How Panaya Increased Renewal Revenue 240% Using Totango

August 3, 2016 Kevin Garcia

Panaya, an Infosys company, is the leader in ERP change analytics and cloud-based enterprise software testing. Their solutions help thousands of enterprises mitigate ERP change risks, gain automated code fixes, and accelerate testing and reporting.


Building Customer Success Focused On Value

As the VP of Customer Success at Panaya, Ariel Utnik manages all technical customer-facing departments, including: pre-sales, support, operations, and customer success. Within his organization, the customer success team leads the customer journey and owns important metrics around customer renewal and upsell. Ariel believes that customer success teams should focus on delivering value. He argues: 

“the SaaS model is built on the fact that if your customers get enough value from a product versus the price they pay, your customers will renew.”

 

Gaining Clarity and Focus with Segmentation

In practice, the customer success team struggled to prove value for every customer. Without critical knowledge around product usage, the team had to rely on anecdotal proof points and disjointed customer data. Realizing the importance of connecting the dots of this customer data, Panaya decided to implement Totango in 2013.

Totango made it easy to understand product usage at the account and user level. Now the team has more visibility into customer data and, more importantly, has the right tools to act on it. With Totango Segments, Panaya’s customer success team analyzed the customer base and found which customers were succeeding and failing with their solution.

Sample Totango Segment

For the first time, the team could quickly identify the path to success for growing customers and the right programs needed to get failing customers back on track. Ariel mentions: 

“If I understand what all my customers are doing and can impact failing customers, that is a gold mine. If I impact even one large customer a year, I am able to pay for my investment in Totango many times over.”

 

Forming Enterprise-Grade Customer Relationships

Beyond the ability to help failing customers, Totango makes it possible to be more strategic with high-value accounts. With Totango, customer meetings do not revolve around how customers are doing. Instead, each customer success manager can access all the necessary customer information directly from their Totango Account Profile before the meeting.

This had two significant effects for Panaya. First, the customer success team saves a significant amount of time collecting this data internally and preparing for meetings. Second, each customer success manager is able to dedicate more time on each customer call to training, activities, and programs that can deliver true customer value. The combined effect is a more proactive team that is spending less time to build deeper customer relationships.

 

Example: Building Million-Dollar Customer Accounts

One example of how Panaya uses Totango for high-value account meetings was during a customer value review (CVR) with a German post-distributor customer with a $2 million contract. Panaya needed to make sure this meeting reinforced the customer’s buying decision, and executives from both sides, including Panaya’s CEO, joined the CVR.

Using the customer’s actual Account Profile in Totango, Panaya was able to:

  • Show the way Panaya tracks and manages the customer’s product usage and projects
  • Demonstrate the specific activities the customer’s CSM was doing to ensure the customer achieved their goals
  • Elevate the conversation to how Panaya could deliver more value

After the CVR, Panaya received glowing feedback from the customer. The executive sponsors left the meeting feeling very confident in their investment in Panaya, and were excited to consider future investments.

Panaya’s CEO was so impressed with the outcome that he decided to make it mandatory to use Totango Account Profiles in all future CVRs. With Totango, Panaya’s CSMs have been able to achieve more productive outcomes from every meeting with their highest-value customers.

Sample View of Totango's Revenue Center

Proving the Value of Customer Success

Panaya uses Totango to successfully drive action from customer data, increase overall team productivity, and grow their book of business. Over the last two years, Panaya has increased their renewal rate by 13 points and renewal revenue by 240%.

Ariel mentions:

“If I could start all over, I would use Totango as the main platform for all customer success activities from the very beginning. Totango is a good fit for any company that needs to understand what their customers are doing and wants to actually impact their behavior.”


Our customer success team is always excited to talk through best practices and offer any guidance, feel free to reach out to us.

   info@totango.com

  @totango

  1-800-634-1990

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