Segmenting your customers has become a financial necessity, especially in a recurring revenue business. In this webinar, Dan Steinman, GM of Gainsight EMEA, and Russ Drury, Director of Customer Success at Workfront, share valuable advice for tiering and prioritizing your customer base with a segmentation strategy.

1. 24.08.2017
Webinar
Starting
Soon!
Tiering, Prioritising, and Segmenting Your Customers

2. Director of Customer Success
Workfront
RUSSDRURY
General Manager
Gainsight EMEA
DANSTEINMAN
24.08.2017
Tiering, Prioritising, and
Segmenting Your Customers

3. Today’s Webinar
Slides will be available
within 24 hours
Please use the Chat
window for Q&A

5. 1 Do I Need To Segment My Customers?
2 Which Variables Should I Consider?
3 How Many Customers Per CSM?
4 Can/Should I Charge for Customer Success?
5 Is Segmentation A One-Time Thing?
6 Audience Questions
Agenda

6. Do I Need To Segment My Customers?

7. Do I Need To Segment My Customers?
• Yes, because

8. Do I Need To Segment My Customers?
• Yes, because
• All customers are not created equal

9. Do I Need To Segment My Customers?
• Yes, because
• All customers are not created equal
• You will naturally do it even if not consciously

10. Do I Need To Segment My Customers?
• Yes, because
• All customers are not created equal
• You will naturally do it even if not consciously
• Different kinds of customers require different CSM skills

11. Do I Need To Segment My Customers?
• Yes, because
• All customers are not created equal
• You will naturally do it even if not consciously
• Different kinds of customers require different CSM skills
• It will become a financial necessity

12. Do I Need To Segment My Customers?
STRATEGYSEGMENT
High
Touch
Mid Touch
Tech Touch
ENTERPRISE
MID-MARKET
SMB
PROACTIVE
JUST-IN-TIME
AUTOMATED

13. Which Variables Should I Consider?

14. Which Variables Should I Consider?
• Industry

15. Which Variables Should I Consider?
• Industry
• Brand Value

16. Which Variables Should I Consider?
• Industry
• Brand Value
• Country/Territory

17. Which Variables Should I Consider?
• Industry
• Brand Value
• Country/Territory
• Technology/Product

18. Which Variables Should I Consider?
• Industry
• Brand Value
• Country/Territory
• Technology/Product
• Strategy/Market/Opportunity

19. Which Variables Should I Consider?
• Industry
• Brand Value
• Country/Territory
• Technology/Product
• Strategy/Market/Opportunity
• Account Value

20. How Many Customers Per CSM?

21. How Many Customers Per CSM?
• It depends

22. How Many Customers Per CSM?
• It depends
• On breadth of responsibility

23. How Many Customers Per CSM?
• It depends
• On breadth of responsibility
• On touch model

24. How Many Customers Per CSM?
• It depends
• On breadth of responsibility
• On touch model
• On the value of the customer

25. How Many Customers Per CSM?
• It depends
• On breadth of responsibility
• On touch model
• On the value of the customer
• On Customer Success maturity

26. How Many Customers Per CSM?
• It depends
• On breadth of responsibility
• On touch model
• On the value of the customer
• On Customer Success maturity
• On effective use of technology

27. How Many Customers Per CSM?
• It depends
• On breadth of responsibility
• On touch model
• On the value of the customer
• On Customer Success maturity
• On effective use of technology
• On your financial model (monthly vs. annual or multi year)

28. How Many Customers Per CSM?
This is actually the wrong question, or at least
not the whole question….

29. How Many Customers Per CSM?
This is actually the wrong question, or at least
not the whole question….
You’ll be better off thinking about it
monetarily - how many $$ or ££ of
Annual Recurring Revenue (ARR)
should a CSM be managing?

30. How Many Customers Per CSM?
And the answer is….

31. How Many Customers Per CSM?
And the answer is….
~10x the CSM’s fully-burdened cost

32. How Many Customers Per CSM?
And the answer is….
~10x the CSM’s fully-burdened cost
This ratio will result in a financially
viable model (assuming you aren’t
charging for CSMs)

33. Can/Should I Charge for Customer Success?

34. Can/Should I Charge for Customer Success?
• Generally, no

35. Can/Should I Charge for Customer Success?
• Generally, no
• It’s hard to charge for something the customer knows is just as
valuable to you as it is to them

36. Can/Should I Charge for Customer Success?
• Generally, no
• It’s hard to charge for something the customer knows is just as
valuable to you as it is to them
• It’s much more difficult to maintain “trusted advisor” status if
you are charging for your services

37. Can/Should I Charge for Customer Success?
• Generally, no
• It’s hard to charge for something the customer knows is just as
valuable to you as it is to them
• It’s much more difficult to maintain “trusted advisor” status if
you are charging for your services
• Differentiating what you charge for, and who you charge vs.
who you don’t charge

38. Can/Should I Charge for Customer Success?
• However

39. Can/Should I Charge for Customer Success?
• However
• Mature processes and technology could allow you to
differentiate and charge for CSM to your top tier

40. Can/Should I Charge for Customer Success?
• However
• Mature processes and technology could allow you to
differentiate and charge for CSM to your top tier
• An extraordinary level of domain expertise could allow you to
charge for CSM

41. Is Segmentation A One-Time Thing?
• Absolutely
• Do it once and leave it forever
• Businesses don’t change, why should your segmentation?
• Guaranteed to be perfect if you only have ONE customer

42. Is Segmentation A One-Time Thing?
• Absolutely
• Do it once and leave it forever
• Businesses don’t change, why should your segmentation?
• Guaranteed to be perfect if you only have ONE customer

43. Is Segmentation A One-Time Thing?

44. Is Segmentation A One-Time Thing?
• Of course not

45. Is Segmentation A One-Time Thing?
• Of course not
• Your business will change

46. Is Segmentation A One-Time Thing?
• Of course not
• Your business will change
• Your customers will change

47. Is Segmentation A One-Time Thing?
• Of course not
• Your business will change
• Your customers will change
• Your segmentation model might change

48. Is Segmentation A One-Time Thing?
• Of course not
The question is will you be ready
and will you act quickly when the
time comes?

50. Q&AQ&AQ&A

51. Thank YouThank YouThank You