It’s clear we’re on a transformative journey when we look at how to deliver real value to our customers, but how do we effectively implement this shift?
1️⃣ Customised Value Pathways: It’s about creating tailored review schedules that resonate with each customer’s unique journey, not a one-size-fits-all approach.
2️⃣ Deep-Dive into Customer Worlds: Stepping into our customers’ shoes, understanding their challenges and ambitions, and aligning our services to support their strategic objectives.
3️⃣ Ongoing Value Assessment: Continuous interaction is key. We’re talking regular check-ins, not just quarterly reviews, to ensure we’re constantly adapting to and meeting evolving needs.
4️⃣ Accurate Trend Analysis: Keeping a close eye on business trends and progress is essential. It ensures that the value we deliver is not only current but also predictive and proactive.
This evolution in our approach is more than just a change in schedule; it’s a fundamental shift in mindset. What steps are you taking to make your customer reviews more dynamic and value-driven?
Customer Lifetime Value (CLTV) holds the key to long-term success in business. Unraveling the potential of CLTV is crucial for building lasting relationships and driving sustained revenue growth.
Customer Lifetime Value is not solely about revenue but about fostering enduring value for customers. It is a vital metric for gauging an organization’s growth and prosperity. For instance, consider a subscription-based service like Netflix, where a loyal customer who subscribes for years contributes substantially to the company’s CLTV.
Viewing Value from Different Angles:
CLTV is more than just revenue; it encompasses different perspectives of value. Identifying and aligning with the customer’s definition of value is crucial. An example could be a luxury car brand that offers exceptional customer service, providing value that extends beyond the purchase.
Applying CLTV in Practice:
Measuring CLTV beyond revenue involves assessing advocacy, referrals, and recommendations, which are immensely valuable. Forecasting CLTV requires a careful consideration of customer segments and past profiles. For example, a software company may analyze user adoption metrics to predict long-term value.
“Customer Success has changed”
The world has changed and very rapidly over the last few years and our what were “traditional” customer success teams and functions have shifted massively and there’s more change to come.
- Burnout was already high but now churn is rising and so are layoffs.
- The SaaS model that defined much of the 2010s and early 2020s was predicated upon having access to near-unlimited capital.
- Customer Success was already struggling through three distinct crises: Overextended roles, high stress and unrealistic expectations, and previous leniency on metrics.
It’s a wakeup call! We need to think differently and shift:
- Streamline Customer Success roles to focus on core value delivery.
- Adjust job expectations and provide sufficient support to prevent burnout.
- Identify which metrics matter to customers upfront and focus all your energy on driving those to demonstrate the value your solution provides early and often.
We need to start refocusing on customer value and change our thinking and approach.