The Yankee Candle Company has partnered with Ordergroove, a relationship commerce provider, to create a new subscription box program for its popular candles. Since the pandemic began in March, Yankee Candle has experienced growth of 343% in recurring revenue. The new subscription program will help Yankee Candle build on that success by establishing ongoing customer relationships versus one-off sales, giving the company more predictable recurring revenue.
“We are constantly seeking to deliver consumer experiences that evolve with their shopping behaviors,” said Justin Swenson, vice president of digital experience for the Yankee Candle Company, in the August 6 announcement. “Our subscription program allows consumers to receive products they love on a predictable cadence. Our partnership with Ordergroove gives us the ability to build strong, long lasting relationships with our customers.”
Using Ordergroove’s relationship cloud platform, the candle and home fragrance company will have the ability to:
- Introduce new products over time and modify the product offerings as needed through the company’s Auto-Ship subscription program
- Develop product-specific promotions and reduce shipping thresholds for subscription orders
- Allow customers to have control over their subscriptions, including products, quantity purchased and delivery frequency
- Integrate the subscription program with Yankee Candle’s new loyalty program, Yankee Candle Rewards
Greg Alvo, CEO of Ordergroove, also commented on the new partnership.
“As consumers spend more time at home and look for safer ways to shop, providing subscription experiences that are easy and convenient enables brands and retailers to form closer connections with customers that can lead to repeat purchases,” Alvo said. “Yankee Candle recognizes the value that Relationship Commerce offers both in terms of convenience and creating predictable, recurring revenue streams. We’re thrilled to be working with Yankee Candle and excited to help expand and personalize Relationship Commerce experiences for its customers.”
Customers can subscribe to candles and home fragrance products via the company’s customizable Auto-Ship program. Customers choose what they want shipped to them, when and how often. Subscribers receive a 30% discount on eligible products and 20% off eligible home fragrance products. Customers receive email reminders five days in advance, so they can change their delivery frequency, order date or product quantity. Shipments that cost $10 or more qualify for free shipping.
The subscription program includes the new Fragrance Flight, a curated box of three candles, delivered to customers’ homes every 13 weeks. Subscribers take a quiz to help identify familiar scents and to discover new ones. Each shipment includes three small tumbler candles, a $51 value, for $30.
Yankee Candle is a subsidiary of Newell Brands who also owns brands including Dymo, Mr. Coffee, Coleman, Sunbeam and Rubbermaid. Ordergroove is a relationship commerce provider that helps companies like The Honest Company, KIND Snacks and L’Oreal develop ongoing relationships with their clients through recurring revenue opportunities.
Insider Take
This partnership sounds like the perfect marriage between a relationship-based subscription technology provider and a well-known, much-loved American brand. With the help of Ordergroove, Yankee Candle has been able to expand on their already-successful Auto-Ship subscription program by adding a new curated subscription box offering. With so many more Americans staying home, many of us are in “nesting” mode, making our dwellings comfortable, pleasant places for work, school and play. The timing of this partnership is perfect. Yankee Candle can finetune and scale the subscription box offering in time for the holidays, while making extra time at home more bearable.
