Retaining customers is becoming difficult for software providers. In a recent Gartner Digital Markets' survey on software buying trends,[*] 75% of businesses said they evaluate alternatives before renewing a technology contract, while only 4% do not.
While there is no guarantee when it comes to software renewals, SaaS marketers need better strategies to retarget customers with the right communication and campaigns well ahead of time. Keeping track of customer health scores can help businesses determine whether a customer is likely to continue doing business with them or if they’re at risk and may need more attention.
In this article, we discuss why measuring customer health score (CHS) is a good practice for marketers who are seeking more insights into SaaS customer behavior during product renewals and identify the opportunities to intervene. We also examine the factors that contribute to your customer health score and some tips for improving it.