4 tips on dealing with Key Account Management
Professor Deva Rangarajan.
1. Do all your current top tier customers deserve to be key accounts?
Based on our working with several companies, we notice that not all key accounts are as profitable as they should be and nor are all transactional customers necessarily low price seekers. It is critical for a firm to carefully manage their portfolio of customers.
2. Relationship Building is not a guarantee for future sales.
In an era where procurement professionals are deliberately moved around, the age old sales paradigm of “build relationships to guarantee future business” is no longer completely true. Salespeople have to constantly work on creatively “surprising” their customers- especially their key accounts.
3. Know your customer’s financials.
Today’s procurement professionals are more aware of your company’s financial status than ever before and will use it as a leverage. The question is; how financially savvy is the key account manager about their customer’s status?
4. A key account manager spends more time selling internally than to the customers.
Most account managers we come across complain of a silo oriented mentality within their own organisation that prevents them from delivering on the promises to their customers. It is imperative that account managers understand how they can influence others within their own organisation.