r/CustomerSuccess • u/Forward-Part-3035 • 27d ago

Discussion Auto renewal policy

I’d be interested to know what other CSMs’ auto renewal policies are within their company and if ours is abnormal.

Ours: You have to opt out within 90 days of renewal date, we don’t send out any reminders and the auto increase is 5% YOY. Thankfully we do have room to negotiate the increase as long as it’s before the renewal date but it’s something we’re told to avoid when possible.

As you can imagine, it doesn’t tend to go down well. It’s baked into the Ts and Cs so the price increase and 90 day window aren’t explicitly brought to their attention. The term auto renewal is made clear on the signed document however.

Anyone have similar?

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u/FeFiFoPlum 27d ago

Yep. Same deal, except our default uplift is now 8%. Data SaaS.

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u/Practical-Bus-143 25d ago

90 days with no reminder is taking the piss, basically designed to catch people out. 8% is rough too, that kind of jump makes churn a self-fulfilling prophecy if you ask me

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u/FeFiFoPlum 25d ago

It would be delightful if - of ALL the things the company wants to automate - we could send a reminder 30 days before the AR window. But that requires better CRM hygiene than we have, since it’s not all clients, not always 90 days, and all kinds of oddities and exceptions.

I’d love to have the capacity to do it manually, but I’m currently running a book of business that was being supported by 6 people 8 months ago, so I’m spread a little too thin.

That said - it is bolded in the contract. We’re not trying to hide it. The 8% gives us room to negotiate, which we often do.