B2B SaaS companies are actualizing a mindset shift in how they think about customers with significant emphasis now being placed on the entire customer journey, not just up to the purchase point. This is due to newly realized opportunities for revenue growth from current customers through expansion and advocacy (what we call “customer growth”), and the well-known fact that it’s cheaper to retain current customers than acquire new ones.
Lincoln Murphy said it best in a recent post: “There’s no more efficient – and done correctly, rapid and exponential – growth than growth within and from your existing customer base. And the key to unleashing the power of this growth engine is Customer Success.”
Despite being smaller and having fewer resources than more established departments like sales and marketing, customer success initiatives have high visibility and repeatable ROI at each stage of the customer journey. But in order to effectively contribute to company growth, they need a more efficient tech stack to help them as they scale and move the needle from adoption to advocacy. Here’s why better tools for customer success is critical to customer growth:
CS Teams are Overburdened With Fractured Customer Success Tools
Undoubtedly, customer success teams face growing pains as they scale, but this struggle can be offset with proper tools that enable them to work more efficiently with less capacity. We discovered in our 2017 Customer Success Trend Report that only 25% of CS teams currently use a dedicated CS management tool, leaving the remainder spread across multiple technologies—most often CRM, email, spreadsheets and Helpdesk—despite already feeling overburdened by their workloads. Customer success teams are simply too small with too much work to be bouncing back and forth between programs that are supposed to simplify their jobs. Instead, CS teams should be using one platform that gives them everything they need in one place without having to constantly shift between tools, spend time syncing one dataset to another, or involve other departments like product or development to get the answers they need.
More than half of CS teams use multiple technologies but 64% of CS teams have no plans to simplify their technology stack.
Customizing Generic, Fragmented Solutions Steals Precious Time
The time customer success teams spend tailoring cumbersome tools to fit their needs could be better spent creating more successful customers and developing proactive success strategies. Customer success departments need a dedicated solution that can pull multiple data sources to provide a singular view of each customer as they move through the customer journey. By reconfiguring the technology stack from generic, disconnected tools to a dedicated platform, customer success has the means to more efficiently track long-term user intelligence, access comprehensive customer health insights, and deliver targeted engagements that help drive value. And that gives them the ability to be more proactive rather than constantly putting out fires.
Customer Success Teams Need Better Data
Another key point we found in our trend report was that nearly 40% of customer success teams say gaining visibility into customer health metrics and user behavior is their number one challenge, but less than 20% say that fixing this issue is a top priority. This shows customer success teams know they need better data, but they aren’t sure how to go about it because the tools in their arsenal today are lacking.
However, visibility into key metrics like adoption, customer health, and user behavior is necessary so customer success teams can make informed data-driven decisions and expose new opportunities to drive revenue through cross-sells and upsells and ultimately increase customer advocacy. With a dedicated Customer Growth Platform™, CS teams can track customers throughout the entire customer lifecycle with richer insights, consistent data, and the ability to trigger a variety of engagements based on that data.
CS needs better tools so they can focus efforts on ensuring customers are successful rather than managing numerous cumbersome tools.
As customer success teams are becoming responsible for owning growth along the customer journey, it’s vital that they are given every opportunity to do more with less. That means making their toolbox work for them, not the other way around. If you’re interested in seeing how a dedicated solution can work for your organization, sign up for a demo of UserIQ.