Alexander Berry’s Post

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Delegate | Net Revenue Retention

The most common untapped potential we see in CS & AM Teams @ B2B Software companies Mid-Market+... is how to maximise the value of long-tail customers / unmanaged tiers. With a bit of extra love these customers can frequently add several NRR% points to a company's growth - because they are: 🎯 resilient due to diverse range of vertical, geo's and business models 🎯 rarely using the full range of available products 🎯 not maximising the value of the ones they already use 🎯 likely to never have had a business discussion with an AM or CS Rep 🎯 the MOST likely to be churning due to entirely preventable reasons 🎯 the MOST likely to have been poorly onboarded and activated But there are a combination of factors that actually make it tricky for Mid Market and Enterprise Companies to cater for these lower segments (efficiently): 🔺 It's tricky to deliver dynamic, cross-system insight on each account 🔺 the CS & AM Team rarely have the capacity to address every one 🔺 or the account isn't spending enough to warrant attention (ouch!) 🔺 It can be hard to predict the impact LT initiatives will realise 🔺 responsibility lies across both product and the CS/AM team When I was at Nexmo (now Vonage) in the early days, accounts like Airbnb and (Line) LY Corporation were in these cohorts and graduated to spend millions of dollars EACH month on our APIs. 😱 And today, we talk to other market leaders (Public, Series C+ Orgs) and not one we've spoken to is truly nailing this... In the age of efficient growth, it's vital companies rectify this and get closer to these customers. With Median NRR in Public Saas at 108% the potential is meaningful. ❗ While Saas category saturation means its highly likely that one of your competitors is currently cherry-picking your high-potential long-tail customers and is actively helping them move off your product...

Rachel Bradley

Head of Engineering @ SmashCloud | Head of Growth | MBA, BBA

1mo

Very informative

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