Understanding the customer lifetime value (CLV) dashboard

You will learn

Learn how to use the custom customer lifetime value (CLV) dashboard to understand and predict each of your customers’ purchasing behaviors over time. Custom CLV provides insights into your customers’ buying habits, including potential future purchases and opportunities for cross-selling and up-selling for impending purchases. In addition, you can use custom CLV insights to better personalize the customer buying journey, including around key times of year and events that matter to certain customer segments.

Strategically using the CLV dashboard

The CLV dashboard can be used in various ways to understand, predict, and target customers based on their purchasing behaviors or potentially mitigate churn of other customers.

Below are some examples of common use cases:

Using predicted CLV data

• Rewards programs
  Target those customers expected to spend more on purchases in the near future with coupons or to join a rewards program.
• Up-sell/cross-sell higher value items
  Target those customers expected to purchase in the near future and offer up similar or higher value products.
• Offer lower value items
  Especially for those customers that may churn, use the predicted CLV data to offer lower value items to encourage purchases.

Using historic and total CLV data

Use historic CLV for rewards based on what a customer has already spent. Use total CLV to target customers based on their past and predicted future spend.

• Reward customers who spend a certain amount
  Encourage or reward customers who reach a certain spend threshold.
• Redefine segments
  Once a customer reaches a certain spend threshold, make sure they are in the most accurate customer segment (e.g., VIP). This way, they are aligned with the marketing strategies that match their behaviors.

Using predicted number of orders data

• Encourage customers to exceed their predicted number of orders
  Encourage customers to hit or exceed this expected number with special offers, coupons, free giveaways, or exclusive sales.
• Offer bundling
  Offer bundle discounts if customers hit or exceed this expected order number.
• Offer subscription or replenishment discount options
  Provide easy options to save money by subscribing or auto-replenishing future orders.

Using expected date of next order data

• Trigger automations to line up before their next order
  Create and trigger a flow a few days before their expected next order date. You can also include a feed of suggested or new products, or offer discounts to encourage purchase.
• Offer exclusive, time-sensitive discounts
  For customers expected to purchase within a certain number of days, use a time-sensitive discount that only they can use that expires soon.

Using custom metrics with CLV data
Custom metrics allow you to create metrics that align with how your business and data functions. Using custom metrics in the CLV dashboard ensures that you are capturing all data that accurately reflects your business model and how your customers interact with your brand.

To choose the metrics used for CLV, open Settings on the dashboard, then click Update metric mapping. Changes to metric mapping also affect other reports that use those mappings.

Below are some examples of common use cases:

• Combine all sources of placed orders or revenue
  Combine revenue from all of your non-Klaviyo integrations, systems (e.g., point of sale), and data tools to ensure that you have the most accurate portrait of your customers’ current and future spend.
• Remove subscription events from counts towards total CLV data
  Standard Shopify integrations, WooCommerce, and BigCommerce will include subscriptions in Placed Order events automatically. You can set up a custom metric to remove these so that you only capture one-time orders. This may be helpful if you want to evaluate customer behaviors based only on product sales, not including recurring subscriptions.
• Exclude trial orders
  CLV calculations already exclude $0 orders, such as free giveaways and free trials. If a trial has a nonzero value, you can use a custom metric to exclude those orders from CLV.
• Only focus on online buying habits
  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). You may want to create a custom metric that removes these POS events, so that you can focus on online sales only. This may be helpful if you want to target customers with special online promotions, shipping information, online-only products, etc.

Navigating to the dashboard

The CLV dashboard is under Personalization for both Personalization and Advanced KDP customers.

Navigate to Personalization > Predictive models.

Here you will see a default dashboard with the current data model used, followed by segments, flows, upcoming campaigns, and forms using particular CLV attributes.

Attributes and definitions

The segments, campaigns, flows, and forms cards have a CLV attributes column showing which attributes they use. Klaviyo calculates these values from purchase data. In a segment definition, you choose the attribute and value used to select profiles.

For more information on setting up CLV attributes in your segments, head to our guide on predictive analytics.

CLV attributes will show as one of the following options:

• Predicted customer lifetime value
  A prediction of how much money a particular customer will spend in your prediction time range.
• Historic customer lifetime value
  The total value of all previous orders an individual has made, taking into account any refunds and returns.
• Total customer lifetime value
  The sum of historic CLV and predicted CLV.
• Predicted number of orders
  A prediction of how many orders a particular customer will complete in your prediction time range.
• Historic number of orders
  The total number of all previous orders an individual has made, taking into account any refunds and returns.
• Average order value
  The expected average value of a particular customer’s order.
• Average days between orders
  The average number of days between each of a customer's orders.
• Churn risk prediction
  The predicted probability that a customer will not purchase again.
• Expected date of next order
  The predicted date of a customer’s next order.

Reviewing cards in your dashboard

Current model card

At the top of your dashboard, it notes historic date range, predicted date range, and last updated information.

These terms refer to the following:

• Historic date range
  Refers to the number of days from which you can pull and analyze CLV. For example, if your historic date range is 1,500 days, you can analyze CLV from the last 1,500 days.
• Predicted date range
  The upcoming time frame in which Klaviyo can predict the purchase behaviors of your customers or CLV. For example, if your predicted date range is 90 days, Klaviyo shows the potential purchases or CLV for the next 90 days.
• Last updated
  Refers to the last time that the dashboard was updated or changed by a user in your account. At the bottom of this card is a section of 5 example profiles and data. These profiles are from your own segments and lists, and are meant to model how Klaviyo determines each profile’s CLV based on their buying habits.

Klaviyo will always use the following purchasing data to pull in your examples:

• Profile example #1: Has made 3+ orders and placed their last order within the last 90 days.
• Profile example #2: Has made 2 orders and placed their last order within the last 90 days.
• Profile example #3: Has placed 1 order and placed their last order in the last 60 days.
• Profile example #4: Has placed 3+ orders, but their last order was placed over 180 days ago.
• Profile example #5: Has placed 1 order, but their last order was placed over 60 days ago.

Segments using CLV card

The segments using CLV card displays all of your segments by specific CLV attribute(s) using the predictive analytics definitions. You can use this information to help you focus your efforts on the segments and attributes that align best with your marketing strategies.

The table will contain:

• The segment name
• The total number of profiles in that segment.
• The specific CLV attribute(s) used in the segment (e.g., Historic number of orders).
• When the segment was last updated or adjusted.

You can also use the arrows beside any of the applicable columns to sort by name, total profiles, or when the segment was last updated.

More importantly, by clicking on any of the segments from the Segment name column, you will see all the profiles that fit the specific CLV attribute. You can then decide how to use these profiles and this attribute in your marketing strategies.

Editing and reviewing your segment definition

Click Edit definition on the segment’s page, adjust the conditions, then click Update segment to save your changes.

Creating new segments

Clicking on the Create button on the top right of the card will bring you to the segment builder. Here, you can create new segments that use the CLV attributes and predictive analytics definitions. Select Predictive analytics about someone, choose the attribute and comparison value, and click Create segment after naming and defining your segment.

Upcoming campaigns using CLV card

The upcoming campaigns using CLV card displays your scheduled or sending campaigns (email, SMS, or push) that include or exclude segments using predictive analytics definitions. The CLV attributes column shows the attributes used by those segments. These insights help you monitor which upcoming sends use CLV-based audiences.

If you do not have any scheduled or sending campaigns that include or exclude a segment using a CLV attribute, this table will be empty. A draft campaign does not appear here.

The table will contain:

• The campaign name with the included or excluded segments using CLV definitions noted below
• Campaign status (Scheduled or Sending)
• The types of messages used (email, SMS, or push)
• The specific CLV attributes in the campaign (e.g., Historic number of orders, Predicted Customer Lifetime Value, etc.)
• When the campaign is scheduled to start sending

You can also use the arrows beside any of the applicable columns to sort by campaign name, status, type, or scheduled date.

Click a campaign in the Campaign name column. A scheduled campaign opens its scheduled campaign page, which includes Pause and edit and Reschedule controls. A sending campaign opens its reporting overview.

Creating new campaigns

Clicking on the Create button on the top right of the card brings you to the Campaigns page. Click Create campaign to start a new campaign, then choose a segment that uses predictive analytics definitions for its audience.

Flows using CLV card

The flows using CLV card displays flows that use CLV attributes in a segment trigger, profile filter, or conditional split. It also includes flows triggered by Expected Date Of Next Order. You can review these flows to see where predictive analytics supports your marketing strategies.

The table contains:

• The flow name, with a CLV segment trigger noted below when applicable
• Flow status (Live, Manual, or Draft)
• The types of messages contained in the flow (email, SMS, or push)
• The specific CLV attributes in the flow (e.g., Historic number of orders, Predicted Customer Lifetime Value, etc.)
• When the flow was last updated or adjusted

You can also use the arrows beside the applicable columns to sort by name, status, or when the flow was last updated.

By clicking on any of the flows from the Flow name column, it will take you to that specific flow’s builder view. You can then decide how to use or adjust this flow as part of your marketing strategies.

Creating new flows

Clicking on the Create button on the top right of the card brings you to the flows library. Here, you can create new flows that use the CLV attributes and predictive analytics definitions.

Forms using CLV card

The forms using CLV card displays live forms that target or exclude visitors in segments using CLV attributes. The CLV attributes column shows the predictive analytics conditions in those segments.

The table contains:

• The form name with its targeted or excluded CLV segments noted below
• Form status (Live)
• The types of form (Popup, Flyout, Embed, or Full Page)
• The specific CLV attributes in the targeted or excluded segments (e.g., Historic number of orders, Predicted Customer Lifetime Value, etc.)

You can also use the arrows in the top of the table to sort by name or form type.

By clicking on any of the forms from the Form name column, you can see that form’s analytics and editing view. You can then choose to adjust this form as part of your marketing strategies.

Creating new forms

Clicking on the Create button on the top right of the card brings you to the forms library. To have a new form appear in this card, target or exclude a segment that uses CLV attributes, then publish the form.

Additional resources