Stop Screwing Your Customer Teams to Beat Your COGS

In this blog post, we delve into the challenges of reducing COGs (Cost of Goods) on the customer side during product rollouts. Jeff Kushmerek, with over 20 years of experience in helping customers adopt complex products, shares insights on the importance of prioritizing customer success and reference ability. Join the discussion as we explore strategies to tackle this issue and make product rollouts successful.

1. The Shift in Priorities:

Jeff highlights a recent trend where companies prioritize reducing COGs, especially in the early stages, which can hinder customer success. He argues against this approach, emphasizing the significance of getting the first customers live and referenceable.

2. The Complex Product Landscape:

With complex products that involve APIs, data cleansing, configuration, and technical functions, the need for a capable team to set up customers for success becomes apparent. Jeff emphasizes that first CSM hires often excel at account management but lack technical expertise.

3. Bridging the Gap:

To address the technical gaps in product rollouts, Jeff suggests bringing in developer types or technical project managers, even if it's a temporary measure. These resources can be integrated into the product or development team, separating them from CS COGs.

4. Scaling for Enterprise Customers:

As companies scale and target enterprise-level customers, complex work arises again. Hiring the right resources becomes crucial to avoid junior team members struggling with the challenges. Jeff proposes a structure that combines CSMs or project managers with developers to handle blocking and tackling.

5. Ensuring Referenceable Customers:

The ultimate goal is to have a batch of customers that are 100% referenceable. Jeff stresses that the cost of resources for successful rollouts is outweighed by the value of press releases and case studies from top-tier companies.

6. Join the Discussion:

Jeff invites readers to share their experiences in combating this problem. Are you hiring specialized resources or utilizing a combination of developers and project managers? Engage in the conversation and learn from others' perspectives.

Prioritizing customer success over reducing COGs is vital during product rollouts. Jeff Kushmerek sheds light on the importance of building capable teams, combining technical expertise with project management skills. By ensuring referenceable customers, companies can achieve long-term success and valuable endorsements. Join the conversation and share your strategies for successful product rollouts in the comments section below.