Putting Customer Success In The Driver Seat

Costanoa Customer Success Forum

April 29, 2015

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I like todisrupt markets

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My Story Starts in a Lab…

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My CS Journey Started in a Lab…

Much more fun to be in the DRIVER seat

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For Breakout Companies, Customer Success is a Driver Function

Company

Driver

Internally Recognized

(Drives critical metrics)

Competitive Differentiator

(Unique, WOW moments)

Critical for Strategy

(Go-to person for CEO)

Drives SustainableGrowth

(New Customers /Upsells)

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The CX-Centric Model of The Firm

Acquisition

Gain new customers.

Engagement

Create incredible user experiences so they want to

come back.

Monetization

Find ways to earn revenue from your

customers.

Source: Geoffrey Moore (http://www.linkedin.com/today/post/article/20121203173700-110300724-what-is-your-slowest-gear)

Enlistment

Get your customers to

voluntarily recruit new customers.

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Success can’t be measured by retention alone; it’s about Customer Growth……

For CS to be a Driver in a New Environment:

……Customer Growth is driven by Advocacy….

… Advocates are mobilized when fueled by ‘Wow’ Moments in the product

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The Driver Customer Success FunctionDrives Growth

Revenue Growth =

Customers x Contract Value x (Growth - Churn Rate)

MOAR LOGOS!

BIGGER LOGOS!

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Consider the new growth opportunities of delighted customers

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From Jason Lemkin’s SaaStr Blog: http://www.saastr.com/its-not-just-cltv-its-your-trgcltv-that-matters-total-all-in-revenue-generated-by-your-customer/

Second Order Effects – Advocacy Compounds

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Advocates make non-financial investments in your company.

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Advocates drive customer profitability

Source: David Skok’s ForEntrepreneurs Blog, 2010 (http://bit.ly/bZpMfB)

14Source: Influitive data

Marginal cost

Marginal benefit

Total investment in customer experience

Marginal cost/value

Status Quo:

Invest in CX so that marginal benefit =

marginal cost…raising the optimal level of

spending on CX

Advocate mobilization increases marginal benefit to

investing in CX....

Advocacy allows greater investment in CX and CS

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And yes, Advocacy can Directly Impact Churn

Facing 7%/moChurn

Engaged 20 Advocates

Grew to over 80

100% Renewal on accounts with

“advocate buddy”

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Develop

Advocates

Mobilize

Advocates

The formula for sustainable Advocacy

Get your Advocates on your team

(Customer Success) (Marketing)

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Drive 5x more advocacy with an advocate program

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Advocacy Doesn’t Happen without WowMoments for your Customers

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Minimizing Weakness

doesn’t delight….it appeases

If you want advocacy, then you need to be

remarkable

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“I've learned that people will forget

what you said, people will forget what you did, but people will never forget how you

made them feel.”

― Maya Angelou

“

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3 Key Take-Aways to Drive “Wow” Moments … and Scalable Customer Delight

Incredible Onboarding Experience

Product-ize “Wow”

Moments

Proactive Service

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Incredible Onboarding Experience

High Touch and Personalized

Service

Myriad of Standard

Resources

“I’ve been consistently amazed at the onboarding processShannon knew pretty much everything there was to know, and mobilized

internal resources to help me get up and running FAST. I had an aggressive deadline (3 weeks) to roll out my hub, and thanks to her flexibility and

willingness to move at my speed, we beat that deadline.”

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Proactive Service

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Product-ize “Wow” Moments

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QUESTIONS?

@markorgan

@influitive