I recently moderated a panel about customer success and ABM at an event that drew over 400 of Austin’s finest marketers. We had Veronica Servantez, a Sr. Director of Marketing at Rackspace, renown for their fanatical support when providing cloud solutions, and Jon Dalton, an executive online marketing director at Dell. I’ll summarize some customer success tactics that were shared during this session as well as others I’ve heard work well for account based marketing.
Customer success is important because “acquiring a new customer is five to 25 times more expensive than retaining an existing one. (Source: HBR)
Rackspace uses NPS to help with account based marketing campaigns
Veronica explained that at Rackspace, customer success is measured by loyalty using net promoter score (NPS). One of the most important measures in the entire company, NPS is the sum of customer responses to one simple question: how likely is it that you would recommend Rackspace to a friend or colleague? NPS is so crucial to their culture that Rackspace convinced the creator of NPS, Fred Reichheld, to join their board.
During the panel discussion, I asked how Rackspace uses NPS in marketing. Veronica mentioned that the RAX marketing team will design campaigns based on feedback from NPS survey responses. She described a campaign that was created after they noticed that customers were complaining about a particular Rackspace feature. After they fixed the issue with the product team, they ran a marketing campaign for a specific set of accounts to promoting the product improvement. Campaigns that focus on keeping customers lead to more revenue, cost less, and are quicker than campaigns that focus on acquiring new ones.
Dell uses custom Dell stores for target accounts
On the same panel, John talked about similar anecdotes at Dell. But, what intrigued me while was how they provide a custom web experience for customers. Called premier pages, hundreds of thousands of Dell’s medium business and enterprise customers have a unique Dell.com store. For each one of these customers, their unique dell.com store contains specific pricing, preferred products, custom merchandising, and account team information. Dell found that customers who are actively using premier pages spend more with Dell and are more likely to stay with Dell than customers who don’t.
Track the accounts from online referral traffic
While at a strategic level, it makes sense to invest in customer success because the ROI is better to keep one than acquire one, it might be difficult to pull money from the acquisition budget without a quick win. One place to start is to track online referral traffic from review sites. Treat those referral sites, not as “free leads” but just like any other paid media source. Let’s say your cost / visit using paid digital media is $30, then multiply $30 x the # of leads from referrals. That’s one approach that worked for me when I was responsible for web properties working at Vocus.
ABM Tip: Sse an account based analytics package to see if that referral traffic is coming from target accounts.
Invite customers to prospect events
Why invite customers to an event that is focused and measured on acquiring new ones? Current customers are your best sales team. Try a few acquisition events with customers and prospects and compare the event ROI to events with only prospects. Results of acquisition events with customers will be better. Guaranteed.
Have other ideas? Please share!