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December 24, 2012

Klaviyo – Customer Management For Online Retailers

For online retailers, tracking consumer behavior is an important step toward making smarter marketing decisions. Although a number of platforms exist for tracking offline purchase funnels and customer behavior, Klaviyo manages to stand apart by focusing its services on e-commerce retailers and web-applications.

It’s impossible to calculate the ROI for a marketing campaign without understanding how that campaign is affecting the behavior of your customers. To get inside the minds of consumers and track their behavior throughout the purchase funnel, sign up for Klaviyo and head to your dashboard page. There, you’ll find a live newsfeed that showcases all of your customers’ latest activities. See what Customer A purchased during his visit to your site this morning, or how long Customer B spent perusing your products before clicking away last night. You can also find out what brought Customer C to your site, and see whether it was the 10%-off coupon you emailed him through MailChimp the day before.

Klaviyo lets you sort customers in multiple ways, making it possible to find out which customers have visited your store recently without making a purchase. Once you’ve sorted customers and set the specific parameters for a group (for example, customers who’ve made more than $500 worth of purchases in the past, but haven’t visited your site for the past 30 days), you can send targeted email messages and provide those customers with discounts or coupons. Klaviyo will automatically keep your groups updated as customers enter and exit based on your chosen parameters over time.

Practical Uses:

  • Segment customers based on how much money they have spent on your site
  • Create coupon codes for loyal customers
  • Find out how many customers are opening your email marketing messages
  • See the ROI of your online advertising campaigns

Insider Tips:

  • Targeted lists are dynamically updated by Klaviyo
  • Each customer gets a “happiness score” based on recent transactions and on-site activity
  • Use Klaviyo to manage online support tickets
  • Klaviyo provides users with links to their customers’ public social media profiles

What we liked:

  • Klaviyo helps you target the right groups with your discounts and offers
  • Businesses can promote new products to customers who have shown interest in similar goods in the past
  • Businesses can encourage VIP customers to share information about sales with their friends
  • Klaviyo shows exactly how much money has been generated by specific marketing campaigns

What we didn’t like:

  • Klaviyo is only aimed at helping online retailers, versus brick-and-mortar stores

Alternatives:

Company Info:

  • Launched: 2012
  • Privately Held
  • Headquarters: Boston, Massachusetts
  • Founded by: Ed Hallen and Andrew Bialecki
  • Web site: https://www.klaviyo.com

Costs:

  • Starter plan is $99/month
  • Business plan is $249/month
  • Premium plan is $499/month
  • Enterprise plan is $999/month
  • Higher volume plans with custom pricing

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