Transforming Customer Success Into you #Revenue Engine. Here is how you start doing that: The role of #CustomerSuccess has evolved significantly. It's no longer just about ensuring customer satisfaction and focusing on metrics like NPS. At the best companies, Customer Success has become a critical driver of revenue growth. In other words, Customer Success is not just about keeping customers happy. It's about driving revenue growth. 𝐒𝐡𝐢𝐟𝐭 𝐘𝐨𝐮𝐫 𝐌𝐢𝐧𝐝𝐬𝐞𝐭 Stop looking at Customer Success as a cost center. It is as a profit center. This is a fundamental shift that needs to happen in your organization. It's about understanding that every interaction with your customers can either add to, or subtract from, your bottom line. Aaron Thompson is a great voice on this topic. 𝐈𝐦𝐩𝐥𝐞𝐦𝐞𝐧𝐭 𝐭𝐡𝐞 𝐑𝐢𝐠𝐡𝐭 𝐓𝐨𝐨𝐥𝐬 Use tools and processes to track customer behavior and scale your methodologies. This will help you be more proactive to ensure renewals, as well as identify opportunities for upselling and cross-selling, and measure the impact on revenue. Modern CSPs like RevSetter and customer-value focused tools like Foresight can help you do this effectively. 𝐌𝐚𝐤𝐞 𝐂𝐮𝐬𝐭𝐨𝐦𝐞𝐫 𝐒𝐮𝐜𝐜𝐞𝐬𝐬 𝐚 𝐂𝐨𝐦𝐩𝐚𝐧𝐲 𝐅𝐨𝐜𝐮𝐬 By focusing on customer success as a company, from the top on down, you can increase your revenue by reducing churn, increasing upselling, and cross-selling. This is not just about keeping customers happy, but about understanding their needs and providing solutions that add value over time. Jan Young, MBA, CSPO, CSM is a great voice on how you as a CS exec can elevate yourself and the department internally. 𝐏𝐫𝐨𝐟𝐢𝐭𝐚𝐛𝐥𝐞 𝐆𝐫𝐨𝐰𝐭𝐡 𝐭𝐡𝐫𝐨𝐮𝐠𝐡 𝐄𝐱𝐢𝐬𝐭𝐢𝐧𝐠 𝐂𝐮𝐬𝐭𝐨𝐦𝐞𝐫𝐬 A 5% increase in customer retention can increase a company's profits by 25% to 95% (Bain & Company). This is because existing customers are more likely to buy from you again, refer others, and be willing to pay a premium for your services. Not to mention, your cost on renewals and CAC on expansion deals are typically much lower than new business deals, while conversion is better. 𝐃𝐫𝐢𝐯𝐞 𝐑𝐞𝐯𝐞𝐧𝐮𝐞 𝐆𝐫𝐨𝐰𝐭𝐡 Customer Success should include revenue-related metrics and targets. Wether you call it Customer Success or Account management or a mix of both, the function(s) managing the exisintg customers need to own both value and revenue. The CS team is perfectly suited to bridge the gap between value and revenue impact by understanding the customer's needs and providing solutions that add value. That way, they can drive revenue growth in addition to creating customer value. Lastly, remember, transforming Customer Success into a revenue engine is not an overnight process. But with the right mindset and tools, you can increase your #NetRevenueRetention and accelerate your growth. #CS #RevenueGrowth #SaaS #RevSetter *** 🛎️ If you enjoy my content, follow me for more ♻️ Repost to share with your network
Customer Success is 🔑
Customer Success, Customer Experience, Keynote Speaker, Advisor, Board Member, CRO
1moThanks for the shout out Haydar Al-Saad! If anyone would like to read about my thoughts on Customer Success driven Revenue, please subscribe to Red Slacks News here: https://www.linkedin.com/build-relation/newsletter-follow?entityUrn=7005673230896173056 The latest is "Drop CAC, Measure RAC" https://www.linkedin.com/pulse/drop-cac-measure-rac-aaron-thompson/?trackingId=tvtlx%2FRwS4iWr9PnQBsnUg%3D%3D Stop using Customer Acquisition Cost, and get more granular. Leverage Revenue Acquisition Cost as a more accurate metric of our impact on the top and bottom line.