Customer Success. The lynchpin in developing your B2B revenue system.
August 2024, Post 6/10, 3 min read
Delighting, not delivering for customers is key to growing both ACV and LTV
For teams expecting to achieve growth through existing account expansion with a focus on achieving Account Contract Value (ACV) from 100K to 1m from key accounts, it is crucial to continuously work hard to define, re-define and nurture customer success activity. Nailing this has the ‘double whammy’ effect of creating capacity for the Account Management / sales team to ideate and pitch more customers as well as ensuring that what was promised to a customer is in fact fulfilled to the best of the company’s ability. Teams we have worked with have seen a minimum of +10% in revenue retention rates and +10 NPS after 6 months of on boarding dedicated Customer Success capacity. Aim to achieve a minimum of ten times return on investment in customer success activity.
Why expecting account management / sales to lead on service delivery does not make sense:
Here is how this looks in reality:
Characteristics of great customer success people
Love helping to solve problems
Exceptionally well organised
Warm, quick to build rapport
Motivated by positive and constructive feedback
Adept at rallying the internal team especially when things do not go as planned
Surprisingly might be more introverted than expected
Where to begin / re-define (if you have already started)
Benchmark: Take the benchmark with your current customer retention rates and NPS scores (set up measurement asap if not already in place, because what other customer scores really matter?)
Map the journey: Draw out every step of the customer journey with you, pre-sale, during and the entire 12-month calendar post sale
Pilot the process: Commit to adopt this for a test set of customers (may even be 3-4 to start with)
Program your CRM: Apply this approach to your CRM and weekly reporting to reflect the buying journey
Share learnings: Socialise what you learn about performance at every stage of the journey – create time each week to discuss learnings and setup improvement steps. Conversation to be across marketing, sales, customer success and product
Hard things about building out this function for an early-stage company –
Rewards are not instant. Persevere!
Tough to find talent. Be prepared to re-train existing sales or product team members to start this journey
Reporting lines difficult to establish. Always favour a peer-to-peer relationship with sales, rather than a subservient one
Low performance. Collaborate with customer success to keep defining and re-defining expectation
Customer Success is not just a function—it is the heartbeat of your B2B revenue system. By focusing on delighting customers rather than just delivering on promises, you create a powerful engine for growth that extends beyond the initial sale. This investment in Customer Success not only drives higher retention rates and customer satisfaction but also empowers your sales and account management teams to focus on what they do best: growing your business.
As you refine and expand your Customer Success capabilities, remember that the rewards may take time, but the impact is lasting. By integrating this approach into your broader RevOps strategy, you lay the foundation for sustainable growth, deeper customer relationships, and a more resilient business.
Whether you are just starting or redefining your approach, make Customer Success a priority. The results will speak for themselves—higher lifetime value, more satisfied customers, and a stronger, more agile business ready to thrive in an ever-evolving market.
Thank you for reading!