Why do I call it the ‘untapped potential’? It is mainly because many companies fail to embrace it until it is too late. Once they do embrace it they are already behind in terms of truly understanding why their clients are unhappy.
Before I start talking about customer success let us look at the difference between the roles of customer support vs customer success. This is mainly for companies in the SaaS space.
- People who understand technology easily.
- People who are calm and patient when dealing with clients.
- Understand how to approach an issue. (problem-solving skills)
I know for a fact that self-motivated people are the ones who really shine here as it is not easy to deal with upset customers day in and day out. And I am not going to lie, it will become monotonous after a certain period of time.
- People who understand what value proposition means to the client.
- People who clearly understand which area of the product if adopted by the customer would actually increase their value.
- People who understand how churn and retention would affect the company as a whole in both the short and long run.
- Strong data and analytical skills. ( Numbers are the key to keeping your job).
There are some common traits between both the roles like patience and understanding technology easily. Switching people between these profiles would actually benefit the company greatly.
Why do you need to have a separate team from the beginning itself you ask? The answer is data, data and more data. Figuring out the profile of your ideal customer- what is the deviation from the other customers that you have signed on.
The sooner you figure out the gap the sooner you would understand how diversified your product has to be to meet customer needs. I do understand that every CEO wants all the people on this planet to use this product/service.
Here is why most companies fail and how customer success should take ownership.
It is their job to analyze what percentage of their customers would actually benefit from using the product vs just using parts of it. Sometimes a feature is developed for a specific client to onboard them just because the client thinks they find value in it. It is the job of this team to actually convey whether it would really bring value or what to do in the long run. When I say value it means how has this feature helped my client in getting more revenue/business.
Let’s dig deep into the topic now and see what the untapped potential is all about.
My personal belief is that when you are a small company and have the potential to grow it is more important to retain existing customers than trying to sign up new ones. The ones that have come to you have either come to you out of necessity or for the interesting things that your product has to offer. Now the important metric to know is how to separate these two types of customers as they will have different needs going forward.
Don’t get me wrong, you do need to sign up new clients to grow but having a polished product for your ideal customer is way more important than cluttering your product with features just to onboard more customers. Your potential customers don’t care about how beautiful or attractive your features are.
Do those features deliver? will it increase revenue? if yes how are you tracking that and how do you translate that to your customer.
Once you have a good client base you have to deal with these three critical components.
- Managing churn and retention.
- Why do potential customers leave your website after they take the demo? – Is it because of pricing, too many features, too complicated to grasp, not what they are looking for?
- Why should they keep paying the subscription fees?
These are the core components that the customer success team has to focus on and why it is of critical importance. I will be talking about all these critical components in detail in my next article so stay tuned.
For now, I hope I was able to stress the importance of why it is still an untapped potential and why companies have to embrace this idea and invest in it.
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