Klaviyo Pricing and Packaging Changes

  • 18 July 2022
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Klaviyo pricing and packaging updates

Customer-facing FAQ

 

Why is Klaviyo making changes to their pricing and packaging structure?

Klaviyo is updating its pricing and packaging plans to make them more predictable, easier to use for omnichannel customers, and to reflect the increased value of the platform.

  • We are increasing prices to reflect the increased value our platform currently delivers and to support our continued innovation momentum.  The majority of customers will not see a pricing increase.

    • In the 8 years since we last changed our prices, the Klaviyo platform has evolved significantly to help customers grow their revenue through personalized communications. 

  • Our goal is to continue delivering outsized value for our customers, so we are increasing prices to support investments in even more enhanced functionality, better scale and reliability, and enhanced customer support. We introduced a new tier of Klaviyo, called Klaviyo One, to support the scale and complexity of larger brands.

    • Klaviyo One provides a more robust success and support model with future plans for enterprise-grade functionality to support the scale and complexity of larger brands.

    • As our customer base has diversified, our existing structure has limited our ability to offer the best support and functionality at the most appropriate price to everyone. The introduction of Klaviyo One will allow us to meet the needs of our largest customers while allowing other customers to only pay for what they need.

  • We are updating our pricing framework to make it more flexible across different channels, and to allow customers to select the package that best suits them.

    • We will no longer be charging you for SMS consented profiles in addition to email profiles. Instead, you can choose the right SMS sending package for your business based on the number of SMS credits you need per month.

    • This new structure lays a more intuitive framework for future channels, so we can continue to expand our offerings without requiring additional changes.

                                                                                                                                                                                                                                "*Pricing tiers have been consistent since 2014"

For more information about why we are making pricing and packaging changes, please read our blog post.

 

What are the new platform packages and how do they differ?

 

 

Base packages 

 

Klaviyo 

Customer Platform with Email

Klaviyo Customer Platform (without Email)

What’s included

Klaviyo Platform

Email volume: 10x per active profiles (e.g. 1K active profiles means 10K monthly sends)

Includes 150 free SMS credits

Klaviyo Platform

Includes free tier of email and SMS: 500 email, 150 SMS credits per month

Priced according to

# Active Profiles and Email Sends

# of Active Profiles

Add-ons

SMS add-on available

Klaviyo One add-on required for >$10K monthly spend; optional for $5-10K monthly spend

Email and/or SMS add-on required 

Klaviyo One add-on required for >$10K monthly spend; optional for $5-10K monthly spend

Profile volume

Any profile volume

Minimum pricing starts at 250k profiles

Billing restrictions

None

Available for manual billing customers only

 

What are the pricing changes for existing email plans?

Pricing changes vary by customers. For customers who manage billing, please visit this link to see what your new pricing will be prior to September 1.

When does the new pricing and packaging go into effect?

  • For new customers, the updated pricing and packaging goes into effect starting July 18th, 2022.

  • For existing customers, the updated pricing and packaging goes into effect on their first billing cycle date starting September 1, 2022.

Do you offer a free plan?

We do offer a free tier. You can create an account, import and sync your data, customize templates and emails, and use many of Klaviyo’s features for free. You can send up to 500 emails per month, to up to 250 contacts. You also get 150 credits to use on SMS or MMS. You’ll be prompted to upgrade once you exceed either limit. 

What is the difference between the Klaviyo Customer Platform option with an email add-on vs. just buying the Klaviyo Customer Platform + Email as a base package?

The platform capabilities are the same in the two base packages. The unbundled version provides customers the flexibility to scope email send volume separately from the profiles, as some customers may need a different ratio of email sends to active profiles than the default 10x. 

How do I purchase SMS?

Klaviyo SMS is an add-on subscription to the base platform packages (shown above). SMS plans will be priced based on monthly credits (not tied to active profiles), and credits can be used for both SMS and MMS. Klaviyo SMS pricing is the same in both packages.

How many SMS and MMS messages can I send?

With every SMS plan, you are allocated a maximum number of SMS credits. You can use your credits towards any combination of SMS and MMS messages (MMS = a text message over 160 characters or one that contains an image or GIF). The number of credits required to send an SMS or MMS message varies depending on the country you are sending the message to, as outlined in the table below.

 

 

 

SMS

MMS

USA

1 credit

3 credits

Canada

3 credits

5 credits

UK

5 credits

N/A

Aus

4 credits

N/A

 

Do I need to purchase throughput?

Short codes and toll-free numbers have the ability to increase throughput, allowing your messages to continue to reach every recipient as your SMS audience grows. We offer complimentary toll-free numbers, but if you’d like to add even more throughput, you can purchase additional short codes.

Will my SMS credits roll over month to month?

No, SMS credits will not roll over at this time. You are not required to commit to any dollar amount or credits and have full flexibility to upgrade/downgrade each month to align with expected usage in that month. 

What if I have more contacts than my plan allows, or need to send more email/SMS?

If you go over the number of contacts or messages in your plan, we’ll give you the option to upgrade your plan (and we’ll send you a friendly email, too). You’ll always be asked to confirm an account upgrade before it happens. You can upgrade email and SMS channels independently.

How is an active profile defined?

An active profile is defined as a profile in the Klaviyo platform that can be messaged and is not suppressed.

Profiles can become inactive due to unsubscribing from all channels, from being undeliverable for all channels, or from manual cleaning to disable messaging from any channel; a profile that cannot be messaged across all enabled channels is considered inactive.

How do I change my plan?

You can manage your account from your account page.

Do I need to take any action for the new pricing changes to take effect?

As an existing customer, you don’t have to take any action at this moment. All changes will automatically be applied to your plans as applicable. You should have received an email on July 18, 2022 explaining the upcoming pricing changes—including the updated plans and a link to calculate your new pricing—which will go into effect at the start of your next billing cycle after September 1, 2022.

Your new pricing is based on your subscription plans as of September 1, 2022. Any changes made to your plan between the email date (July 18th) and the pricing effective date (September 1, 2022) will not be reflected in the email.  

What is Klaviyo One?

Klaviyo One is our new enterprise tier that launched in June 2022. 

Klaviyo One is a unified customer platform that combines a powerful customer data platform, a marketing automation platform, high-touch support, and with future plans for enterprise-grade features—helping leading brands personalize communications to their customers at scale, easily acquire new ones, and use their own data to drive revenue.

To learn more about Klaviyo One, visit: www.klaviyo.com/one

What is the pricing structure for Klaviyo One?

A Klaviyo One subscription will be priced at 20% of a customer’s total monthly spend. 

Can Klaviyo One be purchased through the self-serve interface within your Klaviyo account?

Yes, Klaviyo One can be added through the self-serve interface within the billing pages in your Klaviyo account. 

Are all customers eligible for Klaviyo One?

Klaviyo One requires a minimum of $5K monthly spend on Klaviyo. Klaviyo One is required for all existing and new customers that spend more than $10K per month.

Why is Klaviyo One required for customers who spend more than $10K per month?

Klaviyo is co-invested in the success of our customers, and we want to ensure customers continue to receive a superior customer experience at scale. With more profiles and email sends, a customer’s program becomes more complex, and there are more variables that can lead to a customer not getting the full value out of Klaviyo.To ensure these customers receive the highest quality of success and support, Klaviyo requires that all customers at or above $10K monthly spend receive Klaviyo One. With this, they receive significantly more time with their CSM and a deliverability strategist to effectively manage the complexities of a large program. The level of support and success offered with Klaviyo One is the necessary level to help customers over $10K monthly spend see phenomenal value.

What are the added benefits that Klaviyo One provides?

As a Klaviyo One customer, you’ll receive the following benefits: 

  1. Better / faster onboarding: Gain access to an onboarding specialist who is involved during the pre-sales process to align on your goals and create a custom onboarding plan. You’ll also have access to a named solutions architect to help with data integration and implementation and an assigned deliverability strategist to help establish sending best practices up front. 

  2. Superior ongoing success: Your named customer success manager will be your partner to help achieve your goals. You’ll have customized success plans and gain early access to our product roadmap. Your deliverability strategist will help you establish best practices for new multi-channel campaigns. 

  3. Priority support: You’ll have priority support via email with shortened SLAs and priority chat support.

  4. Enterprise-grade user access features: There are several features on the roadmap.

I recently booked with Klaviyo. Will my pricing change on September 1, 2022? 

All new customers who join Klaviyo in the 90 days prior to July 18 (i.e. any customer starting after April 18) are exempt from the price increase that goes into effect on Sept. 1. Their current pricing will be valid for 12 months from their start date.

Where can I see my new price before it goes into effect on Sept. 1?

When you receive an email on July 18th, it will include a link to an in-product page with a pricing calculator. Customers will be able to input a number of profiles and SMS credits which will calculate the new pricing.

It is important to note that the calculated new plan price does not include any taxes.

Will customers see more/enhanced functionality from this cost increase in terms of the product or service itself?

As always, Klaviyo will continue to roll out new features and functionality in order to provide additional value to our customers. This pricing change allows Klaviyo to continue to offer the fastest pace of innovation and the highest-quality products to our customers.

How does this updated pricing model work for manually billed customers who currently receive a discount?

For manually billed customers, new pricing will be applied at contract renewal and any existing discounts on their contracts will be discussed at that time.

How will pricing vary depending on geography for email vs. SMS?

There is no difference in email pricing by geography. 

For SMS, the rate of consumption of SMS credits varies based on geography. For example, sending a text message to a US number requires 1 credit whereas sending to a UK number requires 5 credits. There is no difference in the SMS subscription plans themselves by geography, and customers based in the UK, Canada, or Australia should select an SMS plan based on their expected credit usage.

How does the pricing change affect my access to a customer success manager (CSM)?

If you have a CSM today, you will continue to have a CSM on the new plans.

What should I do if I am unhappy with the new packaging and pricing?

We’re happy to discuss any specific concerns individually. 

If you have a customer success manager (CSM), please reach out to them and they would be happy to discuss.

If you do not have a CSM, please contact growth@klaviyo.com, and the team will assist you.


9 replies

NO link in the email to see the actual pricing.  Just gobble de gook about credits.  Another Tech company with -0- marketing or support skills.  I’ve asked my team to source another vendor.  CEO’s like me need answers not Tech Talk and revolving online support pages with FAQ’s.

Userlevel 6
Badge +57

Hey @HaroldEBS 

I’m so sorry to see that you weren’t able to find the pricing information you need to successfully run your business. Pricing changes vary by customer, but you can view an estimate of your new pricing before September 1. You can visit our pricing calculator. This means that, if your billing cycle starts on the 20th of each month, the new pricing will start on September 20 but the calculator will be able to give you the information you were looking for.

Thank you for sharing your thoughts with the community and hope this will help give you the information you needed.

Badge +2

Can you confirm when the pricing increase will go into effect for current clients? The messaging was a bit confusing since it says after Sept 1 2022 and then in the email it said “As a result, we will keep you on your current pricing for 12 months.”

@stephen.trumble 

@stephen.trumble Do the detailed plan pricing pages here https://www.klaviyo.com/account#sms-plan-tab and https://www.klaviyo.com/account#email-plan-tab reflect the pricing changes? These tiers look the exact same as the SMS pricing by contacts - what has changed?

Userlevel 6
Badge +57

Hey @mmulloy 

Thank you for asking for clarification! If you purchased your Klaviyo paid plan after April 18th 2022, you will have until September 2023. Any account older than 6 months will see the pricing change reflected this September. 

Userlevel 6
Badge +57

Hey @user123 

Thank you so much for asking about the changes to the SMS and email plans. Your current dashboard will not reflect the new pricing yet which is why it looks the same. You can check out what your new pricing estimate will be before September 1st by using the estimate calculator i shared above with HaroldEBS.

AKA - We want to price ourselves out of the market. Ridiculous. And shame on you for not being transparent with the pricing right now, sending us on a wild goose chase to find it. Sad. 

Um. A 55% price increase without any explanation nor added features? Interesting business model. Bye.

Userlevel 2
Badge +4

Checking in a few months later... and oof.

 

With the pricing change I am failing abysmally to make the business case for Klaviyo to my smaller clients. My medium-range clients may go for Klaviyo due to reputation alone, but the pricing does make them look twice at the comps on the market. 

 

This pricing change will likely boost Klaviyo revenues in the short term - loyal customers are generally happy with the results - however your new client pipeline is going to dry up in 1 year without successful new users.

 

Here’s why: Your free tier is insufficient to capitalize any email marketing channel, and when any client not doing over $5k/mo sees the upgrade cost after hitting the 500 profile limit, they end up falling back on built-in offerings like Shopify Mail, or much better priced growing competitors like Flodesk, Omnisend. (No one ever goes back to Mailchimp, lol.) Small/medium companies pay through the nose to bring in new clients from social/paid ads/affiliates while dialing in their production/fulfillment costs. If they play it right, they are incentivizing email/sms signups with deals which eat into their margins. The general answer at this scale: “I’d rather put my spend somewhere else.”

 

I recommend an about-face on this pricing and a much lower price scale for small (under-10k subs) accounts. Pricing for new/small customers needs to be next to free until their company is actually turning a profit, have built big lists, and have dialed in their messaging. You can scale up quickly to meet your larger clients’ usage, but new customers aren’t going to perceive the value. We’re all in eCommerce here - Klaviyo is not exempt from having to sacrifice for new customers.

 

Until this happens, I am considering developing my expertise in leveraging some of the competing email software who are more hungry for new business.

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