Don't Lose Sight of Customers as You Scale

August 2, 2018 Asra Sarfraz

When things are moving fast, it’s vital to remember that communication with your customers should be a priority for your team and that your customers don’t feel like you have outgrown them. Customer behavior and satisfaction largely depend on the effort a company devotes to customers. Here are a couple of things you can do to make sure you don’t lose sight of them.

 

Segment. Segment. Segment.

While many assume that segmentation models have to be static, the entire idea is to optimize workflows and playbooks to deliver tailored messaging and prioritize customers. The most effective model will make it easier to scale your communication strategy by focusing on the entire segment rather than trying to engage with every single customer with a personalized message. So how do you segment your customers and not lose track?

A good place to start is by looking at your customer health score. This can help segment your customers in groups based on which accounts are healthy and which ones are at risk, providing you with a basic outline of which accounts need the most immediate attention. Having insights on which customers belong to each group also means you can target the accounts for upsell opportunities. Product usage plays a key role in establishing when not to lose sight of what your customer is up to. You should know what customers are doing with your product and segment accordingly.

For instance, the Customer Success team at Amity looks at the behaviour of our churned customers vs. that of our renewing customers in order to better understand what processes could be used in the future. Another key factor is the value your customer has invested in your solution. A high-paying customer expects a higher amount of assistance and advocacy. Making sure that your largest customers remain customers is important not only because they drive revenue, but also because their expectations for ROI are much greater. With your customer base segmented successfully, it’s time to look into how to align the Customer Success organization with your customer base.

 

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Align Customer Success With Your Customer Base

By introducing a customer facing plan and aligning your workflows with your customer segments, you can help identify what is required for the success of each segment. In addition, it will establish the different levels of experience required from your Customer Success team. Some metrics to take into account are Churn Rate, Accounts per CSM, Revenue per CSM, and Expansion Rate.

Ultimately, it doesn’t matter which segment your customers are in if you can’t act on delivering the value proposition to them. Proper alignment will result in an efficient, scalable, and cost-effective Customer Success organization. In addition, it will allow you to better understand your customers’ needs as you develop the services your Customer Success team delivers.

 

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Feedback

While customer prioritization is important, it does not always lead to higher company profits; instead, it can leave lower-priority customers dissatisfied. The dissatisfied customers are the voice that ultimately might affect the company negatively, leading to a decline. Not only this but purely focusing on a limited number of customers and ignoring the bottom tier may neglect the possible benefits of scale. It is your job as a CSM to provide a balanced range of top-tier and bottom-tier customers. Hone your focus in on your complainers. If made successful, they can ultimately be your most vocal advocates. Armed with this data you can manage more customers per success manager and drive better results.

 

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About the Author

Asra Sarfraz

Asra Sarfraz is currently the Digital Marketing Intern at Amity. When she is not consuming barrels of coffee, she is busy photographing and designing new projects.

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