How we contributed to revenue generation via Retail Media and increased the number of product reviews at Douglas

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The Client: Douglas

Douglas was founded initially as a soap manufacturer in Hamburg in 1821, but over the years, it has grown to become one of Europe's largest beauty and lifestyle products sellers, with international headquarters in Düsseldorf.

Today, it operates stores in various European countries such as Poland, Austria, Netherlands, France, Italy, Switzerland, Spain, and Portugal, offering a wide range of beauty and personal care products.

Douglas has expanded its presence in e-commerce, making it easy for customers to shop online and have their products delivered right to their doorsteps.

Being the leading premium beauty platform in Europe, Douglas offers over 100,000 beauty and lifestyle products in its online shops, the beauty marketplace, and 2,400 stores. These offerings include perfumery, cosmetics, skin and hair care, nutritional supplements, accessories, and advice/inspiration.

With its wide range of products and its commitment to providing top-notch customer service, Douglas has become a go-to destination for beauty enthusiasts looking for the latest trends and developments in the industry.

Let us share the outcomes of our 10-month mission.

The Mission: Interim Product Owner

🎀 The product

We joined the company to fill the Product Owner role for the following products:

  • Product ratings and reviews that allow customers to share their experience with a product and give it an overall star rating. Based on them, shoppers make more informed purchase decisions.
Ratings and Reviews of the Products
  • Retail Media advertising that influences sales throughout the consumer’s journey and enables brands to boost their visibility on the “digital shelf”.
Retail Media in Douglas Store

🧑‍🤝‍🧑The team

The team consisted of:

  • 4 developers (FE+BE),
  • A UX designer and a UX manager,
  • A QA Engineer,
  • PO,
  • A Scrum Master.

Our Main Mission

Launch: We Onboarded Very Fast

After a successful onboarding run by a previous Product Owner, we jumped quickly to take over the business initiatives. We immediately started taking active steps by checking the available data and meeting our main stakeholders to understand the expectations from both products. At the same time, we interviewed team members to get an overview of the strengths and challenges related to planning and delivery processes.

Generated Revenue and Improved User Experience

We generated revenue through Retail Media

The main goal of Retail Media is to increase revenue through new ad spots that improve the visibility of the products displayed by top brands.

What we did:

  • Based on the data analysis, we identified the three highest-revenue ad slots (main page, product page, search areas) that could replace native products with Retail Media product recommendations without affecting the user experience.
  • A/B tested and implemented three new ad placements that could provide personalized products for the shoppers.
  • We identified an issue related to consent - upon first loading into a page (even when consent has been previously given), consent information is not passed to services. That means no ads are shown to users before navigating through the page. The bug causes a significant revenue loss per year.

Results:

  • We implemented three new ad placements with an impactful annual revenue potential across all countries.
  • Moreover, fixed the consent issue: We enabled the ads to display when consent was given. After the first month of the implementation, we saved a significant revenue.
New Ad Placement at Douglas Store

We discovered a reviews boost solution and monetized it

While interviewing representatives of e-stores on local markets, we discovered a significant problem: the number of product reviews is low compared to the number of reviews in Germany, which affects the willingness to pay for products with no reviews. Example of the number of product reviews: Germany 620k, Poland 45k reviews.

What we did:

  • We interviewed the beauty products shoppers and identified that shoppers are not eager to buy a product with very few reviews (less than five).
  • We conducted a benchmark analysis to see the solutions used by other competitors to increase the number of product reviews.

Out of 5 different options, we decided on the cheapest and low-hanging fruit solution: sharing reviews from Douglas.de with other stores and providing an automated translation to the local language of the store.

What we did:

  • We conducted a PoC that confirmed the cost efficiency of the technical solution
  • We proceeded with further development.

Results:

  • The solution enables local markets to increase the number of reviews from 24% to 100%.

Additional!

  • Considering that the number of product reviews is one of the KPIs among beauty brands, together with our stakeholders, we built a business model that will enable Douglas to monetize the reviews sharing, a.k.a “Reviews Boost” and offer it as a service to the brands. The service revenue projection proves a remarkable revenue increase in 2025.

We improved shoppers’ experience related to access to product reviews

While designing the user journey for reading and submitting reviews, we identified that shoppers were not informed about the lack of possibility of seeing the product reviews if consent was not given. At the same time, we discovered many complaints on the app store on this issue shared by shoppers. The users considered it as an obstacle before making a purchase decision.

What we did:

  • We added additional information for the shoppers about why the reviews are hidden and enabled them to consent and display them.

Results:

  • After the implementation, Douglas did not get any negative feedback from the users on Google Play and App Store related to the visibility of the product reviews.
Additional feature in the store that enables the users to give consent and display reviews.

We shortened the customer journey of submitting reviews

We also identified that the conversion rate of submitting reviews after receiving a post-purchase e-mail was low:

  • “Open an e-mail” CTR: 10%
  • “Submit a review” CTR= <1%.

The users were giving up on further submission when they found out they had to log in to their account after clicking the CTA button in the e-mail.

What we did:

  • We developed a mechanism that could enable the user to open the link without logging in.
  • We aligned with legal and architects to ensure a stable and secure solution.

Results:

We delivered an easy and secure solution that can increase the conversion rate by 5%.

Internal Improvements

We established a transparent collaboration with stakeholders and built an outcome-based roadmap

We wanted to ensure that all the stakeholders were aligned on the product strategy and that the priority of feature development in 2023 is based on tangible outcomes. The business owners responsible for the retail media rollout expected significant revenue growth from ads in 2023, which had to be considered while planning.

Therefore, as the first step, we facilitated a series of collaborative workshops that included business owners, the UX team, and a tech lead. The main objective was to identify and confirm:

  • Expected business outcomes of the features (i.e. revenue, conversion),
  • Technical obstacles and required effort to deliver the desired features,
  • Scope of the discovery,
  • Dependencies on other product teams.

Results:

Based on all the inputs from the stakeholders, we prioritized the features and created a roadmap that included discovery and delivery activities. The roadmap enabled the development team to focus only on features that generate revenue and/or improve the user experience.

On top of that, the management of the stakeholders’ expectations was improved by establishing regular meetings and async updates to discuss new topics, solve blockers, and analyze the data.

Quarterly Roadmap Planning

We improved the Planning and Delivery Processes by Introducing the SCRUM Framework.

When we joined, the team was working on the Kanban framework. This approach has limitations in terms of the measurement of the velocity and efficiency of the team.

What we did:

  • We interviewed all developers to understand their pain points and needs related to the delivery process.
  • We introduced and implemented a switch from Kanban to Scrum. The switch included:
  • 2- weeks sprints with defined sprint goals,
  • New estimation method using Fibonacci numbers,
  • Reviewing previous estimations to improve estimation skills,
  • Setting up a new Jira workflow.

Results:

  • Thanks to the implementation of SCRUM, the team started estimating the tickets correctly, delivering the features according to the initially committed sprint scope.
Initial sprint planning pages to adjust the scope of work during every sprint according to the team’s velocity.

Delivered Outcomes

💡 We rolled out new Retail Media placements on the e-commerce platform, generating significant annual revenue.
💡  We implemented a new solution that increases the number of product reviews across all local markets. We also build a business model that enables the monetization of the service.
💡 Based on customers’ feedback, we improved the display of reviews. After the implementation, Douglas has not received ANY negative feedback in the app stores about product reviews.
💡 Internally: We established a transparent collaboration with stakeholders and built an outcome-based roadmap based on the expected business outcomes, value for the shoppers, and effort.
💡 Internally: We improved the planning and delivery processes by introducing the SCRUM framework and then adjusted it to the development team’s needs.

In the Client's Own Words

Space Crew of this Mission

Senior Product Management Consultant
Product Management Consultant
VP/Director/Head of Product

For Clients: When to Hire Us

You can hire us as an Interim/Freelance Product Manager or Product Owner

It takes, on average, three to nine months to find the right Product Manager to hire as a full-time employee. In the meantime, someone needs to fill in the void: drive cross-functional initiatives, decide what is worth building, and help the development team deliver the best outcomes.
If you're looking for a great Product Manager / Product Owner to join your team ASAP, Product People is a good plug-and-play solution to bridge the gap.