To boil it down, it systematically increases lifetime customer value by ensuring that Customer Retention Costs (CRC) are lower than Customer Acquisition Costs (CAC).
Customers are generally expensive to acquire – so retaining those customers as long as possible just makes good business sense. And when doing so systematically many other revenue increasing opportunities come to life. These almost anecdotal observations become the motivation for a company focus that will drive the Recurring Revenue model ‘upwards and to the right’ – which will be noticed (if not expected) by shareholders and stakeholders.
This Customer Success Framework, an aligned and cohesive approach to maximizing customer lifetime value, is practiced by all major SaaS companies who are dedicated to long term business viability and success. It is based on logical and transparent values and beliefs, implemented using standard tools within intentional processes, and is arguably the only scalable approach to company growth and success.