XaaS Success Services for Profitable Growth

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XaaS Success Services for Profitable Growth Omid Razavi, Ph.D. 11.07.2014

description

Cloud computing and everything-as-a-service (XaaS) is driving significant business model change of traditional enterprise technology vendors. We are witnessing a seismic shift in the way technology is purchased, adopted and consumed across the enterprise. With progressive adoption of SaaS in the enterprise, industry watchers are declaring the impending end of the era of traditional enterprise software business. The old licensing model is being replaced with the new subscription-based business model which in an essence means that a tech company’s growth and profitability depends heavily on its ability to retain and expand existing customer relationships. To succeed in the age of everything-as-a-service, technology companies need to bring completely new set of capabilities to the table. It all comes down to making customers successful with their products. Most companies will need to revitalize their service offerings, introduce new sales models, and change organizational behaviors so that Customer Success becomes an integral part of their DNA.

Transcript of XaaS Success Services for Profitable Growth

Page 1: XaaS Success Services for Profitable Growth

XaaS Success Services for Profitable Growth

Omid Razavi, Ph.D. 11.07.2014

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The goal of Success Services is to drive business growth

Agenda

Packaging

Success Services packaging is key to sustained business growth

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Customer Persona Dialogs and Actions

Know my business!

Deliver value!

Guide me!

Make it simple!

Fix it!

Teach me!

Business Strategic

CxO / VP LoB

Strategic/Economic Buyer

Functional Application

Users (Mgrs/EE)

Functional Buyer

Technical Technology

CIO / IT Admin

Technical Buyer

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Business Strategic

CxO / VP LoB

Functional Application

Managers /Employees

Technical Technology

CIO / VP IT / Admin

Customer Persona Traditional Relationship Model

Consumption/ Adoption ?

Business Outcome ?

Strategic/Economic Buyer

Functional Buyer

Technical Buyer

On-Premise & Hosted

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Business Strategic

CxO / VP LoB

Functional Application

Managers /Employees

Technical Technology

CIO / VP IT / Admin

Customer Persona

Business Insight Business Outcome Business Agility

Onboarding/e-Learning Adoption Services SS/In-App Guidance

Operational Services Integration Services Tech/Admin Support/Enablement

XaaS Success Services

Enterprise-Class XaaS Strategic/Economic Buyer

Functional Buyer

Technical Buyer

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Buy Implement

Churn

Value Growth

Renew

Value Discovery

Customers discover your company and your offerings

Value Definition

Customers evaluate those products and

services

Value Delivery

Customers buy them (hopefully) and implement

them

Value Realization

Customers realize the

benefits and the outcome

Value Validation

Customer decides to

renew, grow or to leave

Value Advocacy

R-Days Engage

Archetypal XaaS Customer Journey Map

Marketing Sales Services Customer Success

Renewal

Cross sell

Upsell

Support

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Cross-sell

Expand

Deeper Use

Deliver KPIs

Deliver Outcome

Upsell

Facilitate Customer Interaction

Nurture Community

Crowdsource / Marketplace

Catalyze & Monetize the Network

Cust

omer

Val

ue

Time

1) Land more customers, faster!

2) Expand use, value and footprint!

3) Enable customer Advocacy!

Services (Primary)

Services (Shared)

Sales & Marketing

Strategies for Growth

Win! Go Live!

Land + Expand + Network Sales Motions

Generate Leads

Facilitate Evaluation

Streamline Purchasing

Simplify Onboarding

Rapid Delivery

Great Support

Manage Renewal

Expand Awareness

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The goal of Success services is to drive business growth

Agenda

Packaging

Success services packaging is key to sustained business growth

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Tier 3 M

ission Critical

Tier 2 Platinum

Tier 1 Prem

ium

Tier 0 B

asic

Price

Plan Capabilities

Included

10-15%

- -

-

-

20-25%

- -

- -

30% & up

- -

- -

Limited Extensive

Platinum Plans

Premium Plans

- -

-

- -

Basic Plans

Mission Critical Plans

Am

azon

Con

cur

Cor

ners

tone

Dem

adw

are

HP

Jive

SW

Mic

roso

ft

Net

Sui

te

Ora

cle

Sag

e

Sal

esfo

rce

SA

P

Ulti

mat

e

Wor

kday

Zend

esk Landscape Cloud Success Plans

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Primary Org Responsible

No. of Capabilities

Capability Examples

Basic Plan Tier 0

Differentiated Plans Tier 1 Tier 2 Tier 3

Customer Support

20+ Response Time for P1 …

Customer Success

16+ Quarterly Business Review

Education 10 Role-based User Training

Professional Services

6 Integration Guidance …

Customer Community

6 Product Brainstorming

Cloud Operations

8+ Cloud Availability Dashboard

XaaS Product

6 Diagnostic Tools …

Other 8 Admin Services 3rd Product Support

Total 80+

Cloud Success Plans Tiered Plans by Primary Organization

Bas

elin

e C

apab

ilitie

s

Pre

miu

m E

xper

ienc

e

Pla

tinum

Exp

erie

nce

Mis

sion

Crit

ical

Exp

erie

nce

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UX CX

Application Design

Mobile Design

Consulting

Support

Education

Website Design

CX: Customer Experience UX: User Experience

Community

Success Services Service Design

Digital and Non-Digital Experience

Service Design

+ Simplicity

Create seamless customer experiences that drive differentiation and long-term value.

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Package 2014

Package 2016

Package 2015

Enablement

Sales

RevRec

Finance

CoE

Services

User Cases

Prod Mgmt

Customer

Workshop/ Early Access

SPM: Services Product Manager CoE: Center of Excellence

Success Services Co-Innovation Process

SPM

+ Success Science

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§  Develop the customer success business plan §  Focus on customer success and driving value §  Align services, roles, processes and touch points and map

them to the customer journey §  Enable the org with the required skills (domain, consumption,

technical), fund FTEs, acquire talent & develop leaders §  Measure success and value – customer score, early warning,

critical accounts, consumptions, KPI’s and outcomes §  Best-in-class benchmark against the competitors/industry

leaders and change as needed

Services Design and Delivery Our Approach

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Service Design: §  Easy to do business with and transparent in operations.

§  Scalable processes to on-board, retain and grow customers.

§  Automation for identified repetitive, low-value activities. Service Delivery:

§  Prevent issues before they occur. §  Self-Service easy for customers to help themselves.

§  Multi Channel for customers to communicate and listen.

§  Fast to engage, resolve, learn and improve.

Services Design and Delivery Our Principles

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Thank you!

Omid Razavi

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linkedin.com/in/orazavi

@orazavi

[email protected]

Driving Extreme Value with Packaged Services, TSW Best Practices, May 2014, Silicon Valley

Cloud Customer Journey towards Business Outcome and Growth, TSE March 2014, Munich

Cloud Services that Scale and Delight Customers, TSW Transformations, Oct 2013, Las Vegas