Starting February 18th, Klaviyo will enforce its new ‘profile compliance’ policy, automatically moving you to a higher pricing plan if your active profiles exceed your current limit. (Definitely not the Valentine’s Day gift e-commerce brands were hoping for!) With budgets already stretched thin, this change hits e-commerce businesses right where it hurt – the purse strings.
Although the initial increase is capped at 25%, many predict this is just the beginning, with full compliance expected to roll out later this year.
Klaviyo delivered some really impressive features in 2024, but it’s already a costly tool on the market. With these new changes, we are fully expecting brands that are feeling the squeeze to start reevaluating their options and exploring alternatives.
While Klaviyo says these updates come with flexible sending and auto-downgrades, the reality is that budgets are already stretched and for brands that aren’t proactive, this move could take existing tight budgets and stretch them to breaking point.
But don’t worry, help is here! (Imagine us waving a magic wand, ready to present you with a wonderful thing called… options! And we’re here to guide you through them.) Below, we’ve outlined how Klaviyo users can take action before the upcoming changes hit, and also a way for you to explore alternative providers (if you want to switch).
Option 1 – Start prioritising list cleaning
Start prioritising list cleaning! Klaviyo’s auto-upgrade feature is based on active profiles, so getting your database in shape now will help you stay ahead of this. But even beyond this update, list cleaning should always be at the top of the CRM strategy, for every brand.
Start by removing contacts who’ve never made a purchase or haven’t shown any love for your brand in a while. A tidy email list won’t just boost your deliverability – it’ll also cut those unnecessary costs. After all, sending emails to inactive subscribers is like throwing money down the drain and could even impact your IP reputation.
We’ve actually seen this firsthand with one of our clients, and we’ve helped them turn things around. (Check out our case study here on boosting email deliverability.) Emailing people who aren’t likely to engage is a waste of your time and can do more harm than good!
What’s good about Klaviyo is that it makes it simple to identify and suppress these ‘never engaged’ contacts. You can create a segment for profiles that haven’t opened your emails, made a purchase, or even visited your site in ages. Once you’ve identified them, simply suppress them from your active list, and there you’ll have it – improved engagement and saved profile costs! Ta-da!
Option 2 – Switch to a New CRM Platform
If Klaviyo’s pricing no longer fits your budget, don’t worry – there are plenty of great alternatives out there. As a CRM agency with experience across a wide range of platforms, WeDoCRM is here to help you navigate the best options for your business. We’re extremely proud to partner and hold extensive certifications in a range of platforms and as an added bonus (if you need us) we are fully equipped to work with any system you choose.
So if you need a hand in discovering which CRM platform is right for you, or you need assistance with migrating from one platform to another it’s our core strength! We’ve got the expertise to support you every step of the way – no matter where you decide to go.
WeDoCRM Recommends DotDigital
Hear from our partner manager Roscoe Brown.
“At Dotdigital, we believe in providing value without unnecessary costs. Our pricing model is tailored to fit your unique business needs, ensuring you only pay for what you truly require.
That’s why every customer has access to a dedicated customer success manager, who guides your team and offers a flexible pricing structure based on the number of contacts you wish to engage with and the volume of messages you plan to send each month. This bespoke approach allows you to scale your marketing efforts efficiently and cost-effectively.
Similarly, when you’re ready, our personalisation engine’s pricing is determined by the number of contacts and the average monthly pageviews on your website. This ensures that you receive a solution that aligns with your business’s specific demands and growth trajectory, allowing you to budget accordingly.”
Rosecoe Brown, Partnership Manager – Dotdigital
How WeDoCRM Can Help
We know that navigating changes with your CRM or ESP can feel a bit overwhelming, but that’s exactly where we come in. At WeDoCRM, we are experts at helping businesses optimise their CRM and email marketing strategies. And we’re not just saying that – we have the case studies and stats to back it up. Just take a look at our recent success with GoHenry, where we smoothly migrated all of their data from Salesforce to Customer.io in just 8 weeks!
Download our free CRM/ESP guide
We’ve created a free CRM/ESP guide that not only helps you evaluate your current tools but also compares a range of alternative platforms. Inside, you’ll find a breakdown of the pros and cons of each option, along with their pricing structures, so you can make an informed decision based on your specific needs.
You can download our free guide here or alternatively get in touch with us and see how we can help you. Looking forward to hearing from you.