Every business, whether big or small, depends on its clients, and customer success can be a huge deciding factor in the growth of your business. That is why it is essential to pursue the best customer retention strategies. In today’s scenario, the customer churn rate is at an all-time high, and businesses have struggled to retain their clientele by keeping them happy.
With the industry getting increasingly complex, finding a convenient way to tackle each issue would be helpful. That is where machine learning proves to be a game-changer! Not only does Machine Learning help us solve problems faster, but it also frees up time for other valuable things. Learn everything you can, try new approaches, and succeed like never before.
Challenges with Traditional Customer Success Strategies
Customer Success has emerged as a new discipline in the past few years designed to help businesses keep their customers happy and engaged over the long term. But many businesses do not know where to start when it comes to implementing Customer Success strategies within their organizations.
The traditional customer success strategies have many challenges
Insufficient information about the customer and their problem
In order to understand the customer problem, you need to know what is happening in their business. You should be able to see how their business is doing and if there are any problems with their revenue or growth.
Disregard for the customer’s time and attention
Customer success managers need to spend a lot of time resolving customer issues, but they also need to spend time on other activities like forecasting, product development, and sales support. In some cases, CSMs may even get involved with sales activities.
Lack of accountability
As mentioned above, CSMs need to be accountable for the success of their customers. However, sometimes they are not given enough authority or autonomy to make decisions on customers’ behalf (especially in large companies). This can cause them to feel undervalued and unappreciated.
Lack of personalization
Most companies do not have a process for personalizing their engagement with each customer according to their unique needs and preferences. As a result, they send generic emails or make phone calls irrelevant to the customer’s situation.
The old ways of Customer Success management worked well for their time, but now they need to be modernized.
Like what you are reading?
Sign up for our newsletter
How ML Will Help Improve Customer Success?
You hear about artificial intelligence all the time, mainly when it is in the business world. But how will AI affect sales and customer success? One way is machine learning. Let us tell you about how these new opportunities will change the game for customer service and even help your team be more successful today.
Machine learning can help reduce the effort required to manage your customer success team. For example, you can use it to automate identifying at-risk customers. With machine learning, you can set up an algorithm to analyze past customer behavior, identify patterns, and predict which customers are likely to fail. This allows your CSMs to focus on customers who need their attention and save time for other projects.
Predicting customer churn is vital for any business because it helps us understand how well we keep our customers happy and engaged with our product. Machine learning can help us do this by analyzing past customer behavior and then predicting whether they will leave or not. In addition, it can also help us understand why they might be leaving so that we can address those issues before they go.
Identifying At-Risk Customers
Machine learning can identify at-risk customers early on in their journey with your company so that you can intervene before they cancel their account or service. It will save both time and money for your company because you will not have to spend time trying to recover lost customers later on.
Creating A Unified View of the Customer Journey
Another benefit of machine learning is that it helps create a unified view of your customer journey — so you can see how each step affects retention rates over time. It can help you identify bottlenecks in your customer experience and improve it accordingly.
Machine learning can be used to generate personalized onboarding experiences for customers based on their preferences and what they need to know. This helps them get started faster and achieve greater success with your product.
Improved Product Suggestions
Machine learning can help you create more accurate product suggestions based on what users have been buying in the past. This is especially useful for eCommerce businesses with a large number of similar products but not identical (for example, there may be hundreds of different types of shoes on an online store). The more information you have about what people are looking for when they search for something on your website, the better you will be able to suggest related items.
Faster Problem Solving
Customer support agents can often solve problems by looking at historical data about past cases and determining common issue patterns across the company’s customer base. But using machine learning algorithms can automate this process so that agents spend less time searching through data and more time helping customers resolve their issues, thus keeping them happy.
Improve Customer Engagement
Using machine learning in customer engagement allows companies to give their customers a better experience with their brands. They are able to send automated emails and messages that are more targeted toward each person’s needs and wants while also providing them with helpful information that they may not have known about before!
Boost Marketing Efforts
Machine Learning can also help you improve your marketing efforts by analyzing past data and finding out what worked well for which segment of customers so that you can apply these strategies again to other segments. It will result in increased sales at lower costs!
Ultimately, it’s not uncommon for companies to use a combination of both approaches for Customer Success. Where ML comes into its own is in tempering that human element. It is not attempting to replace support agents but to complement them and make their job easier. The priority should be placed upon the customer experience and on bringing those supported individuals to a point where they can fully utilize what the company offers.23
Combined with intelligent automation, artificial intelligence will enable Customer Success to focus on the most critical issues to the company and its customers while allowing all users to get their questions answered quickly, efficiently, and easily.
Shivani is a talented CS manager with the skillsets to elicit, scope and manage end-to-end B2B SaaS project delivery. She has a keen interest in depicting her learnings in customer success by writing resourceful blogs and articles.
Published June 15, 2022, Updated March 09, 2023