Customer Success, Customer Experience, Customer Satisfaction, Customer Retention…
You have probably already heard one of those terms. They all define what a Customer Success Manager (CSM) is responsible for. Due to my experience as a CSM in a Start-up, I can see this role becoming more and more important, especially for small businesses from the Saas industry. Here are a few reasons why it could be an essential role for your organisation:
Improve your customer retention rates
The issue in many companies is that the efforts put to acquire new customers are usually more important than the efforts to foster the relationship after signing the deal. A dedicated person or customer success team can surely make a difference. Retaining your customers means that they bring money into your business but may also buy more of your products or services in the future. In this regard, Bain and Company research has shown that a 5 percent increase in retention yields profit increases of 25% to 95%. Also, when referring to the 80/20 rule, 20% of your customers bring you 80% of your revenue !
Build a personal relationship with customers
In other words, show them that you care more about them than about their money. This is one of the CSM’s main tasks. He needs to be there for your customers, make them feel understood and listened to. But first and foremost, his aim is to build a more personal and true relationship by being regularly in touch with them. This will increase their trust and their satisfaction.
Beat your competitors
Everyone of us have certainly already had a bad customer service experience. It does not feel nice and can be very frustrating. As reviews are now flourishing on the internet, it is essential to provide outstanding service during the whole customer’s journey to keep a good reputation. Reputation is what may influence a prospect's choice between your services and those of another company. The CSM’s role is central here to understand and identify customer’s needs and expectations at the early stages of the relationship. This way, he can give proper guidance to the Customer Support team.
A more “human” approach than Sales
Usually, salespeople are expecting something from prospects and customers whereas the CSM’s mission is just to make the customers happy. This brings a huge difference in the perceived quality of the product or service you are selling. Plus, the CSM is of great support to the Sales team because of his privileged relationship to the customers. He can inform Sales of new trends in the industry or even have some new prospects to share. When working as a CSM manager and thanks to the relationship I had built with customers, I was able to use their customer stories and convince trial users of the value of our product. I am convinced that CSM working together with the Sales team can achieve great results.
Satisfied customers will buy more and recommend your business
Once again, the CSM approach will not only be a great supplement to Sales but will also increase customer’s trust, making it more likely that the customer will buy more and/or stay longer. When I was working on growing the company customer base, their first new customers were mostly people recommended by an existing customer. This was a fantastic help to get more customers onboard and speed up the company's growth at its early stages.
I am passionate about human psychology and health and I am thrilled to share the experience and knowledge I've aquired working as a CSM. Day after day, I could see how much the great relations I had with customers were bringing me and how it was helping the business I was growing with. If you are also interested in those topics, don't hesitate to get in touch with me!