Customer Success Strategy Template
Transcript of Customer Success Strategy Template
CUSTOMER SUCCESS STRATEGYCUSTOMER SUCCESS STRATEGY
Rincon CompanyJohn Pittman, VP Customer SuccessJanuary 20, 2015
HIGH-LEVEL CUSTOMER SUCCESS STRATEGY
1. Maximize CLV 2. Segment & treat
customers by lifecycle
and persona
3. Build cross-
department customer
engagement plan
CUSTOMER SUCCESS LENS
Target Customer
Influence
Direct Impact
Acquisition
Free TrialPipeline
Onboarding
Engagement
Adoption
Customer Feedback
Renewal
Expansion
We will focus on the latter stages of the customer lifecycle.
And exert influence over the early stages.
CUSTOMER CHURN LEVERS
Onboarding
Engagement
Adoption
Customer Feedback
Renewal
Expansion
We are focused on improvements to our onboarding, ongoing
engagement and renewal process.
Q2 Focus
Onboarding has been our focus.
Shift focus to deeper in the customer lifecycle.
Onboarding
GOING BEYOND ONBOARDING
Customer ROI more than onboarding time and
technical deployment.
What happens after onboarding (adoption) really
matters.
Adoption
Historically sales has “owned” renewal.
Customer success will now run renewals.
New process initiates renewals 90 days out
Renewal
ADOPTION METRIC = HEALTH SCORE
HIG
H A
CTI
VIT
Y
GOOD HEALTH
Health vs. Activity
Customer Health scores measure effectiveness of our
adoption efforts at the portfolio and individual CSM level.
POOR HEALTH
LOW
AC
TIV
ITY
Decrease unhealthy
customer count from
34% to 25%.
STRATEGIC METRICS
Our CLV Calculation
75% x $500 / 1% = $37,500
$20,000 / $2,000,000 = 1%
We Measure “Eligible Churn”
Gross Margin %
Average
MRR per account
Monthly churn %
Revenue Lost During Period
Total Revenue Due For
Renewal During Period
Many CLV & Churn calculation methods exist. The ones below
best fit our business model. We will standardize on these.
CAC & CRC MODEL
Customer Acquisition Cost(CAC)
$1.00 to get $1.15
Customer Retention Cost (CRC)
$0.12 to retain $1.00
Spend New ACV Spend ACV
Customer success will spend 12% of ACV to retain
existing customers.
CUSTOMER SEGMENTS
We have two distinct customer segments. We will develop
tailored customer success playbooks for each.
Self-serviceProfessional
Services
Professional
Edition
Enterprise
Edition
NEEDS ANALYSIS – PROFESSIONAL EDITION
Smaller professional edition customers need UI to drive
adoption, self-serve customer portal and marketing for nurture.
Customer Success
Product
Customer Marketing
Automated Customer NurtureCustomer Success to drive content, Marketing to own execution.
Product ExperienceCustomer Success & Product jointly to interpret usage analytics for self-serve. Product to implement UI changes.
Customer PortalCustomer Success to refresh self-serve content in customer portal.
1.
2.
3.
NEEDS ANALYSIS – PROFESSIONAL EDITION
Enterprise customers need high-touch treatment from
Customer Success and additional product features to fill gaps.
Customer Success
Product
Customer Marketing
Product CustomizationProduct team to dedicate share of each 2-week sprint to enterprise customer customizations.
Professional ServicesScale professional services staffing levels to match targeted new customer and up-sell volume.
NEEDS ANALYSIS – ENTERPRISE EDITION
1.
2.
CUSTOMERS’ SHOES – CRITICAL PATH
“Oriented”[week 2]
• Understand functionality• Comfortable with interface• Internal plan composed
“Progress”[week 6]
• % increase in visitors• % increase in leads• Lead-to-sales % increase
“Active”[week 4]
• New leads flowing• 1st workflow live• 1st blog post live
Technical Set-up[week 1]
• Blog migrated• CRM integrated• Website code deployed
“Initial Value”[week 8]
• Build attribution report• Complete month of stats
“Full Speed”[week 10]
• Email campaign sent• Lead nurture active• Social monitoring active
“Achievement”[weeks 12-52]
• % lead goal achieved• % new sales goal achieved• Level of effort required
Renewal[week 52]
BARRIERS TO CUSTOMER SUCCESS
“Oriented”
Customer Challenges• None
Our Issues• Confusing reports module
“Progress”
Customer Challenges• Showing slow growth
Our Issues• None
“Active”
Customer Challenges• Website Form tech skills
Our Issues• None
Technical Set-up
Customer Challenges • Subdomain takes time
Our Issues• Blog migration is slow
“Initial Value”
Customer Challenges• Alignment on attribution
Our Issues• None
“Full Speed”
Customer Challenges • Create enough content
Our Issues• None
“Achievement”
Customer Challenges• Missed quarterly lead goal
Our Issues• None
Renewal
Customer Challenges• None
Our Issues• Waiting too long to renew
CUSTOMER SUCCESS TEAM
VP
Client Services
Sr. ConsultantSr. ConsultantSr. Consultant
Assoc. ConsultantAssoc. Consultant
Chief Customer Officer
Director,
Customer Support
VP
Customer Success
Sr. Support ManagerSupport Manager
Customer AdvocateCustomer Advocate
Director, Customer SuccessCustomer Success ManagerCustomer Success Manager
Customer Success Engineer
• Focus on enterprise
customers
• Make feature/integration
requests of Product team
• Onboarding focus
• Handle all inbound product
support requests
• Interact with Client Services or
Customer Success as needed
• Monitor & take action on
customer health
• Manage customer portal
• Work with marketing on nurture
programs
• Work with Product on self-serve
features