Business models are changing from transaction-based revenue models to subscription-based revenue models. Companies dependent on recurring revenue must pay special attention to customer renewal rates, revenue retention, and customer lifetime value. As a result, reactive customer service approaches, built to lower the cost to serve, are being replaced with proactive customer success approaches, built to increase the revenue per customer. When your customer becomes more successful as a result of using your product, they buy more of it. And when your customer is unaware of how you have contributed to their success, they attrite.
- Analysis of the percentage of revenue that’s recurring
- Analysis of customer renewal rate
- Defined revenue retention rate
- Customer Lifetime Value (CLTV) analysis
- KPI Benchmarking
- Analysis of time-to-value for a customer
- Analysis of Net Promoter Score (NPS) response data
- Customer Segmentation
- Customer Success Operating plan
- Customer Lifecycle Process
- Account Transition Process
- Customer Success Organizational Design
- CSM Profile Development
- CSM and Leadership Talent Assessments
With your customer success process now in place, it is time for Phase 16: Systems.