A new manager at a customer asks, "Why are we paying for this?" How do you answer?
What the interviewer wants to hear
- Stay calm and treat it as a fair question
- Learn their priorities first
- Show concrete results in their terms
- Connect the product to their goals
- Offer a follow-up review or plan
Model answer
I would treat it as a fair question, because a new manager needs to understand every cost. First I would ask about their priorities and what they are responsible for, so I can talk about value in their terms. Then I would share concrete results from the account, such as hours saved, errors reduced or revenue influenced, using data from our product and the original goals agreed at onboarding. If we have not tracked value well, I would be honest about it and propose a short plan to measure it. I would connect our product to their new goals and offer a proper review meeting with the team. This conversation is often a chance to build a new sponsor rather than a threat.
Can you answer it under time pressure?
Take a timed easy round and get scored on every answer.
More easy Customer Success Manager questions
- In your own words, what does a Customer Success Manager do?
- Why is customer success important for a subscription business?
- What is churn, and what are some common reasons customers churn?
- How would you run a kickoff call with a new customer?
- A customer is upset and complaining on a call. How do you handle it?
- How do you build a strong relationship with a customer you have just been assigned?
- How do you say no to a customer request you cannot fulfil?
- Which tools have you used in customer success, and how did they help you?
- How do you make sure no renewal in your book of business catches you by surprise?