Customer Stories Pacsun

Pacsun Creates a
Single Source of Truth
for Customer Data

pac sun-logo

Retail Footprint

300+ Stores
Ecommerce

Industry

Fashion
Apparel

Annual Revenue

$900M

Website

pacsun.com

PacSun is dedicated to delivering an exclusive collection of the most relevant brands and styles to a community of inspired youth. Through partnerships with brands such as adidas, Brandy Melville, Essentials Fear of God, its own brands, and many more, the consumer apparel leader offers a unique range of product that all youth can express themselves through.

In order to better understand and serve customers, and turn a profit in the process, PacSun relies on composable data platform SoundCommerce to unify and model data for advanced, real-time decision making across marketing, merchandising and operations.

About

PacSun is a leading specialty retailer based in California offering a cross section of emerging brands and trending fashion through the lens of youth culture. At PacSun, SoundCommerce brings disparate marketing and operations event data together to help the retailer balance compelling customer experiences with contribution profits and customer lifetime value (CLV).

The challenge

Digital-first consumer brands need to collect customer profile and event data in real-time and unify it with data sets across marketing, merchandising, customer experience and finance. PacSun needed unified data and advanced data models to inform better retail decisions, improve shopper experiences and increase customer lifetime profits.

PacSun_storefront

Brands often lean on marketing tools like Customer Data Platforms to drive customer experience, while key operations data like shipping costs or available inventory remains siloed, causing retailers to lose profit on sales.

“SoundCommerce provides near real-time centralized customer insights which can help PacSun marketing and operations create better customer experience. SoundCommerce has been key to PacSun unlocking value from our data.”

—Shirley Gao, CIO at PacSun

The solution

With SoundCommerce, PacSun can optimize retention marketing campaigns to profitability and contribution margin CLV goals. With SoundCommerce, retailers have insight into a customer’s average order value or whether a customer frequently returns their online orders. This level of granular customer data can then be used to determine which customers receive an exclusive discount or other marketing offer.

SoundCommerce  supports dynamic customer attributes including marketing engagement across paid, social, email and messaging campaigns; profiling and segmentation of named and anonymous shoppers; and awareness of complex subscription membership and loyalty status. The module provides native tools for granular segmentation, and customer data orchestration to industry-leading data activation tools.

With SoundCommerce, PacSun can align customer profiles and segments with post-conversion retail considerations including merchandising calendar and discount promotions, cancellations and returns, order and shipment routing, fulfillment and shipping latency, inventory availability by location, and variable costs of doorstep delivery — variables ignored by generic customer data platform (CDP) providers.

Key results

21.6M

Shopper Profiles

11%

CLV Increase (YoY)

-9.5%

Reduction in CAC (YoY)

15%

Repeat Purchaser
CLV Increase (YoY)

“SoundCommerce helps Pacsun manage complex omnichannel data to drive great customer experiences and higher customer lifetime value. With SoundCommerce, we’re making smarter decisions to build stronger relationships with our community, even as we grow our profitable retail operations.”

—Mike Relich, CEO at PacSun

SoundCommerce helps PacSun:

  • Enrich shopper profiles with identity and demographic attributes
  • Track shopper behavior and value across omnichannel operations
  • Drive digital marketing campaigns to shopper segment profitability targets
  • Optimize assortment, promotions, and fulfillment for customer engagement and CLV
  • Increase CLV with insights into complex membership and subscription programs
  • Optimize customer engagement and retention programs for profitability
  • Analyze operational root cause drivers and detractors of shopper lifetime value
  • Push customer profile and segment data to downstream applications
  • Leapfrog slow and expensive data warehouse buildout projects