Want to achieve negative churn? Start here.
Customer Success is the foundation for increasing renewals & decreasing churn
Rapid growth for SaaS businesses is important, not just to scale, but also to demonstrate traction to investors. But as an industry, we are sometimes too insensitive to the massive amount of money invested in customer acquisition. B2B SaaS companies constantly get caught chasing hot new leads and under investing in renewals and customer success.
Which is striking because the renewal is where the profit lies. “Acceptable” churn for a SaaS company is 5-7% annually (more on that here). A 5% monthly churn rate means you are losing about 46% of your customers every year. Which is not only a huge lost opportunity for revenue, but also a wasted investment of dollars spent on acquisition.
What is Negative Churn?
Negative churn is the holy grail of renewable revenue. High churn rates (over 7% a year) kill SaaS companies. If you’re a B2B SaaS company, your Customer Acquisition Costs (CAC) relative to your Life Time Value (LTV) is a key metric for your organization.
Negative churn is what happens when the revenue that your upselling and cross-selling activities are creating outpaces the revenue lost when customers defect. And it can only happen in a company built around a culture of customer success and support.
Setting Customers up for Success
Support is not just about when something breaks. Your customer success and support teams should help you increase renewals, build a better product, and create default growth.
To achieve that, your success and support team members need in-depth knowledge about your customers. They require finger-tip access to every case and interaction your company has had with each customer; in order to onboard, train and retain them.
At CloudKettle, we help build that foundation by integrating your customer support tools like Desk.com, Service Cloud, and Intercom with Salesforce and your own SaaS product. Giving your employees real time access to which customers are at high risk to churn or ready to be upsold.
Build a Better Product
We have years of experience helping B2B SaaS companies gain insights about their customers from their own product’s data with Salesforce. Providing team members and executives with information on what generates customer complaints and churn.
Our goal is to help you see not only what your most common issues are, but more importantly narrow in on which ones are having the largest negative impact on revenue.
We also aim to help you identify what User Interface and Experience weaknesses exist and what features your customers value; to improve your product.
When successful, customer success helps build a better product your consumers happily spend more on every year; adding seats and upgrading tiers.
"We initially engaged CloudKettle to migrate iWave from SugarCRM to Salesforce. Their extensive knowledge of the Salesforce ecosystem was evident from day one. Aside from a successful migration, CloudKettle is helping us build a comprehensive Sales and Marketing process that leverages technology and data to help fuel our growth. CloudKettle's leadership team challenges us to think strategically to meet our goals."
Gerry Lawless, CEO iWave Information Systems
"I initially engaged CloudKettle only to audit our Revenue Stack but found they could drive change across the organization based on their roadmap. I see CloudKettle as a trusted advisor to me and my team and they regularly provide actionable advice to my team. For me they bring the right combination of hands on keyboard execution for demand generation, marketing and sales operations coupled with strategic advice and direction. CloudKettle is a seamless part of our team, from strategy to execution - they treat our budgets, leads, and opportunities as if they were their own."
Brian Goldfarb, CMO Splunk
"Recently we used CloudKettle to help our CRM migration from HubSpot over to Salesforce. Despite the API limitation of HubSpot on the CRM side (as well as some wonkiness in our data) the guys at CloudKettle were able to quickly and accurately migrate our data over to our new Salesforce instance. Their work not only saved us numerous headaches from doing it ourselves but came in under the budget we had allocated for this endeavour."
Dan Stratton – Director of Marketing, Affinio