Why Klaviyo's "scary" price increase is actually making us smile

Hey, Michael here from AdSumo Digital.

We’re back with another edition of The DTC Letters.

You know that moment when your favorite coffee shop raises prices and everyone freaks out?

That's happening with Klaviyo right now.

On February 18th, they're changing how they bill everyone. The email marketing world is losing its mind, posting apocalyptic predictions about skyrocketing costs.

But here's what's funny:

While everyone else is panicking, our clients are just... shrugging.

Here's why:

Most brands treat their email list like a messy garage - they keep adding stuff without ever cleaning it out.

More subscribers = better, right?

Wrong.

Every 21 days (like clockwork), we go through our clients' lists and remove anyone who hasn't engaged.

No opens, no clicks, no purchases? They're out.

Think of it like a restaurant:

Would you rather have 100 tables filled with people who never order...
Or 50 tables of hungry customers who love your food?

That's exactly what Klaviyo's new pricing is about.

They're not just charging for list size anymore.

They're looking at both your subscriber count AND how many emails you're actually sending.

Translation: Those brands blasting their entire list 3x a day during BFCM? Yeah, they're about to have a bad time.

But here's what everyone's missing:

This isn't a money grab. It's a forced evolution.

Remember when Facebook organic reach died and everyone had to actually get good at content? Same thing is happening with email.

Want to get ahead of this?

Here are 3 moves you can make today:

Stop Sending to Everyone 👇

• Pull up your next campaign

• Create a segment of just 90-day engaged subscribers

• Send only to them

• Watch your open rates double

Check Your Real Numbers 👇

• Open Klaviyo

• Look at total subscriber count

• Look at 6-month engaged count

• That gap? It's about to cost you

Wake Up The Dead (One Last Time) 👇

• Send one killer re-engagement campaign

• Don't just throw out a discount

• Remind them why they subscribed

• Give them a reason to stay

(Want our exact re-engagement email template? Hit reply.)

There's more to it (way more), but this will stop the bleeding.

Let me show you what this looks like in action...

One of our clients used to have 100,000 subscribers. Sounds impressive, right? After our first list cleaning, they dropped to 45,000.

Scary? Sure. Until you look at the numbers:

• Revenue stayed exactly the same

• Deliverability went up 22%

• Cost per email dropped by 40%

Half the list. Same revenue. Better metrics.

That's why we're not sweating this update.

While everyone else is scrambling to figure out what to do, our clients are sitting on clean, optimized lists that are actually making them money.

The truth is, Klaviyo isn't changing the game. They're just changing who pays for playing it wrong.

If you run an Ecom brand and want to have a 15 minute strategy session with me, book a call here »

Talk soon,
Michael

P.S. Want to see exactly how we clean our lists? Not the basic "hasn't opened in 90 days" stuff, but our actual process? Hit reply with "CLEAN" - I'll send you our framework.

P.P.S. I'm dropping email strategies on YouTube that aren't just the same old "use emojis in subject lines" advice. Watch the latest one here