{"id":21357,"date":"2023-01-07T19:48:35","date_gmt":"2023-01-07T11:48:35","guid":{"rendered":"https:\/\/www.doerhrm.com\/uk\/?p=21357"},"modified":"2024-03-18T05:22:20","modified_gmt":"2024-03-18T05:22:20","slug":"customer-success-kpis-what-to-monitor-in-2023","status":"publish","type":"post","link":"https:\/\/www.doerhrm.com\/uk\/customer-success-kpis-what-to-monitor-in-2023\/","title":{"rendered":"Customer Success KPIs: What to Monitor in 2023"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"21357\" class=\"elementor elementor-21357\">\n\t\t\t\t\t\t\t\t\t<section class=\"elementor-section elementor-top-section elementor-element elementor-element-51655c3 elementor-section-boxed elementor-section-height-default elementor-section-height-default\" data-id=\"51655c3\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-default\">\n\t\t\t\t\t<div class=\"elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-0dff74f\" data-id=\"0dff74f\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t\t\t<div class=\"elementor-element elementor-element-6dcb406 elementor-widget elementor-widget-text-editor\" data-id=\"6dcb406\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.10.2 - 29-01-2023 *\/\n.elementor-widget-text-editor.elementor-drop-cap-view-stacked .elementor-drop-cap{background-color:#818a91;color:#fff}.elementor-widget-text-editor.elementor-drop-cap-view-framed .elementor-drop-cap{color:#818a91;border:3px solid;background-color:transparent}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap{margin-top:8px}.elementor-widget-text-editor:not(.elementor-drop-cap-view-default) .elementor-drop-cap-letter{width:1em;height:1em}.elementor-widget-text-editor .elementor-drop-cap{float:left;text-align:center;line-height:1;font-size:50px}.elementor-widget-text-editor .elementor-drop-cap-letter{display:inline-block}<\/style>\t\t\t\t<p>Finding new customers is challenging, but retaining them is the true struggle for SaaS businesses at present. Cross-selling and upselling are increasingly regarded as the most effective methods for increasing revenue, tasks that fall under the purview of a contemporary Customer Success Manager. Consequently, it&#8217;s logical that Customer Success KPIs have evolved over time to reflect these shifts.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3e75b0b elementor-widget elementor-widget-heading\" data-id=\"3e75b0b\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<style>\/*! elementor - v3.10.2 - 29-01-2023 *\/\n.elementor-heading-title{padding:0;margin:0;line-height:1}.elementor-widget-heading .elementor-heading-title[class*=elementor-size-]>a{color:inherit;font-size:inherit;line-height:inherit}.elementor-widget-heading .elementor-heading-title.elementor-size-small{font-size:15px}.elementor-widget-heading .elementor-heading-title.elementor-size-medium{font-size:19px}.elementor-widget-heading .elementor-heading-title.elementor-size-large{font-size:29px}.elementor-widget-heading .elementor-heading-title.elementor-size-xl{font-size:39px}.elementor-widget-heading .elementor-heading-title.elementor-size-xxl{font-size:59px}<\/style><h2 class=\"elementor-heading-title elementor-size-default\">What exactly are the KPIs for Customer Success?\n\n\n<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-606c5e6 elementor-widget elementor-widget-text-editor\" data-id=\"606c5e6\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Customer success KPIs help businesses keep track of how well they keep customers, look at churn rates, and figure out how they are taking advantage of new growth opportunities.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">These metrics help CS leaders take a proactive approach that can help them make better data-driven strategies that are based on unbiased insights made with the help of multiple data sources, including multiple communication channels.<\/span><\/p><p><span style=\"font-weight: 400;\">For the best results, the modern post-sales lifecycle needs to be strong and correct. Traditional metrics like customer lifetime value (CLV) and net dollar retention (NDR) have been used for more than a decade, but you need to be more hands-on with your analysis now.\u00a0<\/span><span style=\"font-weight: 400;\">Less responsive metrics will help customer service teams react faster to churn risks and change their playbooks as needed.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-07efcab elementor-widget elementor-widget-heading\" data-id=\"07efcab\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Why do Customer Success teams in 2023 need accurate metrics?\n\n\n\n\n\n\n\n<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c003974 elementor-widget elementor-widget-text-editor\" data-id=\"c003974\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">There are more and more use cases. It&#8217;s getting harder to guess what will happen in the market. Businesses grow (and shrink) more quickly.\u00a0 <\/span><span style=\"font-weight: 400;\">To make things even more complicated, customer accounts are always changing because relationships and feelings change. <\/span><\/p><p><span style=\"font-weight: 400;\">All of these things mean that CS leaders and teams need to adopt a more data-driven approach if they want to grow in a way that is sustainable. <\/span><span style=\"font-weight: 400;\">When you use, track, and improve the right metrics, you can:<\/span><\/p><ul><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Streamline and improve the way you onboard new employees.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Increase account transparency to sell more and keep more customers.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Analyze and understand the journeys of your customers to provide more value.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Track changes in how customers feel to better control damage (churn).<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Better align business processes with the main goal.<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Improve CS operations and make them more productive<\/span><\/li><li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Get customers to talk about your brand (mouth of the word)<\/span><\/li><\/ul><p>\u00a0<\/p><p>You can get all of the above benefits by choosing the right metrics for your business. If you have too many KPIs to track, it can hurt your business. We have chosen the top 7 customer success KPIs you need to track in 2023.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-63bc794 elementor-widget elementor-widget-heading\" data-id=\"63bc794\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Top 7 KPIs for Customer Success in 2023\n\n\n\n\n<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-51e6b7e elementor-widget elementor-widget-text-editor\" data-id=\"51e6b7e\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">CSMs have been trying to move the needle for the past 10 years by using traditional metrics and getting direct feedback. Even though they are still useful in many situations, the old KPIs are not enough to measure the changes and shifts in the SaaS space today.\u00a0<\/span><\/p><p><span style=\"font-weight: 400;\">Customer Success has changed over time, and so have the metrics that need to be tracked and watched all the time. <\/span><span style=\"font-weight: 400;\">Here are seven important metrics that need to be part of your customer service plan right now:<\/span><\/p><h3><b>Net Revenue Retention (NRR)<\/b><\/h3><p><span style=\"font-weight: 400;\">The NRR metric lets you figure out how much money you made over a certain amount of time, minus the money you lost due to customers leaving. When this key KPI is above 100%, it means that the business is healthy and growing even without adding new customers. The NRR metric needs to be carefully and as often as possible calculated.<\/span><\/p><h3><b>Customer Churn Rate<\/b><\/h3><p><span style=\"font-weight: 400;\">Customer Churn Rate, which is also called &#8220;customer turnover,&#8221; is one of the most important CS KPIs today because it shows how many customers leave the service. It&#8217;s easy to figure out: just divide the number of lost customers by the number of total customers at the beginning of the relevant time period and multiply by 100.\u00a0<\/span><\/p><h3><b>Metric North Star<\/b><\/h3><p><span style=\"font-weight: 400;\">The goal of the North Star Metric is to help companies get their teams to work together around a key metric that measures the value delivered as a sign of growth. Since the Sales, Product, Marketing, Support, IT, and Customer Success teams are all focused on their own sub-metrics and sub-goals, the North Star acts as a Single Source of Truth to align the whole company with the common goals and increase visibility across departments.<\/span><\/p><p><span style=\"font-weight: 400;\">A good NSM should have the skills to:<\/span><\/p><ul><li><b>Measure Product Value<\/b><\/li><\/ul><p><span style=\"font-weight: 400;\">It should be able to keep track of the &#8220;aha!&#8221; moment when a customer realises how valuable your product is to them.<\/span><\/p><ul><li><b>Be a Leading Indicator of Revenue<\/b><\/li><\/ul><p><span style=\"font-weight: 400;\">It should become a leading business indicator for your company instead of a lagging one (like churn).<\/span><\/p><h3><b>Relationship Score<\/b><\/h3><p><span style=\"font-weight: 400;\">The Customer Relationship Score has become an important part of all customer service strategies, especially when it comes to large and important accounts. The relationship score helps companies find relationship-based risks and opportunities. It does this by taking into account the relationships your company has with multiple stakeholders.<\/span><\/p><h3><b>Customer Health Score (CHS)<\/b><\/h3><p><span style=\"font-weight: 400;\">As the name suggests, the Customer Health Score measures how engaged customers are right now to figure out how likely they are to stay customers. This churn management KPI can be calculated in a number of different ways, depending on the number of parameters.\u00a0<\/span><\/p><h3><b>Net Promoter Score (NPS)<\/b><\/h3><p><span style=\"font-weight: 400;\">NPS is a metric that is often used in CS. It&#8217;s a way to figure out how satisfied customers are and how loyal they are. These scores are based on surveys, in which people also have to explain how they scored. This lets businesses know where they stand with their customers and find problems before they get out of hand.<\/span><\/p><h3><b>Customer Sentiment Score<\/b><\/h3><p><span style=\"font-weight: 400;\">Customer sentiment is a fluid and changing idea that takes into account both the actual experience and a judgement based on feelings. When you accurately track how customers feel, you can keep an eye on trends and make a customer service strategy that is up-to-date. It also helps keep track of how people feel about a product in real-time and figure out why things are changing.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-8db62b7 elementor-widget elementor-widget-heading\" data-id=\"8db62b7\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Numbers Don't Always Reveal Everything\n\n\n\n\n\n\n\n<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-4b0a272 elementor-widget elementor-widget-text-editor\" data-id=\"4b0a272\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><span style=\"font-weight: 400;\">Setting up and keeping track of KPIs is great, but they can&#8217;t tell the whole story because SaaS consumption is so dynamic and unpredictable today. To see the risks and opportunities in your key account, you really need to understand and break down the relationships, hierarchies, and dependencies in it. Besides that, here are two other things you should think about when making your CS plan.<\/span><\/p><h3><b>Expansion is the new KPI for customer success<\/b><\/h3><p><span style=\"font-weight: 400;\">No longer is reducing churn rates and signing off enough. No CSM can be happy today if upselling and cross-selling metrics don&#8217;t go up in a big way.<\/span><\/p><h3><b>KPIs can be different for each use case<\/b><\/h3><p><span style=\"font-weight: 400;\">Today, there are more and more different kinds of audiences to reach. As Product-Led Growth grows, the line between B2B and B2C is also becoming less clear. This means that users can come from different industries and have different needs, so the same KPIs can show very different things.<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-23b8c5c elementor-widget elementor-widget-heading\" data-id=\"23b8c5c\" data-element_type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Summing it Up\n\n\n\n\n\n\n\n<\/h2>\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-7d115c2 elementor-widget elementor-widget-text-editor\" data-id=\"7d115c2\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p>The contemporary Customer Success Manager must strike a delicate balance between ensuring customer satisfaction and driving revenue growth for the business. However, since each customer is unique, depending solely on Customer Success KPIs can sometimes lead to unintended consequences. That&#8217;s why understanding the dynamics of relationships and hierarchies within your key accounts is crucial.<\/p><p>With the DoerHRM KPI solution, you gain access to comprehensive insights into customer relationships, real-time tracking of trends in customer sentiment and engagement, and actionable insights that go beyond mere quantitative metrics.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Finding new customers is challenging, but retaining them is the true struggle for SaaS businesses at present. Cross-selling and upselling are increasingly regarded as the most effective methods for increasing revenue, tasks that fall under the purview of a contemporary Customer Success Manager. Consequently, it&#8217;s logical that Customer Success KPIs have evolved over time to&hellip;&nbsp;<a href=\"https:\/\/www.doerhrm.com\/uk\/customer-success-kpis-what-to-monitor-in-2023\/\" class=\"\" rel=\"bookmark\">Read More &raquo;<span class=\"screen-reader-text\">Customer Success KPIs: What to Monitor in 2023<\/span><\/a><\/p>\n","protected":false},"author":3,"featured_media":28082,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"","neve_meta_content_width":0,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","neve_meta_reading_time":"","_ti_tpc_template_sync":false,"_ti_tpc_template_id":"","footnotes":""},"categories":[106,5],"tags":[],"class_list":["post-21357","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-kpi-library","category-performance-management"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Customer Success KPIs : What to Track in 2023 - DoerHRM UK<\/title>\n<meta name=\"description\" content=\"Explore the must-monitor customer success KPIs in 2023. 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