Your Renewals Businesses as an App Innovator (December 13, 2016)


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Your Renewals Businesses as an App Innovator

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Your Renewals Businesses as an App Innovator (December 13, 2016)

  1. 1. Sponsored by the ISV Partner Success Group, Salesforce Co-hosted by BMC and Qualtrics @partnerforce @BMC @Qualtrics Run your ISV Business Renewals Take away best practices and tips on renewals to implement to your business
  2. 2. Forward-Looking Statements ​Statement under the Private Securities Litigation Reform Act of 1995: ​This presentation may contain forward-looking statements that involve risks, uncertainties, and assumptions. If any such uncertainties materialize or if any of the assumptions proves incorrect, the results of, inc. could differ materially from the results expressed or implied by the forward-looking statements we make. All statements other than statements of historical fact could be deemed forward-looking, including any projections of product or service availability, subscriber growth, earnings, revenues, or other financial items and any statements regarding strategies or plans of management for future operations, statements of belief, any statements concerning new, planned, or upgraded services or technology developments and customer contracts or use of our services. ​The risks and uncertainties referred to above include – but are not limited to – risks associated with developing and delivering new functionality for our service, new products and services, our new business model, our past operating losses, possible fluctuations in our operating results and rate of growth, interruptions or delays in our Web hosting, breach of our security measures, the outcome of any litigation, risks associated with completed and any possible mergers and acquisitions, the immature market in which we operate, our relatively limited operating history, our ability to expand, retain, and motivate our employees and manage our growth, new releases of our service and successful customer deployment, our limited history reselling products, and utilization and selling to larger enterprise customers. Further information on potential factors that could affect the financial results of, inc. is included in our annual report on Form 10-K for the most recent fiscal year and in our quarterly report on Form 10-Q for the most recent fiscal quarter. These documents and others containing important disclosures are available on the SEC Filings section of the Investor Information section of our Web site. ​Any unreleased services or features referenced in this or other presentations, press releases or public statements are not currently available and may not be delivered on time or at all. Customers who purchase our services should make the purchase decisions based upon features that are currently available., inc. assumes no obligation and does not intend to update these forward-looking statements.
  3. 3. Speakers ​Jackie Oh ​ISV Partners for Life Manager, Salesforce ​Ryan Rich ​Head of Enterprise Client Success, Qualtrics ​Lisa Kraas ​Principal Customer Success Manager, BMC
  4. 4. Agenda The Renewals Journey The four pillars on how Salesforce successfully renews ​Renewals Process How BMC strives for success ​Proactive Renewals Management Qualtrics secret to a proactive renewals process ​Key Takeaways Summary and action items you can take with you ​Q&A Ask your little hearts out! ​What will be covered today? 1 2 3 4 5
  5. 5. Salesforce Renewals Journey Jackie Oh ISV Partners for Life Manager @jackieoh88
  6. 6. Renewals Overview
  7. 7. The Law of Churn ​Selling to stand still Year 0 Year 1 Year 2 Year 3 Year 4 $800K $1M Revenue 90% Renewal Rate 85% Renewal Rate 80% Renewal Rate $656K $522K $409K $900K $850K $810K $723K $640K $729K $614K $512K
  8. 8. Renewals Guide Scale • Scaling Through Automation • Triage Customer Engagement • Automated Global Process Metrics • Reports + Dashboards • Customer Analytics • Forecasting ​Visibility and Insight • History of Renewals • The Law of Churn • Successful Renewals Collaboration • Teamwork • The Timeline • Pro-active Escalation
  9. 9. Renewals Journey
  10. 10. Key Renewal Objectives ​Contractual price uplifts ​Position price uplifts as part of the renewal negotiation ​Favorable terms ​Position annual billing and extend contract terms to drive stability and predictability ​Identify growth opportunities ​Position up-sells and cross-sells to drive growth and customer success ​Identify & mitigate risk ​Identify key customer issues in advance, leverage a renewal play to mitigate risk ​What are the Renewal Managers focused on with each renewal? Leverage renewals best practice strategies and plays to help achieve these objectives
  11. 11. The Renewals Timeline ​Collaborative Account Reviews Assess accounts Create Red Accounts for potential concerns Engage customer in renewal discussion Position incremental revenue plays (upsell, cross-sell, and uplift opportunities) Agree and sign paperwork Another successful renewal! ​Account Check-in, Proactive Support ​Customer Engagement on Renewal process ​Final Agreement and Successful Renewal Identify/mitigate risk Collaborate with Customer Success and prescribe action plans 12 or 9 Months Out 120-90 Days Out 90-45 Days Out 30-15 Days Out
  12. 12. Customer Insight Drives Success Create win-win outcomes ​The Early Warning System ​Snapshot of usage and adoption Retention Predictor Historic usage trending to predict potential risk
  13. 13. Supported by Reports & Dashboards ​One source of truth
  14. 14. Renewal Process Striving for Success Lisa Kraas Principal Customer Success Manager, BMC @LisaKraas
  15. 15. Success Factors
  16. 16. Customer Relationships Trusted Relationships Provide the Foundation for a Successful Renewal Established Relationships & Account Involvement key in SaaS Business Customer Communication Regular Communication & Meetings Build Relationships ​Importance of customer relationships in the renewal process Build Relationships Key Account InvolvementTrusted Relationships Regular Communication
  17. 17. ​Teamwork – Cross Functional Team of Expertise CSM/Success Renewal Sales Order Operations Common Goal Satisfied Customer ​Achieving success together Collaboration Teamwork makes the dream work!
  18. 18. Best Practices Evaluate Customer Needs (Licensing, Growth, New Projects….) Determine If Multi-Product is a Good Fit Provide Term Options for Multi-Year Start Early & Understand Customer’s Fiscal Cycle Define a Renewal Strategy for Consistency & Success Churn Strategy – Salvage Small License Count for Historical Reporting & Org Access ​Evaluating the renewal opportunity 1 2 3 4 5
  19. 19. Analytics
  20. 20. Reporting & Analytics Renewal Rate - How Successful Are We With Renewals? Rate of Churn – How Many Customers Are Leaving? Drivers for Churn – Why? What Churn Factors Can We Control (Support Experience, Product Gaps, …) ​Tracking renewal results Renewal Rate to Date +99%
  21. 21. Proactive Renewals Management Ryan Rich Head of Enterprise Client Success, Qualtrics @ryancrich
  22. 22. Visibility & Insights
  23. 23. Client Life Cycle Initial Sale Implementation Interactions with Support and Client Success Send invoice Month Before Renewal Date Renewal ​The client life cycle has many touch points until renewal
  24. 24. Insight Touch Points ​Use those touch points to gain & act on insights Initial Sale Implementation Interactions with Support and Client Success Send invoice Month Before Renewal Date Renewal How satisfied are you with your implementation? Did we resolve your problem? What are the key reasons for selecting us as your Partner? Would you recommend to friend or colleague? Why did you not renew?
  25. 25. Collaboration
  26. 26. Finding solutions is not just for Support & Client Success ​Questions are posed via Salesforce Chatter or other forum
  27. 27. Finding solutions is not just for Support & Client Success ​Employees across the company provide solutions 1 2 3 4
  28. 28. Metrics
  29. 29. Usage Expansion NPS ​Added Program Elements: What additional objectives, modules, or features were added over the year? ​Opportunity Creation: What new leads were generated and what additional use cases were explored/added? ​Transactional: After key transactions and touch points, a survey is sent to understand the interaction. ​Relationship: Proactively send surveys to understand overall customer satisfaction. ​Reference: Is the client willing to be a proactive customer reference? ​Not all usage is created equal ​Use Case: How important is our solution to the client’s business outcomes? ​# of Users (Adoption): How many users or projects are on the solution? ​Risks: Log risks in Salesforce and proactively address. Know and understand the “why” of customer satisfaction Know how the product is used Know how program and desired outcomes are evolving Determine key drivers of renewals
  30. 30. Track key metrics rigorously ​Automate key metric tracking and reporting to identify trends and properly forecast renewals
  31. 31. Key Takeaways ​Visibility & Insight Creating an Executive sponsorship objective ​Renewals Timeline How will you define your renewals timeline? ​Customer Relationship Management Team collaboration & how it is a critical success factor in the Renewal Process ​Metrics Identifying greater success opportunities based on reporting ​Scale Know the key metrics & automate the tracking so you have a pulse on all your clients at any given time ​What action items can you takeaway from this?
  32. 32. Q&A ​Jackie Oh ​ISV Partners for Life Manager, Salesforce ​Ryan Rich ​Head of Enterprise Client Success, Qualtrics ​Lisa Kraas ​Principal Customer Success Manager, BMC
  33. 33. Announcements
  34. 34. Partner Community ​Your one-stop shop for education, enablement, and engagement • Partner Program Details • Communications & Training • Leads, Opportunities, & Projects • AppExchange Publishing • Webinars & Recordings • Office Hours • Sales & Marketing Resources • Technical Support
  35. 35. Thank Y u