How to prevent SaaS customer churn

How to prevent dissatisfied customers from churning

The reality of SaaS industry is that the customer service is one of the core elements of customer engagement, satisfaction and ultimately, retention. With that said, customer service is clearly one of the pylons on which the SaaS product experience rests. But no matter how much you invest in employee training and fine-tuning the operations, sometimes things might go wrong. Misunderstandings happen.

Today, I want to tell you a story about a personal experience of mine with a company that made a mistake with my billing.

Before I became a paying customer, I spent some time trying their higher plans for free to evaluate which of their plans suits my needs best. To clear things out, I had to choose between a Basic Plan for $10/month and a Extended Plan for $90/month, with more features in it. I signed up for the Extended Plan trial, I used it for a while and realized that it was too large for my current needs. So in the end I signed up with Basic and paid my first $10. The first month was very smooth, but after the first month I received a received a receipt for Extended plan in the value of $90.

Frankly, I was quite upset because of their lack of attention that made me overpay in the end.

As a picture is worth a thousand words, please see my conversation with their representative below (to respect privacy, we have blurred some elements in the conversation):


My reaction:


So what did the Support representative say to turn everything around in a few messages? There are a few elements that made me change my negative perception of the service:

  • Response and resolution speed
  • She understood my discontent and knew what to do to fix that
  • She was friendly, positive and respectful despite my hostility
  • She knew what to say and how to say it to calm me down

All these are the ingredients that consolidated my previous positive experience with the service, even despite this rough patch in the beginning of my relationship with the brand. Good support in a service oriented company can always be a life-saver for the business as a whole.

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Often SMB’s regard customer service as a department mainly populated by employees with a very short lifespan in the company. That the job itself is the lowest position in the company possible. It shouldn’t be like that. With software becoming increasingly service-oriented, customer service becomes the front window of your company. Your support team can and should serve for conflict resolutions, customer data collection and even sales.

Raising the bar in quality of the support is always good for a recurring business, as it has one superpower: it can reduce customer churn, directly influencing your revenue..

Meir Amzallag

Co-founder and CEO of PayPro Global

Ioana Grigorescu

Content Marketing Manager at PayPro Global

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