It can be seen as a checklist of all the key actions that a customer has to complete to move from one stage to another one.
Lots of enterprises want to make sure that their customers are doing the key actions or use the main features in their Solution to perceive the product value and consequently reduce the risk of early churn.
Also during the Maturity period, activity-based can allow addressing two main types of strategies:
to split clients into Stages based on Features they are using or like to use the most. You can see how strategic are some of your key features in terms of MRR and have a positive impact on your Product-led growth and Road map
to follow your clients' engagement levels with the Solution, making sure that usage progress on each main features to increase product stickiness (e.g: to move from Stage A to Stage B client has to perform X amount of times this action or tried the features A, B, and C)
+ Upside: great to control products proficiency & ideal for contact-level stages
- Downside: can be tricky to find the unique key features or actions that an Account has to perform to consider him as mature with the Solution.