Treat Your Service Portfolio as a Product Line
Service and success programs are a significant source of revenue. To assure that they yield their maximum revenue potential they must keep pace with customer needs and expectations.
Formal Product Management of Service Portfolios
Treat service portfolios as valuable offerings by assigning dedicated program management resources to keep offerings up to date and relevant. Consider the following:
Develop service and success portfolios that span delivery silos (Support, Success, Education, Professional Services, etc.).
Assign a full-time dedicated product manager to lead program management activities for the service / success portfolios across service disciplines and related product families.
Establish goals and objectives for the service program manager based on performance and revenues directly associated with sale and renewal of service and success offerings.
Grow the team of portfolio product managers to keep pace with the size, complexity, and financial performance of the service portfolio.
To assure that your service and success portfolio remains relevant to customer needs review and update offerings on an ongoing basis. Consider adding new offerings and enhancements as customer needs evolve. Be certain to define and articulate the value of all offerings and reinforce service benefits to help sustain customer relationships.
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Setting the correct price for your support programs begins with a baseline understanding of what your market will bear but ultimately the price must be based on the type and level and entitlements offered. The average prices for support programs range from 15.6 percent for a basic level of support to more than 26 percent for a high-end premium offer.
Support and maintenance portfolios have been the foundation of many post-sales service offers, yet Support offers alone are no longer adequate to sustain and growth customer relationship value. Modernization of support portfolios and the evolution to customer success-focused programs and offers is the future of post-sales service portfolios. This article will help you to determine what type of post sales service portfolio you need.