How to Scale Your Customer Success Team
1 like1,079 views
The document outlines strategies for scaling customer success teams, emphasizing data centralization, automation, and effective program segmentation. It discusses key considerations like cost, hiring practices, onboarding, and calculating the appropriate headcount based on customer behavior and revenue. Additionally, it highlights the importance of defining roles and effective training methods to ensure team performance.
How to Scale Your Customer Success Team
- 2. GET YOUR TWEET ON AND JOIN THE CONVERSATION. #CSWEBINAR @GETAMITY + @KRISTENHAYER A LITTLE HOUSE KEEPING How to Scale Your Customer Success Team
- 3. GETAMITY.COM/DEMO • Centralize your data • Automate heath scoring • Stop operating in Excel • Collaborate on playbooks MAKE YOUR LIFE EASIER
- 4. How to Scale Your Customer Success Team • Cost of Customer Success • Segmentation & Programs • Calculating Headcount • Customer Success Roles • Hiring Right • Onboarding Effectively AGENDA
- 5. How to Scale Your Customer Success Team COST OF CUSTOMER SUCCESS Early Stage Mature 20% 10% Growing 15% Considerations: • Implementation • Brand Promise • Industry • Competition • Expansion Opportunity Cost of Customer Success Team as a Percentage of ARR
- 6. How to Scale Your Customer Success Team Average Revenue Customer Behavior Brand Promise High ARR $50,000+ Typical ARR $5000-$50,000 Low ARR <$5000 Prestige Brand, Market Leader Strong Service, Good Quality Low-Cost Brand, Crowded Market High-Touch 1-50 Customers/CSM Low-Touch 50-200 Customers/CSM Tech-Touch 200+ Customers/Program Relationship Critical, Strong Opportunity Regular Interactions Benefit Customers Low Interaction, Light Relationship SEGMENTATION & PROGRAMS
- 7. How to Scale Your Customer Success Team CALCULATING HEADCOUNT Top-Down Analysis TOP DOWN: On average, a CSM should represent $250k-$2 million* in ARR. THE MATH: (Choose the Appropriate ARR per CSM) / Average ARR per Customer = # Customers per CSM * From CEO’s Guide to 2015 Budget Planning, Mehta
- 8. How to Scale Your Customer Success Team CALCULATING HEADCOUNT Bottom-Up Analysis BOTTOM UP: On average, a CSM should accomplish 800 activities*/month THE MATH: (Choose the Appropriate Monthly Activities per CSM) / Monthly Activities per Customer = # Customers per CSM *The Success League’s rule of thumb. This is 40 activities/day or 5/hour and includes meetings, calls, emails and projects. Adjust lower for high-touch programs and higher for tech-touch programs as appropriate.
- 9. How to Scale Your Customer Success Team CUSTOMER SUCCESS ROLES Hiring Rules of Thumb • 40 Different Job Activities/Role • New Manager – Maximum 6 Direct Reports • Experienced Manager – Maximum 12 Direct Reports • Higher Total ARR / CSM = More Budget for Supporting Roles • Hire Ahead of Need Startup •New company •First round of funding •CS Leader Growth •2nd or 3rd round of funding •Solid business model •CSM •Functional Specialists •Team Leaders •CS Operations Leader Maturity •Known in the market •Growth has stabilized •Customer Marketing •CS Tool Specialists •Analyst
- 10. How to Scale Your Customer Success Team HIRING RIGHT Domain Role-specific job or technology background Experience Time in profession or working for specific companies Education Degrees, courses, certifications or schools Accomplishments Awards, accolades, contests won or goals achieved Leadership Recruiting, coaching and management skills Communication Written, verbal, presentation and speaking skills Judgement Decision-making skills, ethics and values Autonomy Self-motivation, direction and improvement skills Productivity Planning, organization and time management skills Culture Personality traits and alignment with mission and vision 1. Determine the ideal model for each role 2. Write job description and responsibilities from model 3. Interview for match to the model 4. Be careful about interviewing for culture fit
- 11. How to Scale Your Customer Success Team EFFECTIVE ONBOARDING 1. Be Thorough • Company history and culture • Industry and market • Products and services • Role and Team • Playbook and Tools • Other Teams 2. Make it Agile 3. Accommodate Different Learning Styles 4. Use a Variety of Training Approaches 5. Leave Time for Reflection and Social Engagement
- 12. How to Scale Your Customer Success Team KRISTEN HAYER Founder & CEO Kristen@TheSuccessLeague.io CS Leadership Program Classes Include: • Planning a Team Structure • Hiring Top Performers • Onboarding New CSMs The Success League also offers consulting engagements to help organizations build and develop top performing customer success teams. GETTING IN TOUCH
- 13. Q & A How to Scale Your Customer Success Team
- 14. THANK YOU/ How to Scale Your Customer Success Team