How Snackfully increased their repeat revenue by 17% using Relo

Repeat revenue
Return on Investment
Revenue generating Klaviyo flow
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Snackfully was founded in 2020 by Tom Mckechnie as the DTC operation of a large food & beverage distributor that had grinded to a halt during the pandemic. Whilst stores were closed, their customers wanted an easy way to get their hands on Snackfully’s products whilst working from home. Snackfully quickly created a Shopify store and have scaled rapidly since.

However,  like many DTC brands, Snackfully has entered 2022 fighting against rising customer-acquisition-cost (CAC), iOS updates and supply chain issues that have restricted their growth. This has placed more pressure on Snackfully to increase their repeat revenue as a lever of growth and profitability. 

The problem

Snackfully struggled to get one time customers to buy again through their standard email and SMS flows. They knew there was lots of opportunity to increase this, and even a small increase in conversion could be really impactful on their focus to increase repeat revenue in 2022.

"By increasing repeat revenue using Relo, our business is profitable. We're not a producer, so our margins are extra tight and we don’t make any profit on new customers after delivery and acquisition costs. Therefore, our business model is all about optimizing our email & SMS campaigns to drive repeat customers and profitability."

Snackfully's approach

Snackfully’s approach to their repurchase flow was not dissimilar to many other DTC brands: 

  • A triggered repurchase prompt sent X days after last purchase
  • CTA directed to standard product page

Why this didn't work

However, this standard flow missed a few key aspects for Snackfully to really deliver the results they’re after.

Repurchasing timeframes:

Consumer’s repurchasing timeframes differ dramatically based on a number of factors such as:

  • The specific product SKU ordered
  • The amount of product orders
  • Number of times that customer has ordered
  • Any seasonality changes

Due to this, an arbitrary time frame trigger (such as 30-days post order) doesn't align with when a customer is ready to repurchase.

However, Snackfully were held back because they didn’t have the data to target customers at the exact time they were ready to order. Unfortunately, Klaviyo doesn’t have that functionality out of the box.

This caused the wrong customers to be targeted at the wrong times, pulling down conversion and causing friction in the customer journey.

Snackfully replenishment flow

Unoptimized product pages

Sending customers back to a product page that is optimized for first-time customers (with reviews, usage tips, and other products) immediately reduces conversion because of the influx of information that a returning customer doesn’t need nor want. This creates unnecessary friction for a returning customer to navigate to the site, to the product page, through the cart and then finally to checkout, causing unnecessary churn. Therefore, all of Snackfully’s hard work to get customers back on site was being wasted when customers then didn’t convert once they hit a clunky product page.

However, building out and testing custom landing pages for each product is extremely costly and time intensive, something Snackfully didn’t have the resources or insights to execute on. 

How they solved this problem using Relo

Snackfully used Relo to solve two main pain points;

  1. To be able to target customers at the perfect time when they’re ready to reorder
  2. Make the journey to purchase frictionless and convert higher

The Product

Firstly, Snackfully synced Relo to their Shopify to automatically generate  predictions for when their customers were going to reorder. These predictions were built on a per customer basis, taking into account the product each customer  ordered previously, the amount of product order, the number of orders they’ve had previously and any seasonality changes. Example data:

Relo's Repeat Buy tool predicts exactly when customers will reorder

"What I like most about the Relo and Klaviyo integration is it takes a lot of the guesswork out about when to email our customers to prompt them for a repeat purchase. Previously we had to set a standard replenishment email for say 30 or 60 days….This may have been right for some customers, however, for the majority this wasn’t the case. Relo prediction personalizes our replenishment emails to each customer!"

Relo then automatically synced those predictions straight to Snackfully’s Klaviyo dashboard, immediately making them actionable and driving revenue straight away:

Relo syncs predictions with Klaviyo so brands can push them into their existing flows.

Lastly, Snackfully added Relo’s unique Magic Cart Feature to reduce all friction for a customer to purchase. Magic Cart is a hyper-optimized mobile-first landing page that is personalized to each individual customer. Magic cart is...

  1. Mobile first
  2. Pre-loaded with the customers last order
  3. Personalized with add-on product recommendations
  4. Connected to a pre-loaded Shopify checkout.
  5. Customized in a few clicks to your brand 

With these changes, Snackfully was able to dramatically increase their repeat revenue through this flow. Not only did they achieve a 12x ROI, which translates to a 17% better conversion of their previous repurchase flow in Klaviyo, but their reorder flow became their most revenue generating flow they have running - showing the impact that using Relo and creating a frictionless experience can have.

"As a small team, trying to focus on anything for longer than a millisecond is hard. We knew we needed to grow our repeat customer base as this is where profit lies. However, the new business coming in was eating up the majority of our time. Like all businesses, our supply chain has been dramatically affected in the last 6 months with bestsellers unavailable and limited quantities of stock. We have also had to content with price rises, increasing CPA costs and delivery and stock issues. All of this means that focusing on our most profitable strategy - the repeat customer - is our number one priority!"

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