Improving Customer Retention by Managing the Customer Journey Webinar Slides

KIA CX Consulting

Improving Customer Retention by Managing the Customer JourneyKia PuhmPrincipal, Kia CX Consulting

@kiapuhmwww.kiacx.com

KIA CX ConsultingKIA CX Consulting

Tweet us and join the conversation#CustomerLifecycle

@GetAmity @KiaPuhm

We’ll send slides and the recording

Q&A at the end - ask them in the questions box!

(If we run out of time, tweet or email us!)

About Kia Puhm• Customer Experience Pioneer• 21 years experience leading extremely fast growing software

companies (> 2x YOY growth)• Computer Engineer University of Toronto • Licensed Professional Engineer (PEO) • Top 50 highest ranking business women in Switzerland

• Successful exits (Adobe & Oracle), IPO's (NASDAQ, SIX Swiss Exchange) & venture funding rounds

• Principal, Kia CX Consulting

the key to customer retention is knowing why your customers bought from you &

ensuring that you deliver on your commitment to provide what you sold

Improving Customer Retention

+1% = $10 million

1. Understand Renewal Challenges2. Demonstrate Value3. Make Customer Successful

Understand Renewal Challenges

Top Renewal Challenges

"Our renewals are 65-70% for year 1 customers. We are above 88% once we get past year 1." “We were losing a lot due to lack of

adoption. Seat vacancies and re-purposed licenses became a

leading indicator for defections.” “We weren’t delivering on what we promised during our sales campaigns.

The customers grew frustrated and left after their first year was finished.”

Year 1 Challenge

Year 1 Objectives

• Get customers using the product• Focus on quick wins • Establish trust

Year 1 Tips

• Welcome Call• Smart Start• Success Coach Program

Year 1Goal Focus on quick wins & adoption to establish confidence

Threats • Customer still questioning whether they made the right decision• Have not yet seen value from the product• Trust has not been established

Actions • Get customers using the product quickly• Provide early successes for the customer• Show customers how to get value from your product

Results Renewal rates can be up to 10-20% higher past year 1

User Adoption Challenge

User Adoption Objectives

• Manage to journey• Regular touch points• Quantify value delivered

User Adoption Tips

• Success Program• Proactive Check-Ins• Metrics & Benchmarking

User AdoptionGoal Manage to your customer journey; focus on objectives

Threats • Customer objectives unclear or changing• Journey to achieve goal not being followed• Customer not seeing/recognizing value delivered

Actions • Manage customer through journey• Quantify value delivered regularly• Use metrics & benchmarking to help customers win

Results QBR's improve retentionSuccess rate is 2.5x higher for customers that follow success program

Didn't Deliver Challenge

Didn't Deliver Objectives

• Level set on why bought• Get in sync early• Bring in sales if need be

Didn't Deliver Tips

• Warm transition call with sales• Level set meeting• Reconfirm objectives

Didn't DeliverGoal Level set on why bought

Threats • Product is not a fit for customer• Sales over-promised• Customer veers off course

Actions • Include level setting as part of onboarding• Understand expected results, confirm with customer• Manage customer to those results

Results Recognize immediately if product is not a fit and part ways orRe-set expectations to level set on what is achieveable

PollWhich of the following is the top renewal challenge for your organization?

1. Year 1: we have significantly more churn in year 1 than following years

2. User Adoption: lack of adoption is a leading reason for defections

3. Didn't deliver: product fails to deliver on sales promise

4. Other

Demonstrate Value

Demonstrate ValueUse data with customers to demonstrate tangible business value

1. Metrics are valuable, use them!2. Benchmark customer against best practice & relevant peer group

Metrics are valuable, use them!Use metrics to help your customers win & provide advanced warning when they don’t.

• Identify jeopardy accounts• Develop leading indicators• Build risk profiles

Benchmark customersUse objective data to give customers the ability to measure themselves against their peers.

• Provide performance metrics• Provide gap analysis• Deliver recommendations

PollHow mature is your organization's use of data in demonstrating value to the customer?

1. Missing: We don't use data

2. Ad-hoc: CS uses data when necessary to "save" accounts

3. Repeatable: CS uses data regularly to identify jeopardy accounts & react accordingly

4. Systemic: CS uses data regularly to demonstrate value & provides proactive recommendations

Make Customer Successful

Make Customer SuccessfulCreate opportunities for the customer to be successful

1. Be a strategic partner2. Deploy strategic messaging

Be a Strategic PartnerCollaborate on the customer roadmap.

• Be a strategic partner• Provide "long-term" view for revenue• Create success opportunities• Show future roadmap for continued

value generation

Deploy Strategic MessagingTarget content based on role, not customer.

• Message to individual• Segment events based on roles• Use metrics to determine communication

PollHow advanced would you say your organization is in deploying strategic partnering & messaging?

1. We are rather reactive with our customers & communicate when need be.

2. We provide customers with a success plan for the year & communicate accordingly to move them along in their journey.

3. We collaborate with our customers on their long-term roadmap and use communication strategically to help them achieve their goals.

ensuring that you deliver on your commitment to provide what you sold

ensuring that you deliver on your commitment to provide what you sold1. Use Customer Journey to navigate top renewal

challenges2. Use data to demonstrate value3. Be a strategic partner & deploy strategic messaging

How to Get Started: 4 Questions to Answer Now…

Do you know why your customers are your customers? Do you have a process in place to make first year customers successful? Do you know the leading indicators that cause customers to defect? Do your customers know how they compare to their biggest competitors?

About Kia CX ConsultingKIA CX Consulting accelerates business growth through Customer Experience innovation.

Kia provides the leading methodology to establish a disciplined and sustainable CX framework that drives revenue, retention and scale.

kia@kiacx.com647.588.1447 @kiapuhm

www.kiacx.com

Meet Our Host

Paul PhilpFounder & CEOpaul@getamity.com@pphilp

www.getamity.com

Join Kia on April 26 for the next webinarin the Defining & Managing Your Customer Lifecycle

Visit getamity.com/resources to register!

Many Thanks To Our Presenter!KIA CX Consulting accelerates business growth through Customer Experience innovation. Kia provides the leading methodology to establish a disciplined and sustainable CX framework that drives revenue, retention, and scale.

kia@kiacx.com647.588.1447 @kiapuhm

www.kiacx.com

Thank you for being here!

Improving Customer Retention by Managing the Customer Journey Webinar Slides

Software

Bouma Customer Retention Program

Customer acquisition and retention

Customer Retention Strategies

Customer Retention UNIT I

customer retention final Project

Chap016 customer retention

Customer Retention New

CUSTOMER RETENTION IN THE GHANAIAN MOBILE ... · PDF fileKeywords: Customer Retention; Customer Satisfaction; Customer Loyalty; Service Quality Q

Customer Centricity: Managing Customer Retention to

Customer loyalty and retention

Customer Loyalty & Retention Strategies

Telemarketing for Customer Retention

Impact of customer retention

Customer Retention Guide

Essay on Customer Retention

Creating a Customer-Focused Customer … a Customer-Focused Customer Experience Journey Map 2 Creating a Customer-Focused Customer Experience Journey Map A customer journey map charts

Understanding Customer Retention

Journey Analytics - Customer Journey Management & Customer

Segmentation For Customer Retention

Customer Satisfaction VS. Customer Retention