CHALLENGES & OPPORTUNITIES

One of the reasons creators have embraced platforms like ShopMy and LTK is their ability to aggregate earnings across multiple retailers. A single dashboard that shows all commissions and sales provides the visibility, simplicity and ease that creators deeply value. This is a challenge for Sephora to compete with, as they can’t offer a multi-retailer platform.

However, we’ve seen creators embrace single-retailer affiliate programs when backed by a powerful retailer, with Amazon as the prime example. Sephora has the potential to replicate that type of success within the prestige beauty category because, like Amazon, it already owns the full customer journey - search, trust, checkout, and loyalty are all native to its ecosystem. That gives Sephora a competitive advantage over third-party platforms that operate one step removed from the actual point of sale.

Sephora can also lean into what it already does best: community and culture. If the My Sephora Storefront is positioned not just as a sales tool but as a cultural hub - an extension of existing programs like Sephora Squad, Derm Board, and Artist List - it can empower creators to showcase expertise, trends, and authentic storytelling in a way that feels prestige and purposeful.

WHAT THIS COULD MEAN FOR YOU

Through this program, Sephora could potentially address one of the industry’s biggest pain points: data transparency. For many brands, Sephora has long been a black box - they know product is selling, but rarely know the exact attributing factors behind those sales. Though ShopMy provides some retailer-level data, if this program provides unprecedented visibility into which creators are moving product, how trends convert to revenue, and what’s truly resonating, it could be transformative. Brands would finally have the insights necessary to sharpen influencer strategies, measure ROI with confidence, and make smarter merchandising decisions.

If Sephora can successfully merge prestige positioning with community-driven design and open the door to this kind of data transparency, it can transform affiliate from a revenue stream into a growth engine - one that deepens trust and strengthens the entire ecosystem of brands, creators, and consumers.