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Cisco

820-605 · Question #136

Refer to the exhibit. Which action should the Customer Success Manager take to improve the health index of Company B?

The correct answer is A. Analyze annual recurring revenue growth and reduce renewal risks associated with technology. To improve Company B's health index, the Customer Success Manager should focus on financial metrics and retention, specifically analyzing recurring revenue growth and mitigating technology-related renewal risks.

Driving Value and Outcomes

Question

Refer to the exhibit. Which action should the Customer Success Manager take to improve the health index of Company B?

Exhibit

820-605 question #136 exhibit

Options

  • AAnalyze annual recurring revenue growth and reduce renewal risks associated with technology.
  • BPerform a marketing campaign and design a roadmap of new products.
  • CProvide recommendations for training and offer scripts for learning products.
  • DObserve the net promoter scores and how likely the customer is to create a success story.

How the community answered

(18 responses)
  • A
    61% (11)
  • B
    22% (4)
  • C
    6% (1)
  • D
    11% (2)

Why each option

To improve Company B's health index, the Customer Success Manager should focus on financial metrics and retention, specifically analyzing recurring revenue growth and mitigating technology-related renewal risks.

AAnalyze annual recurring revenue growth and reduce renewal risks associated with technology.Correct

Focusing on annual recurring revenue (ARR) growth and renewal risks directly addresses the financial health and long-term viability of the customer relationship, which are key components of a comprehensive health index.

BPerform a marketing campaign and design a roadmap of new products.

Marketing campaigns and product roadmaps are external-facing activities related to sales and product development, not direct actions a CSM takes to improve an existing customer's health index related to their current solutions.

CProvide recommendations for training and offer scripts for learning products.

While training is important for adoption, this action primarily addresses user proficiency, which might be a component of health but not the overarching focus if the primary health index concern for Company B is financial or strategic.

DObserve the net promoter scores and how likely the customer is to create a success story.

Net Promoter Score (NPS) and success stories are indicators of customer satisfaction and advocacy, but they are outputs or reflections of health, not direct actions to improve the overall health index, especially if the index factors in financial or operational aspects heavily.

Concept tested: Customer health index improvement - financial/renewal focus

Topics

#customer health index#renewal risk#ARR#technology risk

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