A new strategy that utilizes the microphase separation of block copolymer and phase transition of small molecules for preparing polymer-based shape memory elastomer has been proposed. According to this strategy, a novel kind of shape memory elastomer comprising styrene-b(ethylene-co-butylene)-b-styrene (SEBS) and paraffin has been prepared. Because paraffins are midblock-selective molecules for SEBS, they will preferentially enter and swell EB blocks supporting paraffins as an excellent switch phase for shape memory effect. Microstructures of SEBS/paraffin composites have been characterized by transmission electron microscopy, polarized light microscopy, and differential scanning calorimetry. The composites demonstrate various phase morphologies with regard to different paraffin loading. It has been found that under low paraffin loading, all the paraffins precisely embed in and swell EB-rich domains. While under higher loading, part of the paraffins become free and a larger-scaled phase separation has been observed. However, within wide paraffin loadings, all composites show good shape fixing, shape recovery performances, and improved tensile properties. Compared to the reported methods for shape memory elastomers preparation, this method not only simplifies the fabrication procedure from raw materials to processing but also offers a controllable approach for the optimization of shape memory properties as well as balancing the rigidity and softness of the material.