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The Client

The client is one of the largest D2C lifestyle brands in the US with over 14 products in their line-up. One of their core offerings is revitalizing aromatherapy products including USDA-certified organic essential oils and diffusers to millions of customers.

Being successful in the competitive US market, the company was looking to generate more revenue from email marketing as a channel. They couldn’t get ROI - mainly due to low engagement rate and revenue from email marketing campaigns, even after having a robust tool in place- Klaviyo.

The Problem

We ran a thorough audit of their entire email marketing ecosystem including strategy and tool utilization. In our audit, the email marketing experts identified the following problems:

01

Ineffective segmentation for email marketing campaigns

02

Deliverability Issues with their marketing emails

03

Low engagement rate and revenue contribution from emails

Problem Overview

  • Approximately 40% of the targeted database was identified as unengaged subscribers and users.
  • Emails were being delivered in spam, promotional, or update inboxes. Affecting the domain score, provided by ESP.
  • Consistently average Open Rate of 30% and Click Rate of 0.8%.
  • Emails contributed a maximum of 16% to the total revenue of 2023.

Our Approach

We initiated a 360° sanitization and optimization process for all the dig-outs in our audit. Our comprehensive approach was predominantly focused on: 

  • Leveraging the capabilities of Klaviyo.
  • Dotting the I’s and crossing the T’s to make the brand’s voice and messaging more impactful.
  • Develop a strategy to make email marketing campaigns a significant contributor to the total revenue.

User Journey and Behavior

 

Automation Flows

We strategized the following email automation flows for the client:

Phase I:

  • Browse Abandonment
  • Checkout Abandonment
  • Added to Cart Abandonment
  • Post Purchase (we wanted to recognize and acknowledge a repeat customer, and thank them for returning. We included supplementary content here such as promotional discounts and exclusive offers, feedback, etc.)
  • Welcome Email Series 

Phase II:

  • Customer Winback
  • Cross-sell/Upsell
  • Birthday and similar flows
  • Sunset Flows
  • Back in stock (if any products generally go out of stock)

The Solution

We implemented the following solutions for our client:

WooCommerce & Klaviyo Integration:

To ensure zero data leakage, we thoroughly tested the integration and made sure that the data was flowing smoothly into Klaviyo. And recommend updates for an airtight integration.

Audience Segmentation:

We analyzed engagement metrics to create precise segments based on user engagement for 30, 60, 90, and 180 days. This also helped us identify user behavior and take necessary actions to improve engagement.

Improved Deliverability Rates:

We identified gaps in the email sending requirements and made sure that those gaps were addressed within a matter of days. This was a critical initiative, as the entire email marketing campaign was dependent on fixing the deliverability issues.

Content and Design Optimization:

We optimized the emails by running A/B tests on subject lines, preview headers, CTA placements, visual elements, and product showcase; to positively impact the audience’s buying decisions.

Email Automation:

Since the client recently moved their store to WooCommerce, it became necessary to automate emails based on customer touch points within the sales funnel. This enhanced our overall decision-making process and helped gather vital information related to audience behavior. This also opened the doors for enriching the customer database with high-quality leads.

Website Optimization:

 To ensure we are not losing out on website traffic redirected from email campaigns, we strategically deployed welcome pop-up and exit intent pop-up.

Impact and Outcomes

By leveraging Klaviyo's capabilities and implementing customized solutions, we witnessed remarkable outcomes within Q1 2024.

Revenue growth Q1 2024 vs. Year 2023
Revenue growth Q1 2024 vs. Year 2023
Email Contribution Split
Email Contribution Split

Campaign performance for Q1 2024

Campaign performance for Q1 2024
 
Notably, our email campaigns contributed significantly to total revenue. While in 2023 the email campaigns of the client only contributed about 16.83% to total revenue, we increased the contribution by over 3x.

Further, we were able to achieve more than half the revenue contribution of their email campaigns during the previous, in the first quarter of 2024 itself.

Coupled with increased engagement rates and significant order values, we were able to showcase tangible ROI and lay the groundwork for continued success.

01

65.64% of previous year’s revenue achieved in Q1 2024

02

Contributed 45.86% Total Online Store Revenue

03

Achieved Email Open Rates of 61.47%

Relatable? We should definitely talk.

All that we’ll cover when we speak:

  • Opportunities to increase the ROI of your HubSpot investment
  • Your current GTM motions and future roadmap
  • Challenges that you face with your overall revenue stack
  • Missed revenue opportunities due to gaps in your funnel
  • What would "wins" look like for you?
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