Definition

The LAER customer success model is a customer engagement model designed by the Technology Services Industry Association (TSIA). The model was designed to help SaaS businesses grow.

The LAER model has four components to it. Land, Adopt, Expand, and Renew. Each stage represents a different part of the customer journey and for businesses represents four key areas which can be improved to drive greater customer success.

• Land - This stage refers to the acquisition or “landing” of a customer into the business. This is done through the efforts of sales and marketing.

• Adopt - This stage is the process of getting the customer to become a regular user of the product, moving them from a trial to a recurring subscription. This requires a lot of customer engagement making sure they can get the most amount of benefit from their use of your software. The more value they can see in your product the more likely they are to renew their contract.

• Expand - Once the customer has become fully onboarded with your service and is a regular user, this is the chance to expand your offering to them. This usually takes the form of upselling to them other additional add-ons to the product that can help them increase the performance they are getting from your software.

• Renew - The last stage to the LAER model is the Renew stage where a firm will decide whether to renew their subscription to your service. There are a few ways to increase your renewal rates and to decrease your churn. Constant engagement with the customer throughout their contract will help increase the likelihood of them renewing, solving any issues they encounter and releasing new features to help them achieve their goals. The use of retention software such as Upzelo also can help decrease your churn and improve your renewal rate.