An In-Depth Salary Analysis
Understanding the value of customer success managers is essential for both businesses and professionals considering a career in this field. By providing excellent customer service, CSMs can increase customer retention rates, drive product adoption, and ultimately contribute to the company’s success.
In this salary guide, we will explore the average salaries of customer success managers across various industries and company sizes. We will discuss the factors influencing compensation, such as years of experience, company size, and location.
What Does a Customer Success Manager Do?
A Customer Success Manager (CSM) plays a vital role in ensuring the satisfaction and success of customers. They understand customers’ needs and goals and develop strategies to meet those needs. The primary focus of a CSM is to build strong relationships with customers, serving as their trusted advisor and advocate within the company.
For more information, check out this article on customer service managers.
Overall, CSMs act as the bridge between the customer and the company, advocating for the customer’s needs while ensuring alignment with the company’s goals and objectives. Through their proactive approach, CSMs help customers achieve their desired outcomes and drive long-term success.
How Much Does a Customer Success Manager Make?
According to the latest Glassdoor data, CSMs make anywhere from $75 to $122 thousand, with an average of $95 thousand. You might see distinct figures based on various factors, like the company you choose and your success level.
To learn how this role might compare to others, check out our other salary reviews:
Customer service managers also have varying salaries based on different factors.
How That Changes Based On…
Several factors, including career track, location, experience, and the company, influence the salary of a customer success manager. Below, you’ll learn more about the top results and averages important for consideration.
In the United States, customer success managers can expect varying salaries based on the industry in which they work. Several industries stand out as top-paying sectors for customer success managers. These industries include Information Technology, Manufacturing, Legal, Energy Mining and utilities, and Pharmaceutical and biotechnology.
Below, you’ll learn more about the yearly median total pay for CSMs across these industries (using the latest Glassdoor data).
- Information Technology: $99 thousand per year. IT specialists are known for innovative companies and booming tech startups, which results in higher salaries for customer success professionals.
- Manufacturing: $98 thousand per year. Manufacturing companies rely on customer success teams to ensure smooth implementations and drive product adoption, making these roles highly valued.
- Legal: $98 thousand per year. Legal firms understand the importance of customer satisfaction and retention, making customer success management a critical function within these organizations.
- Energy Mining & Utilities: $95 thousand per year. Customer success professionals are vital in managing customer relationships, ensuring successful project outcomes, and driving customer retention rates in this industry.
- Pharmaceutical & Biotechnology: $95 thousand per year. This sector strongly emphasizes delivering excellent customer service and support, making customer success management integral to their business objectives.
The industry in which a customer success manager works significantly impacts their salary. These top-paying industries offer competitive base salaries and additional cash compensations and benefits. As these industries value customer success and recognize its impact on company growth, customer success managers can enjoy rewarding careers with higher earning potential.
Promotions (Career Track)
A career track for a Customer Success Manager (CSM) offers many progression opportunities. As a CSM, individuals can start in an entry-level position and gradually advance through different levels of seniority and responsibility.
The standard career track looks like this, with all roles displaying median annual salaries (using Glassdoor data):
- Associate: $40K
- Specialist: $45K
- Manager (see above)
- Director: $92K
- VP: $223K
Interestingly enough, some directors can make less than managers depending on their industry, experience, and other factors. One of those factors is where you live.
Geographical differences are crucial in determining the compensation packages offered to CSMs across various locations. Here’s a breakdown of the top ten locations who pay the most to CRMs (using ZipRecruiter data):
- Massachusetts: $102k
- Washington: $94k
- New York: $91k
- Illinois: $89k
- California: $87k
- Maryland: $86k
- Virginia: $86k
- Colorado: $85k
- Delaware: $85k
- Nevada: $84k
The differences in average salaries by location can be attributed to factors such as the cost of living in each city, the demand for CSM professionals, and tech companies or industries that heavily rely on customer success. In high-demand areas or towns with innovative companies, the salaries for CSMs are often higher, reflecting the competition for top-tier talent and the importance businesses place on customer success.
CSMs considering job opportunities in different locations should consider these factors when negotiating salary and compensation packages.
As CSMs gain more years on the job, they gain valuable skills and deepen their understanding of customer success, enabling them to contribute more effectively to the business objectives of their organizations.
Here’s a breakdown of pay based on the latest Glassdoor data:
As CSMs continue to develop their expertise and deliver excellent customer service, their salaries reflect their increasing value to the organization.
Large companies offer higher salaries because of their ability to fund generous compensation packages. Smaller businesses may not have the same budget as larger ones, making it difficult to offer competitive salaries. Here is some Glassdoor salary data from the top 10 companies:
- Google: $214k
- Twitter (X): $198k
- Meta: $197k
- Zuora: $194k
- Stripe: $194k
- Cisco: $193k
- Synopsys: $191k
- NetApp: $191k
- VMware: $186k
- BlueJeans: $182k
What Can I Do With This Information?
If you’re a customer service manager (or someone wanting to become one), you can use this salary data to negotiate. Knowing the baseline for your industry and experience level helps you understand what you deserve.
If you’re a business owner or a hiring manager, you can use this data to estimate your budget for bringing on new staff. You can also be confident knowing your team receives competitive pay, keeping them happy.