Tracking Customer Onboarding Metrics Increases Customer Lifetime Value By 75%
Customer onboarding is a set of activities geared towards introducing new customers to your SaaS product, company, or service. It entails gradually showing the client what you’ve got to offer them. There are some customer onboarding metrics you can use to monitor how successful you are in the process.
A positive onboarding experience confirms that the process was right, and customers made the best choice. If customers don’t convert, it means that they don’t understand the product, or they don’t get any value from it. While there are several Key Performance Indicators you should monitor, here are the two most important ones.
1. Customer Engagement
It won’t help to wait until the end of the onboarding process to see if the client will use the product. If they’re not using it as soon as you introduce it, there’s a problem. It could be that the customer doesn’t understand the product or some other issues.
Make use of a customer access software to determine how much time much they’re spending on the product. The software will show you other metrics like their engagement score and when they last logged in to engage with the product.
When you’re not able to tell the customer’s experiences with the product, the customer success software comes in handy. Once you identify a low level of engagement, talk to the customer to identify the problem.
2. Milestones Achieved
Milestones refer to the stepping stones that a customer goes through before becoming comfortable with a product. They’re critical because they let customers achieve their goals by putting minimum efforts. This happens only when they follow the right process.
Milestones can best be compared to the stages of learning a language. You first begin with the letters, then words, and progress to sentence formation. Doing vice versa will only result in frustration and zero learning.
You can set milestones for your customers through the customer success platform, depending on the customers’ goals. Only specific milestones must be set to in helping the customer adopt the product.
Milestones are more than time-bound tasks that should be completed by the customers. If they don’t understand the importance of milestones, they won’t pay much attention to them. Yet, it’s only through the milestones that they can achieve the full benefits of the product.
Why Use Customer Onboarding Metrics?
Customer onboarding is essential as it helps keep your customers happy. It’s all about delivering what you promised to the customer within the agreed conditions. If you can follow through with what you promised, you’ll have the customers coming back for more.
Unfortunately, not many companies tend to think so. This leads customers to pay more to firms that serve them well. The proper handling of your customers in the onboarding process will benefit you in:
- Establishing customer loyalty
- Referring your product to their contacts
- Increased revenue for your business
Once the customer pays for the product, it doesn’t mark the end of the sale. With proper onboarding, you open the doors to getting happy and loyal customers.
When trying to make customers like and buy your product, you need to get the onboarding process right. This entails making sure they understand your SaaS product and what they stand to gain by using it.
Some of the metrics you can use to monitor the process are customer engagement and milestones achieved. You can establish how much a customer is using your product using customer success software. If you don’t like what you see, talk to the customer to understand the challenges they might have.
How can you start tracking customer onboarding process properly?
Book a free 30-minute call with our expert and learn how to set up a selling funnel with right customer onboarding and over 10 000 high-quality leads per week.