Setting Expectations To Reduce Churn

Expectation setting comes from experience. Mostly it comes from bad experiences when we realize we are too far down a path with a disappointed customer and they end up leaving.

As CSMs we can avoid this by practicing the art of setting expectations. This isn’t something we do once and then we are all done, it’s an ongoing practice, but the timing is crucial. I suggest doing this at the very first meeting with the customer.

Note: A handy tip from experience is to align with your sales team and get introduced to the customer earlier than onboarding. Get introduced as part of the sales process after contracts have been signed. This way, they see how your company values a team effort and it helps you start building familiarity early on in the relationship.

Expectation setting is the act of getting mutual agreement with your customer on the goals and outcomes they want to acheive.

5 Reasons People Continue To Buy

Before diving into some practical tips for setting expectations, why do people continue to buy and/or expand the use of our products and services?

• We help them get better
• We help them reach a goal
• We help them solve a problem
• We help them pinpoint a blindspot they didn’t even know they had (bonus points for this one)
• We help them be the hero of their story, not ours

Tips & Advice For Expectation Setting

This could be you as a CSM with your customer

The number one tip here is to set expectations early and together with your customer. This is a shared experience. We are seeking to understand and confirm or deny what was outlined during the sales process.

This is an exploratory, open-ended question excercise that you do with your customer. Customers don’t need to (or want to) repeat themselves so treat this as a way to let them feel heard, seen, and understood.

The key here is to do this early. It’s a poison-pill to do this too late and it’s even worse to assume everything said in the sales process is still the same. Businesses change constantly and by the time you are meeting with the customer for the first time, their needs may have already changed, or your stakeholder may have changed.

Ask things like:

• Has anything changed? If so, what?
• Are these things still important to you? If yes, why?
• Does this set of goals and outcomes still work for you? If no, what has changed and what are the new goals?

If there are any issues that surface, this is the time to address them. Right now. Do not wait.

Setting expectations is an opportunity to build trust and show the customer that they are heard and validated. It’s a shared excercise that needs to happen early and together. Sounds repetitive but it’s so important.

How To Deal With Missed Expectations

Don’t be upset like this Pug when things go wrong

Inevitably we all have to face the dreaded time when a customer jumps through the phone or Zoom and is angry. Why? They were oversold or there could have been a communication miss, or the goals outlined were not reasonable.

Either way we have all had to deal with this and it’s not fun, but it IS repairable. Here are some tips to deal with this:

• Do not get defensive or try to artificially diffuse the situation
• Listen, listen, and listen some more
• Hear them out and ask questions like, “Tell me more…”

Try to find out what it is they need and find out why. As they tell you this, think of workarounds you can implement. Think of ways you can help alleviate the pain of what they are going through.

Have an attitude of, “I’m sorry to have to deliver this news, but here’s what I can do to help you and I’m with you every step of the way.” You never want to lie, make up things, or try to placate them with false promises

These are really tough conversations and I’ve had to have them. It’s a shift into direct, transparent, and empathetic mode all at the same time.

When your customer feels heard, validated, and taken care of there is a chance you can repair the situation. If you can, then keep them updated on the progress and try to find workarounds. Work hard to earn back their trust. This may well end up being one of your most loyal advocates in the future.

Key Takeaway

The key takeaway for customer success is to understand that it’s critical to set expectations early and together. Get mutual agreement with your customer and start working toward that first value.