Getting started with Advanced KDP

You will learn

Learn more about using Advanced KDP (Klaviyo data platform) to gather robust customer insights across all your marketing initiatives. Advanced KDP enables more advanced data management, manipulation, and analysis. It also provides actionable strategies to employ across each of your individual audiences and your business as a whole.

Before you begin 

Advanced KDP is separate from the email and profile plans, and you must have both to access the functionality. Head to our billing guide to learn more about this plan or get started if you are a new customer.

Advanced KDP is built on the same infrastructure as Klaviyo’s marketing application, and it allows you to more effectively manage and activate data, run advanced reporting and predictive modeling, and sync data in Klaviyo with other systems at scale.

What is a Advanced KDP? 

A customer data platform is a system that collects and unifies data from multiple sources at scale, and makes it available for manipulation and distribution to other analytics, insights, marketing automation, and ad platforms.

Klaviyo’s Advanced KDP is a fully integrated customer data platform that enables more effective management and activation of your data. Klaviyo’s Advanced KDP provides tools to enrich and transform data, run more advanced reporting and predictive modeling, and sync data from Klaviyo to other outside systems.

Purchasing the Advanced KDP

Advanced KDP is not included in Klaviyo’s standard marketing application, and a subscription is required to access the associated functionality.

New Klaviyo customers

If you are a new customer, you can purchase Klaviyo’s Advanced KDP, along with an email or SMS plan. Learn more about Klaviyo plans and Advanced KDP.

Existing Klaviyo customers

To purchase Advanced KDP:

1. Navigate to your account in the bottom left corner and select Billing.
2. Select the Change plan button to proceed to checkout, where you'll see the option to add an Advanced KDP plan.
3. Select Advanced KDP on the checkout page and enter the number of profiles you need for your plan. 
4. Select the Continue to payment to checkout and complete your purchase. 

Billing

Since Advanced KDP allows you to better understand all customers (not just the ones you send to), the plans are based on total profiles in your account. The overall total profile count is the total number of profiles associated with your Klaviyo account, regardless of their marketing status and channel (this includes email, SMS, and push profiles today). Any profile that is being stored and tracked in Klaviyo will be represented in this count.

Note that it is best practice to retain all your profile data with Advanced KDP, and suppress rather than delete inactive profiles. This allows the Advanced KDP to leverage all your customer data when creating predictions, and provide more reliable reports and insights.

Additionally, deleted profiles can enter your Klaviyo account again as a new profile through engagement with your brand, and trigger unwanted marketing automations. Similarly, email addresses that may get added by a bot as part of a list bombing attack can be added again, potentially harming your deliverability.

Intelligence vs. data management 

The features available as part of Advanced KDP are split into 2 groups:

• Intelligence
  The Intelligence components of Advanced KDP allow you to leverage Klaviyo for your reporting needs beyond marketing channel performance, focusing on strategic audience and business intelligence. Within Intelligence, features are organized into 3 groups:
  • Customer insights
  • Catalog insights
  • Predictive models 
    

• Data management
  The Data management components of Advanced KDP allow you to manipulate and transform your data to make it more actionable, with better functionality to support getting data in and out of Klaviyo.

Interface

After purchasing the Advanced KDP, you’ll see the navigation menu in Klaviyo update with an additional item called Advanced KDP.

Within the Advanced KDP item in Klaviyo navigation, you’ll see the following tabs to access the new features:

• Intelligence
• Data management

Intelligence features

RFM analysis report

The recency, frequency, and monetary values (RFM) report provides deep customer insights based on purchasing behaviors and automatically categorizes these behaviors and customers into groupings (e.g. Loyal customers). 

These groupings enable you to analyze customer behavioral patterns over time and identify areas where you can optimize your marketing strategies. 

For those customers who may be at risk, you can also use these insights to drive winback campaigns and reduce churn.

Funnel analysis report

The funnel analysis report provides the ability to see where customers may be dropping off in their journey with your brand. The report allows you to set up and analyze the specific steps of a customer’s marketing journey and the number of customers who reach each step. 

For example, you may create an analysis that starts with customers who Placed Order, then Fulfilled Order, and finally Refunded Order, as shown below. 

Within this analysis, you can review a breakdown of the number and percentage of customers who reached each step and see where you can optimize your marketing efforts.

Conversion overview 

The Conversion overview dashboard enables you to analyze your total conversions and revenue, including Klaviyo attributed values. You can also review how many profiles are completing different numbers of conversions and the total revenue they represent. This dashboard enables you to optimize marketing efforts and increase conversion rates by targeting specific segments based on conversion behaviors.  

Audience performance report

By assessing the performance of your individual segments, the audience performance report lets you quickly spot segments that are performing successfully and unsuccessfully. The report provides detailed information on:

• Each of your segments
• Their overall success per channel
• Their total conversions or revenue

From here, you can use these insights to tailor marketing efforts toward underperforming segments. Examples of some of this report’s features are shown below.

Cohort analysis 

The cohort analysis  allows you to take a group of profiles with common characteristics (i.e., a cohort) and analyze their behavior over time. This allows you to identify trends and patterns in engagement, conversions, and other key metrics across their lifecycle.

Some examples of customer behaviors you can track with a cohort report include: 

• Repeat purchase behavior
• Customer retention 
• Purchasing behavior after subscribing 

Catalog insights 

The product analysis dashboard in Advanced KDP allows you better understand customer behaviors related to specific product purchases, and craft marketing to match these pathways. 

You can review insights around how, what, and when products in your catalog are driving orders, and align products at the right time in the customer journey.

Some methods you can strategically use product analysis insights include: 

• Adjust post-purchase flow timing
  Set up a flow triggered off of a purchase event and add a wait step based on insights from the Repeat purchase timing card.

• Adjust post-purchase flow content
  Set up a flow triggered off of a purchase event to promote a product recommendation from insights in the Products bought in the next order card.

• Automate recommended bundles/co-purchases
  Set up a flow triggered off of an abandoned cart event with a reminder to purchase and a product recommendation from Products bought in the same cart card.

• Inform your merchandising strategy
  Identify the best products to promote together or in succession in campaigns based on Products bought in the next order or Products bought in same cart cards.

Additionally, the product analysis dashboard creates 2 predictive profile properties in the Predictive Analytics section of a profile. These properties are: 

• Best cross-sell date
  The product analysis report determines the best timing to attempt to cross-sell to profiles. The Best cross-sell date property requires customers to have made at least 1 purchase, and is based on the purchasing patterns of similar customers that have bought the same item. This is a dynamic property that updates daily, but only when a profile makes a purchase.
  
  
• Next best product
  The product analysis report also determines the next best product for profiles based on their last purchase. As a profile continues to place orders, this property will automatically update accordingly. The Next best product automatically excludes unavailable items, as well as the first 48 hours of repeat purchase data for a profile. The first 48 hours after a purchase generally has the highest volume of returns and exchanges. Excluding data captured during this timeframe prevents the Next best product property from being skewed.
  
  You can take advantage of this profile property in email sends through the Next best product block. This product block will dynamically show each recipient the next best product they are most likely to purchase based on their last purchase.

Customizable CLV report

The customer lifetime value (CLV) report predicts your customers’ expected purchases and behaviors over time. This report details your customers' current buying habits across each of your marketing channels and functions (campaigns, flows, forms, and segments), and then models potential future purchases based on this data. 

These insights provide opportunities for you to cross-sell and up-sell upcoming purchases, as well as how to best personalize the customer buying experience, including around key times of year and events that matter to certain customers. Examples of some of this report’s features are shown below.

Data management features

Data warehouse sync

The data warehouse syncing feature allows you to sync profile and event data to third-party data warehouses at a regular cadence, allowing you to store and analyze key information about your customers outside of Klaviyo. 

Klaviyo supports connections with the following data warehouses:

• Amazon Redshift
• Amazon S3
• Google BigQuery
• Microsoft Azure 
• Snowflake

Webhooks

Webhooks in Klaviyo enable you to build webhook-based applications in external systems based on events that are captured in Klaviyo. They can pass information or “call” other applications, tools, and servers via HTTP POST requests to notify your external systems that an event has occurred. 

Webhooks available with Advanced KDP support message-related events like Unsubscribed, Received email, or Clicked email. You can also set up webhooks without the limitations of being in a flow.

Data transformation

The data transformation tool in Klaviyo enables you to transform profile properties in Klaviyo without the need for development. 

You can Format, Standardize, or Merge your profile property values with this tool, allowing you to make your data more useful and for more accurate segmentation and personalization.

With the Format transformation method, you can update profile property values’ formatting.

With the Standardization method you can set rules to automatically replace specific profile property values. 

With the Merge transformation method, you can merge multiple custom profile properties into 1 property.

Code

Code enables you to execute custom functions in response to events captured in Klaviyo. You can write your own Javascript or Python code in the editor, and they are then executed directly in the platform.

With Code, you can send data to your external systems without having to set up a public HTTP endpoint to receive webhooks, and build custom functionality that is triggered in response to an event’s occurrence. You can also access many popular prebuilt modules to facilitate creating custom solutions.

Custom monitors 

With custom monitors, you can configure alerts to quickly identify and resolve issues around key metrics and objects in Klaviyo (i.e., segments and flows). 

There are 3 types of custom monitors you can set up in Klaviyo: 

• Single flow monitor
  A flow to monitor key performance metrics for and receive alerts about. 
• Single metric monitor
  An event to monitor and receive alerts about. 
• Single segment monitor
  A segment to monitor and receive alerts about.

APIs

Group membership API

Klaviyo’s group membership API enables you to personalize dynamic web experiences and recommendations in real time based on segment and list membership. 

The group membership API can be leveraged with a website personalization tool to create and test different experiences on your store. 

Other benefits 

Custom metrics 

While custom metrics are available on all Klaviyo accounts, purchasing Advanced KDP increases the number of custom metrics permitted on your account from 1 to 50. 

The custom metrics feature in Klaviyo allows you to configure your own events for more accurate reporting and events that better represent your business operations.

By default, Klaviyo provides metrics that track your business’s performance and measure success (e.g., a Placed Order event). However, there may be instances where you need to create custom metrics to more accurately capture how your business runs. For example, your Placed Order events include recurring subscriptions by default, and you’d like to review only orders placed through your ecommerce website.

Some example of common use cases for custom metrics include:

• Separating retail and ecommerce events (Shopify or other custom integrations)
  With Shopify and some custom integrations, physical retail (POS) and e-commerce orders will come through as a single event (e.g., Shopify Placed Order event).
  
  However, if you would like to separate these out to see the efficacy of each individual event type, you can set up a custom metric like the example below. Here, the point of sale (POS) is not being included in the Placed Order event and combined with other ecommerce data.
  
  
  
• Removing recurring subscription events with Shopify, WooCommerce, or BigCommerce
  As noted above, standard Shopify integrations, WooCommerce, and BigCommerce will include subscriptions in Placed Order events automatically. This means that they are calculating both ecommerce and subscription orders together. In the example below, by using does not equal, you can isolate and review Placed Order metrics that do not include subscription orders.
  
  

  Learn more about how to use custom conversion metrics and see more examples of common use cases.

Outcome 

Advanced KDP enables you to have one source of truth for your marketing and helps you optimize each marketing channel and customer interaction at scale.

With Advanced KDP, you can achieve: 

• Increased customer lifetime value
  With higher retention rates and decreased acquisition costs, you can better understand your customer base to target and personalize your audience more effectively.
• Overall cost savings
  Save money with fewer resources, fewer tools, and a decreased need for custom development with 1 platform for your Advanced KDP and marketing communications.
• Faster and independent execution
  Faster access to data and insights gives more ownership to marketers who need to execute without an IT team.
• Data accuracy
  Maintain more consistent and accurate data with seamless interaction between all tools in your tech stack.

Additional resources

Understand how Klaviyo billing works

Learn about Klaviyo's Advanced KDP