It’s a dream that we all long for – growing the store’s Monthly Recurring Revenue (MRR). Do that and you’ll bring revenue stability, predictability, and increased customer lifetime value.

But how do you actually do this with email? Today I will show you the secrets of growing your MRR with email marketing that can also be implemented to provide results like this:

We’ll dive into the art (and science) of using the power of email marketing and how it can work wonders for your store by using segments of your audience and crafting compelling emails flows that convert customers from one-off purchasers into recurring subscription customers.

Harnessing the Power of Email Marketing To Increase MRR

Understanding how to use the power of email marketing is crucial for growing your Shopify store’s monthly recurring revenue. With Klaviyo, you have the perfect tool to unleash the potential of email marketing and convert those one off customers into recurring subscribers.

Can you do it with other email service providers? Sure – but Klaviyo is what we’re using today

By segmenting your audience based on their preferences, browsing history, and purchase behavior, you can create targeted email campaigns that truly resonate with your customers.

Through compelling email flows (also called “automations” or “series”), you can automate the process of nurturing leads and converting them into loyal subscribers.

Whether it’s a welcome series for new customers or a re-engagement campaign for inactive subscribers, email flows can guide your audience through the buyer’s journey and encourage them to stay connected with your brand.

One of the best ways to use flows to create more paying subscribers is to create a segment (more details below on that) that has anyone that has purchased the product or service you want to sell a subscription to 2 times or more.

Note: This segment will auto-update in Klaviyo, meaning you don’t have to keep manually adding people to it – set it up once and you’re good.

Next, create a flow that uses the segment you just created as a trigger. When someone is added to that segment after purchasing 2 times it will automatically trigger the flow.

Note: Add a wait time into the flow; this will depend on your product usage, but a good starting point is 15 days if you’re not sure.

The flow can be a few simple emails that revolve around one main idea: the person receiving the emails has purchased multiple times, has come back and decided they want more, and has shown that they trust your store. Now you can mention the benefits of the subscription and remind them of the fact that they clearly like what you have

If you need help to encourage subscriptions, offer incentives such as exclusive discounts, bundles, or early access to new products. Everyone loves a good deal, right?

By providing value and benefits to your subscribers, you can entice them to sign up for recurring purchases and boost your monthly recurring revenue.

Don’t forget that it’s essential to analyze and optimize your flow to ensure maximum effectiveness. Keep track of how it’s working so that you can test different offers, split test subject lines, and content for better results.

Want to get a detailed outline of this entire process along with example emails you can use in a flow to increase your monthly recurring revenue?

Segmenting Your Audience for Targeted Email Flows

Segmenting your audience for targeted email flows can greatly increase the effectiveness of your email marketing efforts. By dividing your subscriber base into smaller groups based on common characteristics or behaviors, you can deliver more personalized and relevant messages that resonate with your recipients.

One way to segment your audience is by purchasing behavior as described in the section above.

Identify those who have made multiple purchases within a specific time frame (e.g., 60 days) as potential candidates for targeted flows. These customers have shown a clear interest in your products and are more likely to be receptive to subscription offers.

This can be easily done in Klaviyo by specifying which product (or any product) and a timeframe like this:

Express your gratitude for their repeated purchases and highlight that you’ve noticed their preference for your products.

Consider asking for their feedback to show that their opinion matters to you. This personalized approach will not only make your customers feel valued but also increase the chances of converting them into subscribers.

For a walk through of each step to create the segments, 2 example email templates, and how to create the flow, grab the MRR Booster Method Cheat Sheet.

Encouraging More Repeat Purchases with Incentives

In order to entice customers to ante up and get a subscription to your product or service, it’s essential to offer incentives that they just can’t resist. Because, let’s face it, a good deal just works.

So, here are a few key strategies to consider:

1. Discounts and Freebies: Offering exclusive discounts or free products to subscribers can be a great way to incentivize them. Who doesn’t love getting something for free or at a discounted price? It’s like a little treat for their loyalty.

2. Limited-time Offers: Creating a sense of urgency can be a powerful motivator. By offering time-limited incentives, such as flash sales or limited edition products, you can encourage customers to act quickly and subscribe before they miss out. FOMO (Fear Of Missing Out) can be a powerful sales tactic!

3. Loyalty Programs: Implementing a loyalty program with rewards for subscribers can be highly effective. For example, you can offer points for every purchase made through the subscription and provide them with exclusive perks like early access to sales or members-only discounts.

4. Creating Bundles: Use bundles to raise the perceived value of the subscription without discounting it. Do you have a high margin, low cost product you could add into a subscription? What else could you add to sweeten the deal?

By integrating these incentives into your email marketing campaigns, you can make your subscription program irresistible to potential customers.

Remember, the goal is to make them feel like they’re part of a club, where they can enjoy special benefits and savings.

So, get creative and start encouraging those subscriptions with enticing incentives.

Analyzing and Optimizing Email Marketing MRR Performance

Now that you have started implementing email marketing strategies to grow your ecommerce store’s monthly recurring revenue, it’s time to analyze and optimize the performance of your email.

It’s like being a detective, but instead of solving a thrilling crime, you’re solving the mystery of how to keep making those sweet MRR numbers increase over time…if this doesn’t get you excited then I don’t know what to tell you!

One key point to remember is always tracking and analyzing metrics like open rates, click-through rates, conversion rates, and unsubscribe rates. However, first and foremost you want to track the end result. How many people are converting to subscribers and are your changes affecting that.

These numbers will give you insights into what’s working and what’s not. Don’t worry; you don’t need to be a math genius to understand these metrics. It’s all about finding patterns and making smart decisions based on them. Experimentation is the name of the game.

Test different subject lines, email layouts, and call-to-action buttons to figure out what resonates best with your audience.

Try a different offer. If you started with a discount, try a bundle. If you had a bundle, try a limited time offer.

It’s like being a mad scientist, but instead of creating a monster, you’re crafting the perfect email that will lead your subscribers into buying your fantastic products.

And don’t forget to keep an eye on the competition. Check out what other successful stores are doing with their email marketing. By constantly analyzing and optimizing your email marketing performance, you can fine-tune your strategies and keep those monthly recurring revenues flowing.

Conclusion

So there you have it. Growing your ecommerce store’s monthly recurring revenue with Klaviyo email marketing is not rocket science.

It’s all about understanding the power of email marketing, segmenting your audience for targeted flows, creating compelling email flows, and encouraging subscriptions with incentives.

If you’re serious about increasing your MRR, this is something you or your team could implement in the coming weeks and see boosted revenue shortly after that.

If you’d like help with this or other email marketing areas, get in touch with me by scheduling a short call here.

FAQ

Understanding Monthly Recurring Revenue

So you want to grow your Shopify store’s Monthly Recurring Revenue (MRR) using Klaviyo Email Marketing? Good thinking and this is a great way to do it. Monthly recurring revenue is like that elusive pot of gold at the end of the rainbow. It brings stability, predictability, and most importantly, money, to your business. Who doesn’t want that, right? But before we dive into the tactics, let’s take a moment to understand what MRR actually is. MRR is the total revenue generated from all your active subscriptions in a given month.

Think of it as a steady stream of income that keeps flowing into your bank account every month, like clockwork (minus the annoying shipping costs). By encouraging customers to sign up for your subscription program, you’re not only saving them money but also building a sustainable business model. It’s like hitting two birds with one stone, or should I say, growing a thriving business while sipping on your favorite latte. Now that we have a grasp on MRR and its benefits, it’s time to unleash the power of Klaviyo Email Marketing to skyrocket your revenue. Are you ready? Let’s do this!

Quick Note about MRR and ARR

Sometimes I’m asked about Monthly Recurring Revenue (MRR) and Annual Recurring Revenue (ARR). This isn’t anything complex, ARR is just 1 years worth of MRR, or:

ARR = 12 * MRR

Bonus: I put together an over the shoulder look at how to put together your own MRR Booster email flow, including creating the segments, email flow structure, and example emails. Get Access By Clicking Here

The post How to Increase Your Shopify Store’s Monthly Recurring Revenue with Klaviyo Email Marketing appeared first on Oasis Optimization.

Klaviyo has recently launched a new homepage dashboard update experience, aiming to improve user experience and provide valuable information at a glance. Here’s a breakdown of the key updates and features:

• Alerts Card: This feature highlights core notifications that need your attention, such as failed payments or sudden drops in event data for specific metrics like “added to cart.” Access all account notifications anytime by clicking the notification icon in the account.
• Customizable Conversion Metric Performance Card: Select your preferred conversion metric and time range, and the card will display relevant data, including total revenue and Klaviyo-attributed revenue.
• Improved Navigation: Several helpful icons have been added to make navigation more straightforward.
• Top-Performing Flows: Spot your best-performing flows based on the chosen conversion metric in a dedicated card.
• Recently Sent Campaigns: View your most recent campaigns directly from the homepage dashboard.

Note that with the update, some items have been moved to different areas, but no functionality was lost.

Exploring the Redesigned Dashboard

To learn more about Klaviyo’s redesigned dashboard, visit their help center or ask questions in their community. Users are encouraged to log in and explore the new dashboard themselves.

Some users feel the new dashboard might be a bit text-heavy and contain too much information. However, the general consensus is that Klaviyo is moving in the right direction by providing relevant alerts and metrics upon login. The updated dashboard aims to help account owners or managers monitor essential data, such as drops in conversions or revenue. While some users might prefer the older dashboard’s layout, all the information is still available; it’s just presented differently.

The post Klaviyo’s New Homepage Dashboard Update Experience: An Overview appeared first on Oasis Optimization.

So what is this magical email flow? And how can you make sure that your business reaps the benefits?

Today we’re going to explore the best practices for this email flow and show you how to get started with cross sell email examples and templates.

Oh, and don’t worry – if you already have cross selling emails, I’ll show you how to improve them for even better results.

What is the Cross Sell flow and how does it work?

A cross-sell flow is a series of emails sent to customers after they make a purchase, but it’s different from the usual post purchase email flow. It is often also referred to as an up sell series – the exact definition doesn’t matter as much as the result. For more details on the difference, refer to this VWO blog post.

These emails can offer them related products, or discounts on those products. This email flow works by offering the customer something that will help them continue using your product and/or service and build brand loyalty.

A cross-sell flow does not always have to be limited to product offers; it could also include services like installation, financing, or warranty programs. The key is to provide additional value so the customer feels as though they are getting more than just their original purchase from you when they buy from you again.

The cross sell flow works by using the initial purchase as a “gateway” for other products and/or services; it builds trust and rapport, and helps customers see that you offer more than just their original purchase. It also offers them an incentive to make their next purchase with you by positioning your other products or services as the natural next step.

Why has this email flow been so successful?

You’ve got lead generation in place to attract new customers, right? But what about keeping your existing customers happy and offering them more of what they love – your products?

As we all know, it’s easier (not to mention cheaper) to increase the lifetime value of an existing customer and that’s what this email flow is all about – creating repeat customers with a bigger lifetime value.

One of the best ways to do this is through an email flow that offers cross-selling opportunities.

The beauty of this email flow is that it works seamlessly with your current event-based marketing and sales automation, and can be used to nurture customers during their entire lifecycle.

This email flow also comes at a great time during the lifecycle – when they’ve purchased from you and are super engaged with your brand…they have just proven that they want to spend money with you.

In order for this cross-sell opportunity to work, there are some specific things you need to remember when designing the emails themselves which we will explore below! Following these steps can lead to great results like these:

How can your company use this email flow to increase bottom line revenue by 11% or more?

It sounds too good to be true, but companies who have mastered the art of this one email flow are able to see their bottom line revenue increase by 11% or more.

The good news is that adding this to your email lineup can be made simple by adding a couple of emails that detail the benefits of other products and services that are then sent out after the customer makes the purchase.

This is different from the post purchase emails flow – another important email series – but here we’re going to wait until the post purchase flow is complete and then follow up with the cross sell flow.

A Step-by-Step Process On How To Set Up Your Own Cross Selling Emails To Existing Customers

Like any good method, planning plays a big role and the time spent on planning out your Cross Sell Flow will make the entire process run much more smoothly.

Here we’re going to look at setting up a Cross-Sell Flow based off of your top selling product.

Finding The Best Cross Sell Products

With that in mind, look at your best selling products (besides your top seller) and decide which one(s) make a good complement to the top seller.

You’ll be writing emails recommending these products, so make sure it’s a good fit.

Here’s a good example; if your top selling product is coffee beans, and your next best selling products are loose leaf teas, coffee mugs, and coffee grinders, I’d go with coffee mugs and coffee grinders as the person that buys the beans is more likely to be interested in more coffee specific products.

Use your knowledge of your industry and customers to tailor this list as you see fit.

Now that you have that figured out, let’s talk about the emails themselves.

This flow will contain at least 3 emails and you can write more if you want. I recommend starting with 3 and adding 1 or 2 if you see good results (hint: you will).

Cross Sell Email Contents

What should the actual Cross Sell emails contain?

Let’s break it down email by email.

Email 1

• Focus on benefits of the product(s) and the value proposition
• Remember that they have already purchased – no need to be heavy handed
• Use great images to help

Email 2

• If you have a 2nd product, introduce the benefits
• Include those images
• Test coupon use – can work well to get the 2nd sale

Email 3

• Remind them of the great product(s) you’ve already talked about – benefits first
• Include images of the product(s)
• If using a coupon, let them know it’s time to use it

Email 4+

• Use testimonial / review
• If using limited time coupon, remind them that they need to act
• Cover benefits
• Add in other products as a test

As outlined in the bullet points above, these do not have to be long emails.

Oftentimes, simple emails with good visuals and a reminder of the benefits can do the heavy lifting and help customers feel that they are being looked after without being too complex.

Email Timing

Remember that we said these emails come after the purchase. Make sure that this email flow does not send out until your post purchase series is complete.

Stagger the emails in this flow by a day or two each as shown in the image below:

For example, if your post purchase series spans 5 days, then your cross sell series should not start until at least day 6.

Triggers And Filters

Be sure to set up your Triggers and Filters correctly – what I’m going to show is based on Klaviyo, but many email marketing systems have similar setups. Adjust as necessary for your particular setup. The main goal here is to only send to the right people at the right time.

Here’s an example from Klaviyo connected to a Shopify store:

Trigger

You want the trigger for the overall flow to be Placed Order. This way you only get people that have placed an order added to the flow.

Do not use a “Ordered Product” type of trigger or this may result in multiple emails being sent for each product ordered.

Next up will be the Trigger Filters.

Trigger Filters

Once you have your Trigger set up, you may want to filter it based on things like discount code used, the tags they have applied, or something else.

We’re not going to go into details here as it’s not needed for the basic Cross Sell Flow setup.

Flow Filters

Now that we’ve got people that have placed an order into our flow, we may want to only send to a portion of them.

Why?

Let’s say that you sell prepared meals and you have vegetarian and non-vegetarian options. If someone buys a vegetarian meal, you probably want to offer them more veggie options, and definitely not meat based meals! With flow filters, you can specify which products you want the customers to have purchased to remain in the flow.

Additionally, you should add a filter that removes people if they have placed an order since being in the flow – mission accomplished!

Want all of this in an easy checklist? Click Here.

How To Improve Your Already Existing Cross Flow Emails

If you’ve already got a Cross Sell flow in your email marketing lineup and you’d like to take it up a notch then do one or all of the following.

The first thing you can do is add an additional email to the flow, especially if you don’t have 3 or 4 emails.

Even if you do, try adding another email with a cross sell opportunity and see how it performs.

As mentioned above, adding an email or two can be a great way to test additional products, generate more sales, and uncover cross sell and upsell opportunities.

Bottom line – add one email to your Cross Sell flow today promoting one additional product and try including a one-time use coupon. Let me know how it goes

Tips That Will Help Make Your Emails As Effective As Possible

Here are 3 ways that you can make your emails as effective as possible for the Cross Sell flow.

Part 1 – Personalization

It’s important to personalize the email. This means that you should use the customer’s name and include information that is specific to their purchase wherever possible. This will help to ensure that they feel as though you are speaking directly to them, and that you understand what they are looking for.

A few areas you can do this are:

• Subject line
• Images
• Video

Part 2 – Use Multiple Emails

Using several emails in the cross sell flow is one of the best ways to ensure that customers see your products and services as the natural next step. This will help to build their desire in your offer, and make them more likely to make a purchase from you instead of firing one quick shot that might be missed.

Spread the emails out over several days or even a week or longer. If you’re not sure, start with 3 emails spaced 2 days apart from each other and test from there.

Be sure to split test the subject lines of each of these emails –

Part 3 – Use Relevant Products And Offers

Make sure that what you’re offering makes sense. For example, if you sell men and women’s clothing, you probably want to to think about 2 cross sell flows – one for women’s clothing, and one for men’s.

Another example would be a store that sells tea and coffee. Make sure that your cross sell emails put the right offer in front of the right purchasers!

Make use of those Flow Filters and send the right products to the right people.

Resources

Would you like a template to help you create your killer Cross Sell flow today? Good news, you can grab a Cross Sell flow template with checklist here that can put to use today for your store.

More Resources

• Klaviyo
• Helpful videos on email marketing

Key Takeaways and Summary

If you want to see your bottom line revenue increase by 11% or more, then this email flow is for you. I’ve shown how it works and provided an easy-to-follow checklist so that you can start implementing these best practices today.

If the idea of “just” 11% seemed too good to be true before, we hope now you understand why some companies are seeing such huge increases in their bottom line with just one simple email flow. Who knows? You might even beat those numbers if you apply everything here…

This real life based guide to the Cross Sell flow will help you not only sell to your existing customer base at a great time in the customer journey but will also help you sell those complementary products in a non-intrusive manner.

Want help implementing this for your ecommerce store for the best results? Get in touch today.

The post How To Add 11% To Your Bottom Line Revenue With This One Email Series – Cross Sell Flow appeared first on Oasis Optimization.