How KontrolFreek Uses Klaviyo to Send Fewer Texts and Convert More Carts

Customer: KontrolFreek   Industry: Toys and Games   Platform: Shopify

Customer: KontrolFreek
Industry: Toys and Games
Platform: Shopify

25% Increase in SMS click-through rate
8% Increase in revenue per SMS
38% How much less KontrolFreek is spending on each SMS conversion
25%
Increase in SMS click-through rate8%
Increase in revenue per SMS

38%
How much less KontrolFreek is spending on each SMS conversion

KontrolFreek creates products that improve the gaming experience while fostering a community of determined and ambitious gamers worldwide. Headquartered in Atlanta, GA, all their products are manufactured and designed in the USA. KontrolFreek is the creator of Performance Gaming Gear™ and the leader of FreekNation, a global community of more than four million gamers. KontrolFreek’s products for PlayStation 4, Xbox One, Nintendo Switch, and PC are available in more than 9,000 stores across 40 countries.

Since KontrolFreek became a Klaviyo customer in August 2018, they’ve watched their business grow significantly thanks to their ability to personalize and build stronger customer relationships.

Back in October 2018, KontrolFreek started experimenting with text messaging as part of their marketing strategy. In the beginning, Mitchell Chapman, manager of digital marketing at KontrolFreek, was skeptical about how effective SMS would be for their business.

It all started for KontrolFreek with an SMS-only welcome series and abandoned cart series. Adding those experiences drove both clicks and purchases beyond what Mitchell expected. But KontrolFreek was using a separate platform for sending SMS, so they had to spend extra time and resources to build and manage those experiences.

They were also spending too much time consolidating reporting and attributing revenue appropriately. Eventually, KontrolFreek grew frustrated by these limitations and their inability to strategically use SMS and email together.

KontrolFreek wanted to evolve their SMS marketing strategy, but they were stuck. In Mitchell’s mind, they had three key issues to solve:

  1. They needed just one platform for email and SMS so they could save time and resources.
  2. They needed to improve the targeting of their text messages. Their current SMS platform didn’t have the depth of data required to reach specific audiences dynamically.
  3. They needed better visibility and reporting. In order to understand performance and attribution between channels, they were doing hours of analysis. They needed a simpler way to understand the performance of both channels so they could make smart decisions, faster.

Then, in January 2020, Klaviyo announced SMS as a new channel. KontrolFreek was immediately interested.

“As a long-time Klaviyo customer, we already understood the benefit of having access to the depth of data available for personalization and targeting. We knew by using email and SMS together in Klaviyo we could better target our audiences and improve our performance. For us, switching to Klaviyo SMS was a no-brainer.”

Mitchell Chapman

Manager of digital marketing, KontrolFreek

With SMS and email together on Klaviyo, KontrolFreek started strategically sending text messages and emails in the same Klaviyo Flow. This allows KontrolFreek to target their automated text messages. Instead of sending a text message for every abandoned cart, they now only text if the shopper didn’t open the initial abandoned cart email.

By targeting this message to non-email openers, KontrolFreek is sending less text messages and increasing their revenue. If the text were sent to everyone who abandoned their cart, KontrolFreek would have sent over 7,000 more texts in the past 30 days. By filtering out those who opened the initial email, they’ve sent only about 1,500 texts.

This targeted strategy produced both an increase in attributed revenue and a decrease in cost per SMS conversion. Despite an attribution window in Klaviyo 1/10th as long as their previous provider, KontrolFreek has increased their revenue per SMS by eight percent and decreased the cost of each SMS conversion by 38 percent.

“Using SMS and email together in Klaviyo immediately produced benefits for KontrolFreek. Instead of sending texts and emails to everyone, we’re targeting our text messages, sending less of them, and still making more money.”

Mitchell Chapman

Manager of digital marketing, KontrolFreek

Now, with more options and improved targeting, KontrolFreek is adding text messages to more automations in order to unlock more opportunities with SMS marketing. The first test is adding texts to their browse abandonment flow. The test is set up as a 50/50 random split, which means half of the shoppers with proper SMS consent receive an email and half receive a text as their first message.

Klaviyo’s Flow Builder allows KontrolFreek to instantly compare performance between emails and texts so they always know which is contributing to more placed orders. Klaviyo also automatically attributes purchases between channels, saving KontrolFreek from the hours of additional analysis that was required on their previous platform. Currently, the text message is driving the highest placed order rate of any message in the flow.

With complete visibility into performance and a single platform to understand attribution, KontrolFreek can confidently run these tests to learn when to send a text or an email and use them both more effectively. This improved confidence in reporting allows KontrolFreek to work both faster and smarter.

“Klaviyo has saved us so much time and really allows us to work faster. We now have visibility into the performance of every text message and can immediately compare it to an email in a click. We also know exactly which message is driving revenue without spreadsheets or other tools, so we can make smarter decisions on the fly. Before, it would take us hours and hours of work to figure that out.”

Mitchell Chapman

Manager of digital marketing, KontrolFreek

Klaviyo enables KontrolFreek to be smarter about how they use email and SMS. By keeping email as their primary communication channel in their abandoned cart flow, KontrolFreek can use SMS to target shoppers who don’t engage with their first attempt at engagement. They’re sending fewer texts to a higher-converting audience and recovering more carts as a result.

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