Sports, the best SMB retention rate and the Next Big Thing
Bob Thompson of CustomerThink is grappling with the evolution of Customer Success. Yeah, I get it. Sometimes it feels like life is hopping on and off bandwagons. Thompson’s main issue is “whether companies are really committed to customer success, or is this just a customer retention program with a better name?” Be sure, he begs, that “customer success” is not the “save” practices in the cable and telecom industries, where they make it very difficult to cancel, but increasing the customer’s perception of value. of your service.
Once upon a time, there was a Customer Success Manager…
OK, I’ll admit it. I like business books that read like a novel or fable. So I was drawn to William Proffitt’s “Empathy and Data Science: A Fable of Near-Success.” I would have work harder on a snazzier title, but this is a tale that may be familiar to you, with an appearance of a CSM who can smell customer churn before it happens!
There’s all our products and services and then there’s pro sports
Last year, the New York Knicks basketball team had its worse year in its long history, winning only 20.7% of its games. But yet their renewal rate on their season tickets holder was 87%. If the rest of us put out such a bad product… yikes.
If you want to get the marketers involved in customer success…
Well, here are some tips for you. Some are straightforward like Aligning the Departments. But I am a fan of the idea of using your Customers in more of your marketing. Take advantage of happy customers. Most will be more than happy to help spread the word.
What would be the best possible renewal rate for SMB clients? Maybe 80%?
I have lots of colleagues that sell into the SMB; I have as well. It can be tough to grow beyond a certain size. And that’s because churn can be a real issue about that market. Paychex, a payroll company, sees 80% retention among their SMB clients. I don’t know about you, but I need a payroll system and I would do almost anything to not switch. So 80% may be as good as it gets, folks…