How to Onboard Your Customers

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Scott D. Clary

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Scott D. Clary

8 min read5 days ago

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The Onboarding Obsession: Turn New Users into Raving Fans (And Revenue)

Today, we’re diving into the trenches of a topic that’s deceptively simple but monstrously impactful: customer onboarding.

I know, it doesn’t have the same ring as “10x-ing your valuation” or “hacking your way to a billion-dollar exit.”

But trust me, nailing onboarding can be the silent difference between a company that thrives and one that merely survives.

The Billion-Dollar Secret Hiding in Plain Sight

Think about the last time you signed up for a new product or service.

Did you feel like a valued member of a community, or just another cog in the machine?

Did you effortlessly unlock the product’s value, or did you stumble through a maze of confusing features?

These first impressions matter more than we realize.

Research shows that customers who have a positive onboarding experience are far more likely to become long-term advocates, repeat buyers, and even passionate evangelists.

In contrast, a poor onboarding experience can lead to churn, negative reviews, and a tarnished brand reputation.

It’s a domino effect, and the first domino is that crucial onboarding period.

The Onboarding Flywheel

Here’s why I’m so obsessed with onboarding: it’s not just a one-time event; it’s a flywheel that can drive your entire business forward.

When done right, onboarding creates a virtuous cycle:

Delight: Customers feel understood, supported, and empowered.
Activation: They quickly experience the core value of your product.
Retention: They stick around, use your product regularly, and upgrade.
Referral: They tell their friends and colleagues, bringing in new customers.

The Problem with “Set It and Forget It”

Too many companies treat onboarding as a checkbox exercise.

They create a generic welcome email, maybe a quick product tour, and then assume their job is done.

But this “set it and forget it” approach is a missed opportunity.

Remember, your customers are not a monolith.

They come from different backgrounds, have different goals, and learn in different ways.

To truly delight them, you need to personalize the onboarding experience.

This means tailoring your communication, providing relevant resources, and offering proactive support.

Why Onboarding is Your Secret Weapon (and Why Most Get It Wrong)

The way I like to think of onboarding as the first date with your customer.

You wouldn’t show up late, unprepared, and mumbling awkward small talk, right? (Well, I hope not…)

Yet, that’s exactly how many businesses treat their onboarding:

Information Overload: Dumping manuals and tutorials on users is like handing them a map to a maze and saying, “Good luck!”
Ignoring Emotions: Onboarding isn’t just about logic; it’s about building excitement and trust.
One-Size-Fits-All: Your users are diverse; their onboarding should be too.

A bad onboarding experience is more than just annoying; it’s expensive.

It leads to churn, missed revenue, and a tarnished brand reputation.

A great onboarding experience, on the other hand, is like rocket fuel for your business.

The Onboarding Blueprint: A Framework for Success

So if we’re going to ditch the “meh” and build an onboarding experience that wows.

Here’s my proven framework:

The Welcome Wagon: First impressions matter. Greet new users with personalized messages, celebrations, and easy wins to build momentum.
The Guided Tour: Don’t just show, guide. Use interactive walkthroughs, checklists, and tooltips to help users master your product step-by-step.
The Aha! Moment: What’s the core value of your product? Design your onboarding to deliver that “Aha!” moment as quickly as possible.
The Community Connection: Connect new users with other users, mentors, or support teams to foster a sense of belonging and accelerate learning.
The Ongoing Engagement: Onboarding doesn’t end after the first week. Continue to nurture users with relevant content, tips, and challenges to keep them engaged and growing.

Onboarding Tools to Level Up Your Game

Userpilot: A powerful platform for creating personalized, interactive onboarding flows.
Appcues: Build beautiful product tours and tooltips without writing code.
Intercom: A versatile messaging platform for engaging users at every stage of their journey.

Remember, onboarding isn’t just a task to check off your list; it’s an ongoing conversation with your customers.

By investing in a thoughtful, personalized, and engaging onboarding experience, you’ll turn new users into loyal fans who can’t wait to tell the world about your product.

The Psychology of Onboarding: Hacking the Human Brain for Engagement

We’ve covered the mechanics of onboarding, but let’s dive deeper into the psychology behind it.

Understanding how your users think and feel is key to creating an experience that truly sticks.

The Fogg Behavior Model: Making Onboarding Irresistible

Ever wondered why some habits are easy to form while others fizzle out?

The Fogg Behavior Model explains it:

Motivation: Your users need a reason to engage with your product. What pain point are you solving? What desire are you fulfilling?
Ability: Your onboarding process must be easy to follow. Simplify steps, eliminate friction, and provide clear instructions.
Trigger: A prompt that reminds users to take action. Emails, notifications, in-app messages… make sure your triggers are timely and relevant.

When all three elements align, you create a “hot trigger” that drives users to take action and experience the value of your product.

The Power of Progress: Keeping Users Motivated

Humans are wired to crave progress.

That’s why video games have levels, fitness trackers count steps, and project management tools use progress bars.

Tap into this innate desire by incorporating progress indicators into your onboarding:

Checklists: Break down onboarding tasks into smaller, achievable steps.
Progress Bars: Visually represent users’ progress through the onboarding process.
Rewards: Celebrate milestones with badges, virtual currency, or exclusive content.

By highlighting progress, you create a sense of accomplishment that keeps users motivated and engaged.

The Zeigarnik Effect: Sparking Curiosity and Action

Ever started a Netflix series and couldn’t stop watching until you finished it?

That’s the Zeigarnik Effect in action.

This psychological principle states that incomplete tasks tend to stay top-of-mind.

Use it to your advantage in onboarding:

Cliffhangers: End onboarding modules with a teaser for what’s next.
Incomplete Profiles: Encourage users to fill out their profiles by showing them what they’re missing out on.
Limited-Time Offers: Create a sense of urgency with special promotions or discounts that expire.

By sparking curiosity and leaving users wanting more, you’ll keep them coming back for more.

The Importance of Personalization: Making Users Feel Seen

We all crave to be seen, heard, and understood.

Personalization is the key to making your users feel valued and connected to your product.

Here’s how to personalize your onboarding:

Name: Use their name in welcome messages and emails.
Interests: Tailor content recommendations based on their preferences.
Progress: Acknowledge their achievements and offer personalized tips based on their usage.

Remember, onboarding is more than just a process; it’s a relationship.

By understanding the psychology of your users, you can create an onboarding experience that’s not only effective but also enjoyable, memorable, and ultimately, profitable.

The Onboarding Ecosystem: A Holistic Approach to Customer Success

We’ve delved into the nitty-gritty of onboarding design and psychology.

But here’s the truth: onboarding isn’t an isolated event.

It’s part of a larger ecosystem that impacts every aspect of your business.

The Onboarding Funnel: From Stranger to Superfan

Think of your onboarding process as a funnel:

Top of Funnel (ToFu): Awareness and Acquisition: This is where you attract new users through marketing, advertising, and word-of-mouth.
Middle of Funnel (MoFu): Activation and Engagement: Your onboarding process kicks in here, guiding users to experience the core value of your product.
Bottom of Funnel (BoFu): Retention and Advocacy: This is where you nurture users into loyal customers who refer their friends and sing your praises.

Each stage of the funnel requires different strategies and tactics. But they’re all interconnected.

A leaky onboarding process will impact your ability to retain customers and drive referrals.

Onboarding Metrics That Matter (and How to Track Them)

Data is your compass.

Without it, you’re flying blind.

Here are the key onboarding metrics to track:

Time to Value (TTV): How long does it take for users to experience the core value of your product? The faster, the better.
Activation Rate: What percentage of new users complete key onboarding actions (e.g., creating an account, completing a profile, making a purchase)?
Churn Rate: What percentage of new users abandon your product within a specific time frame (e.g., 30 days, 90 days)?
Net Promoter Score (NPS): How likely are users to recommend your product to others?
Customer Satisfaction (CSAT): How satisfied are users with their onboarding experience?

Use tools like Mixpanel, Amplitude, or Pendo to track these metrics and gain insights into how your onboarding process is performing.

Aligning Onboarding with Your Overall Business Goals

Onboarding isn’t just about getting users started; it’s about achieving your business goals.

Whether it’s increasing revenue, reducing churn, or boosting brand awareness, your onboarding process should be designed to support those objectives.

Here are some examples of how to align onboarding with business goals:

Goal: Increase Revenue: Offer a limited-time discount or trial to new users.
Goal: Reduce Churn: Personalize onboarding content based on user behavior and interests.
Goal: Boost Brand Awareness: Encourage users to share their onboarding experience on social media.

By aligning onboarding with your overall business goals, you’ll ensure that every interaction with your product contributes to your company’s success.

The Onboarding Mindset: Cultivating a Culture of Customer-Centricity

Onboarding isn’t just a project or a process; it’s a mindset.

A mindset that puts the customer at the center of everything you do.

It’s a commitment to understanding their needs, anticipating their challenges, and empowering them to achieve their goals.

From Churn to Champion: Turning Detractors into Advocates

Even with the best onboarding in the world, not every customer will be a perfect fit.

Some will inevitably churn.

But here’s the thing: churn isn’t always a loss.

It can be an opportunity to learn, improve, and even turn detractors into advocates.

Here’s how:

Exit Interviews: When a customer churns, don’t just say goodbye. Conduct an exit interview to understand their reasons for leaving.
Feedback Loop: Use the feedback you gather to improve your onboarding process, product, and overall customer experience.
Win-Back Campaigns: Don’t give up on churned customers. Reach out with personalized offers, updates, or incentives to win them back.

Remember, every customer interaction is an opportunity to build a lasting relationship.

Even if a customer churns, you can still leave a positive impression that leads to future business or referrals.

The Onboarding Leader: Embracing the Challenge

Onboarding isn’t easy.

It requires a multi-disciplinary approach that combines marketing, product, design, customer success, and leadership.

But the rewards are worth it.

By embracing the onboarding challenge, you’ll unlock a world of opportunity for your business.

You’ll reduce churn, increase revenue, boost brand awareness, and most importantly, build lasting relationships with your customers.

So, are you ready to become an onboarding leader?

The choice is yours.

But remember, in the words of Maya Angelou, “People will forget what you said, people will forget what you did, but people will never forget how you made them feel.”

Make your onboarding experience unforgettable.

Make your customers feel valued, empowered, and excited about the journey ahead.

Scott