# CS Hit Every Metric and Growth Still Flopped

_Published 2026-11-04_

[Watch on YouTube](https://www.youtube.com/watch?v=VV6xut6hX_A)

## Summary

Maranda Dziekonski breaks down the disconnect between customer success activity metrics and actual revenue growth. Many CS teams look completely green on their internal dashboards while entirely missing their 20% Net Revenue Retention (NRR) targets, usually because activity doesn't automatically translate to commercial expansion.

A key theme is the danger of letting NRR hide gross retention issues. If a leaky bucket is quietly draining the baseline revenue, the CS team will constantly struggle to catch up through expansion alone. To solve this, Maranda emphasizes conducting a rigorous white space reading before committing to any expansion numbers, aligning the CS function to a revenue-first mindset.

The conversation also explores how to restructure CS compensation to tie directly to business outcomes. By utilizing a 50/50 compensation split based on gross and net retention, revenue leaders can align Customer Success Managers with genuine account growth, forcing them to take ownership of both the leaky bucket and the expansion pipeline.

## Discussed in this episode

- Why customer success teams often get cut first despite hitting internal activity metrics.
- The underlying math of why a 20% NRR target is missed when gross retention drops.
- How to conduct a white space reading to accurately project realistic expansion opportunities.
- The danger of high NRR masking a gross retention problem in a leaky bucket scenario.
- Specific traits and commercial competencies to screen for when hiring Customer Success Managers.
- Defining who exactly owns the value statement during the handoff from sales to customer success.
- The strategic benefit of bringing the CSM into the deal cycle before the final close.
- Designing a 50/50 compensation split that ties CSM payouts directly to gross and net retention.

## Episode highlights

- **00:00** — Why CS gets cut first
- **00:33** — The 20% NRR scenario
- **02:31** — Starting with a white space reading
- **05:30** — Expansion and the leaky bucket
- **07:27** — What to screen for in CS hires
- **10:16** — Who owns the value statement
- **12:32** — Bringing the CSM in before close
- **17:09** — Total cost of ownership and long tail
- **20:04** — Zendesk and the champion effect
- **27:21** — The Monday handoff gap
- **31:26** — Layoffs and AI in customer success
- **37:50** — The CSM comp split that works

## Key takeaways

- NRR can easily mask a severe gross retention problem.
- Perform a white space reading before committing to expansion targets.
- Tie CSM compensation equally to gross and net retention.
- Bring customer success into the deal process before closing.
- Activity metrics mean nothing if they miss growth numbers.

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- [One Dinner Beat an Entire AI SDR Team](https://www.revenue-reimagined.com/insights/podcast/one-dinner-beat-an-entire-ai-sdr-team)
- [Before You Blame Sales, Check These 4 Things First](https://www.revenue-reimagined.com/insights/podcast/before-you-blame-sales-check-these-4-things-first)
- [The One Question That Predicts Every Renewal](https://www.revenue-reimagined.com/insights/podcast/the-one-question-that-predicts-every-renewal)
