Happy Wax reduces TCO 10%+ consolidating email, SMS, and reviews in Klaviyo

Customer: Happy WaxIndustry: Home and GardenPlatform: Shopify

10%

savings on total cost of ownership switching 2 new channels to Klaviyo

18%

YoY growth in revenue from Klaviyo SMS in August 2024

27%

YoY growth in reviews submitted in first 100 days using Klaviyo Reviews

Happy Wax makes flame-free home fragrance systems: wax warmers and scented, bear-shaped wax melts. Drop the wax melts into a warmer, and perfume your home with worry-free, nontoxic home fragrance. With over 40 scents that range from sweet (vanilla sugar) to savory (bourbon and wood), they have a scent for everyone.

Happy Wax gets its name from the way a pleasant scent can elevate your mood—and in keeping with that theme, the brand offers customers a 100% happiness guarantee. If you have an issue with your order, they’ll make it right. And for everything from customer service alerts to email and SMS marketing, Happy Wax relies on Klaviyo.

Learn how Happy Wax crafts an ultra-personalized customer experience with a consolidated stack + Klaviyo AI

Challenge

Happy Wax managed their email, SMS, and reviews on 3 separate platforms: Klaviyo, Postscript, and Stamped, respectively. But things were not going smoothly.

For one, their tech stack made email and SMS attribution confusing: it was hard to tell which channel was the last touch before a conversion, and revenue was getting double counted.

“Postscript made it seem like our emails weren’t performing as well as texts,” says Rachel Fagan, Happy Wax’s VP of marketing. That didn’t seem right.

We were literally throwing away money.
Rachel Fagan
VP of marketing, Happy Wax

Postscript pricing was frustrating, too. The contract required Happy Wax to spend a fixed amount on SMS monthly—so during less busy months when sending volume dipped, “we were literally throwing away money,” Fagan says.

Most importantly, Happy Wax’s fragmented tech stack created friction around personalization—a top priority throughout the funnel with a subjective product like home scents, Fagan says.

Happy Wax couldn’t target customers on their preferred channel, because engagement data for email and SMS was split between two platforms. And in Stamped, the reviews-related email automations were difficult to customize.

Solution

Fagan knew that consolidating email, SMS, and reviews in Klaviyo would make personalization easier.

Happy Wax already used Klaviyo for email, and pulled preference data from sources like their scent quiz into customer profiles via Klaviyo’s 300+ integrations.

Plus, Happy Wax would save by consolidating in Klaviyo. SMS pricing was more flexible; they could adjust their plan month to month, unlike with Postscript. Overall, consolidating reduced the cost of all 3 channels by 10%+.

Having everything in one place is a game changer. Everything is just so much more tailored to the customer, which then increases loyalty, increases purchase frequency, and will also affect our lifetime value.
Rachel Fagan
VP of marketing, Happy Wax

The migrations were both simple and smooth, thanks to Klaviyo’s onboarding, support, and product teams. “We had our hands held the entire time,” Fagan says.

Happy Wax’s new consolidated set-up is easier to use, with clearer attribution—and it’s driving quantitative wins. In their first 100 days with Klaviyo Reviews, the number of reviews Happy Wax collected jumped 27% YoY.

The team quickly built a segment of customers who prefer SMS—those who have only clicked texts in the past 30 days—and excluded them from email marketing. Now, they’re exploring even more ways to leverage their centralized customer data.

“Having everything in one place is a game changer,” says Fagan. “Everything is just so much more tailored to the customer, which then increases loyalty, increases purchase frequency, and will also affect our lifetime value.”

Strategy

Consolidating email, reviews, and SMS in Klaviyo—with Klaviyo AI—has unlocked new marketing functionality for Happy Wax. So far, they’re using that to:

  • Personalize the review experience: Happy Wax has used Klaviyo to create a sophisticated new review follow-up flow. If a customer leaves a review with less than 3 stars, for instance, the flow pings the internal customer service team to reach out and offer a new scent, free of charge. “It’s a bit above and beyond, and we weren’t able to do it with Stamped,” Fagan says. “Nobody else has the customizations, triggers, and automations that Klaviyo Reviews has.”
  • Augment core flows with reviews and AI: In their abandoned cart and win-back flows, Happy Wax is A/B testing dynamic review quote blocks—which use Klaviyo AI to select and highlight the review quote most relevant to each customer (for instance: a testimonial about the SKU they just abandoned). So far, both flow versions with review blocks are driving more clicks and revenue per recipient. “It’s definitely working,” Fagan says. “We’re figuring out how we can integrate review blocks into all our Klaviyo flows.”
  • Build complex flows and segments with AI: Fagan has been able to unlock new levels of complexity with ease using Flows AI and Segments AI. For instance: she’s been able to use Flows AI to build an abandonment flow for their starter kit builder, a multi-page experience that didn’t fit the typical abandoned-cart template. “When I’m making any segment now, I start with AI,” Fagan says. “Nine times out of ten, it’s right.”

Consolidating all their channels in Klaviyo has changed the tone of daily marketing operations for Happy Wax.

“The things that we can do now are actually exciting,” Fagan says. “We have this wealth of information at our fingertips in Klaviyo, and we’re really able to use it. The fact that the platform has AI and reviews and all these other amazing features releasing all the time continuously helps us. Klaviyo is our end-all-be-all personalization engine.”

We have this wealth of information at our fingertips in Klaviyo, and we’re really able to use it. The fact that the platform has AI and reviews and all these other amazing features releasing all the time continuously helps us. Klaviyo is our end-all-be-all personalization engine.
Rachel Fagan
VP of marketing, Happy Wax
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