Podcast Summary: DTC Podcast - Ep 514: How Hestan Built a 40% Repeat Purchase Engine With Content & Plain Text Email | AKNF

Introduction

In Episode 514 of the DTC Podcast, hosted by the DTC Newsletter and Podcast team, listeners are given an in-depth look into how Hestan Culinary achieved an impressive 40% repeat purchase rate. The episode features Christina Schodeny, Senior Director of Marketing at Hestan Culinary, who shares actionable insights on leveraging content and plain text email strategies to foster customer loyalty and drive sales without relying on discounts. The discussion is moderated by Jordan Gordon from the "world's best email retention podcast," offering a rich blend of practical advice and strategic frameworks for direct-to-consumer (DTC) ecommerce brands.

Background and Brand Evolution

Christina Schodeny begins by outlining her journey with Hestan Culinary, emphasizing her transition from the restaurant and food marketing industries to building brand equity at Hestan. With over seven years at Hestan, Christina underscores her passion for both cooking and the brand, positioning herself as both a marketer and a customer.

Notable Quote:

"I've been with the Hestan brand for seven years now, which is really exciting... I'm the Hestan customer. So it's just been a dream to work on the brand and build the equity of Hestan."
— Christina Schodeny [03:55]

Achieving a 40% Repeat Purchase Rate

The core of the conversation revolves around Hestan's remarkable achievement of a 40% repeat customer rate, the highest Christina has observed. Unlike many brands that rely heavily on discounts to encourage repeat purchases, Hestan focuses on storytelling, chef partnerships, and plain text emails to build long-term relationships with customers.

Notable Quote:

"Our repeat customer rate this month is 40%. That's insane. That's the highest I've seen it."
— Christina Schodeny [00:00]

Email Marketing Strategy

Christina attributes much of Hestan’s success to their email marketing strategy, crafted in collaboration with Pilot House. The approach balances direct sales messaging with inspirational and educational content, such as recipes and chef stories. This strategy ensures that customers stay engaged with the brand beyond their initial purchase.

Key Points:

• Content Balance: Emails are a mix of product promotions and valuable content like recipes and chef features.
• Plain Text Emails: Utilizing plain text emails fosters a more personal and authentic connection with customers.
• Segmentation and Testing: Pilot House assists in segmenting the email list and testing different messaging strategies to optimize engagement and conversions.

Notable Quote:

"We're selling cookware at the end of the day, and there is a direct response that we're expecting from email... But it's also important for us to balance all of that with amazing content that's inspirational and approachable for our audience."
— Christina Schodeny [10:54]

Integration with Other Marketing Channels

Hestan adopts a holistic marketing approach, integrating email with paid advertising and soon-to-be-launched SMS campaigns. Christina highlights the importance of consistency across channels, ensuring that messaging is tailored appropriately for each medium while maintaining a cohesive brand narrative.

Key Points:

• Paid Ads and Email Synergy: Paid ads focus on emotional appeal and brand awareness, while emails delve deeper into product features and benefits.
• Omnichannel Strategy: Balancing direct-to-consumer (DTC) sales with strong retail partnerships to provide a seamless customer experience.
• Future SMS Integration: Moving towards strategic SMS usage to complement email and enhance customer engagement, particularly with the upcoming loyalty program.

Notable Quote:

"We have a 360 campaign marketing strategy. So it's important that we are telling the same stories, story consistently across the channels."
— Christina Schodeny [19:14]

Content Creation and Brand Storytelling

A significant aspect of Hestan's strategy is leveraging partnerships with top chefs and culinary institutions to create compelling content. By showcasing how professional chefs use Hestan products, the brand not only highlights product excellence but also inspires customers to elevate their cooking experiences.

Key Points:

• Chef Partnerships: Collaborations with renowned chefs like Thomas Keller add credibility and aspirational value to the brand.
• Educational Content: Providing tips, tricks, and recipes through emails and landing pages enriches the customer experience.
• Human Element: Featuring team members like Michael, the cookware concierge, adds a personal touch and builds trust with customers.

Notable Quote:

"We work with a lot of great Michelin star chefs and professional chefs. And we have one chef here in San Francisco, Matt Aino, and he says, you know, I never worry about your cookware because it just works."
— Christina Schodeny [07:55]

Email Design and Flexibility

Hestan opts for HTML-based email templates over fully designed, image-heavy emails. Christina explains that this choice allows for greater flexibility and ease of updates, enabling the team to respond quickly to inventory changes or new product launches without overcomplicating the design process.

Key Points:

• HTML Templates: Simplifies updates and modifications, ensuring timely and relevant content delivery.
• Content Over Design: Focuses on delivering valuable information rather than intricate designs, aligning with the brand’s strategic goals.
• Consistency and Scalability: Maintains a consistent brand message while allowing for scalability as the product line expands.

Notable Quote:

"We have been on our fourth year. We have a great relationship. Everything that you've grown our email program... Email's our second strongest channel... It goes hand in hand."
— Christina Schodeny [29:49]

Challenges and Strategic Adjustments

Christina discusses initial challenges, such as conveying the technical aspects of cookware in ads, which proved less effective. Instead, Hestan pivoted to focus on consumer benefits and emotional storytelling in ads, reserving technical details for emails where customers are more engaged and willing to absorb detailed information.

Key Points:

• Technical Messaging: Realized that technical details were not resonating well in top-of-funnel ads.
• Consumer Benefits: Shifting focus to how products make customers' lives easier and more enjoyable.
• Emotional Connection: Building an emotional connection through storytelling enhances brand loyalty and repeat purchases.

Notable Quote:

"What the consumer really wants... is it makes my life easier. So we need to lead with the consumer benefit and support it with the technology."
— Christina Schodeny [19:14]

Future Plans and Loyalty Programs

Looking ahead, Hestan is excited to launch a loyalty program aimed at rewarding and further engaging their existing customer base. This initiative will likely leverage the established email and soon SMS channels to provide personalized rewards and foster deeper customer relationships.

Key Points:

• Loyalty Program Launch: Designed to enhance customer retention and reward repeat purchases.
• SMS as a Complementary Channel: Strategic use of SMS to communicate with VIP customers without overwhelming them.

Notable Quote:

"We're about to launch a loyalty program which we're really, really excited about... SMS can play more of a role kind of for that audience to people that want to hear from us more often."
— Christina Schodeny [27:21]

Conclusion

Christina concludes by emphasizing the importance of building long-term relationships with customers through consistent, value-driven communication. Her partnership with Pilot House has been instrumental in achieving significant growth in Hestan’s email marketing efforts, making email their second strongest channel after paid ads. The strategic integration of content, storytelling, and flexible email design has allowed Hestan Culinary to scale effectively while maintaining a premium brand image.

Notable Quote:

"We want to build the long term relationship with our customer. We have so much to offer at Hestin. You know, we make amazing wine, we make award winning appliances. So it's not just we're selling you a pan and then we're done."
— Christina Schodeny [37:31]

Key Takeaways

1. Balanced Content Strategy: Combining direct sales messages with inspirational content such as recipes and chef stories enhances customer engagement and repeat purchases.
2. Plain Text Emails: Maintaining a personal and authentic tone in communications fosters trust and loyalty.
3. Integration Across Channels: Consistent messaging across paid ads, email, and SMS ensures a cohesive brand narrative and maximizes marketing effectiveness.
4. Flexibility in Email Design: Utilizing HTML templates allows for rapid updates and scalability, essential for responding to market changes and product launches.
5. Long-Term Relationship Focus: Prioritizing long-term customer relationships over short-term sales drives sustained growth and brand equity.

This episode serves as a valuable resource for DTC brands aiming to enhance their email marketing and retention strategies. Christina Schodeny's insights into Hestan Culinary's successful approach offer actionable lessons on building a loyal customer base through thoughtful content and strategic communication.