Why Customer Onboardings are Costing You Too Much

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Whether you’re a digital startup, web agency or digital pure play company, customer onboardings for DIY products can be pretty damn tough. Let’s face it, most digital products are complex—often too deep to simply dive in because many of your customers would drown without some training. I could name half a dozen CRMs and marketing automation programs I’ve used that took at least a little mentoring, and more likely full on training and tutorials. And unfortunately, complexity does not necessarily have a direct or inverse correlation with quality.

The problem with intricate digital products is that they have a steep learning curve. I’m sure you’ve experienced that customers don’t have the time or motivation to get themselves up to speed with your products. As a result, they move on and your churn rates skyrocket.

To combat this, you could provide hours of training and support until clients are able to use your products on their own. But you can’t really win in that case either, because you’re going to bring up your CAC (customer acquisition cost). Although education plays a huge part in digital marketing, it’s extremely important to take proactive measures to lessen the load and decrease your CAC.

Here are a few tips to help you reduce customer churn and CAC from customer onboardings:

  • Build a library of self-serve training resources so your customers can learn on their own schedule. This one-time cost will also help you scale your business in the long run.
  • Use reporting tools to show your customers value early on in the onboarding process. Customers often won’t wait several weeks to see value.
  • Choose third-party solutions that are known for their prescriptive and intuitive utilization, so your clients “just get it” when they begin to explore the products.
  • Collaborate with third-party solution providers that have proven track records in training and support, consistent news releases, and a dedicated account team that works closely with your business.

You need to identify your customers’ greatest pain points during onboardings and then come up with solutions. Consider asking yourself these three questions:

  • In order to provide customers with an excellent experience, what information will you need to know about them? Identify their top pain points and objectives and address them.
  • In order for customers to stick with your products, what will they need to do? Demonstrate the value of your products (practice, don’t preach).
  • In order to make a profit, what actions must your customers regularly take? Once you’ve identified these actions, show them those exact steps they need to take.

I’d love to hear what you found successful or unsuccessful in your customer onboardings—please send me an email at bnordstrom@vendasta.com with your insights!

For more solutions on how to reduce your CAC, download our 14 Challenges Agencies Face eBook. 


Blair Nordstrom

Blair is a Product Marketing Specialist at Vendasta and a connoisseur of all things digital marketing.