In the wake of the Cambridge Analytica scandal, Apple’s introduction of iOS14 has reshaped the ecommerce landscape. While these updates protect user privacy, they also disrupt digital marketing strategies that are crucial for ecommerce success.
These restrictions particularly affect advertisers on Meta and Google, hindering their ability to capture vital data on customer journey and behvior, creating gaps in marketing insights.
While the impact on advertising performance is clear, a silent casualty has emerged: email marketing. Brands now struggle to track up to 70% of trackable events and 30% of email addresses.
As the industry pivots to first-party solutions like Pixels and Conversion API enchancers for marketing platforms, the need for innovative email tracking and enrichment solutions becomes essential.
The Data Disconnect: Challenges in Modern Marketing
Without robust tracking solutions, brands find it hard to maintain the insights and personalization they once enjoyed. Ad platforms face two main challenges: identifying events and tracking users. This lead to missed opportunities, where sales cannot be attributed to specific campaigns.
Why Platforms are Losing Sight of Crucial Data
For brands, the challenge goes far beyond losing sight of marketing activities – it disconnects their entire data ecosystem. Data silos create barriers between platforms, leading to fragmented insights and inconsistent metrics.
Surprisingly, many brands are unaware of these data gaps, making it nearly impossible to enhance data collection and analysis.
Brands are also unable to optimize their product offerings based on creatives, and immediate actions to control campaigns affecting Customer Aquisition Cost (CAC) and Return on Ad Spend (ROAS). As a result, brands find themselves in a fragile position – they may be capturing data but are unable to leverage it fully, putting them at risk of missing out on significant opportunities for growth and improvement.
How First-Party Data Illuminates the Customer Journey
Brands know they’re missing crucial insights, but what exactly? Well, many are turning to first-party data solutions, which remain unaffected by iOS changes.
These solutions are integrated directly into a brand’s website, collecting and logging user information and activity as they browse. These tools send event data from your website to your server, then they’re processed and sent to analytics platforms. This avoids browser restrictions and ad blockers, improving data accuracy and longevity. By adding UTM tracking and using a Pixel to identify around 50% of events, brands can match IDs or emails to events by 5x, ensuring complete data capture.
This approach ensures that data remains within a brand’s control, is more secure, and is less susceptible to the limitations imposed by third-party tracking.
As first-party data illuminates the customer journey, you see exactly how users interact with your brand across different channels. This allows you to optimize marketing strategies, enhance customer engagement, and drive higher conversion rates.
Unveiling the Hidden Impact on Email Marketing
While the spotlight of privacy changes has been on paid advertising, the ripple effects of email campaigns are equally significant, if not more deceptive. Email marketing, once a reliable staple as a digital strategy, has been silently suffering from the same privacy shifts.
In the short run, brands might notice subtle shifts in email performance: lower open rates, a dip in click-through rates, or a decrease in conversions. While these can be considered normal fluctuations depending on a global event or product options, these can be early warning signs of a larger problem.
But here’s the kicker: What if you’re not even seeing the larger problem at all?
The deceptiveness doesn’t lie in what you’re seeing, but in what you’re missing. Due to privacy changes and tracking limitations, a significant portion of user events may not longer be tied to the correct email addresses.
As this disrupts automated email flows that rely on specific user actions, certain campaigns may not trigger as intended. The issue is only expected to worsen as privacy regulations tighten, further impacting email marketing performance.
Enrichment as the New Approach to Bridging the Data Gap
The realization of these hidden challenges gave birth to the concept of data enrichment, a revolutionary approach to recapture lost insights and revitalize marketing strategies. Rooted in existing technologies like Conversion API (CAPI), data enrichment leverages emerging tech to ensure comprehensive data capture and utilization across all types of data.
This isn’t just about lower metrics – it’s about missed opportunities and unseen potential. Your marketing might be underperforming not because of ineffective strategies, but because incomplete data prevents you from reaching the right audience at the right time with the right message.
This is where the power of data enrichment emerges.
Evolution into Pixel & CAPI: Polar’s Journey into First-Party Data
At Polar Analytics, we recognized this critical challenge.
First, we launched the Polar Pixel: our innovative first-party, server-side tracking solution. This game-changer addresses the critical issue of missing data.
Then, we released the Polar Conversion API Enhancer, which feeds the more accurate Polar Pixel data back to your ad platforms.
The result? A powerful dual approach that not only fills data gaps but also optimizes their targeting algorithms to recognize and target similar profiles to those who have converted, and also increases ad spend efficiency.
The Birth of Klaviyo Flows Enricher
To help brands recapture sales, we developed the Klaviyo Flows Enricher. By leveraging data captured by the Polar Pixel, this feature enriches your Klaviyo flows (emails), targeting only net new users who haven’t received emails yet – those that were previously overlooked.
The need is two-fold: Klaviyo is missing events and it’s also not connecting events to emails. This gap results in missed opportunities to engage customers who have already shown interest in your products.
But here’s the game-changer: The tool offers a panoramic view of your abandonment flows, revealing the true power of your email marketing. Integrated with Polar’s analytics, brands see in real-time the revenue this tool generates.
Operating server-side within the Shopify ecosystem, it bypasses cookie restrictions while providing rich, accurate data. By capturing already consented emails with a high-likelihood to convert, we ensure these users receive the relevant communications they agreed to. This approach powers your email marketing with comprehensive customer insights, not just mere fragments.
The Power of Enriched Email Marketing
In essence, your meticulously designed abandonment flows may be missing high-value shoppers at critical moments – not due to flawed strategy, but because Klaviyo is unable to capture certain events.
These missing interactions should be triggering your emails, but they’re slipping through the cracks. We’re talking about customers who’ve already opted in for marketing – missing these touchpoints significantly impacts your retention funnel and minimizes the lifetime value (LTV) of your customers.
This feature captures these previously missing events, allowing you to reach out to overlooked customers who may never return to your site otherwise. This isn’t about expanding reach beyond consent; it’s about fully leveraging the permissions you already have.
This isn’t just an incremental improvement – it’s about capturing the full value of your marketing efforts, what’s rightfully yours.
The Klaviyo Flows Enricher in Action
While the idea is compelling, its true power lies in its real-world application. As we transitioned from development to implementation, we were excited to see how this innovative solution would perform in the hands of actual ecommerce brands.
To validate our approach and fine-tune the feature, we started a beta testing phase. This step allowed us to gather real-world data, spot any potential issues, and most importantly, quantify how the Klaviyo Flow Enricher impacts email marketing performance and revenue.
As we monitored the performance of these beta testers, we paid close attention to key metrics such as:
- Boost in conversion rates
- Increase in revenue
- Additional sends
The results from our brands not only confirmed our approach but also exceeded our initial expectations, setting a new benchmark for what’s possible in email marketing optimization.
Early Beta Results: $100k in 30 days
We did the math, and our beta testers have seen remarkable results:
- Average revenue increase: $30,000
- Average ROAS improvement: 30%
In just 30 days, The Klaviyo Flows Enricher generated $100k in revenue for our participating brands, demonstrating the power and effectiveness of our tool.
From Beta to Market Leader
The $100k revenue success in 30 days isn’t a unique incident — since its launch, Polar's brands have seen up to a 70% increase in revenue.
The Klaviyo Flows Enricher was scaled using a bottom-up approach, starting with broad testing across different scenarios. Data guided the process, helping to refine assumptions and optimize performance based on evidence. Once confirmed, we strategically scaled the solution to deliver consistent benefits across all implementations. This careful expansion ensured consistent quality and effectiveness of our solution.
Initially, targeting mid-sized brands, we discovered the Enricher’s versatility benefits brands of all sizes, even the smallest of brands. One standout success is Modular Closets, achieving a 54% increase in browse abandonment email-attributed revenue within the first month.
The chart shows how Modular Closets' revenue increases as they start using the Klaviyo Flows Enricher. As website traffic grows, email flows rise, boosting revenue. This highlighs Polar’s powerful data enrichment capabilities for successful email marketing campaigns.
This data-driven, agile approach also allows us to be more agile in our development and customer support. As we work closely with our brands, we can quickly identify improvement areas, implement updates, and adapt to the ever-evolving ecommerce landscape.
The chart shows how Modular Closets' revenue increases as they start using the Klaviyo Flows Enricher. As website traffic grows, email flows rise, boosting revenue. Although Polar’s line may appear lower, it represents additional revenue from emails and events Klaviyo missed. At times, Polar's flow even surpasses Klaviyo's, highlighting Polar’s powerful data enrichment capabilities for successful email marketing campaigns.
Reclaim your rightful revenue
In a world where 70% of your potential revenue might be hidden, the Klaviyo Flows Enricher allows you to gain clear sight beyond your field of view, revealing opportunities previously obscured by data limitations. By combining the power of Pixel, CAPI, and Klaviyo, you’re not just adapting to the new era of privacy-first marketing – you’re thriving in it.
The Klaviyo Flows Enricher isn’t just a tool; it’s your secret weapon in conquering the new frontier of DTC marketing. This secret weapon offers a robust solution to enhance your engagement strategies, where cookie restrictions no longer limit your success.
Ready to unlock your hidden revenue? Try the Klaviyo Flows Enricher today with a 30-day money-back guarantee and watch your abandonment flows soar to new heights.
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