How Coyuchi Launched a Subscription Service with Magento Commerce 2

A unique subscription service.

Coyuchi is a home textile company that is committed to making quality home goods using environmentally-friendly processes. Based in San Francisco, Coyuchi sources the finest organic fibers to mindfully create designs for the bed and bath. This year, the brand embarked on an ambitious project. They wanted to help eliminate the 10 million tons of textile waste that ends up in landfills each year. Coyuchi envisioned a ‘circular’ subscription program that would allow customers to subscribe to organic linens, and return them later for safe recycling—starting at just $5 per month. To reflect the fresh thinking of their ‘Coyuchi for Life’ launch, they decided to upgrade from Magento Commerce 1 to the powerful, modular architecture of Magento Commerce 2.

We’ve been happy with Magento. With Magento 2 and Atwix, we have been able to up our game, scale relatively quickly and give customers a unique experience for a competitive advantage.

Jesse Montano

VP MARKETING AND ECOMMERCE, COYUCHI

Coyuchi created a robust platform, powered by data.

After seven successful years on Magento Commerce 1, Coyuchi started their upgrade project in January of 2017. “We had a lot of legacy customizations, things piled up on top of each other,” explained Jesse Montano, the VP of Marketing and eCommerce at Coyuchi. “We decided to do a brand and website redesign and relaunch at the same time, which was a bit crazy…We knew that [Magento Commerce 2] was a better, higher performing platform, offering many more features natively that would be better suited for us and what we’re trying to build.”

Coyuchi teamed up with Atwix, a Magento partner they had met during the Imagine conference in Las Vegas. Together, they worked to make their distinctive commerce vision a reality. “Our subscription service is unique,” explained Montano. “We don’t send the product to the customer every month. They’re billed monthly, but get new products every six, 12, to 24 months, then they return it when they get their next shipment.” The business operation, he said, is more like a lease for organic bed sheets than a traditional subscription service.

As part of their redesign, Coyuchi also added SLI for product searches. This improved the way customers find popular products like the Linen bath robe named one of Oprah Winfrey’s “favorite things,” or the Mediterranean towel featured as a “must-have” in the style pages of the New York Times. Coyuchi also used Magento Business Intelligence (MBI) to bring their disparate data together in an automated fashion, and to easily harness powerful insights on a single platform. “We have all our different platforms feeding data into MBI, then we leverage all the dashboards and customize the data as a single source of truth,” said Montano. When creating quarterly business reviews, board reports, and even pitch decks, data is more accessible and consistent across their organization.

Sales are up. Environmental waste is down.

Coyuchi launched their innovative subscription service in April 2017, implementing Magento Commerce 2 in less than three months. The new store allowed their customers to choose quality sheets for a lifetime, without the waste. The robust Magento Commerce 2 platform allowed them to add custom functionality in no time—and gave Coyuchi a seamless customer experience reflected by their results: Mobile revenue increased by a staggering 50 percent; desktop conversion increased by 29 percent; and their bounce rate decreased by 27 percent. Next, Coyuchi is turning its attention towards optimizing its B2B business using the native B2B capabilities of Magento Commerce 2, and plans to focus on using data to learn more about their customer. “We want to offer different products, images, content, or even pricing and offers based on a person’s history with the brand,” said Montano. With Magento Commerce 2 and MBI, anything is possible.

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