Our previous Habits measuring used the following methodology:
Habits 1.0 Formula: DAUs / Full Licenses Sold
Scoring:
- Green: At least 20% of Full Licenses Sold are daily active users of Cockpit
- Lime: At least 60% of Full Licenses Sold are daily active users (of any part of the product)
- Yellow: Some usage in past week, but not reaching Green or Lime level
- Orange: Less than 10% of Full Licenses Sold are daily active users (of any part of the product)
- Red: No usage of Gainsight in the last week
- For more information on the previous Habits methodology, check out this blog post.
- It doesn’t isolate effect of phased license deployment
- Green could be false positive, threshold was too low
- Denominator (Full Licenses Sold) is a manual input
- We weren't capturing risk from unused Limited Licenses in our approach
So we set out to a build a new methodology to address these issues, Habits 2.0! Here's how we tackled the problems listed above
Problems from Habits 1.0:
- It doesn’t isolate effect of phased license deployment ---> we're now using "Assigned Licenses" (the number of license our customer have granted to their end-users) as our denominator instead.
- Green could be false positive, threshold was too low ----> we've tweaked our thresholds
- Denominator (Full Licenses Sold) is a manual input -----> "Assigned Licenses" comes back to us automatically through Salesforce
- We weren't capturing risk from unused Limited Licenses in our approach ------> "Assigned Licenses" includes Limited Licenses that have been given to end-users.
Habits 2.0 Formula: DAUs / Assigned Licenses
Scoring:
- Green: At least 50% of bi]assigned licenses are daily active users (of any part of product) and 25% are DAUs of Cockpit
- Lime: At least 50% of bi]assigned licenses are daily active users (of any part of the product)
- Yellow: in past week, but not reaching Green or Lime level
- Orange: At least 25% of bi]assigned licenses are daily active users (of any part of the product)
- Red: No usage of Gainsight in the last week or no DAUs
But we also recognize the importance of tracking whetherlicenses sold are being assigned, so we're tracking deployment!
Deployment Formula: Assigned Licenses / Provisioned Licenses
- Provisioned Licenses = how many Gainsight licenses we provisioned to their Salesforce instance (aka how many did they bought)
- Green: >=95% deployment
- Lime: >=80% and <95%
- Yellow: >=50% and <80%
- Orange: >=20% and <50%
- Red: <20%
When taken together, they provide clear direction for our Client Outcomes team: