The growing influence of AI in enhancing customer engagement is becoming increasingly evident as more companies seek to leverage this technology for personalized experiences. Regional fashion leader 6thStreet has achieved a remarkable 5-8x return on ad spend (ROAS) through its collaboration with Gupshup, the global frontrunner in Conversational AI Engagement platforms. This achievement highlights the transformative impact of personalized, segment-based marketing on channels like WhatsApp.
The platform's features, such as product discovery and upsell recommendations, have empowered 6thStreet to deliver highly tailored shopping experiences. Automated campaigns driven by shopper behavior resulted in a 5x increase in abandoned cart recovery and an 8% improvement in the recency score of its active customer base. In an era where traditional push notifications are losing effectiveness due to evolving privacy updates on iOS and Android, 6thStreet recognized the necessity to adopt a more conversational approach. The fashion retailer embraced WhatsApp as a new channel, allowing them to connect with 97% of their customer base.
"Conversational marketing has opened up new avenues in how we interact with our customers. With WhatsApp, we've been able to engage even those who previously ignored SMS or email. Partnering with Gupshup has enabled us to create customized experiences for various customer segments—whether it's reactivating dormant customers or strengthening relationships with our most loyal shoppers. With personalized marketing and automated triggers, we can operate more swiftly and drive higher conversions. The outcomes have been transformative for our business and our customer journey," said Hitesh Malhotra, Marketing Head at 6thStreet.
6thStreet, part of the global fashion and lifestyle retailer Apparel Group, is renowned for making over 1,200 global brands accessible to Middle Eastern consumers. The omnichannel retailer's adaptation to WhatsApp has transcended basic promotional messages. Through Gupshup's Conversation Cloud, 6thStreet has revolutionized how it engages with fashion enthusiasts across the UAE. They now employ a sophisticated mix of personalized messaging, timed to perfection on the channels their customers frequent. For instance, when a customer abandons a shopping cart filled with trending accessories, they receive a gentle, personalized reminder on WhatsApp. When a payment fails during a purchase of favorite shoes, an instant, helpful notification is sent.
"With WhatsApp's near-universal adoption in the Middle East, Conversational Marketing has become a strategic necessity for retail and eCommerce growth. By combining this reach with AI shopping agents, we're enabling retailers like 6thStreet to create personalized shopping experiences at scale. The future of retail is conversational, and the results we're witnessing are just the beginning," said Beerud Sheth, Co-founder and CEO of Gupshup.
Gupshup's expansion in the Middle East mirrors the region's burgeoning interest in AI-driven customer engagement. From retail and eCommerce to BFSI and real estate, its conversational solutions align with initiatives like the UAE Government's Dubai Universal Blueprint for Artificial Intelligence. The company recently expanded its presence in Saudi Arabia, launching a new office to support businesses across the kingdom.
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