The HotLine Magazine Archives
For The Profession of Cloud/SaaS Product Support
Customer Lifetime Value is one of the essential management metrics for any SaaS/Cloud application vendor.  CLV is what remains after the CAC, Customer Acquisition Cost, and the CRC, Customer Retention Costs, are subtracted from the revenues of the relationship.  The actual duration of that relationship, therefore, is of paramount importance — far too vital to be left unattended. …

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Before a SaaS/Cloud vendor establishes a Customer Success Management group, it’s vitally important to set the foundation for winning by clearly defining how the performance of that team is to be measured in both of its purposes.  The first purpose of the CSM group is the real benefit experienced by the customers.  The second is the value brought to the…

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The basic economics of the SaaS model inherently push vendors to run “lean and mean,” which requires close attention to operational profitability in every aspect of the organization.  Though the impact of that reality may be delayed by VC/investor funding, the elemental reckoning cannot be avoided forever. The cumulative effect of day to day operational profitability management will ultimately determine…

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