Renewal principals
Being on an annual plan is a win-win solution for both PostHog and the customer. Customers get discounts on the credits they purchase and PostHog gets confirmed revenue.
When estimating renewal amount, we want to make sure we accurately determine the amount of credits the customer will need in the next 12 months. This is not an opportunity to upsell.
This page walks through recommendations for approaching and handling renewals. Contract rules and how to create contracts are covered in relevant pages under our shared processes.
When to start
Start renewal conversations at least 2 months before the contract renewal date for customers you are already in frequent contact with. For customers who are quiet, start renewal discussions 3 months out to allow more time for re-engagement.
Vitally and Slack will keep you on track with automated reminders. When a customer hits the 2-month mark, they'll automatically enter the Upcoming renewal segment, you'll get a task assigned to you in Vitally, and Slack will send a notification.
Start by sending a message in the shared Slack channel. Things will change in a year – the person you worked with previously may not be the right person this time. Mention when the customer is set to renew and ask if they have any preferred next steps.
As you make progress in the renewal discussions, update the renewal opportunity in Salesforce.
Customers who are projected to run out of credit before renewal
You will get notified by credit bot in Slack if a customer is set to run out of credits before their renewal date. This is considered an early renewal and follow the same process. If the customer will likely run out of credits before renewal is done, make sure they have a credit card on their account so any overage bills will be paid.
Renewal discussions
Renewal conversations are best done on a call. There can be a lot of moving parts so talking through it is usually a good idea.
Before the call, review your customer's usage and start a quote in Quotehog . If you need to look at data beyond the last 6 months, you can use this PostHog dashboard and edit the variables. Check if your customer is on any legacy pricing tiers – either talk to them about moving to standard pricing, or take it into account when building a quote.
This call can be an opportunity to explore your customer's PostHog experience so far and upcoming initiatives that you can build on in the future. It's also a good idea to explain how contracts, credits, and discounts work at PostHog – our pricing philosophy and contract rules are handy pages to bring up.
When you walk through the quote, start by looking at their past usage – try to anchor to the main products they're using as there can be a lot of numbers to look at. Explain how you estimated the usage for each product to arrive at the final number. Check-in with your customer throughout to sense check you're on the right track.
After the call - share the public quote link with your customer along with any usage information you shared on the call.