totango and kjr associates webinar: customer journey mapping

Customer Journey Mapping for SaaS

December 11, 2012

Agenda

1.  Intro to The User Era 2.  Customer Journey Mapping 3.  Case Study 4.  Next Steps

The User Era

61% offer try-before-you-buy

44% offer Land and Expand Models

57% shifting to customer metrics

3 Myths

Myth 1: It’s ALL About Customer Acquisition

61% of revenues comes from existing customers

Lead to Deal Deal to Value

Customer Growth

Customer Acquisition

Myth 1: It’s ALL About Customer Acquisition

Myth 2: Focus on Recurring Revenues

Create recurring value, revenues will follow

Myth 2: Focus on Recurring Revenues

Myth 3: Data, Data, Data …

Cancellations are preceded by non-use

Oh and … 50% of users don’t use the service they pay for

Myth 3: Data, Data, Data …

About Totango

100 Customers

10 Million users

The Customer Journey

Customer Journey Map

The first step is adopting a model that is inline with the value delivered to the customer

ONBOARD FAILED

NOT USING

DECREASE START

FIRST VALUE

USERS

USAGE

FUNCTIONALITY

GROW

5 Steps to Customer Journey Mapping

1.   Define First Value

2.   Define On Track for onboarding users

3.   Define On Track for established users

4.   Figure out how to measure On Track

5.   Define an Action for each segment

Define Onboarding Progress

Progress Is an account making progress?

Onboarding FIRST VALUE

START

Established

Define Onboarding Progress

Progress Is an account making progress?

Risk: No usage; Still onboarding after 60d

Notice: Little usage; Still onboarding after 30d

All Good: Healthy usage; New, just started onboarding

Onboarding FIRST VALUE

START

Define Established Account Progress

Progress Is an account making progress?

Risk: Sharp decline in usage; Very low license and feature utilization

Notice: Moderate decline in usage; Partial license and feature utilization

All Good: Healthy usage; Full license and feature utilization

Established FIRST VALUE

START

From Model to Measure …

Progress Is an account making progress?

Risk: No usage; Still onboarding after 60d

Notice: Little usage; Still onboarding after 30d

All Good: Healthy usage; New, just started onboarding

Risk: Sharp decline in usage; Very low license and feature utilization

Notice: Moderate decline in usage; Partial license and feature utilization

All Good: Healthy usage; Full license and feature utilization

Onboarding Established FIRST VALUE

START

Engagement Signals

Demographics Business Interactions

Usage

Contract Human Touch

User Actions

Assets Created

Licenses

LTV

Renewal Date

Company size

Region

Account Ownerships

Training

Support Requests

Surveys/NPS

Tagging

Engagement Actions

In real-time, every time …

Right Customer

Right Action

Right Channel

Right Time

Example 1: Trial Nurturing

Trial - Curiosity

Trial - Evaluating

Trial - Hot

Recommended Actions •  Hot:

Call. Ready to buy.

•  Evaluating: E-mail daily. Next step tip.

•  Curiosity: E-mail weekly. Value prop.

Example 2: Grow Customers

Established - Risk

Established - Watch

Established - All Good

Recommended Actions •  Risk:

Can I help? Review.

•  Watch: How to nurturing.

•  All Good: Contact to sell more.

Case Study

Customer Success Use Case

5% 10% 55%

Totango - ROI

Totango Engagement:

Churn rates:

+25% Retention

first month second month

third month

10/2012 38% 09/2012 25% 28% 08/2012 22% 25% 28% 07/2012 27% 19% 18% 06/2012 31% 19% 20% 05/2012 34% 20% 17%

% of accounts with good health

Totango Best practice implemented

Totango - ROI +25% Retention

first month second month

third month

10/2012 38% 09/2012 25% 28% 08/2012 22% 25% 28% 07/2012 27% 19% 18% 06/2012 31% 19% 20% 05/2012 34% 20% 17%

% of accounts with good health

Totango Best practice implemented

Totango - ROI

•  Before  Totango:  score  decline  month  by  month  •  A8er  Totango:  month  by  month  Increase  

+25% Retention

first month second month

third month

10/2012 38% 09/2012 25% 28% 08/2012 22% 25% 28% 07/2012 27% 19% 18% 06/2012 31% 19% 20% 05/2012 34% 20% 17%

% of accounts with good health

Totango Best practice implemented

Totango - ROI

First  month  engagement  improving  

+25% Retention

Summary

What you can Expect?

Renewals

25% increase in retention in 3 months

Upselling

20% increase in

account value annually

Customer Marketing

4x more engagement with email campaigns

Customer Success

300% increase in activated accounts

Dropbox level engagement without the $5 million and 2 years of development

Summary

To grow customer revenues: 1.  Deliver recurring user value

2.  Start by mapping your customer journey

3.   Right action, right customer, right time

Call to Action

Read case studies at www.totango.com Learn about our custom one-day workshop

Contact us ken@kjrassociates.com dominique@totango.com