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How to Analyze HubSpot Health Scores to Reduce Churn and Drive Upsells

Written by Origin 63 | Nov 12, 2024 1:00:00 PM

Upsell opportunities can go unnoticed, and warning signs of churn often emerge too late. HubSpot Health Scores offer a clear window into your customers’ needs and engagement, showing you where to focus your efforts.

 

These scores reveal valuable patterns in customer satisfaction and behavior, enabling you to identify clients at risk and those primed for an upsell. Mastering this analysis keeps you in control, paving the way for stronger relationships and sustained growth.

 

This blog will guide you through analyzing HubSpot Health Scores and turning those insights into strategies that drive retention and sales.

 

How Does HubSpot Health Scores Help Reduce Churn?

 

 

HubSpot Health Scores provide a clear view of each customer's relationship with your business by combining factors like product usage, engagement levels, and satisfaction feedback. How do they help reduce churn?

 

HubSpot Health Scores lets you see when a customer’s engagement is dropping or when they’re experiencing issues, giving you a chance to step in and re-engage them before they consider leaving.

 

Studies show customer churn can be reduced by 67% if companies resolve customer issues in the first interaction and effectively manage customer expectations.

 

Not all customers are equally at risk of churning. With health scores, you can prioritize customers who need immediate attention based on low scores, ensuring that your team’s time is focused where it matters most.

 

Looking at trends in health scores lets you proactively adjust support, create educational resources, or even change features based on common customer pain points, effectively reducing the factors that lead to churn in the first place.

 

Churn Risk and Retention Strategies

One of the most powerful uses of HubSpot Health Scores is pinpointing customers at risk of churning. Understanding which customers might be on the verge of leaving lets you act quickly and apply strategies to keep them engaged, boosting your retention rates. 

 

Companies that actively monitor these scores see significant benefits in customer loyalty, often turning at-risk customers into satisfied, long-term clients. They also steer cleer of high costs related to churn. Avoidable customer churn costs U.S. businesses $136 billion annually.

 

1. Identifying Customers at Risk of Churn

The first step in retention is knowing who’s at risk. HubSpot’s health scores can help you pinpoint customers needing extra attention.

 

Use HubSpot’s health score thresholds to flag customers with declining product usage, frequent support tickets, or negative feedback as high churn risks.

 

For example, low scores that correspond to decreased engagement metrics or an increase in unresolved support tickets signal a need for immediate attention. 

 

Customers with these signals are more likely to consider alternatives, so identifying them early helps you intervene before they completely disengage.

 

2. Re-Engagement Strategies for At-Risk Customers

 

 

Once you’ve identified at-risk customers, the next step is re-engagement. Personalized, targeted outreach is essential for restoring interest and satisfaction.

 

Leverage personalized outreach campaigns targeting at-risk customers with special offers, product demos, or exclusive content to reignite engagement. Offering something specific to their needs or interests helps build a renewed connection.

 

Set up HubSpot workflows to trigger automated email sequences when a customer’s health score drops below a certain threshold. 

 

Examples of re-engagement tactics include offering free consultations, proactive customer support, or limited-time discounts. These automated responses ensure your team can reach out when the customer needs it most, keeping you one step ahead in preserving their loyalty.

 

3. Customer Retention Tactics

Keeping customers engaged often requires a proactive approach. HubSpot’s CRM offers powerful tools to monitor how customers respond to your retention efforts, enabling you to address potential issues before they escalate. 

 

For instance, deploying targeted campaigns based on common challenges, like improving the onboarding process or offering tailored support solutions, can strengthen customer satisfaction. 

Creating a workflow to assign a customer success manager whenever a customer lands in the high-risk segment based on their health score ensures these customers receive the focused attention needed to address their concerns and reestablish a positive experience.

 

Upsell and Cross-sell Opportunities

HubSpot Health Scores don’t just help with retention—they’re also a strategic asset for driving growth. Customers with high health scores are typically satisfied and well-engaged, which makes them ideal candidates for upsell or cross-sell opportunities. 

 

Businesses that implement upselling effectively can increase customer lifetime value by 20%, so using health scores to identify upsell-ready customers can significantly impact your bottom line.

 

1. Leveraging High Health Scores for Growth

High health scores often signify that customers actively benefit from your product, making them more receptive to additional features or services. 

 

Setting up HubSpot’s automated workflows to trigger upsell campaigns whenever a customer reaches a specific health score threshold ensures you reach out at the perfect time. 

 

For example, when a customer’s score suggests they fully utilize your product’s capabilities, you might present them with premium features or complementary services that can enhance their experience even further.

 

2. Targeted Campaigns Based on Health Scores

 

 

Using HubSpot, you can create segmented lists of customers with high health scores and run targeted marketing campaigns that promote advanced features, higher-tier plans, or products that complement their current usage. 

 

For example, automating upsell email sequences for customers whose health score has consistently remained high over a set period—such as six months—can help increase engagement with these offers. 

 

Including success stories or case studies in these campaigns demonstrates the additional value these upsells can bring, making it easy for satisfied customers to see the benefits of expanding their use of your services.

 

Integrating Health Scores with HubSpot’s Automation Tools

 

Using HubSpot’s automation tools to monitor health scores and prompt timely outreach is a highly effective way to improve retention and upsell efforts. 

 

Automated reminders can help customer success managers monitor touchpoints, ensuring low-scoring customers get the support they need to stay engaged and high-scoring customers receive attention for potential upsell discussions. 

 

Setting up a structured workflow keeps the process efficient and ensures no customer falls through the cracks.

 

With HubSpot’s reporting dashboards, tracking the success of these automated interactions is straightforward. 

 

You can monitor metrics like customer lifetime value (CLV) and renewal rates to evaluate how effectively your churn-prevention strategies and upsell campaigns are performing, refining your approach to keep enhancing results.

 

Setting Up Automated Health Score Reminders in HubSpot\

 

To create an automated workflow that responds dynamically to health score changes, here’s a step-by-step approach:

  1. Trigger the Workflow: Set the workflow to trigger whenever the “Health Score” property “is known.” Enable re-enrollment to ensure the workflow activates anytime the health score is updated.
  2. Branch Based on Health Score: Add an IF/THEN action to branch the workflow by health score values:
    • Customers with a score of 90 or above
    • Customers with a score between 50 and 90
    • Customers with a score below 50
  3. Assign Account Health Status: For each branch, set the “Account Health” property to a clear status: “Healthy” for high scores, “Moderate” for moderate scores, and “At-Risk” for low scores. This gives teams an immediate sense of customer satisfaction and engagement.
  4. Detect Score Changes: Insert an additional IF/THEN action to check if the health score has changed categories. If it has, notify the team in Slack, prompting them to take immediate action if needed.
  5. Store Previous Health Score: Copy the updated health score into a “Previous Health Score” property, allowing for easy comparison on subsequent updates.
  6. Additional Actions (Optional): Customize further actions for each score category, such as triggering specific follow-ups, personalizing offers, or updating customer records.

Bonus Tip: Add your “Account Health” status—Healthy, Monitor, or At-Risk—to the customer records displayed in your HubSpot pipelines and dashboards. This visible indicator helps teams instantly assess customer health, streamlining prioritization and boosting engagement efforts in real-time.

 

Maximizing Customer Success with Health Scores

Analyzing and acting on health scores can empower your team to stay one step ahead, ensuring customers remain engaged and satisfied. HubSpot’s automation tools make it easy to use these scores to identify at-risk customers and provide timely support to prevent churn. 

 

For fully engaged customers who score highly, targeted upsell campaigns can introduce them to additional products and services, driving growth for your business. These strategies create a strong foundation for retaining customers and expanding revenue opportunities.

 

Check out our full guide [link here] for a more detailed guide on setting up and optimizing HubSpot Health Scores.

 

Ready to Maximize Your Customer Success Potential?

Work with Origin 63 to seamlessly set up HubSpot Health Scores and train your team to harness the power of customer insights. Let us help you build a proactive approach that keeps customers loyal and accelerates revenue growth.

 

Contact us to get started!