{"id":2470,"date":"2023-06-07T10:00:00","date_gmt":"2023-06-07T10:00:00","guid":{"rendered":"http:\/\/138.197.200.24\/resources\/blog\/managing-customer-churn-during-covid-19\/"},"modified":"2026-08-06T10:23:45","modified_gmt":"2026-08-06T10:23:45","slug":"managing-customer-churn-during-covid-19","status":"publish","type":"blog","link":"https:\/\/www.smartkarrot.com\/resources\/blog\/managing-customer-churn-during-covid-19\/","title":{"rendered":"Managing Churn During COVID-19: What Customer Success Can Do"},"content":{"rendered":"
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Customer churn is one of the biggest fears for businesses focused on growth. Now, in the wake of a life-threatening pandemic, COVID-19 has given businesses a run for their money, to say the least. Managing churn during COVID-19 has become a prime necessity, more than ever before.<\/p>\n

It goes without saying that this pandemic has had an economic impact that could cause a sharp downturn in the SaaS industry. As a result,\u00a0customer success managers\u00a0are readying themselves for battle.<\/p>\n

According to a report published by\u00a0TSIA<\/a>, the pandemic is reducing consumer cash flow. This, in turn, will result in large churn rates, as more than 90% of customer value is driven from the recurring revenue.<\/p>\n

But, could customer success be the answer to COVID-19?<\/em><\/p>\n

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Yes, it is.<\/p>\n

Get ready. It\u2019s time to reprioritize your sales process. Investing in new customers is between\u00a05 and 25<\/a>\u00a0times more expensive than retaining existing ones. Plus, acquiring new customers amid a pandemic could be even tougher than you think. So, what should you do?<\/p>\n

The answer is to retain your existing ones!<\/p>\n

This is when recurring revenue\u00a0saves the day. As customer success managers, it\u2019s imperative to have a plan to recuperate losses in 2020. Here are some solutions that you can follow to embrace customer\u00a0retention<\/a>\u00a0and navigate through the current business landscape to make it to the other side:<\/p>\n

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1. Communicate and engage<\/h2>\n

You can turn this potential curse into a gift. This is your golden opportunity to win back customers on the verge of churning. In tough times like these, healthy and clear communication is invaluable. Don\u2019t let the pandemic cost you your relationship with your customers.<\/p>\n

Reach out to them and regularly engage with them to ascertain if they need any assistance from you. Suggestions for better communications include:<\/p>\n