Top 10 Mistakes People Make When Hiring a Customer Success Manager
Hiring the right Customer Success Manager (CSM) is key for companies willing to drive sustainable growth.
The role of a CSM is fundamental in helping customers succeed with the company's products or services faster than if they had to do it on their own.
Over time, it results in increased revenue and customer satisfaction.
And yet, many companies still make common mistakes when hiring CSMs, leading to high turnover and potential revenue loss down the line.
So, here are the top 10 mistakes many companies still make when hiring a Customer Success Manager:
1. Not Understanding The Role of a CSM
Let’s make it crystal clear:
A CSM is not a support rep or a sales manager.
They are here to help customers reach their business goals.
And it starts with onboarding and training.
Then continues to build stronger customer relationships, advocacy, and loyalty to the company’s brand.
That's why hiring managers must grasp the basics of the role and avoid putting CS professionals in positions they're not meant for.
2. Hiring for Experience, Not Skills
Prior experience in Customer Success (CS) is important but not the only thing to look at.
Many CSMs have skills they can bring from roles like sales or other customer-facing roles.
Hiring managers should therefore prioritize candidates with quick learning ability, even if they have limited experience in the role itself.
3. Not Being Clear
Before hiring, outline the CSM’s responsibilities in detail, desired skills, experience, and more importantly, the reporting structure.
A well-defined role attracts the right candidates and ensures everyone knows what to expect.
This will also avoid the potential burnout many CS folks experience nowadays, unfortunately.
4. Not Involving The Right People
The CSM works with most of the internal teams like sales, marketing, support, and product development.
So, include reps from these teams in the hiring process to make sure the selected candidate can collaborate well with everyone involved in the customer journey.
5. Weak Interview Process
A great interview experience is vital to assess a candidate's skills, experience, and fit with the company culture.
Focus on the candidate’s hands-on experience.
Prioritize the doers over the talkers.
Ask questions about their prior experience in the field and real-life case studies.
Relate to their past achievements and the company's specific needs.
6. Not Making a Data-Driven Decision
Don't just rely only on your gut feelings.
Collect and assess data from the candidate's references.
This will give you deeper insights into their qualifications and experience.
7. Not Making a Cultural Fit
Like most of a company’s new hires, a CSM profile needs to match the company's culture and values.
They must be able to work well with colleagues, align with business goals, and contribute to a positive work environment.
A bad hire can ruin an entire CS organization and the company ultimately.
8. Neglecting Effective Onboarding
A great onboarding plan is key for making sure a new CSM fits in with their job and the company.
This means giving them the right resources, access to what they need, and chances to meet with their team in person or virtually.
It also helps CSMs get used to their job fast and feel connected and engaged right from the beginning.
Employee success is customer success.
So prioritize accordingly.
9. Overlooking Ongoing Support
A few CSMs can find their role extremely challenging at first.
Support from their manager and team is key to their success.
Regular coaching, feedback, and chances to share experiences will help CSMs learn and improve.
Great ongoing support makes sure CSMs are ready to handle any challenges that come their way.
10. Failing to Measure and Track Performance
Making sure CSMs know what's expected and keeping an eye on how they're performing is key.
Using metrics like customer satisfaction, renewals, and eventually upselling in certain circumstances provides insights into their performance.
Regular reviews help in open communication, setting goals, and driving better outcomes for your customers.
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