How Rareform’s Segmented Marketing Strategies Have Boosted the Brand’s Revenue

segmented-marketing

Rareform is a company that recycles billboards and turns them into one-of-a-kind bags, wallets, and accessories. This multi-million dollar brand has stumped Amazon, turned more than two million pounds of billboards into fashionable accessories, and is fearless about the future.

I recently spoke with Kara Morin, head of marketing at Rareform, to learn how the brand is using its own digital channels to create personalized experiences for their customers and own their brand’s growth. 

How Rareform chose a marketing automation platform

Kara told me about Rareform’s business model, which is really interesting and unique. 

“Each item we sell is one-of-a-kind and no single SKU is ever duplicated. This makes it impossible for us to sell on Amazon even if we wanted to, which we don’t. Add in the fact that our customers are hungry to stay educated about what SKUs are available and when—there’s lots of opportunity for things to go haywire,” Kara said. 

 

"Each item we sell is one-of-a-kind and no single SKU is ever duplicated. This makes it impossible for us to sell on Amazon even if we wanted to, which we don’t."

Kara Morin, head of marketing at Rareform

 

After looking at several marketing automation platforms, Rareform chose Klaviyo because of its ability to support Rareform’s complex business model, drive increased revenue through product features, and the robust support and continuous education they’d get.

Because each item is unique, it’s imperative that both the education Rareform offers and the brand’s communication with customers is both relevant and timely. The brand uses Klaviyo to execute its vision. 

“New customers subscribe to our newsletter to stay informed and existing consumers subscribe because they want to know when a specific color and style is available on our website,” Kara said. “Klaviyo is the perfect platform to support our multi-million dollar brand.”

 

"Klaviyo is the perfect platform to support our multi-million dollar brand."

Kara Morin, head of marketing at Rareform

 

How Rareform uses Klaviyo to create unique customer experiences

Since choosing Klaviyo, Rareform has used several of the platform’s easy-to-use advanced features. In the past three years, Rareform has grown 71x in revenue due in part to the advanced marketing strategies implemented via Klaviyo.

“My favorite product features are predicted next order date, the back in stock feature, and not really a feature… but how Instagram and Facebook integrate with Klaviyo. They all have robust data science algorithms behind them and yet they’re easy enough for anyone to apply,” Kara said.

Rareform uses the predicted next order date feature as a reminder for people who haven’t placed orders when they were next expected to. The brand sends them a reminder two weeks after that date. And the results haven’t been surprising —Rareform’s seen significant additional revenue due to this strategy.

Rareform is strategic with their customer communications—they don’t want to bombard people with irrelevant email—so the back in stock feature is extremely helpful when Rareform adds new colors of products to their website. 

“When people sign-up for a back in stock feature notification about blue-colored accessories, the email includes that message and also other information that may be relevant to them like an update about a clearance section on our website. It’s a useful way to streamline our communications, sell excess inventory, and increase our revenue,” Kara said.  

 

How Rareform combines email marketing with paid social advertising

Klaviyo’s integration with Instagram and Facebook is also an important feature, according to Kara, since it helps Rareform spend their marketing budget wisely. Rareform uses its data in Klaviyo to build specific lookalike audiences on Instagram and Facebook. 

“The only paid advertising we do is Instagram and Facebook. Klaviyo collects a lot of granular data and it’s our best way of smartly targeting through these social media channels—for example, what people have bought, what they’re interested in, and who’s clicking on what. This is a great way to use Klaviyo was around sales time. Say you’re trying to prospect for Black Friday, you can create a list of anyone who was engaged with Black Friday emails that went out last year and prospect from that,” Kara said.

 

"The only paid advertising we do is Instagram and Facebook. Klaviyo collects a lot of granular data and it’s our best way of smartly targeting through these social media channels."

Kara Morin, head of marketing at Rareform

 

While social media is helpful, Kara notes that the majority of the brand’s revenue comes from email marketing with Klaviyo, so email will remain their biggest focus. 

“Our email marketing works really well. It’s cheaper than Facebook and Instagram advertising and it gives us better output, too.” Kara said.

To stay informed about the best ways to level up their email marketing, Rareform relies heavily on Klaviyo’s customer support. 

“Klaviyo answers my questions very quickly, and aside from that, they frequently have learning workshops across the country and an annual conference. It’s a great way to learn and network with small companies to billion-dollar companies,” Kara said.

 

"Klaviyo answers my questions very quickly, and aside from that, they frequently have learning workshops across the country and an annual conference. It’s a great way to learn and network with small companies to billion-dollar companies."

Kara Morin, head of marketing at Rareform

 

What’s ahead for Rareform

I asked Kara about Rareform’s future outlook and she said the team is confident and fearless. And they have every reason to be. 

“We’re a multi-million dollar company with a grounding in sustainability. Yes, we’re growing and simultaneously we’re also having a positive global impact,” Kara said.  

Rareform’s story resonates well with its customers, which is evident through the significant growth the brand sees in its revenue each year. 

 

Learn more about how Rareform uses back-in-stock emails and a coming soon product page to grow sales, forecast production, and decide what to discount. Watch the brand’s episode of Ready, Set, Grow.

 

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