November 18, 2014

How to Drive More

Upsells in 2015

Housekeeping

• Q&A panel on your right

• Recording for colleagues who can’t make it

• All attendees will receive slides

• Twitter hashtag #customersuccess

Our Speakers

Lincoln MurphyCustomer Success Evangelist

@LincolnMurphy

Steli EftiCo-Founder & CEO Close.io

@Steli

What We’ll Cover Upsells, Expansion

Revenue, and Negative

Churn

1

2 How Customer Success

Drives Upsells

3 Operationalize the

Upsell Process

4Organizational

Considerations

5 Q&A

Upsell is a Growth Accelerator

• Increased Customer Lifetime Value

(LTV)

• Improved Customer Acquisition Cost

(CAC) Efficiency

• Greater Dollar Revenue Retention

(DRR)

• Reduced Logo Churn

LTV

ACV

DRR

Growth

No Upsells?

Lower DRR /

Higher Churn

Failure to capture latent

expansion revenue

Valuation may suffer due to

unrealized revenue potential

[ ]

Expansion Revenue

$

Expanded Use/Additional

Seats

Add-Ons

One-time Purchases

Additional Services

Complementary Products

Negative Churn

Each year, the typical customer

pays New Relic 14% more than

last year. Negative churn is

incredibly attractive [...] if the

company were to cease spending

money to acquire new customers,

the business would still grow at a

14% CAGR.

“

”Tomasz Tunguz

Redpoint Ventures

http://tomtunguz.com/new-relic-s-1

Upsells

http://www.forentrepreneurs.com/2014-saas-survey-1/

Upsells

http://www.forentrepreneurs.com/2014-saas-survey-1/

CUSTOMER SUCCESS:

Ensuring your customers achieve their

Desired Outcome through the use of

your product.

No Customer Success = No Upsell Opportunities

Operationalize the Upsell Process

1Be clear on

what success

means for your

customer

3Benchmark

where your

customers

start

6Peg upsell

opportunities

to certain

success

milestones

8Present the

offer at the

right time

2Set goals with

your

customers

4Identify

success

milestones

5Design journey

along those

milestones

7Know what

offer to present

for which

milestone

Upsell Hacks

Use self-service as part of

trials & POCs

Mention upsells early in their lifecycle Improve time to first value to upsell faster

Enable self-service activation where possible

Offer concierge onboarding

Mention upsells early in their lifecycle

Improve time to first value to upsell faster

Enable self-service activation where possible

Offer concierge onboarding

Use self-service as part of

trials & POCs

Organizational Considerations

1Who owns

upsell in

your

organization

?

2How do you

compensate

them?

3How is this

handled at

various stages

of CSM org

maturity?

A Gift from Steli

http://www.unscalablestartup.com/ultimate-upselling/

Train a New Team

www.gainsight.com/customer-success-university

http://gainsight.com/pulse

November 18, 2014

Thank you!