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The Ultimate Growth Engine:
Using Customer Success to
Expand Revenue, Increase Profit,
and Improve the Value of Your
Company
Lincoln Murphy @lincolnmurphy
lincoln@sixteenventures.com
Stay Longer
Buy More
Advocate for Us
@lincolnmurphy
Desired Outcome
Customer Success is when customers achieve their
interactions
through with your
companytheir 	
“	
”	-  Lincoln Murphy
@lincolnmurphy
Customer Success is NOT…
•  Software
•  Just a Department
•  Customer Support
•  Account
Management
•  Churn Mitigation
•  Saving Customers
•  “Checking in" with
customers
•  Happiness or
Delight
@lincolnmurphy
Lincoln Murphy - Endeavor - August 2017 - The Ultimate Growth Engine: Using Customer Success to Expand Revenue, Increase Profit, and Improve the Value of Your Company
Lincoln Murphy - Endeavor - August 2017 - The Ultimate Growth Engine: Using Customer Success to Expand Revenue, Increase Profit, and Improve the Value of Your Company
Customer Success
is a GROWTH
ENGINE
Customer
SUCCESS-
driven Growth
As customers
SUCCEED and
EVOLVE…
…their relationship
with us should
EVOLVE and GROW
A contract
does not equal
SUCCESS
ARBITRARY

Time Box
@lincolnmurphy
RENEWAL &
EXPANSION are part
of the Customer’s
SUCCESS
@lincolnmurphy
Year 1
100%
Customer Lifetime Value
@lincolnmurphy
Year 1 Year 2 Year 3 Year 4 Year 5
80%
20%
Customer Lifetime Value
@lincolnmurphy
Year 1 Year 2 Year 3 Year 4 Year 5
> 95%
< 5%
Customer Lifetime Value
@lincolnmurphy
Customer Lifetime Value
Year 1 Year 2 Year 3 Year 4 Year 5
> 98%
< 2%
Year 6
@lincolnmurphy
Then	why	do	you	leave	those	four	things	to	chance?
In	fact,	there’s	a	really	strong	possibility	that	you	aren’t	just	not	doing	anything	to	make	sure	t
Resource Allocation
Year 1 Year 2 Year 3 Year 4 Year 5
< 2%
> 98%
Year 6
@lincolnmurphy
Year 1 Year 2 Year 3 Year 4 Year 5
80%
20%
Customer Lifetime Value
@lincolnmurphy
Year 1
100%
Customer Lifetime Value
@lincolnmurphy
Stay Longer
Buy More
Advocate for Us
@lincolnmurphy
Customer Success
Directly IMPACTS
Company
VALUATION
Company Valuation Calculation
Revenue x Multiplier = Value
Company Valuation Calculation
Revenue x Multiplier = Value
o There’s
more!
Revenue x Multiplier = Value
o Customer Lifetime Value (LTV)
o Customer Acquisition Cost (CAC)
Efficiency
o Net Revenue Retention (NRR)
o Total Addressable Market (TAM)
o Talent Acquisition
o There’s
more!
@lincolnmurphy	
Company Valuation Calculation
Desired Outcome
Customer Success is when customers achieve their
interactions
through with your
companytheir 	
“	
”	-  Lincoln Murphy
@lincolnmurphy
Required	
Outcome	
Appropriate	
Experience	
Desired Outcome
WHAT your
customer
needs to
achieve
HOW they
need to
achieve it@lincolnmurphy
Customer	
CharacterisJcs	
Method	
Customer	
(segment)	
Desired Outcome
@lincolnmurphy
Required	
Outcome	
Appropriate	
Experience
Lincoln Murphy - Endeavor - August 2017 - The Ultimate Growth Engine: Using Customer Success to Expand Revenue, Increase Profit, and Improve the Value of Your Company
CUSTOMER
SEGMENTS are
determined by
APPROPRIATE
EXPERIENCE (AX)
AX can be your
DISRUPTIVE
DIFFERENTIATOR
AX is the key to
SCALING Customer
Success
CSM OPERATIONS

must be determined by
DESIRED OUTCOME
Customer Success Management
is the process of moving the customer
toward their ever-evolving Desired
Outcome.
“	
”	 -  Lincoln Murphy
@lincolnmurphy
Customer Success Management INCLUDES…
•  Logical
Segmentation
•  Orchestration
•  Intervention
•  Measurement
•  Expansion (&
Renewal)
•  Communication
•  Instrumentation
•  Operationalization
@lincolnmurphy
Desired Outcome
Customer Success is when customers achieve their
interactions
through with your
companytheir 	
“	
”	-  Lincoln Murphy
@lincolnmurphy
Interactions include…
•  Implementation
•  Onboarding
•  Training
•  Integration
•  Help
•  Upsell
•  Renewal
•  Support
•  Knowledge Base
•  Product Use
@lincolnmurphy
Stay Longer
Buy More
Advocate for Us
@lincolnmurphy
Acquire
customers with

SUCCESS
POTENTIAL
@lincolnmurphy	
Technical Fit
Functional Fit
Competence Fit
Success Potential is…
Experience Fit
Cultural Fit
Resource Fit
It’s Not

SUCCESS
GUARANTEED
@lincolnmurphy
@lincolnmurphy	
Good-fit Customers
Not ready at all! Ready to go!
But	none	of	that	maOers	if	you’re	bringing	in	bad-fit	customers.
Churn is the
SYMPTOM of an
Underlying Disease
@lincolnmurphy
Stay Longer
Buy More
Advocate for Us
@lincolnmurphy
Customer.
SUCCESS.
When your
CUSTOMERS
Succeed...
YOU
Succeed!
Lincoln Murphy
@lincolnmurphy
lincoln@sixteenventures.com
http://sixteenventures.com

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Lincoln Murphy - Endeavor - August 2017 - The Ultimate Growth Engine: Using Customer Success to Expand Revenue, Increase Profit, and Improve the Value of Your Company