Design a Winning Customer Adoption Strategy

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Today’s Host: Scott Schell@Schell_ShockedSenior Manager, Global Customer Success Cisco Systems, Inc.

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Customer Success Methodology#successtalk

People

Automation

Process Analytics

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On demand webinars, videos, infographics, blogs, whitepapers and much more!

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Visit Success Hub

Design a Winning Customer Adoption Strategy

Ashvin Vaidyanathan@ashvinvai

Director of Client Strategy Gainsight

Sam Parri

Customer Success Manager Cisco Systems, Inc.

The Consumption Gap is based on the idea that technology companies can add features and complexity to their products at a much more rapid rate than their customers have the ability to consume them.

-J.B. WoodPresident and CEO, TSIAConsumption Economics: The New Rules of Tech

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Product usage chases functionality

Product Use Product Features

An effective adoption strategy works on closing the consumption

gap and increasing feature usage.

Source: Complexity Avalanche, J.B. Wood

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Year 1 Year 2 Year 3Champion Change Word-of-Mouth

What is a customer really worth?

Source: CLTV Isn’t The Whole Story. Don’t Shortchange Second-Order Revenue, Jason Lemkin

Initial Sale

+25%+56%

Total customer lifetime value is

likely as much as double what you think it is today.

Dollar Net Renewal Rate

60% 70% 80% 90% 100% 110% 120%

Source: Altimeter and FactSet 10/2014

10x 7X

Adoption improves your valuation

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Personaljourney and well-being

Customer journey and well-being

A parallel experience

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Your personal journeyB

Old Age

Infancy Adulthood

Adolescence

Personal Journey - Risks

Context

Family historyAccess to foodAccess to love

Bankruptcy

Failure to LaunchMove into parent’s basement

CrisisBreak an arm

Bad HabitsStop exercising

PessimismDepression

Parenting Milestones – Life coach

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Your customer journeyC

ture C

ontract Expiry

Seasoned

New Customer Ramping

Onboarding

Customer Journey - RisksFirst 90 Days

Context

Customer fit or qualifications, resources and

expertise

Lose Sponsor

Failure to LaunchNever Implement Solution

CrisisSupport Tickets

Bad HabitsPoor System Maintenance

PessimismDetractor

Onboarding Milestones – Customer Success Manager

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Tech Touch

CSM Touch• EBR & Success Plan

Review

• CSAT Survey• Usage Reports• Product Release

Emails

Ramping

• Renewal Preparation• Renewal Negotiation

• Expand Opportunities

Seasoned

• Train the Trainer• Go Live

• Onboarding webinars• Additional training

resources

Onboarding

Managing your customer lifecycle

• Kickoff call• Success plan

• Welcome email

New Customer

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WelcomeShow your customers they are appreciated.

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Success Plans How to align on strategy and deliver value.

1. New Customer

2. Challe

nge Identification

3. Strate

gy Sessi

4. Post-meetin

g Follow-

5. Roll out best practices

; track value via success

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1. New Custome

2. Challenge Identificatio

3. Strategy

Session

4. Post-meeti

ng Follow-up

5. Roll out best practices; track value via

success plans

Success Plans: Challenge Identification

Invite key stakeholders to strategy session

Document key business challenges

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1. New Custome

3. Strategy

Session

4. Post-meeti

ng Follow-up

success plans

Success Plans: Strategy Session

Review challenges Share best practices as

frameworks for solutions Prioritize top initiatives for

implementation

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1. New Custome

3. Strategy

Session

4. Post-meeti

ng Follow-up

success plans

Success Plans: Post-meeting Follow-up

Create success plan, documenting the top initiatives and timeline

Export success plan and align with customer

Set up success snapshots to export

plan into ppt

Use CTAs to align on overall objectives and

broad initiatives; Set up tasks to align with more

specific due-dates

Set up templates to streamline SP

creation

Once success plan is set to active, objective CTAs will

appear in your Cockpit; intended to be managed along

with CTAs of other types

Planning Tips

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Train the Trainer

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Adoption creates customers for life

Adoption is about addressing the

consumption gap.

Understand how your customer journey relates to

your personal journey.

Relevant, timely customer engagement is critical to

your success.

What happens in the first 90 days for a Smart Net Total Care customer?

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Vision – a Lifecycle Approach

Welcome

2nd Chance AttachExpand

Refresh

Install Base Management and data accuracy is the foundation for all Cisco software & services success.

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Audience Poll

Do you think your customers currently follow good Install Base (IB) management practices?

Yes No

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Customer Success Managers’ individual impact

Align to Business Outcomes

Follow the VALUE Framework

Overcome Adoption Barriers

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The VALUE Framework

Validate Awareness Leverage key learnings Utilization Embed key features to establish customer value

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Getting started with your customers

Get to know your customers and what they expect to achieve with

Smart Net Total Care.

Collaborate with stakeholders and internal teams to validate

objectives.

Define customer outcomes and assess internal/external

resources.

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Strategic Importance

Resources

Training/Understanding

Collector Installation

Data Accuracy/Integrity

Audience Poll

Considering your personal experience with Smart Net Total Care onboarding, what do you feel is your #1 challenge with successful customer adoption?

Critical Smart Net Total Care Milestones

1 2 3Collector Installation Initial Data Upload Initial Reports

90 Day Smart Net Total Care Adoption Checklist

Customer Kickoff Meeting

Open TAC Collect Case

Share Software Collector Image

CSAM Training (Customer Users Registration)

Collector Ready (Virtual Machine Deployed)

Network Ready (SNMP, ACLs, Firewalls)

Collector Configuration Meeting

First Data Upload

Discovery Target Completion and Upload

Portal Training

Close Out Meeting

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Audience Poll

Are you currently measuring customer health scores?

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What goes into a Health Score?

Objective Subjective Health Score

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Low scores indicate adoption challenges and requires immediate intervention to remedy issues or remove obstacles.

High scores indicate healthy adoption and the potential for references, case studies or expand opportunities.

Understanding Health Scores

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Transition from Onboarding to Adoption (Project Manager to Customer Success Manager)

Establish a cadence to drive product use and further adoption

Remove barriers to progress

Focus on install base management best practices

Use Smart Net Total Care as the single-source-of-truth for network accuracy

What happens after the first 90 days?

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Case Study ExampleWhat happens when adoption works?

Secured a 5 year Smart Net Total Care contract at a value of $10M and increased renewals by 30%

Challenge

After several painful, costly network outages, an industrial

products manufacturer needed an asset management tool and

access to reliable TAC support to minimize their risk exposure and

improve network reliability.

Action

To minimize network risk, proactively manage a predictable budget, secure TAC services and improve network reliability, Smart Net Total Care was implemented.

An install base assessment and audit were completed to bring

software licensing into compliance.

Outcome

Smart Net Total Care is now the single source of truth and the

customer now has an accurate view of their network, access to TAC support and has minimized their risk of network outages that

affect profitability.

Also improved software licensing and regulatory compliance

requirements.

VALUE Framework Process Checklist

Validate

Know your stakeholders and understand their desired business outcomes Monitor onboarding services Document customer restrictions Verify information accuracy with customers Agree on key performance indicators for business outcomes

Awareness Ensure timely delivery of the welcome package Assess product knowledge and resources Focus on key feature value

Leverage the Learnings Know what matters to your customers and why it is important Activate key solution features Determine where your customer sees value

Utilization Monitor your customer health score Act on key triggers Encourage use of key features

Embed Process Value

Remedy customer adoption barriers Promote key features and establish business value reviews Capture expand opportunities Collaborate with account teams Document and celebrate success

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Upcoming Sessions#successtalk

Automation tools can lower your cost to serve customers while improving their experience with your Smart Net Total Care services. Find out how to save time and money with an automated adoption journey.

Low-Touch Tactics to Grow Customer AdoptionJune 14, 2016

Healthy customers renew their service contracts and purchase more from your company, but what does a healthy customer look like? Discover simple ways to improve customer health for Smart Net Total Care and keep your customers happy.

Product Usage: Your Silent Revenue KillerJune 28, 2016

Sign up for a webinar

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nlemieux@cisco.com

scschell@cisco.com

@Schell_Shocked

@CiscoImpact

Let us know what you think!

Thank you.

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Design a Winning Customer Adoption Strategy

Technology