The results are in! We’ve once again partnered with SuccessHacker and ProductCamp to release the 2019 Customer Success + Product Management Alignment Benchmarking Report: Taking Alignment to the Next Level.
Earlier this year, we invited customer success and product management professionals of all industries, levels, and company sizes to share their experiences. With your help, we received answers from more than 400 respondents and have been able to answer questions like:
- Are customer success and product management teams becoming more or less aligned in B2B businesses today?
- Are they able to accurately measure their efforts and iterate on shared goals?
- What challenges are SaaS businesses currently facing in their alignment strategy?
- What can we learn about stronger alignment from best-in-class organizations?
The biggest takeaway in 2019? Aligned teams experience less churn. With the software industry reporting an average churn rate of 5.33%, 87% of respondents whose organizations have a churn rate of less than 1% said they are fully or at least somewhat aligned.
Other alignment-related factors that impact SaaS churn include areas like more effective and collaborative planning, stronger communication processes, customer prioritization, and the need for executive buy-in.
We first conducted this survey in 2017 to help us better understand the working relationship and state of alignment between these two teams. In that original, first-of-its-kind report, we uncovered a significant divide between B2B organizations’ perceptions of alignment and the realities. For instance, 88% of respondents stated that understanding customer needs is the most important factor in creating alignment but roughly one-third of SaaS businesses actually feel least aligned on who their ideal customer is.
Since the release of that inaugural report, companies across multiple industries and sizes have agreed with our finding that customer success + product management is the new sales + marketing alignment and some have even built entire brands and products around this topic, so we knew it was high time we reexamine the data and find out what’s changed and what hasn’t.
We’re thrilled to bring this data to you and provide our tips and best practices for establishing stronger alignment between customer success & product management in your organization.