This week:
UPCOMING EVENT: KAMCon 2023, Boulder Colorado, April 12-13
What's the impact of fumbling the Sales to Customer Success hand-off?
I've sensed for years that time is of the essence for new customers. Any delay in getting customers started always seems to be a bad sign.
But the hand-off from sales to onboarding can take time because people are busy. Anyway, what do a few short days matter in the grand scheme of things?
IT TURNS OUT IT MATTERS A LOT!
📊 To answer this question, we looked deeply into one of our clients' retention data by comparing long-term retention differences based on how quickly customers started.
[COMPANY INFO: SaaS, B2B, $50m-$100m]
The difference was astonishing...
👉 Customers that engaged with the solution within the first few days experienced virtually no churn over the next FOUR YEARS, whereas those who didn't get started quickly NEARLY ALL CHURNED over the same period! 👈
► Why does speed matter so much?
⦿ Remember that getting good results always requires customers to expend effort and change their behavior.
⦿ Their willingness is a finite resource that is most available right at the beginning.
⦿ Customer enthusiasm drops with every minute that passes as other problems and priorities demand their attention.
HOW TO GET CUSTOMERS GOING FAST 🚀
① SET YOUR KICK-OFF SLA:
Determine the maximum number of days within which the customer kickoff or first engagement will happen. For example, in many cases, I recommend ensuring that the kickoff happens within two business days of signup.
② SCHEDULE THE KICKOFF DURING THE SALE:
I've found that meeting the kickoff SLA is difficult to impossible unless the meeting is scheduled during the sales process. Finding a time to meet often takes too long. Provide a method for sales reps to quickly set up the first call 'live' while they're talking to the prospect.
③ GET CUSTOMERS STARTED PRONTO:
Even if implementation and onboarding will take time, it's extremely important to get the customer going quickly. Build a "quick start" playbook for new customers by identifying key things they can DO within just a few days.
PODCAST: 10 Customer Churn Benchmarks for SaaS Leaders
I had a terrific conversation last week with Jay Nathan and Jeff Breunsbach on the Gain Grow Retain Podcast talking about my latest 10 Customer Churn Benchmarks for SaaS Leaders.
UPCOMING EVENT: KAMCon 2023: Boulder, Colorado; April 12-13
I'll be speaking at the upcoming KAMCon event in Boulder in two weeks. The title of my presentation is: "Building Account Strategy On The 3 Laws of Retention"
Quote of the week:
Customers don't leave because they have a reason to leave. They leave when they no longer have a compelling reason to stay.
