Business Profile
Brand: Phrozen3d
Industry: 3D printing
Platform: Shopify Plus
Country: USA
Year Founded: 2016
Employees: 30
Integration: Klaviyo
Company
Phrozen is a Taiwanese 3D printing company producing high-quality, consumer-friendly 3D printers. Founded in 2016, Phrozen has provided artists, medical practitioners, and industries with smart yet affordable 3D printers.
Over the years, the company expanded into new regions, which brought new successes and challenges. Phrozen now sells in the U.S., Japan, South Korea, and Japan, among other countries. With the expansion, the company needed a way to gain new customers and turn their existing shoppers into loyal customers.
Challenges
Main Takeaways
- Phrozen3d needed a solution to cultivate a loyal customer base in newly moved regions and markets.
- The company also needed to encourage its established customer base to engage with its website and content.
- They wanted to leverage social mentions from different platforms and use existing customers to attract new leads.
“As we expanded into new regions and markets, cultivating a loyal customer base became paramount. Earlier this year, we entered the FDM territory with the Arco FDM 3D Printer, targeting customers who prefer FDM over Resin printers. With our diverse customer base from the dental, corporate, entertainment, and government sectors, we aimed to leverage existing customers to attract new ones from other industries.”
Considering our expansion, CEO Wu Yi-ren emphasized the challenges of entering new markets, particularly against fierce competition from Chinese mainland manufacturers offering lower rates. “Breaking into new markets is tough, to say the least,” said Wu Yi-ren. “Especially now as we face fierce competition from Chinese mainland manufacturers, offering lower rates for their machines. We needed to show new leads that we have the trust and support of customers from back home.”
Therefore, our customer acquisition budget had to increase after boosting engagement among current customers. We noticed that many of our 3D printer customers also needed materials and accessories for pre and post-processing, creating a significant base of repeat shoppers. Now, we aim to leverage this loyalty to attract new customers from different regions.
Despite the current customer base, potential customers exist across various online platforms, social media sites, and 3D printing forums. Typically, we needed to find a way to track, collect, and consolidate all our social mentions to fully capitalize on our social proof for lead generation.
Solution
To conquer new markets and regions as well as stay ahead of fierce competition, the sales team realized the importance and urgency of integrating an effective review and loyalty program app into their website.
“We knew what type of app we needed. The work to find the right one began with intensive discussions of our problem areas to filter out unnecessary apps. We wanted an app that improves engagement rates, boosts sales, and enhances our brand image. The app we’d pick also needed to handle massive traffic and integrate seamlessly with our website and installed apps.” Lucas Witse, sales manager.
- Save costs and improve revenue growth: The perfect review and loyalty app should be both effective and budget-friendly – help convert, engage, and retain users on the company’s website to enhance customers’ lifetime value, meeting their quarterly goals.
- Cultivate loyal customers: Phrozen hoped to cultivate a large customer base of loyal buyers who are committed to the brand. The company is known for providing its customers with outstanding 3D printing machines that produce high-detailed sculpts in the Asian market. However, without a loyalty or review program, customers had no incentive to act as brand ambassadors.
“We are the leading producers of specialized, high-end dental 3D printers, which has given us a significant customer base in Asia. But with our new expansion into the U.S. and European markets, we now have competitors who have a long position in the markets. Fortunately, our competitive pricing, high-quality machines, and loyal customer base could speak for us.” Wu Yi-ren, Co-founder and CEO.
The sales team ultimately decided to use Loloyal and Trustoo.io apps—to build a loyal customer base and enhance traffic through social mention, while having robust features, seamless integration, and providing smart, convenient solutions.
Save Costs & Revenue Growth
With incentives for repeat purchases and guaranteed customer engagement, Loloyal helps businesses save on the costs associated with acquiring new customers. The app also drives revenue by increasing customer lifetime value and encouraging customer loyalty to the brand.
Trustoo builds a positive brand image and attracts new customers while retaining existing ones. This ultimately reduces the need for costly marketing to acquire new customers, increasing revenue growth by increasing sales.
Cultivate Loyal Customers
Loloyal’s loyalty program rewards customers for every repeat purchase and engagement, encouraging brand loyalty and cultivating a base of loyal customers who are likely to make repeated purchases and recommend your brand to others. Trustoo.io enables customers to share their positive experiences with the brand, thereby building customer trust and loyalty.
Conveniently, customers can earn loyalty points on Loloyal by leaving a review, which Trustoo.io then collects and displays. This synergy between the two apps enhances customer engagement by rewarding them for contributing valuable feedback.
Results
“It did not take long for us to start seeing positive results a few days after installing the two apps. Loloyal was easy to install, and setting up the loyalty programs wasn’t as hard as we thought it would be. And to our surprise, our customers were open and eager to join the programs, especially the VIP tier program. We also didn’t expect the app to work great with our coupon and referral programs.” Tien-Yu Lee, marketing manager.
Since installing Loloyal and Trustoo in October 2023, Phrozen has made great progress in its sales and engagement rates.
- 18,600+ Loyalty Members – after a few weeks, Phrozen already had more than 2,000 members registered for their loyalty programs. A couple of months later, and with a few tweaks in the program structure, the company had over 18k members.
- 1200+ Reviews Collected – The incentive to earn points for leaving a review worked great with Phrozen customers. Now, the company has tons of reviews posted on its website. The new reviews coming in also helped them get an additional 7780 page views in the first two months after installing the apps.
- AOV for Member Purchases Surges by 50%+ – Since members can earn a point for every $10 spent in-store, Phrozen has seen a 50% increase in their average order value.
- 38%+ Redemption Rate – the company significantly improved its marketing efficacy. Strategic incorporation of reviews and loyalty programs into its campaigns played a crucial role, contributing to an increase of over 14,600 in order quantities. This remarkable rate underscores the success of a multi-channel strategy for boosting customer engagement and sales.
- € 40,000 Increase in retention revenue & 2x Instagram followers – Trustoo and Loloyal helped double the company’s follower count on Instagram. The company offers reward points for social media mentions and reviews customers leave on different social and online platforms. This has greatly improved their social proof engagement and retention rates. Phrozen now enjoys a € 40,000 increase in retention revenue.
The Future: Cultivate A Culture of Positive Customer Engagement and Great Shopping Experiences in Our Brand
“At Phrozen, our vision is to continuously build trust with new customers through our multi-channel reviews and loyalty programs. To achieve this, we are adding more incentives to our loyalty programs and marketing campaigns. Additionally, we plan to expand our catalog with more FDM printers and leverage our growing social proof to establish a strong presence in the FDM market.
Giving our customers unforgettable shopping experiences has always been one of our biggest goals. We hope to use Trustoo and Loloyal to encourage our customers to share their experiences in our store with their friends and family.” Wu Yi-ren, co-founder and CEO.
