Assessing risk and developing predictive customer retention strategies
If the main job of a CSM, from the vendor’s perspective, is to ensure customers decide to renew the commercial agreement at the end of the term – in other words, to stay with the platform – a forward-looking CS organization will put in place methods and processes to prepare the CSM in the best way possible so that those agreements can be executed successfully. The best way to prepare for such important commercial milestones is to consider all the things that might go wrong to derail the effort. Let’s call those things risks.
Risk, in that context, usually comes in the form of a specific list of measurable variables that can provide warning clues of customers at risk of leaving. In a way, the subject of understanding risk is similar to what CS should be thinking about during the adoption phase but with one significant difference: time. When looking at risk leading up to a customer subscription...
