ABOUT
Lucardi, a leading retail chain with over 100 stores spread across the Netherlands, Belgium, and Germany and a strong online presence, has always offered modern and affordable jewelry to its customers. Recently, they were recognized as the Dutch Retailer of 2023 in the Fashion Accessories category.
INTRODUCTION
The traditional on-model content production process presented Lucardi with performance-hindering challenges. Lucardi has started experimenting with AI-generated virtual models to tackle these, using Bright River’s Posed Virtual Model solution to replace traditional on-model images.
This new approach not only preserved the quality of customer engagement but remarkably enhanced it, leading to a significant 9.7% increase in online conversions.
“a significant 9.7% increase in online conversions”
– Earring Category –
THE
CHALLENGE
Lucardi’s data analysis revealed that on-model product displays significantly outperform those without a model. Yet, showcasing all products on-model on every Product Detail Page presents challenges: The extensive range of products demands significant resources for traditional model photography. With limited studio capacity, this constrains on-model shoots, particularly during launches of new collections.
THE
SOLUTION
In partnership with Bright River, Lucardi tested “Posed,” the virtual on-model imagery solution, to tackle this challenge. The test was based on the hypothesis that virtual models could produce results similar to real models but would be significantly more cost-efficient and have a shorter studio-to-web time. This strategy aimed to utilize the latest AI technology to create realistic and appealing on-model images, intending to preserve the quality of online product presentation while overcoming the identified hurdles.
RESULTS & BENEFITS
Virtual models in the earring category matched and surpassed real models‘ conversion rates.
The project was highly successful: virtual models in the earring category matched and surpassed real models’ conversion rates. This achievement led to a 9.7% increase in conversion uplift, generating a substantial return on a very modest initial investment as the test was conducted on a sample size of roughly 150 products.
Furthermore, the use of virtual model imagery instead of real on-model imagery is expected to generate substantial cost savings in content production, highlighting the financial advantage of this innovative approach.
FOLLOW-UP
Encouraged by the success of the Posed virtual model imagery, Lucardi seeks further to explore the factors behind the increase in conversion rates. Initial thoughts suggest that virtual models were available in greater variety, potentially enhancing the online shopping experience.
These findings motivated Lucardi to extend the use of virtual models across more product categories. Additional experiments are planned to identify the precise elements that drive conversion and revenue improvements while maximizing cost efficiency. The use of virtual model imagery -with its very cost-efficient and fast production process- enables Lucardi’s CRO team to conduct these follow-up experiments in a scalable way.
CONCLUSION
Lucardi’s venture into AI-driven virtual models offers a smart solution to the challenges of online jewelry sales. Implementing Posed has showcased the potential of this powerful innovation. Lucardi intends to broaden this cost-effective solution to additional product categories, further enhancing sales conversion while ensuring tremendous cost savings.