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Using Customer Success for growth
(Or how I learned to stop worrying about scaling quickly)
SaaStock 2019
Rav Dhaliwal
Software Executive
Advisory
Venture Partner
@ravsterd linkedin.com/in/ravinderdhaliwal/
Rav Dhaliwal
Software Executive
Advisory
Venture Partner
Sales is not about driving
revenue
It’s about generating
customer value
(revenue is the outcome)
Successful customers are the
ones realising that value
Can they realise value on their own?
Can they realise value quickly?
What is Customer Success?
(Recap)
“Building more value faster for the
customer’s company (and your own) so
you can keep and grow the customer
forever”
The mission of Customer Success
“Customer Success creates the
conditions for the next and subsequent
sales”
Why establish
Customer Success early?
The startup journey to scale
Product Market Fit Go To Market Fit Scale
Understand the value you
create and the measurable
leading success indicators
that demonstrate value
Repeatedly articulate,
position and sell based
on the value you create
Increase the pace at
which you position
and sell the value you
create
Two paths to scale
Revenue Growth
CustomerRetention
200%
> 90%
Fast revenue growth
1. Optimise for
Improve retention
200% revenue growth
> 90% retentionStrong retention
2. Optimise for
Improve revenue growth
The optimal path to scale
Revenue Growth
CustomerRetention
200%
> 90%
200% revenue growth
> 90% retentionStrong retention
2. Optimise for
Improve revenue growth
Much easier to accelerate scaling with
strong retention, than to fix retention
whilst scaling quickly
Because churn is a lagging
indicator
(and a silent killer)
CS speeds up the journey to scale
Product Market Fit Go To Market Fit Scale
Identify your leading
indicators for value and
churn
More value based
examples to position
and sell
Solid base of
retention makes
scaling faster & easier
But...
If Customer Success is just a
department...
...you will fail
Success is everyone’s business
Sales Support
Marketing Product
Success Partners
Align everyone to long term value
Hire consultative vs coin operated. % of comp on leading success indicators
Measure % customers achieving value in 90 days. Comp Net Revenue Retention
Focus messaging on value. Define MQLs on attributes of successful customers
Study customers not achieving value. Build features on these observations
Focus on customer self sufficiency. Measure on NPS and CSAT
Make Customer Success part of your GTM
(focus on value metrics before
unit economics)
ICON
Summary
Sales is about generating customer value
CS helps customers realise that value...
...and speeds up PMF & GMT fit
Need to align everyone around value
Strong retention makes it easier to scale
Measurable indicators for success & churn
Thank you
@ravsterd linkedin.com/in/ravinderdhaliwal/
rav@crane.vc

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SaaStock 2019 - ravinder dhaliwal 2

  • 1. Using Customer Success for growth (Or how I learned to stop worrying about scaling quickly) SaaStock 2019
  • 2. Rav Dhaliwal Software Executive Advisory Venture Partner @ravsterd linkedin.com/in/ravinderdhaliwal/
  • 4. Sales is not about driving revenue
  • 5. It’s about generating customer value (revenue is the outcome)
  • 6. Successful customers are the ones realising that value Can they realise value on their own? Can they realise value quickly?
  • 7. What is Customer Success? (Recap)
  • 8. “Building more value faster for the customer’s company (and your own) so you can keep and grow the customer forever”
  • 9. The mission of Customer Success “Customer Success creates the conditions for the next and subsequent sales”
  • 11. The startup journey to scale Product Market Fit Go To Market Fit Scale Understand the value you create and the measurable leading success indicators that demonstrate value Repeatedly articulate, position and sell based on the value you create Increase the pace at which you position and sell the value you create
  • 12. Two paths to scale Revenue Growth CustomerRetention 200% > 90% Fast revenue growth 1. Optimise for Improve retention 200% revenue growth > 90% retentionStrong retention 2. Optimise for Improve revenue growth
  • 13. The optimal path to scale Revenue Growth CustomerRetention 200% > 90% 200% revenue growth > 90% retentionStrong retention 2. Optimise for Improve revenue growth Much easier to accelerate scaling with strong retention, than to fix retention whilst scaling quickly
  • 14. Because churn is a lagging indicator (and a silent killer)
  • 15. CS speeds up the journey to scale Product Market Fit Go To Market Fit Scale Identify your leading indicators for value and churn More value based examples to position and sell Solid base of retention makes scaling faster & easier But...
  • 16. If Customer Success is just a department... ...you will fail
  • 17. Success is everyone’s business Sales Support Marketing Product Success Partners
  • 18. Align everyone to long term value Hire consultative vs coin operated. % of comp on leading success indicators Measure % customers achieving value in 90 days. Comp Net Revenue Retention Focus messaging on value. Define MQLs on attributes of successful customers Study customers not achieving value. Build features on these observations Focus on customer self sufficiency. Measure on NPS and CSAT
  • 19. Make Customer Success part of your GTM (focus on value metrics before unit economics)
  • 20. ICON Summary Sales is about generating customer value CS helps customers realise that value... ...and speeds up PMF & GMT fit Need to align everyone around value Strong retention makes it easier to scale Measurable indicators for success & churn