Here’s How Chico’s is Effortlessly Attracting (and Retaining) New Customers

Here’s How Chico’s is Effortlessly Attracting (and Retaining) New Customers

What’s in this article:

  • Though it isn’t exactly on Chico’s marketing strategy, the brand is attracting customers from a whole new age group
  • The brand is staying future-focused on the changing retail environment and creating immersive customer experiences

When the quality of your product is excellent, it is likely to be passed on from generation to generation. That’s what Chico’s FAS – the American clothing and accessories retailer – is taking pride in.

It’s a way of building long-lasting customer relationships.

But in the past few months, the brand has noticed more and more social media influencers wearing its stuff – which obviously leads to younger demographics, such as Gen Z and Millennials, taking an interest in its products.

“Thanks to the quality of the garments…they last a long time, so there’s an after-market for a lot of the products we sell,” said Kimberly Grabel, SVP of marketing at Chico’s FAS.

Last year, Chico’s saw a spike in social media hashtags linked to timeless looks, including its signature animal print designs.

@emmalinechilds#ad I offer my sincerest apologies to Chico’s. #lovechicos #haul #chicos #millennial #eldermillenial #fashion

♬ [No sound effect] Refreshing summer tropical house(855495) – MATSU

Its ability to quickly tend to customers in a whole new age range that’s fresh and current in fashion trends is a great way to stay in the spotlight and grow through its existing customers base for many years to come.

Creating Long-Lasting Customer Relationships

The whole idea of passing down clothing from generation to generation promotes fashion circularity, human rights, and other environmental issues. Many young shoppers tend to be more passionate about this mindset.

“Chico’s newly acquired customers are being retained at a meaningfully higher rate than in fiscal 2019,” Grabel said, and since Q1 2020, the average customer age has dropped by ten years YoY.

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As influencers call and tag it, thrift fashion is moving fashion in the right direction that’s long overdue.

Chico’s “thrived during the pandemic and in early 2021, pulling in $6.4 million in earned media value from June 2020 to May 2021,” according to Tribe Dynamics.

Embracing that shift in consumer interest and being prepared for it proves Chico’s to be a customer-centric brand ready to take on new challenges.

For a more detailed analysis, check out Chico’s basic CRM execution.

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