As the pandemic forced businesses across sectors to go remote in 2020, SaaS products for various purposes such as project management, operations, finance, and so on became easier to adopt and implement at a typical workplace.
However, the expansion of the SaaS ecosystem in the past two years Cork Kids Bicycle Shop shines a light on the fact that there is no shortage of SaaS products and that the end-user gets to decide on the software they want to use and for how long. The number of subscriptions earned matters.
As a result, successful brands need to pay much more attention to delivering continuous value throughout the life cycle of each customer so that they remain engaged with the subscription model. In this context, customer success becomes rather critical for business growth.
By establishing long-term customer relationships, one can maximize lifetime value and reduce churn rates. You see, acquiring new customers is up to 25X more expensive and complicated compared to retaining existing ones.
Research shows that increasing retention rates by 5% can jump your profits by 25% to 90%. Making your customers feel comfortable using your SaaS products opens up opportunities for upselling, cross-selling, and referrals.
It is a great way to build customer loyalty in your company. However, there is always an element of ‘change’ that needs to be considered.