Deep Dive Edition,” created in collaboration with LendingClub, revealed that 63% of consumers reported having spent $100 or more on a nonessential item or service in the last three months.
Loyalty for Platterful looks a little different than it may for less of a luxury product since much of the company’s revenue comes from gifting, but even there, Bieber noted that there are consumers who make the brand their go-to for a wide range of gifting occasions. To maintain loyalty, the brand targets those who have the best and worst experiences.
The company recently started an initiative to surprise and delight customers on these opposite ends of the spectrum.
“If you have a great experience, … we’re going to double down on that great experience and send you out a $100 gift card to Platterful or even to a local restaurant,” Bieber said. “If you have a poor experience, same thing. We’ll see what’s in your area, or maybe you mentioned that you’re a fan of a certain sports team. We’ll get you tickets to an upcoming game. Really trying to treat our customers like friends and family.”
Investing in relationships with already loyal subscribers can be key to merchants’ success. PYMNTS’ study “Decision Guide – How Retail Subscription Merchants Can Win and Retain High LTV Customers,” created in collaboration with sticky.io, revealed that the most loyal 30% of subscribers drive 79% of retail subscription merchants’ revenue.
Looking ahead, Bieber said he expects artificial intelligence (AI) to play a role in this procedure, with the company increasingly able to leverage large language models to process customer messages.
“I think people still want to have that human connection, … but the AI can help to be that first response and give it a go, and then the human can … come in and give a more curated and helpful response,” Bieber said. “Really excited about what the future looks like.”