3.1 Describe the Role of a Renewals Manager Within the Lifecycle and the Integration with Various Teams 700-805 Practice Questions (Page 4)

Questions 16–20

1. 16application · medium

   A Renewals Manager notices that a key customer's usage data shows a significant drop in adoption over the last quarter. The Customer Success Manager (CSM) has not flagged any issues. What should the Renewals Manager do to best manage the renewal risk?

   • AProceed with the renewal as planned, assuming the CSM would have reported any problems.
   • BOffer the customer a discount to encourage renewal despite the low adoption.
   • CDiscuss the usage data with the CSM to understand the root cause and develop a joint risk mitigation plan.
   • DImmediately escalate the account to the Sales team to renegotiate the contract.
   Reveal Solution Discussion Select an answer first
2. 17application · medium

   A Renewals Manager is reviewing the upcoming renewal portfolio for a large enterprise account. The Sales team has identified a new software module that the customer is likely to adopt. What should the Renewals Manager do first to align with the Sales team and maximize the renewal outcome?

   • ARefer the customer to the Sales team and withdraw from the renewal process.
   • BIndependently add the new module to the renewal contract to expedite the process.
   • CCoordinate with the Sales team to incorporate the new module into the renewal proposal and account plan.
   • DDelay the renewal until the new module is fully developed and released.
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4. 18expert · hard

   A Renewals Manager is working on a renewal for a customer who is also being targeted by the Sales team for a major expansion. The CSM has indicated that the customer is happy but the renewal decision is being delayed by the customer's legal team. The Sales team wants to close the expansion before the renewal. What should the Renewals Manager do to ensure both the renewal and the expansion succeed?

   • ALet the Sales team handle the expansion first and delay the renewal until after.
   • BCoordinate with Sales to sequence the renewal and expansion, and work with the CSM to address the legal team's concerns.
   • CAsk the CSM to resolve the legal issues without involving Sales.
   • DPush the renewal through quickly before the legal team can raise objections.
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5. 19expert · hard

   A Renewals Manager is working with a CSM on an account that has a high renewal value but declining health. The CSM has proposed a 90-day success plan, but the renewal is due in 45 days. The Renewals team has a standard process that requires renewals to be initiated 30 days before the due date. What should the Renewals Manager do?

   • AWork with the CSM to accelerate the success plan and initiate the renewal process within the team's timeline.
   • BWait for the 90-day success plan to complete before initiating the renewal.
   • CAsk the CSM to extend the renewal date to allow the success plan to complete.
   • DInitiate the renewal immediately without the success plan to meet the deadline.
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6. 20application · medium

   A customer is approaching their renewal date, but their usage has been declining. The CSM has not been able to reverse the trend. The Renewals Manager must decide how to approach the renewal. What is the most appropriate action?

   • AWork with the CSM to understand the decline and develop a joint plan to address it before the renewal.
   • BTerminate the relationship to avoid further losses.
   • CRenew the contract as-is to avoid losing the customer.
   • DEscalate directly to the Sales team to renegotiate the contract.
   Reveal Solution Discussion Select an answer first