Churn, Community, Customer Success, Human-to-Human (H2H), Products, Retention, SaaS, Startups

Slack’s community superpower for SaaS is all about churn


This article was originally sent as an e-mail as part of my newsletter, Sunday Brunch with Nichole: A Weekly Missive on Community Growth


For SaaS products – whether B2B or B2C – Slack is where it’s at. By which I mean Slack is where your customers are already. But Slack has more going for it than just that. The platform is remarkably well-suited to creating exactly the kind of communities and engagement we’ve been talking about. The kind that fosters loyalty.

Consider:

Subscription-based businesses require strong customer relationships to prevent churn and increase customer lifetime value (the metrics that make or break your business).

Creating a community is one way to strengthen customer relationships and improve loyalty.

This is really – really – about eliminating churn.

Eliminating ‘Champion’ Churn

One of the leading causes of churn, especially for B2B SaaS, is when your ‘champion’ (the person who’s been talking you up to the boss, convincing everyone that you’re the solution they need) leaves. But if the whole team is on Slack? You’re already cultivating relationships with everyone, and they understand the value you bring.

Eliminating Churn among VIP Customers

BubbleIQ reported ZERO churn among the customers they shared Slack channels with. Now, they only began opening up private channels for their VIP customers who were already loyal and engaged, but still. Zero is a good number.

“Most companies rely on email or chat for support — but it turns out that’s a surprisingly high friction method of support for business customers today. Forcing customers through a formal contact form or into a long email thread creates a barrier between you, and makes it difficult to respond quickly to high priority issues.” – BubbleIQ

ProdPad’s Slack Community Experience

ProdPad also has never had a customer churn who was part of their Slack community.

Customers who join our Slack community were not cancelling their ProdPad plans at all. In fact, 99% of our cancellations were (and still are) coming from customers who weren’t part of our community.

In fact, ProdPad published a fantastic 40-minute video about their Slack community, and you should watch it. But I particularly loved what they said about how their Slack channel fostered and strengthened their relationships with their customers.

Andrea Saez, Head of Customer Success, talks about the “happy accidents” she discovered when their Slack community went live.

  • Users were helping other users to troubleshoot issues – out of the goodness of their hearts. So for those of you who might be concerned about the increased pressure put on your Customer Service teams, you might see the opposite effect. Cool, right?
  • The whole ProdPad team became involved and made themselves available to chat and answer questions, even the CEO, which meant that customers were taken care of even if the primary Slack designees weren’t immediately available. The “side effect” of this was that the whole team became more customer-centric, adding “a human touch to everything.”
  • Engagement levels rose – to the point where customers made friends with other customers.

As with any community, moderation was a challenge. They help set expectations with a Welcome Bot named Winston who greets new members and tells them the basics: how to submit feedback and ticket requests, and how to reach ProdPad members, as well as reminding them to be kind. I love the use of automation here!

There are so many good ideas in in this video for how to set up and use your Slack product community. It’s definitely worth the watch.

If you’re considering using Slack for customer support, Robbie Mitchell wrote a comprehensive Playbook for Working with B2B Customers in Slack that I recommend.


This article was originally sent as an e-mail as part of my newsletter, Sunday Brunch with Nichole: A Weekly Missive on Community Growth

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