Managing active profiles and billing under the new pricing model

Question

Hi,I’m curious how others are handling subscription plan management now that billing is based on active profiles.From what I see, an active profile is anyone whose email is collected on the site and can be part of an automation.But I have a few questions, since we’re getting quite a few complaints from clients.1. Example: an account might have 10k active profiles, but only 5k of them are actually subscribed to newsletter. Those 5k receive regular newsletters. The remaining 5k are still included in certain automations (like abandoned checkout), but cannot receive newsletters.So the client ends up paying for 10k contacts even though they can really only use 5k for full marketing activity (where consent is explicit). Costs keep growing much faster than the actual subscriber base.Question: how are you handling this in the EU? Do you regularly clean out non-subscribed active profiles, or do you keep them for automation potential?2.How do you usually explain the new active-profile billing model to clients?Thanks a lot for any feedback.All the best,

Byrne C · Accepted Answer

Hey ​@MW2024,Happy to clarify some of your questions above.An active profile is any profile that:Has an email ANDIs neither unsubscribed nor suppressedEssentially, it’s any profile that Klaviyo allows you to email. Since we technically allow you to email “Never Subscribed” profiles (though we recommend exercising caution), they count as active profiles. That being said, we still recommend that you suppress profiles you’re not interested in sending emails to, to keep your subscription plan as low as possible, and so there isn’t a risk of these people receiving marketing emails.If you have 5000 active profiles you’re not sending emails to, I strongly recommend suppressing them. You can let your client know that you’ll keep these profiles’ data, but once they’re suppressed, you simply can’t send them emails anymore.Regarding your EU question, while we cannot offer legal advice, my recommendation is to avoid sending emails to those in the EU marked as “Never Subscribed,” to avoid any potential GDPR issues.

MW2024 · Answer

Hi,thanks a lot for the reply!I agree with all your points, including the GDPR. But I have one more concern regarding suppressing all non-subscribed contacts:In a real case we have 4k+ such contacts. In the last 90 days, around 1283 of them received at least one email (abandoned checkout), and about 400 made a purchase. In this situation, suppressing them could be a big loss for the client.So is it smarter in this case to simply delete those contacts from the system? With suppressing, there's always a chance the contact might subscribe later, and we’ve already run into issues before because someone was suppressed and then tried to opt in again (we had to do it manually).In short, the problem with suppressing is that it “locks out” people who are active profiles but haven’t explicitly subscribed yet. These contacts usually come in during checkout, where they can subscribe via checkbox, but many abandon it, butstill receive emails from abandoned checkout flow.What would be the best practice here to use the full potential while still keeping active profile costs under control?Thank you!

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