Customer Success – Knowing When Your Customers Are About to Renew
Insights of when customers are up for renewal are also critical. Knowing when your customers are about to renew, or are up for renewal, is an opportunity to strengthen the relationship you have with them. We’re going to go over the steps you should take when your customers are getting close to renewal time. Happy customers become more than just loyal customers, they become advocates!
When to Start Thinking About Customer Renewal
Ideally, you should be thinking about customer renewal the moment they become customers. Customer retention is key to increasing your revenues year after year and is the foundation for successful Software-as-a-service (SaaS) business models. To build a strong customer base, you have to create a seamless product and buying experience. Demonstrating the value of your product every single day should be a significant motivating factor in what you say and do.
Given how massive the SaaS industry is right now, you can’t afford to ignore the best practices leading to customer success. Having a system in place that tracks upcoming renewal dates is an essential component. Starting at three months before renewal is when someone in your sales or biz operations team can begin to take action. Here is our handy guide for how you can achieve customer success that leads to renewals.
Demonstrate Value Right Away
From the moment you take a customer through onboarding, the renewal process can begin. You want to do everything you can to help them integrate your product into their regular workflow. This will ensure they start getting value as soon as possible. Keep the onboarding process seamless and straightforward, so it can be completed quickly. Avoiding bottlenecks and delays at the onset will avoid making a bad impression that could lead to a non-renewal. Having a customer who becomes a champion as early as possible should be a high priority goal.
Also, try to provide personalized value that makes the customer feel special and appreciated. A recent survey revealed that 75% of consumers would recommend, select, or pay extra for a product that provides personalized service.
Set Goals and Celebrate Them
A customer wants to feel like they are doing better with your product than they were without it. This is why you should be celebrating the benefits your customers get from using certain features of your product. When you give your customers continuous reminders of the strides they have made while using your product, they will stay motivated to keep using your product.
Resolve Issues Quickly
Whenever a customer has difficulty or a delay with something, they cannot continue to progress. Any issues should get resolved as soon as is reasonably possible. If a problem comes up during onboarding, prioritize it above all others. Otherwise, you may lose that customer sooner. Everyone knows a first impression is the one that matters the most.
Monitor Customer Health
Summary
You should not only know when your customers are about to renew, but you should also ensure they renew from the moment they are onboarded. Achieving customer success requires you to make sure customers are making progress toward their goals and doing so without issues. When you do this, you will enjoy a high customer retention rate.
