From Churn to Earn: How SaaS Customer Success Boosts Revenue

customer success saas
Michelle Cobb, PhD

Written by Michelle Cobb

Dr. Michelle Cobb was a software engineer prior to obtaining her Ph.D. in Clinical Psychology. She combined her skills while working as an Assistant Professor at Northwestern University Feinberg School of Medicine to lead the design, development, and evaluation of web and mobile phone applications targeted to help people manage anxiety and depression. In 2017, Dr. Cobb joined JH Media Group, an agency that has focused on the design and build of SaaS systems since 2002. She currently serves as CEO.

September 8, 2023


Introduction: The Importance of Customer Success for SaaS Businesses

With all the moving pieces involved in running a SaaS company, many SaaS startups inadvertently sidestep one goldmine: SaaS customer success. Imagine amplifying your customer’s lifetime value, elevating your brand’s stature, cultivating an army of brand champions, slashing support costs, and gaining immediate insights into product enhancements—all while unlocking more opportunities for upselling and cross-selling. The compass guiding you to these treasures? A stellar customer success SaaS team.

What is Customer Success in SaaS?

A SaaS customer success team is tasked with ensuring that customers can derive maximum value and meet their goals by using the SaaS application. This involves seamlessly onboarding new customers, for example by setting up user accounts for all their team members, configuring the system to their needs, assisting with the setup of third party integrations, and migrating any existing data into the system. Customer success SaaS teams also reach out to customers proactively to answer any questions, check on their progress, and ensure that renewals proceed smoothly. Behind the scenes, customer success is involved in creating customer training materials such as tutorials, knowledge bases, and product tours. Finally, customer success is often involved in customer advocacy initiatives such as referral programs or gathering testimonials and writing case studies. This holistic approach drives product adoption, decreases SaaS customer churn, and boosts retention.

Customer Success vs. Customer Support

Given that both customer success and customer support aim to assist SaaS customers and prioritize their needs and satisfaction, they are often confused. Customer support, at its core, is a service provided by companies to assist users in troubleshooting, resolving issues, and answering queries related to a product or service. Its primary functions include addressing technical problems, guiding users through features, and generally assisting with any immediate needs or challenges that may arise during product usage. On the other hand, customer success goes a step further, taking a proactive approach to ensure clients derive optimal value from a product throughout their journey. While support reacts to issues as they arise, customer success anticipates potential challenges and works to prevent them, focusing on long-term customer growth and satisfaction. In the SaaS landscape, where product engagement and retention are paramount, it is essential to have both reactive support to handle immediate concerns and proactive customer success to ensure sustained user engagement.

Dive into the Customer Success SaaS Team

A well-rounded customer success team comprises various roles, each with specific responsibilities tailored to foster a smooth and beneficial customer experience. These roles often collaborate closely, sharing insights and strategies to ensure the customer not only derives value from the product but also has a positive experience from start to finish. Below are some of the key roles and their respective duties:

SaaS Customer Success Manager (CSM)

Primary Duties

  • Onboarding new clients
  • Establishing and maintaining relationships
  • Identifying customer needs and goals
  • Providing product training
  • Strategically advising clients for growth and upsells

The Customer Success Manager is responsible for ensuring that the customer is continuously deriving value from the product. They monitor customer health scores, strategize long-term engagement, and often serve as the primary point of contact for any client issues or needs. They may also work with other teams, for example by sharing customer feedback with product management to help improve the SaaS product.

The average customer success manager salary in IT is around $78,000 in the United States at the time of this blog post’s publishing, according to GlassDoor. However, customer success managers can earn substantial additional pay (about $22,000 on average), such as commissions (e.g., off renewals), bonuses, and profit sharing.

Account Manager

Primary Duties

  • Renewal processes
  • Contract negotiations
  • Customer satisfaction assessments

An Account Manager specializes in the business aspects of the customer relationship. They focus on renewals, upselling, and cross-selling by aiming to align the product’s offerings with the customer’s business goals for mutual growth.

Implementation Specialist

Primary Duties

  • Software installation and configuration
  • Training client’s team for initial product use
  • Data migration assistance

The Implementation Specialist is crucial for the onboarding process. They ensure the software is deployed smoothly and that the customer’s team is equipped and trained to use it effectively right from the start.

Customer Success Analyst

Primary Duties

  • Data collection and interpretation
  • Customer journey mapping
  • Identifying patterns and trends for customer behavior

The Customer Success Analyst fuels the team with data. They provide the analytical insights that guide the strategies employed by the CSMs and other team members, thereby influencing key decisions that can affect the customer experience.

Use of Analytics to Supercharge SaaS Customer Success Teams

Analytics has become a game-changer for SaaS Customer Success teams, providing them with data-driven insights to enhance customer relationships, anticipate needs, and boost retention. 

Analytics tools can track user engagement with various product features, shedding light on which functionalities are most valued and which ones might be causing confusion. By observing patterns, customer success managers can preemptively address issues or promote underutilized but valuable features. Similarly, by analyzing the onboarding experiences of various clients, customer success teams can identify sticking points or areas that consistently pose challenges. These insights can inform improvements in the onboarding process, ensuring smoother transitions for new users. 

Analytics can also be used to identify opportunities for intervention. For example, through predictive analytics, potential churn signals can be identified early on. If a user’s engagement drops or they consistently encounter issues, these red flags can prompt the customer success team to intervene before the client considers leaving. Through data analysis, it’s also possible to identify clients who might benefit from additional features or services, thus highlighting opportunities for upselling and cross-selling. This not only enhances the user experience but can also lead to increased revenue for the business.

Automated SaaS Customer Success Solutions

Automated customer success solutions can serve as a scalable way to provide continuous value and support to SaaS customers. As SaaS businesses often cater to a global and diverse clientele, there are demands for round-the-clock support and on-the-spot problem-solving. Self-service enables customers to find solutions to their issues without having to wait for human availability. Users who can resolve their issues quickly are likely to stay engaged and satisfied, reducing churn.

Knowledge bases are often the cornerstone of self-service, offering a repository of articles, FAQs, and how-to guides that customers can easily access. These resources not only offload the pressure from customer support and success teams but also allow users to resolve issues at their own pace. Similarly, the advent of AI-driven tools like chatbots has taken automated customer success to another level. Chatbots can handle routine queries, direct customers to relevant knowledge base articles, or even assist in basic troubleshooting. These tools provide immediate, 24/7 support, enhancing the customer experience while freeing up human SaaS team members to focus on more complex, value-added interactions and relationship-building.

Synergy: How Customer Success Collaborates with Other Departments


One of the primary touchpoints between a SaaS sales team and Customer Success is the transition from a prospect becoming a customer—essentially moving from Sales to onboarding. A smooth transition is crucial for setting the stage for a successful customer journey. Customer Success teams can also aid Sales by offering insights into how existing customers are using the product, which can help Sales teams articulate benefits and actual use cases to prospects more effectively.

Product Development

Customer Success serves as the eyes and ears of the customer. They gather invaluable user feedback that can guide Product Development in making enhancements that align with customer needs. Working closely with SaaS Product Management, the Customer Success team stays abreast of upcoming releases so they can prepare customers for new features or changes. They may also collaborate to develop educational materials like the knowledge base and product tours to ensure that customers can easily adopt new features.


The stories of customer success are some of the most compelling narratives a company can share. Customer Success teams often collaborate with Marketing to create targeted campaigns that leverage these success stories. They can also offer feedback from customers to help in the development of marketing materials that are not just attractive, but also genuinely resonate with the user base.


Customer Success has a significant impact on a company’s financial health. They play a key role in reducing churn rates, thereby increasing Monthly Recurring Revenue (MRR). By understanding these and other financial metrics, Customer Success strategies can be more aligned with the SaaS company’s financial goals, allowing for more targeted initiatives that have a broader impact. Customer success can also help the finance department to validate their SaaS financial model and explore scenarios by providing insights on customer behavior and potential strategies to increase revenue.


If you’re at the helm of a SaaS business, overlooking the role of SaaS customer success could be a pitfall you can ill afford. From boosting customer lifetime value and fostering brand loyalty to streamlining support costs and mining actionable insights for product enhancements, the value of a solid customer success SaaS team is multifaceted and substantial. So, if you’re serious about escalating your SaaS business to new heights, investing in a top-notch, data-driven customer success team is a strategic imperative.


What is customer success in SaaS?
Customer success in SaaS aims to ensure users get maximum value from the SaaS product, boosting customer satisfaction and retention. The approach is proactive, ranging from seamless onboarding to long-term relationship building, all focused on reducing churn and enhancing customer lifetime value.
How do Customer Success and Customer Support differ in SaaS?
Customer Support in SaaS is reactive, focused on resolving immediate issues. Customer Success is proactive, looking to enhance customer experiences over the long term. Both are vital for SaaS companies but serve different, complementary roles in the customer journey.
What roles make up a SaaS Customer Success Team?
A comprehensive SaaS Customer Success team includes Customer Success Managers, Account Managers, Implementation Specialists, and Customer Success Analysts. Each role has specific tasks aimed at different aspects of customer engagement and satisfaction.
What does a SaaS customer success manager do?
A SaaS Customer Success Manager (CSM) serves as the main point of contact for customers. They oversee onboarding, monitor customer health, and aim for long-term engagement. They also identify upsell opportunities and work with other departments to align the product with customer needs.
How can I measure the effectiveness of my SaaS Customer Success team?
Key Performance Indicators (KPIs) like Churn Rate, Net Promoter Score (NPS), Customer Satisfaction Score (CSAT), and Customer Lifetime Value (CLV) offer insights into the SaaS Customer Success team’s impact on retention, customer satisfaction, and revenue.
What is the importance of analytics in SaaS customer success?
Analytics in SaaS customer success provide data-driven insights. They track user engagement with product features, helping to identify what’s valued or needs improvement. Early signs of churn (i.e., cancellations) can also be spotted, allowing for proactive interventions.
How is automation used in SaaS Customer Success?
Automation in SaaS Customer Success involves the use of tools like chatbots and knowledge bases for 24/7 support. These free up human resources for complex tasks and relationship-building. Automated tools also collect data on customer interactions, offering insights into user needs.