About the Vendor
Klaviyo is a B2C CRM platform offering email marketing, SMS marketing, sign-up forms, marketing automation, and integrations (e.g., Facebook) with AI-powered features like Smart Send Time and forms display optimization. It serves as a unified source of truth for customer data, engagement, and performance analytics.
About the Brand
Tatcha is a luxury, Unilever-owned beauty and skincare brand founded in 2009 by Vicky Tsai, inspired by Japanese skincare traditions. It creates formulas with potent Japanese ingredients including green tea, algae, and fermented rice. Tatcha sells through major retail partners like Sephora, Ulta, and Amazon, as well as directly through its own ecommerce store.
Challenge
Tatcha runs an annual New Year promotion called Fukubukuro ("lucky bag"), where customers unlock free mystery product bags by exceeding spending thresholds ($100 or $200). For Fukubukuro 2025, Tatcha had ambitious goals to grow total revenue year over year and leverage Klaviyo SMS and automations to power that growth at a bigger scale than ever before.
Solution
Tatcha used Klaviyo's B2C CRM to execute an omnichannel approach for Fukubukuro 2025. Klaviyo powered email and SMS list growth, Smart Send Time for optimal campaign delivery, Facebook integration for lookalike audiences and purchaser exclusions from paid media, AI-powered forms display optimization for pop-up timing and placement, and sign-up forms. Klaviyo served as the single source of truth for all customer data and engagement metrics.
Execution
Tatcha executed three key tactics: (1) Expanding campaign recipients based on purchase history — sending to engaged segments plus less-engaged subscribers who had previously bought the featured product category. (2) Updating flows to boost automated revenue — launching a new site abandonment flow and refreshing welcome and abandonment flow creative to highlight the Fukubukuro promotion. (3) Growing and capitalizing on their SMS subscriber list — using Klaviyo AI-powered forms display optimization to maximize SMS list growth, then sending a record-setting SMS campaign that drove 23% more revenue than their previous top performer.
Results
Fukubukuro 2025 exceeded expectations across all key metrics. Ecommerce revenue grew 20% YoY, flow revenue jumped 70% YoY, and Klaviyo drove 47% of total ecommerce revenue during the promotion period. The record-setting SMS campaign drove 23% more revenue than Tatcha's previous top-performing SMS campaign. The team plans to continue leveraging new Klaviyo features like channel affinity tracking for ongoing DTC growth.