Klaviyo has certainly made a name for itself in the realm of email marketing, particularly for e-commerce businesses. It offers a robust set of features designed to help businesses segment their audience, automate their communication, and ultimately drive sales. Let’s delve into the specifics.

Klaviyo Email Marketing Functionality

Klaviyo’s pricing structure is primarily based on the number of contacts and the number of email sends. They offer a few core tiers, with increasing features and sending limits as you move up. Please note that specific pricing can change, so it’s always best to check their official website for the most up-to-date information.

Free Plan:

• Price: £0 per month
• Contacts: Up to 250 profiles
• Email Sends: Up to 500 email sends
• Key Features:
  • Email marketing
  • SMS marketing (limited)
  • List growth and segmentation
  • Basic reporting
  • Integration with e-commerce platforms like Shopify, WooCommerce, and others.
• Functionality: This tier allows small businesses or those just starting to dip their toes into email marketing to experience Klaviyo’s core functionalities. You can build email lists, create and send campaigns, and segment your audience based on basic criteria.

Starter Plan (Email):

• Price: Starts from approximately £17 per month (for up to 500 contacts and unlimited email sends). Price increases with the number of contacts.
• Contacts: Starts at 500, scales up.
• Email Sends: Unlimited
• Key Features (in addition to Free):
  • Advanced segmentation (e.g., purchase history, website activity)
  • Automation and flows (e.g., welcome series, abandoned cart emails)
  • A/B testing
  • Custom branding
  • More detailed reporting and analytics.
• Functionality: This is where Klaviyo’s power starts to become more apparent. The automation capabilities are crucial for engaging customers at the right time with the right message. Advanced segmentation allows for highly targeted campaigns, which can significantly improve engagement and conversion rates.

Starter Plan (Email & SMS):

• Price: Starts from approximately £38 per month (for up to 500 contacts and includes SMS credits). Price increases with the number of contacts and SMS credits needed.
• Contacts: Starts at 500, scales up.
• Email Sends: Unlimited
• SMS Sends: Included credits, top-ups available.
• Key Features (in addition to Email Starter):
  • SMS marketing capabilities
  • Combined email and SMS automation flows.
• Functionality: This tier unlocks the potential of omnichannel marketing, allowing businesses to reach their customers via both email and SMS for a more integrated experience.

Growth Plan:

• Price: Custom pricing based on the number of contacts and email/SMS volume.
• Contacts: Scalable to larger audiences.
• Email Sends: Unlimited
• SMS Sends: Custom volume.
• Key Features (in addition to Starter Email & SMS):
  • Dedicated success manager
  • Advanced reporting and analytics
  • More sophisticated segmentation options
  • Priority support.
• Functionality: Designed for businesses with a significant customer base and more complex marketing needs. The dedicated support and advanced features can help optimise larger-scale campaigns.

Take a look at our analysis and comparison of the features of the top ten email marketing platforms.

How Much Does Klaviyo Cost (And Is It Worth It?)

Klaviyo offers a few core plans, with increasing features and sending limits as you move up. 

• Free Plan
• Starter Plan (Email): Starts from approximately £17 per month (for up to 500 contacts and unlimited email sends). Price increases with the number of contacts.
• Starter Plan (Email and SMS): Starts from approximately £38 per month (for up to 500 contacts and includes SMS credits). Price increases with the number of contacts and SMS credits needed.
• Growth Plan: Custom pricing, based on the number of contacts and email/SMS volume

Klaviyo is on the pricier side compared to some other email marketing platforms, especially as your contact list grows. However, the value for money is largely tied to how effectively a business utilises its advanced features, particularly segmentation and automation.

For smaller businesses with limited budgets and simpler needs, the free plan offers a decent starting point. The Starter plans become worthwhile for businesses that are serious about leveraging data-driven email marketing and automation to increase revenue. The advanced segmentation capabilities alone can justify the cost for e-commerce businesses with a good understanding of their customer data.

The Growth plan is likely only cost-effective for larger businesses with a substantial customer base where the dedicated support and advanced analytics will have a significant impact on their marketing performance.

Take a look at where Klaviyo sits on our ranking of the most cost-effective email marketing platforms.

Klaviyo: Strengths and Weaknesses

Strengths	Weaknesses
Powerful Segmentation: Granular options based on behaviour, purchase history, and more.	Higher Pricing: Can be expensive as your contact list grows.
Robust Automation: Highly customisable flows for various customer journeys.	Steeper Learning Curve: More features can mean a more complex interface for some.
Excellent E-commerce Integration: Seamless connection with platforms like Shopify and WooCommerce.	SMS Pricing: Can add up depending on usage.
Strong Focus on Data: Enables highly personalised marketing.	Can Feel Overkill: For very small businesses with basic needs.
Good Reporting and Analytics: Provides insights into campaign performance and customer behaviour.
Omnichannel Capabilities: Email and SMS marketing in one platform.

Our Analysis: What Type of Business is Klaviyo Best Suited For?

Klaviyo is particularly well-suited for:

• E-commerce Businesses: Its deep integrations with e-commerce platforms and focus on transactional data make it an excellent choice for online retailers of all sizes. The ability to segment based on purchase history, browsing behaviour, and more is invaluable for driving sales.
• Businesses with a Strong Focus on Customer Data: If your business collects a significant amount of customer data and wants to leverage it for personalised marketing, Klaviyo provides the tools to do so effectively.
• Businesses Ready to Invest in Sophisticated Marketing Automation: For companies looking to automate key customer touchpoints and create complex, personalised customer journeys, Klaviyo’s flow builder is a significant asset.
• Growing Businesses: While the pricing can be a consideration, Klaviyo’s scalability means it can grow with your business and provide increasingly powerful tools as your marketing needs evolve.

It is less ideal for:

• Businesses with Very Basic Email Marketing Needs: If you only need to send occasional newsletters to a small list without much segmentation or automation, a simpler and potentially cheaper platform might suffice.
• Businesses Operating Outside of E-commerce: While Klaviyo can be used for other types of businesses, its core strengths and integrations are heavily geared towards e-commerce.ystem they are not looking to replace. In these cases, a dedicated email marketing platform might offer a more cost-effective solution.

Conclusion

In conclusion, Klaviyo is a powerful and feature-rich email and SMS marketing platform that excels in its ability to leverage customer data for highly targeted and automated campaigns. While it can be more expensive than some alternatives, particularly as your contact list expands, the depth of its features and its seamless integration with e-commerce platforms often justify the cost for businesses serious about driving revenue through personalised marketing.

For e-commerce businesses looking to move beyond basic email blasts and implement sophisticated segmentation and automation strategies, Klaviyo is undoubtedly a strong contender. However, smaller businesses with very basic needs might find its complexity and pricing to be more than required. Ultimately, the “value for money” proposition hinges on a business’s ability to effectively utilise Klaviyo’s advanced capabilities to achieve its marketing goals.

Klaviyo Competitors

• Omnisend
• ActiveCampaign
• GetResponse
• Brevo
• HubSpot Marketing Hub
• Mailchimp
• Constant Contact
• MailerLite
• Campaign Monitor

Check out our comparison of the best email marketing software, and see where Klaviyo sits in the top ten.