As we seek to understand more about how customer success is positioned within the variety of companies it serves, we’ve asked ourselves how the department is accounted for organizationally and financially: Are CSMs accounted for as Cost of Goods Sold or as an Operating Expense?
Customer success managers act as a unique combination of both account management and customer service/support, with the added goal of securing renewals. These varying responsibilities mean different companies define CS in different ways, which in turn, defines how it fits into the business and where its budget comes from.
- How best-in-class organizations define customer success, where it sits, and why
- Key delineation points between each expense type and responsibilities to consider
- How companies at different stages approach this and what changes as you scale
- Pros and cons for each model