Introduction
Adopting a customer portfolio approach to risk management is essential for fostering customer growth and retention. By assessing risks at a portfolio level, you can systematically segment and prioritize risks, fortify partnerships, and drive revenue growth while mitigating churn. Establishing consistent processes and prioritizing at-risk renewals are crucial steps in effectively managing risks across your customer base.
Why does this matter?
Effective risk management yields several significant benefits:
- Increased Visibility: By consistently tracking the status of at-risk accounts, CSMs can decrease the likelihood of surprise churn and intervene sooner to save renewals.
- Enhanced Stakeholder Engagement: Engaging with managers, executives, and key partners throughout the customer lifecycle ensures critical stakeholder involvement and support.
- Improved Cross-Functional Collaboration: Knowing when to engage key partners outside the CS organization, such as product leaders, fosters cross-functional relationships and enhances the customer experience.
- Ensures Consistent Handling of Renewals: Establishing standardized processes ensures that renewals are managed consistently across the board.
- Reduces Risk and Churn: Prioritizing at-risk renewals helps in identifying and mitigating potential issues early, improving retention rates.
- Enhances Customer Satisfaction: Timely and consistent communication with customers enhances their overall experience and satisfaction.
How to get started
To effectively manage risks across your portfolio, follow these combined steps:
Standardize Risk Management Process
- Define Risk and Escalation:
- Set up a standard risk CTA object that can be manually triggered by CSMs, ensuring consistency and efficiency in risk tracking.
- Establish an escalation process to handle risks promptly.
- Create Automation Rules:
- Set up rules in Gainsight’s Rules Engine to automatically trigger CTAs when a risk activity is detected. These rules should include appropriate triggers and actions, such as notifying relevant stakeholders.
- Implement Risk CTAs:
- Create and manage CTAs to track risks, tasks, and action items related to customer engagements. Flag risks as necessary and prioritize them based on their severity and impact.
Establish Consistent Processes and Prioritize Risky Renewals
- Automatically Alert CSMs of Upcoming Renewals:
- Configure automated alerts to notify CSMs of upcoming renewals with defined steps and templates to ensure consistent handling.
- Use Playbooks and CTA Reasons:
- Develop predefined playbooks to streamline the response to common risks and ensure that CSMs follow consistent actions for renewals.
- Leverage Renewal Center:
- Use the Renewal Center to identify at-risk renewals and prioritize them. Integrate CRM data with Gainsight to provide insights into current opportunities and highlight factors impacting renewals.
- Monitor and Communicate Risk Status:
- Have CSMs monitor and communicate risk status until closure, ensuring accountability and transparency throughout the process. Use tools like the Timeline to track and document interactions and updates.
- Establish Recurring Risk Review Meetings:
- Set up a standard, recurring risk review meeting to discuss at-risk accounts, agree on action plans, and document next steps.
Gainsight features you'll need
To successfully implement the above steps, you’ll need to leverage the following Gainsight features:
- Rules Engine: For setting up automated alerts and rules.
- CTA Reasons: To categorize and manage CTAs for renewals.
- Playbooks: For guiding CSMs through consistent steps.
- Email Assist: For automating email communications related to renewals.
- Renewal Center: To prioritize and manage at-risk renewals effectively.
- Timeline: To log and track all activities related to risk management for better visibility and accountability.
What’s next?
After managing risks across your portfolio with consistent processes, read Efficiently managing and centralizing renewals article to learn about centralizing renewal data and managing multiple renewals at scale.