Helping SaaS companies to deliver, grow, and monetize Customer Value with the CSM Operating System.
Metrics most CSMs talk about - Health scores - NPS - CSAT - CES - Product usage Metrics they should be talking about: - Customer outcomes - Expansions & upsells - New acquisition revenue from referrals - Revenue saved and recovered - Customer Lifetime Value (Growth) The first group always gets asked, “What’s the ROI of customer success?” The second one gives a decisive answer. Which group do you belong to? PS: Sign up for my weekly newsletter if you like this post --> https://lnkd.in/dtC7MEjP #saas #customersuccess #customervalueledgrowth #netrevenueretention
Whilst I agree that there can sometimes be a focus on the wrong metrics, wouldn’t you say that the metrics CSMs talk about are usually reflective of the metrics CS leaders in their organisation ask them to talk about? Not all CSMs own renewal and expansion so it’s not really a ‘one-size-fits-all’ scenario. For me, customer outcomes is the key metric and I’d say it’s probably the one that most CS teams don’t measure.
I agree with this post! Health scores, NPS, CSAT, CES, Product usage, etc. are relevant but are ultimately lagging indicators. Driving for customer outcome and understanding their milestones relative to your future product usage would be leading indicators.
Well put Markus Rentsch I recently saw a post mentioning about for example how they introduced in their company a new kpi: # of lifes changed
The metrics people should be talking about make a better story.
Great point about the second set of metrics clearly conveying ROI by themselves. Helpful way to think about which metrics to track and promote outside of the CS org.
Onboarding Consultant at Pendo.io
9moI’d say that health scores, NPS, CSAT, product metrics… these are needed when you ask about outcomes, revenue saved and recovered, growth… This gives you a view on what you need to talk about on how to deliver thier outcomes. If your customer is not using your product, how can they see value? If they’re unhappy with the product, how are you going to renew or expand the contract? Enable your customers and show them how reach their business outcomes!