What was the best moment in your business journey? Your very first sale to a customer. Is that the case? Let’s take a breather here. Have you given recurring revenue any thought? If you haven’t already done so, you must do so immediately. How? A dependable onboarding process with low customer onboarding costs. It increases consumers’ lifetime worth, making them a valuable asset for your company.
According to Gartner Group research, 20% of a company’s revenue originates from current customers, who account for 80% of revenue. Add in the fact that, according to Bain & Co., a 5% improvement in customer retention may boost a company’s profitability by 75%. As a result, you have a vast potential to realize!
What Are the Benefits of a Thorough Customer Onboarding Process?
A complete client onboarding process must be part of your growth strategy to increase customer retention and engagement. Before changing your strategy, you must first answer a few key questions. What are the financial commitments? How can you calculate and cut the cost of client training? In other words, how can you create a budget that is optimized?
To begin, break down the customer training cost components into segments. Customer training is one of the most critical cost elements in this split. It takes time, effort, and money to implement an end-to-end training approach. However, if you use eLearning, you may provide a highly successful onboarding experience while keeping prices low. As a result, this is the main topic of our article. Let’s get this party started.
Breakdown of Customer Training Costs
According to Forrester Consulting’s analysis, the following figures are accurate:
- Customer onboarding might cost up to $25,000 per client at the most.
- The average cost of customer onboarding is roughly $6,000 per client.
- A streamlined onboarding procedure results in a 30 percent reduction in total time spent.
The cost mentioned above is dependent on several things. You may now incur costs because of any of the following customer onboarding processes:
- Increase client engagement with content marketing
- Addressing buyers’ problems via customer service
- Technical support: Advanced documentation, client training, and product/service knowledge are all available.
- Account management staff to help the client through the onboarding process
- To identify at-risk clients, target problem areas, and resolve current difficulties, use analysis and metrics.
In the form of training materials, technical support enables your customer to assist in overcoming barrier points, which are common pain areas for buyers. Walkthroughs of your product or service ensure that the engagement with your client will be for the long haul.
Yes, training is a tried-and-true way to ensure a successful onboarding experience. It is, nonetheless, an essential component of the total customer onboarding cost. However, you may reduce this expense by implementing a learning management system that includes an integrated eLearning experience.
Online customer training courses, for example, ensure that costs stay to a minimum, that knowledge is easily accessible, and that advanced analytics are available. Let’s get down to business.
How Can eLearning Help You Save Money on Customer Onboarding?
Training via eLearning that the client onboarding solutions include yields mutually beneficial outcomes for you and your buyer. Most importantly, it lowers client onboarding costs significantly. Here’s how to do it.
Long-term Benefits: Short-term Expenses
Several firms are still wary of the hefty development expenses associated with creating eLearning programs. The short-term cost, however, vastly outweighs the long-term benefits. In the long term, traditional instructor-led training consumes a large portion of the training budget.
Overall training times are reduced with eLearning, resulting in enhanced productivity and profitability. You’ll need to take care of your clients’ travel and lodging, meals, venue fees, and printed learning materials under the traditional customer training approach, not to mention the expenditures of classroom maintenance and instructor pay. Not only does updating learning materials cost money, but it also takes time and resources.
Eliminating the phases stated above and including eLearning in the customer onboarding process lowers the total development cost. Because you do everything online, you also save money on one-on-one facilitation.
Lower Customer Service Costs
The price of continued trouble-free services is an integral part of customer onboarding costs. Your clients can access content on-demand, at their speed and schedule, with an eLearning module in place. They will now obtain more information about your products because of their higher comfort levels during knowledge consumption. What’s the result? Customer service costs and hours are cut!
Furthermore, you can improve your eLearning courses by including cloud-based technology into your course. Single sign-on solutions ensure that your customers can access interesting, up-to-date training materials quickly and simply. Licensing fees charged by reputable technology vendors are lower, resulting in lower recurring costs.
Reduced Customer Progress Tracking Costs
It’s not enough to just give your clients training materials. To determine whether your customer onboarding process is effective, you must first decide whether or not it adds any value. Are your customers gathering information on the products you’ve chosen? Are they use your online knowledge base to resolve difficulties relating to the services you provide?
Modern eLearning systems, such as PlayAblo, come with extensive reporting capabilities. They allow you to track client consumption, progress, and levels of involvement.
You must track the value of your customer training activities to stay within your budget. Furthermore, because the tracking tools integrate into the same online learning management system, you save money by keeping a real-time picture of your client’s progress.
Millions of Customers on a Single LMS Platform
With companies expanding their geographic reach, eLearning is a practical and cost-effective way to reach millions of customers. You can onboard clients from all around the world with just one LMS installation. Furthermore, your consumers will have access to multimedia elements that are required to complete the course. You can also include slideshows, photos, video clips, and interactive widgets.
Customer onboarding is critical for lowering customer attrition. It refers to the rate at which customers terminate their business engagement with a corporation. As a result, your solution will need to appear indispensable in this regard. A well-coordinated customer training program will give it a substantial boost. However, there are costs associated with training. As a result, selecting a system that reduces your costs is critical. It’s the ideal time for eLearning to enter the picture!
Multiple file types are supported by eLearning courses published to an LMS. It entails a one-time investment. Customer training modules, on the other hand, can help firms save money in the long run. So, if you want to build a low-cost, high-value-added service, you must give eLearning serious consideration!