What is Expand Selling?

Posted by Steve Frost on 4/12/18 5:00 AM

TSIA Expand Selling research provides clear guidance on how to utilize Services and Customer Success teams in the Sales process for cost-effective revenue growth from existing customers. The name “expand selling” is derived from the third stage in TSIA’s Land, Adopt, Expand, Renew (“LAER”) customer engagement model. It is rooted in TSIA’s belief that selling can be the natural, helpful outcome of a Services conversation, as long as it is taken within the mindset of helping the customer solve their problem, achieve their goals, and drive value from their technology investment.

Read More

Topics: services, sales, expand selling, LAER, collaboration, cross-sell, upsell, trusted advisor, touchpoint calculus

4 Phases of Becoming LAER Efficient, Summarized

Posted by Thomas Lah on 4/10/18 5:00 AM

TSIA’s LAER model is a framework that breaks the supplier’s perspective of the traditional customer engagement journey into four distinct phases: Land, Adopt, Expand, and Renew. As more companies begin to make the pivot to managing annual recurring revenue streams, there’s an industry-wide increase in the creation of LAER initiatives in order to follow a customer engagement plan that works with a subscription-based business model. I recently wrote an upcoming paper for TSIA members called, “4 Phases of Becoming LAER Efficient” that aims to help them assess where they are in efforts to creating a customer engagement model that cost-effectively works with customers in each of the four phases of LAER. Here’s a quick look at those four phases that can help you start thinking about where your company is in this process and where you need to be.

Read More

Topics: renewal, customer adoption, expand selling, LAER, TSIA Research, contract renewal

Changing Engagement Models

Posted by Thomas Lah on 11/28/17 5:00 AM

In the first article of this series, I made the statement, “Selling technology is becoming a low-growth, low-margin endeavor,” and presented data to back up this sobering statement. In addition, we reviewed the fact that born-in-the-cloud computing companies are enjoying double-digit revenue growth, but they are struggling to be profitable.

So, how do technology companies get back on the track of profitable growth? TSIA’s prescription:

“Embrace as-a-service offers (this is where the revenue is going) that are anchored on business outcomes (not feature functionality, which is commoditizing) and supported by a customer engagement model that cost-effectively drives the adoption, expansion, and renewal of your offers (this is where most tech companies are failing).”

In this final article in my three-part series, we will explore how customer engagement models will need to evolve to better support subscription business models.

Read More

Topics: XaaS (x-as-a-service), cloud, customer adoption, customer outcomes, expand selling, LAER, PIMO, cloud computing, Technology and the Subscription Economy

LAER Explained: A New Customer Engagement Model for a New Business Era

Posted by Thomas Lah on 10/17/17 9:14 AM

The act of selling technology has undergone a radical change. Purchases are no longer the large up-front investments they once were, but are instead made up of lower cost subscriptions and value-add services. As a result, the features and function of the technology are now less important when compared to the business outcome achieved by using the technology. In this new era of technology-as-a-service (XaaS), the ability to successfully deliver customer outcomes, keep customers on your platform, and get them to spend more money over time will be what determines your company’s profitability and success. 

In order to thrive in this changing marketplace, TSIA believes that today’s technology providers need to shift their focus from selling more assets to growing customers successfully. To aid in this transition, TSIA has developed the supplier view of a customer engagement model called LAER (pronounced “layer”). While we have discussed this in blogs, TSW conferences, and the new Technology-as-a-Service Playbook, here are the basics of LAER explained and its impact to the customer-supplier relationship.

Read More

Topics: XaaS (x-as-a-service), customer-supplier relationship, customer adoption, customer outcomes, expand selling, LAER, customer engagement, Technology-as-a-Service Playbook

The Digital Transformation Journey: Growing Customers Successfully

Posted by J.B. Wood on 9/21/17 5:00 AM

Pivoting your company’s portfolio to subscription-based, recurring revenue offers, either in whole or in part, is a two-step intellectual journey for senior executives. The first step is deciding if customer demand is changing sufficiently enough to warrant making all the changes and facing all the challenges of effectively moving to XaaS offers. The previous five blogs have focused on that decision-making journey. Once you have made that decision, with all its myriad implications, you are ready for the second major step: What changes do I make in my go-to-market (GTM) model? That is the focus of our final blog in "The Digital Transformation Journey" series.

Read More

Topics: customer success, XaaS (x-as-a-service), sales, LAER, customer success manager, recurring revenues, digital transformation, The Digital Transformation Journey

Where Professional Services Fit Into the Customer Journey

Posted by Bo Di Muccio on 9/12/17 5:00 AM

How far the industry has come in the last 5-10 years! At the beginning of this transformation nearly a decade ago, virtually all technology professional services organizations were perfectly content to play a “Level 2” role. That is, they had capabilities and offers that were almost exclusively focused on getting customers up and running on the core technology product. 

Of course, that’s still an important function of professional services (PS) for any tech company. But nowadays, we’re getting a lot more questions indicating that PS is rapidly being pulled and pushed into being more of a Level 3/Level 4 engine, that is to say, a capability that directly helps customer achieve business outcomes. 

Read More

Topics: professional services, LAER, recurring revenues, Art and Science of the Customer Journey

Optimize and “Appify” Your Customer Journey Maps with Analytics

Posted by Jeremy DalleTezze on 9/8/17 5:00 AM

Customer journey maps are typically the result of a business planning exercise to better understand B2C customer experience sequences. With journey maps in hand, suppliers can then purposefully control and optimize the interactions to improve supplier outcomes in typically narrow circumstances.

However, the customer journey for a large technology buyer is complicated and dynamic. In this post, I’m going to explain that journey and how you can deliver a dynamic and more customized approach to customer journey mapping, an approach I like to refer to as “appifying,” with the help of analytics.

Read More

Topics: data analytics, customer experience journey mapping, LAER, Art and Science of the Customer Journey, customer journey mapping

5 Key Themes Impacting Healthcare Technology

Posted by Vele Galovski on 7/13/17 5:00 AM

While the healthcare technology industry is still relatively strong, we’re seeing many of the same trends crop up that have drastically impacted other industries, mainly enterprise IT and industrial equipment. It all starts with the slowing down of CapEx revenue as new product feature innovations take a backseat to value realization. Suddenly, the business model that was built on high growth rates and high profitability needs to adapt to be in the business of delivering outcomes, not just products and services. 

However, with the rise of economic buyers and value-based care in the healthcare industry, there’s an opportunity to reverse these trends by creating new service offers. With that in mind, here are the top business challenges impacting the healthcare technology industry and the 5 key themes TSIA has observed during regular conversations with our membership community. 

Read More

Topics: healthcare, internet of things (IoT), LAER, HHIT, smart, connected products, healthcare technology

Customer Success: 5 Frequently Asked Questions

Posted by Phil Nanus on 2/10/17 5:00 AM

With subscription-based XaaS business models on the rise, more technology companies are realizing just how important it is to maintain good relationships with their customers if they're to secure a solid recurring revenue stream. To do this, they are shifting their primary focus away from their products and onto the customer by helping them achieve their desired business outcomes with their products and services in an initiative known as " customer success." In this post, I'm going to go over some of the basics of this concept by answering some of the more common questions around customer success, as well as provide additional resources that you and your organization can use to see how customer success fits into your daily operation.
Read More

Topics: customer success, customer adoption, LAER, customer success manager

[Infographic] Expand Selling: A Cost-Effective Approach to Growing Customers

Posted by Technology Services Industry Association on 1/10/17 9:00 AM

Landing new customers will always be an important part of growing your business, but what happens after they've been onboarded? Tech companies invest a great deal of time and money in sales and marketing initiatives to capture net new business, but often overlook the chance to take advantage of revenue opportunities from within their existing customer base. This infographic takes a look at how investing in expand selling capabilities can unlock lower-cost accelerated revenue growth from existing customers.

Read More

Topics: revenue growth, business growth, infographic, expand selling, LAER

Comments

Subscribe to the Blog

Recent Posts

Posts by Topic

see all

Follow TSIA