🍯 Spoiler: Klaviyo-attributed revenue isn’t the holy grail.

Hello DTC Savage,

If your retention strategy looks like it was written and designed by an intern, don’t be surprised when your customers jump ship to your competitors.

Retention isn’t about slapping together a few generic flows and calling it a day. And no, Klaviyo-attributed revenue isn’t the holy grail. If you want to move the needle, you need to focus on what actually matters: metrics that really drive the business forward.

Here’s how to do it.

Layer 2 Metrics: The Retention Goldmine

Slapping a “Thank You” email into Klaviyo and hoping for the best isn’t going to cut it in 2025. The brands that thrive focus on these critical Layer 2 Metrics:

1. Repurchase Rates

The first sale isn’t the finish line - it’s the starting block. Tracking repurchase rates is non-negotiable:

• Are customers coming back in Month 1? Month 2? If they’re not, you’ve got a leaky bucket.

• The average ecommerce repurchase rate is 27%, but top-performing brands push this to 50% or more within the first 90 days.

If you’re not measuring and optimizing for these windows, you’re flying blind.

2. Customer Lifetime Value (CLV)

One-and-done sales don’t build sustainable businesses. Repeat customers are where the magic happens:

• Increasing CLV by just 5% can boost profitability by 25–95%.

• It’s not just about the big spenders - even improving retention on mid-tier customers can add millions to your bottom line.

If you’re not using CLV to measure customer value over time, you’re ghosting your own growth potential.

3. Subscriptions

If you’re running a subscription model, the early days are everything:

• Day 0–7 churn: If this is high, your onboarding experience is failing.

• Day 28(ish) rebill period: Optimize this or watch your margins evaporate.

• Month 3 unsub spike: Lot;s of subscription brands see spikes during this timeframe.

Subscription businesses grow by 15-30% faster when they focus on reducing early churn and increasing retention within the first three billing cycles.

4. Cross-Sells and Upsells

Stop obsessing over new customer acquisition so much and start working your existing base:

• Customers who make a second purchase are more than twice as likely to buy again.

• High-performing brands drive 20-30% of revenue from cross-sells and upsells.

Your job isn’t done after the first sale. The question is: What’s next for your customer?

Stop Obsessing Over Klaviyo-Attributed Revenue

Most brands treat Klaviyo-attributed revenue like it’s the holy grail. Spoiler: it’s not. Those vanity numbers aren’t going to save you.

The real opportunity? Focusing on metrics that tell you why customers stay, why they leave, and what it takes to keep them coming back. The brands that win big in 2025 will prioritize these retention metrics over quick wins:

• Build strategies around increasing repeat purchases.

• Create flows and campaigns that drive measurable improvements in CLV.

• Stay obsessed with reducing churn and improving the customer journey.

Retention isn’t complicated, but it requires consistent execution and deep understanding of your customers. It’s about hammering the fundamentals every single day. The brands that commit to this mindset will crush their competitors.

P.S. Ready to ditch junior-level tactics and build a retention strategy that works? Let’s talk.

Lastly, I would love to chat with you on LinkedIn if we aren’t already connected.

Talk soon,
Feras