How I’d Scale a B2B SaaS Startup with High Churn Rates

Customer churn is one of the most frustrating challenges any SaaS company can face. You can sign up dozens, if not hundreds, of customers, but if they leave quickly, growth becomes unsustainable. As a B2B SaaS startup, this can feel like a constant uphill battle.

The good news is that churn is something you can reduce and control with the right strategies in place. It’s not just about acquiring more customers; it’s about making sure the ones you already have stay longer and derive more value from your product.

Here’s the scenario I’m dealing with:

The Scenario

• Industry: B2B SaaS Startup
• Company Headcount: 10–30 employees
• Marketing Budget: £2,000–£5,000 per month
• Current Churn Rate: Too high, growth unsustainable
• Sales Model: A mix of inbound and outbound
• Challenges:
  • Customers are signing up but leaving too soon
  • Lack of proper onboarding and education
  • Low engagement with existing customers
  • Struggling to build a loyal user base

If I were responsible for turning this around, my focus would be on strengthening customer onboarding and education, using automation to improve customer engagement, and building a community or exclusive customer success programs to increase retention.

Fixing the Onboarding Process: The First 30 Days Are Crucial

The customer onboarding experience sets the tone for everything that follows. If the first impression isn’t good, they’re likely to churn early.

Step 1: Map Out the Customer Journey

I’d start by mapping out the customer journey from the moment they sign up. The goal would be to identify key friction points and find ways to make their experience as smooth and educational as possible. Key areas to look at:

• Welcome emails: Do they get a warm welcome that sets clear expectations?
• Onboarding emails and tutorials: Are they walking customers through the setup?
• In-app guidance: Do they have tooltips or videos to help them navigate the platform?

The aim is to get customers to their “aha moment” quickly, when they realise the true value of the product. If that doesn’t happen within the first few days, they’re likely to churn.

Step 2: Creating a Streamlined Onboarding Flow

I’d review and optimise the onboarding process to ensure it is simple, intuitive, and value-driven. I’d focus on:

• Clear setup instructions: Reducing any confusion right from the start
• Progressive learning: Not overwhelming customers with too much information at once
• In-app walkthroughs: Using tools like WalkMe or Pendo to guide users through key features
• Personalised onboarding: Offering a demo or quick setup call with a customer success rep if needed

Step 3: Automated Check-ins and Education

Onboarding isn’t just a one-off event; it’s an ongoing process. I’d set up automated email sequences and in-app messages to check in with users and ensure they’re engaging with the product:

• Day 1: Welcome email with quick setup instructions and Loom video
• Day 3: Follow-up on product features and how to use them
• Day 7: Case study or success story to inspire users to get more value
• Day 14: Reminder to reach out for any support if needed

By staying involved early on, you reduce the likelihood of customers falling into the “set it and forget it” mindset that leads to churn.

Using Automation to Improve Customer Engagement

Once customers are onboarded, the key to reducing churn is consistent engagement. But manual outreach to every customer can be time-consuming. That’s where automation comes in.

Step 1: Automate Customer Engagement with Lifecycle Emails

I’d set up an automated lifecycle email sequence that focuses on keeping users engaged based on their activity and product usage. For example:

• Feature updates: Let users know when new features are added or improvements are made
• Re-engagement emails: Send reminders to users who have not logged in for a while or aren’t using key features
• Personalised recommendations: Based on usage data, suggest additional features or use cases

These emails shouldn’t be sales-focused, they should add value and remind users why they signed up in the first place.

Step 2: Implement Behavioural Triggers

I’d use tools like Intercom or HubSpot to trigger in-app messages based on user activity. For example:

• If a user hasn’t completed the onboarding flow, send them a reminder or a video showing the next steps
• If they’ve used a specific feature for the first time, offer tips on how to maximise its value
• If a user has stopped using the product, send a re-engagement email with a personalised offer or call to action

By automating these triggers, we can keep users engaged without needing to manually reach out to every customer.

Building a Community or Exclusive Customer Success Program

Creating a strong customer community can do wonders for retention. Customers who feel part of a community are more likely to stay and engage with the product over time.

Step 1: Create a Customer Success Hub

I’d build an online community or customer success hub where users can:

• Access educational resources (webinars, tutorials, best practice guides)
• Participate in community forums or groups for peer support
• Engage with customer success managers (CSMs) for ongoing assistance

The idea is to create a self-sustaining ecosystem where customers can help each other, reducing the reliance on support teams while increasing engagement.

Step 2: Introduce Exclusive Programs for High-Value Customers

For high-value or enterprise customers, I’d create an exclusive customer success program that offers:

• Regular check-ins with a CSM to ensure they’re getting value from the product
• Access to exclusive training materials or early feature releases
• Invitations to private webinars or roundtable discussions with other top users

By focusing on these customers, you deepen their commitment to your solution and increase their likelihood of staying long-term.

What Success Looks Like After Six Months

By executing this strategy, here’s what I’d expect:

• Churn rate reduced by 20–40% through better onboarding, education, and engagement
• Increased product usage with more active users staying on longer
• More customer loyalty through community and customer success programs
• Better insights into customer needs, allowing for proactive engagement and feature adoption
• Lower reliance on support teams with a self-sustaining community and automation helping to keep users engaged

Focusing on customer retention is critical for sustainable growth in SaaS. If you’re struggling with churn, this is how I’d approach turning things around.

If this resonates with your business and you’re looking for support in reducing churn and building stronger customer engagement, I’d love to discuss how we can help. At Rocket SaaS, we specialise in creating tailored strategies like the one above and working with you to execute them. Let’s start with a free, no-obligation SaaS marketing strategy call.

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By Ryan James

Founder @ Rocket SaaS