Creating and Calculating Customer Value

What is customer value, and how much of an impact did your service or product actually make on customer value? In other words, do you have a method of calculating customer ROI.

Many customer success executives and customer success managers struggle not only with articulating customer value, but also proving it using a ROI calculation. 

If CSMs do succeed at articulating some moments of value, it’s even more difficult to prove and quantify it in dollar amounts. 

Generally speaking, calculating the ROI for customers requires a consistent method to quantifying the value delivered in terms of how much money your solution helped your customers make or save.

Once figured out, delivering a ROI calculation your customers agree with, can take your CSM relationship with your customers to another level and elevates the discussion with the leadership team. 

The first step to calculating customer value and proving it, is knowing how the customer feels and how they engage. The next step in knowing how to create customer value is showing that the return on investment (ROI) is greater than the amount that was invested. By partnering with the customer in a meaningful way, your engagement shifts to being a trusted advisor, thereby accelerating the path to a renewal discussion that is more quantitative and data-driven. 

Eyal Maor, Senior Vice President of Customers at GlassBox Digital, walks us through the process of overcoming common barriers to calculating customer ROI and the essential steps in quantifying and proving it through this podcast. 

He also provides examples of the Customer Value Analysis dashboard and ROI formulas his CSMs use at GlassBox, and shows how this strategy made an impact on their engagement with customers.

Download his slides to learn more about Creating and Quantifying Customer Value. 

Need help in optimizing your Customer Success strategy? Reach out to CSM Practice now!