The ultimate guide to AI for B2C marketing
Supercharge your marketing efforts with creative uses for AI
Summary
Why AI-powered marketing is now the standard for B2C brands
AI is not only helping marketers get better results. It’s also helping them do it at a faster clip.
From automatically turning hoards of raw data into strategic insights, to generating copy, segments, and flows, to running A/B tests and forms display optimizations, AI is transforming marketing as we know it.
But in order for AI to be effective, it needs to be built on top of a strong data foundation.
If your data provides an incomplete view of the customer—like engagement from only a few channels—AI will make decisions without the full picture. This leads to suboptimal results.
For AI to be effective in marketing, you need a single source of truth for all your customer data, like a B2C CRM that has a built-in customer data platform. AI then acts as the single “brain” that orchestrates timing, audience, channel, and content optimization. Crucially, this brain needs a feedback loop, directly tying every message sent back to the outcomes you’re trying to drive.
In this AI in marketing guide, learn how to build this essential data foundation for effective AI implementation—and significantly exceed your goals, too.
4 measurable benefits of AI in marketing
In today’s unpredictable economy, B2C brands everywhere are experiencing a squeeze on their margins. But if you can use AI to help your marketing team work faster and more efficiently while also getting more bang for their buck, it’s more than possible to get some of those margins back—even with less budget.
According to our state of B2C marketing report, brands see 4 top benefits from implementing AI tools in marketing and/or customer service:
- Enhanced operational efficiency and automation: 33%
- Improved KPIs for marketing campaigns: 27%
- Improved data-driven decision-making: 15%
- Improved customer experience, including enhanced personalization capabilities: 13%
Let’s dive deeper into each benefit to show you exactly how AI can benefit your marketing program.
1. Enhanced operational efficiency
The operational efficiencies that AI enhances the most are time savings, resource allocation, and campaign execution speed. By automating manual, routine tasks and conducting tests and experiments quickly, marketers using AI have more time to spend on the work that matters most: strategy, creative, and execution.
2. Improved marketing KPIs
Some of the marketing KPIs that AI can impact are conversion rates, average order value, and ROI. By powering hyper-personalization, always-on optimization, and smarter targeting, AI helps brands send the right message to the right people at the right time, no matter where they are in the buyer’s journey.
3. Data-driven decision making
Since data is the lifeblood of AI, AI naturally helps B2C brands make data-driven decisions. This leads to far less guesswork and much faster strategic pivots, giving marketers a competitive advantage in their vertical.
4. Better customer experience
According to Klaviyo’s future of consumer marketing report, 74% of consumers expect more brands to provide more personalized experiences in 2025—and they feel especially valued when they receive personalized discounts or offers that match their preferences. AI can provide this kind of personalization in a snap, boosting customer satisfaction, loyalty, and retention.
How AI transforms B2C marketing effectiveness
Today, AI can analyze data, create content, and optimize campaigns for you. According to our state of B2C marketing research, B2C marketing teams are currently using AI for:
- Email marketing optimization: 50%
- Chatbots and AI-driven customer service: 49%
- Content creation and automation: 47%
- Predictive analytics and customer insights: 44%
- Personalization and customer segmentation: 43%
Here’s a closer look at a few of the top ways B2C marketing teams are using AI right now:
Pulling strategic insights from data to drive better decisions
Your data is only as valuable as the insights you can pull from it. Fortunately, AI can analyze your data to predict customer behavior, identify customer trends, and conduct competitive analysis.
AI-powered predictive analytics helps marketers:
- Forecast next order date, customer lifetime value (CLV), and churn risk.
- Predict the demographics of a customer and the product they’re likely to purchase next just based on their behavior.
- Monitor the engagement and conversion patterns of your segments, flows, and campaigns and automatically make adjustments.
- Pinpoint the audiences that will respond well to specific product lines.
- Read all the customer reviews and feedback for each of your products and interpret their sentiment.
- Compare your brand’s performance against anonymized industry benchmarks by metric, vertical, and marketing channel.
- Recommend optimizations in real time.
Today’s AI goes far beyond traditional analytics. Instead of just identifying past trends, AI can suggest what to do next. For example:
- Use AI to not just predict churn, but to recommend a specific re-engagement flow tailored to that customer’s unique profile.
- Use AI to show a trend, but then also suggest new content ideas or campaign approaches based on that trend.
Creating better marketing content, faster
AI will never replace copywriters, but it can help copywriters craft high-performing creative much faster.
AI writing tools can:
- Write multiple variations of subject lines and email body copy based on audience, tone, and campaign goals.
- Design an entire email based on a single prompt you enter, saving you tons of time.
- Craft promotional and transactional texts and even suggest replies to specific customer texts.
- Personalize messaging at scale.
With Klaviyo, your AI tools all live within one platform, letting you integrate AI directly into your work, so you don’t have to copy and paste between two tools, use AI that’s vetted and approved (so you don’t risk getting inaccurate results from a rogue AI tool), and have access to an AI that has learned your unique brand voice and grammatical style.
Automatically optimizing performance
AI can adjust your flows and campaigns based on real-time customer behavior, so it’s continuously working to improve your email and SMS programs. You can get the absolute most out of your marketing budget by:
- Automatically A/B testing subject lines, creative, and send times and sending the best version of an email to your subscribers
- Automatically running multivariate tests on your sign-up forms’ timing, design, and incentives
- Automatically suppressing sends to disengaged subscribers to protect your sender reputation
Why your data foundation matters for AI marketing success
Good data in, good results out is the motto for AI in marketing. The more data you have on your customers, the more your AI has to work with.
According to our state of B2C marketing report, marketers understand this, at least in theory: 47% are prioritizing AI this year, and 44% are prioritizing CRMs. But only 31% are investing in customer data platforms, which means their data is more likely to be siloed. As a result, their AI may not have a full picture of customer relationships.
AI’s role isn’t just to execute, it’s to intelligently determine the optimal timing, audience, channel, and content for every interaction. But to do this effectively, the AI “brain” needs a direct feedback loop. Every message sent, every interaction, must be tied back to the desired business outcomes (sign-ups, revenue, engagement). This continuous cycle of data in, action out, and results back in allows the AI to learn, adapt, and constantly improve its performance.
Without this unified data foundation and closed-loop feedback, AI is operating with incomplete information, leading to fragmented customer experiences, missed opportunities, and ultimately, a lower return on your AI investments.
B2C brands that use AI and a B2C CRM with a built-in CDP can achieve this full picture while driving sign-ups, boosting revenue, and saving a ton of time.
Why control and transparency matter just as much as data
AI is only as effective as the data it’s built on—but equally important is how that AI behaves once it’s part of your workflow. At Klaviyo, we’ve built our AI systems around 3 core principles designed to earn your trust and deliver real value:
- Transparent and controllable: You’ll always know what our AI is doing—and more importantly, you can tweak it, override it, or turn it off. It’s your data, your brand, and your decisions. Klaviyo AI is never a black box. You stay in control, every step of the way.
- Built-in, not bolted on: Klaviyo AI is embedded across the platform—not a separate interface or toolset you have to learn. That means smarter automation, segmentation, and personalization are integrated directly into your day-to-day workflows.
- Ready to work with others: We know you use more than one platform. Klaviyo AI is designed to fit into your broader tech stack and evolve alongside it—not create a walled garden.
When your data is centralized in a CRM with a built-in CDP, these principles ensure your AI tools are not only powerful, but also responsible, predictable, and aligned with your brand. It’s how we make AI work for marketers, not the other way around.
8 high-impact AI marketing use cases you should implement now
Here are 8 ways AI can transform your marketing efforts.
1. Advanced customer segmentation
AI can create dynamic segments that automatically update based on people’s purchase behavior, website activity, email and SMS engagement, form submissions, and the product reviews they leave.
You can also use AI as a starting point to build new segments and help you further refine them through historical data, real-time behavior, and predictive analytics.
Luxury home goods brand Saranoni uses Klaviyo AI to automatically create zip code-based segments for location-specific messaging. They use Segments AI to generate segments from a text prompt, saving upwards of 10 minutes per segment.
2. Automated flows
It can be challenging (and time consuming) to create automated flows for SMS and email, from building out the structure, to identifying who they go out to, to monitoring ongoing performance.
Flows AI uses conversational prompting to quickly build out exactly what you’re looking for and design the sequence in minutes. For example, you can ask for:
- “An abandoned cart VIP email flow”
- “A multi-channel product recommendation flow”
- “A multi-channel browse abandonment flow”
Then, AI can use real-time behavioral data, predictive analytics, and feedback loops to ensure the messages triggered in all your flows go out to the right person, at the right moment, and for the right reason. If you have a CDP, AI can see each of your customers’ interactions across all channels and adjust these flows to avoid over-messaging anybody.
Finally, you can use AI-powered auto-monitoring to watch for any significant changes in key metrics, so you can truly set it and forget it without worry.
Water filter brand Lifestraw uses Flows AI to build out new, integration-triggered Klaviyo flows, like subscription confirmation flows. After inputting a simple sentence about the flow, “Flows AI just built the flow structure for me,” says Eugenia Martin, head of DTC sales at Lifestraw—and it saved her 40 minutes of work, she estimates. “That was pretty amazing.”
3. AI-powered content creation
As we mentioned earlier, AI can automatically generate email and SMS content and replies to customer reviews. It can even help you write product descriptions and social media content.
Proozy, a B2C brand that offers deep discounts on pro-caliber sports apparel and athletic gear, uses Klaviyo AI to save time and energy writing subject lines for their 7 daily segmented email campaigns and copy for their 1–2 daily SMS messages.
Using AI-generated subject lines and SMS messages, the Proozy team saves 5 minutes per subject line and 10 minutes per SMS message—which adds up to about 45 minutes of time savings per day. Klaviyo’s SMS AI offers 3 unique copy options per prompt, so Proozy keeps their SMS copy fresh, even when their content isn’t.
4. Personalized customer experiences
With AI-powered personalization, you can create the ultimate customer experience by:
- Sending individual product recommendations based on past purchase behavior and current website activity
- Dynamically tailoring campaigns to subscribers based on what will perform best for them
- Using predictive analytics like next order date, CLV, and churn risk to personalize offers based on what they’re most likely to do next
The Willow Tree Boutique, a women’s clothing boutique with multiple storefronts, an online shop, and a free mobile live-selling app, used Klaviyo’s predictive analytics to tap in to their purchase history data. They started sending campaigns to new segments like customers whose AI-predicted next purchase date was in the last or next 30 days, or those who tend to purchase every 60 days.
The team also used predictive analytics segments to highlight luxury items to bigger spenders—customers with a predicted CLV over $500, or an average order value over $150. It worked: in their first 6 months using predictive analytics, email campaign revenue grew 53.1% HoH.
5. AI-driven customer review management
AI can help you build up your reputation while improving the customer experience. With automated, customized review follow-up and two-way SMS communication, marketing and service teams can:
- Respond to customer reviews.
- Generate customer review headlines.
- Handle questions about discounts, sizing, and shipping timelines by auto-responding to texts.
6. AI-driven customer service
Customer expectations for speed, accuracy, and personalization are higher than ever—and AI can help your service team rise to the challenge. With Klaviyo’s AI Shopping Agent, your brand experience becomes more contextual across the entire customer journey.
By leveraging all your customer data in real time, Klaviyo’s Shopping Agent can:
- Personalize every response based on purchase history, browsing behavior, and engagement patterns—ensuring each customer feels known and valued.
- Automate pre-sales and post-purchase interactions, so customers get answers to questions about sizing, shipping, subscriptions, returns, and more without waiting for a human to respond.
- Accelerate ticket resolution by detecting high-priority issues or VIP customers and routing them to live agents when human support is needed.
- Empower your support team with AI copilots that surface suggested replies and next-best actions directly within the service workflow—reducing resolution time and improving consistency.
What makes Klaviyo different? Our agentic AI isn’t a disconnected chatbot—it’s built into the same platform that powers your marketing, so your brand voice and customer data stay unified across every touchpoint.
As AI continues to evolve from assistance to autonomy, Klaviyo’s goal is simple: to help your brand deliver helpful, human, and proactive service—at scale.
7. Predictive analytics and forecasting
As we mentioned earlier, predictive analytics can forecast things like CLV, churn risk, and when a customer is likely to place their next order. With access to real-time analytics, you can send smarter messages to reach audiences when they’re most likely to open them.
Every Man Jack, a men’s grooming brand, uses Klaviyo’s predictive analytics to send campaigns to subscribers based on their predicted next order date, predicted lifetime value, and more. 12.4% of the brand’s Klaviyo-attributed revenue came from predictive analytics segments in just 90 days.
“I trust and value Klaviyo AI because it saves me time, it helps me leverage our customer data to personalize our email timing and strategies, and most importantly, I maintain complete control over how and when it’s used,” says Troy Petrunoff, senior retention marketing manager at Every Man Jack.
8. Automatic optimization
Autonomous AI, also known as self-optimizing AI, runs on autopilot, creating tailored experiences for each individual customer. It continuously learns, adapts, and refines strategies for the best outcomes—in a fraction of the time.
Here are a few ways self-optimizing AI can improve your marketing:
- Reputation repair: Automatically suppress unengaged contacts to improve deliverability and engagement.
- Auto monitoring: Get alerts if there are drops in key metrics, like the number of times a flow is triggered, the number of messages sent in a flow, or deliverability rates.
- A/B testing: Automatically find the winning subject line, offer, CTA, send time, and more for your content.
- Personalized campaigns: Use AI to search for patterns among the test recipients who interact with each variation, then send the rest of the recipients their most likely preferred variation after the test is over.
- Forms display optimization: Show web forms at the time when visitors are most likely to engage and sign up.
- Smart Send Time: Time emails based on when your audience is most likely to open and click them.
Tata Harper, a pioneering plant-based skincare brand, used Klaviyo AI to test 20 variations on placement and timing across their desktop and mobile sign-up pop-ups, all AI-generated based on their brand’s performance data. Before, the process was manual, and the team could only test 2 variations at a time.
In the 30 days after the winning versions went live, submissions for both forms jumped 65%+ from the 30 days prior to testing.
How to get started with AI in marketing
Step 1: Audit your current marketing stack
To identify the AI-ready tools in your current marketing stack, make sure they:
- Collect first- and zero-party data.
- Integrate natively with the key platforms in your marketing stack.
- Use data to personalize, optimize, and automate at scale.
Then, flag the tools that need a more AI-ready substitute. You’ll replace them in the next step.
Step 2: Choose the right AI marketing tools
Just like the AI-ready tools already in your current marketing stack, you want your new AI marketing tools to:
- Leverage first and zero-party data.
- Integrate natively with the key platforms in your stack.
- Use data to personalize, optimize, and automate at scale.
Step 3: Prioritize use cases based on business impact
To assess which use cases you should use AI for, prioritize the ones that drive the most conversions and retention but require the lowest amount of technical set-up, such as:
- Generating subject lines and copy
- Building segments
- Optimizing forms display
- Smart A/B testing
- Smart send times
This way, you can see results fast. Think about ways to increase the ROI of marketing campaigns to pinpoint the AI use cases that will have the highest impact for your brand.
Step 4: Implement and test
Once you implement your high-impact, low-lift AI use cases, make sure to A/B test them against the results you were getting prior to implementing AI and the goals of each campaign they’re associated with. Don’t forget to run the test on a sample size that is big enough to achieve statistical significance.
Step 5: Scale successful initiatives
After you analyze the results of your A/B tests and iterate your AI use cases, consider scaling your AI marketing efforts by:
- Implementing AI in your SMS if you started out with email, or vice versa
- Building flows and segments based on predictive analytics
- Experimenting with AI sales agents and service copilots on the support side of your business
Step 6: Leverage agentic AI tools to scale, now
You don’t just need AI assistance. You need AI to act. Look for ways to use agentic AI, like Klaviyo’s Shopping Agent, which goes beyond automation to execute tasks across the customer lifecycle on your behalf.
The key to unlocking this capability? Klaviyo Customer Hub. Customer Hub is the centralized relationship layer in Klaviyo’s B2C CRM. It unifies real-time behavioral data, past purchases, preferences, and service history into a single, actionable customer profile. This unified view powers agentic AI tools like Klaviyo’s Shopping Agent, enabling AI to scale your efforts without sacrificing personalization.
With Customer Hub as your foundation, you can:
- Activate Shopping Agent to answer customer questions in real time, recommend products, and even take action—like managing returns or subscriptions—autonomously.
- Deliver contextual, seamless support by blending marketing and service data into every interaction.
- Make smarter AI decisions by giving agents access to every signal—across channels, campaigns, and customer service moments.
Agentic AI isn’t a future feature—it’s here. And with Customer Hub, you can start scaling human-like experiences across every touchpoint today.
AI marketing best practices and pitfalls to avoid
AI obviously has its strengths, but if you move too fast or don’t have the proper guidelines in place, it can do more harm than good.
Best practices for AI marketing
- Unify and clean your customer data before you implement the high-impact, low-effort use cases we mentioned above.
- A/B test AI marketing projects and iterate on them over time.
- Manually double-check all your A/B tests and have actual people make adjustments to them regularly.
Common AI marketing pitfalls
- Over-relying on AI, without manual fact-checking and testing
- Using poor-quality data
- Poor integration between systems
- Ignoring ethical considerations
- Using AI to tap into customer data in an intrusive or exploitative way
Why Klaviyo AI? Scale, data, and architecture
AI-driven marketing can produce better results at a faster clip by taking care of personalization, optimization, and automation for you. When you use AI-driven customer service that feels helpful, human, and proactive, your customers will not only receive exactly what they want from your brand—they’ll also get it faster than they can say “AI.”
The foundation for successful AI marketing is an all-in-one B2C CRM that brings together marketing, service, and analytics, powered by a customer data platform. With Klaviyo, you get built-in AI that’s designed to make your life easier—and that gets smarter every day.
Klaviyo isn’t just another marketing platform with AI layered on top. It’s a full-stack marketing and service engine powered by one of the most robust data infrastructures in the industry:
- 7.3 billion+ consumer profiles
- 730 billion+ events processed annually
- $150 billion+ in all-time Klaviyo-attributed value
- 169,000+ customers contributing to real-world training signals
Under the hood, Klaviyo AI runs on a multi-model architecture that blends homegrown machine learning models, open-source AI, and large language models (LLMs). This approach gives Klaviyo the flexibility to optimize across a wide range of use cases while maintaining high standards of speed, accuracy, and personalization.
Combined with streaming data architecture and lifetime data retention, Klaviyo AI doesn’t just guess—it adapts in real time, scales intelligently, and stays fully aligned with your brand’s goals.
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