What Is A Key Account Management Strategy?
Almost every leader at a company or organisation knows who their few best clients are. If you're one of these people you have most probably told yourself …."It would be terrible if my company loses any of these accounts."
There must be competitors pursuing these clients, and you could lose them unless you have a very good strategy. This is where the Key Account Management strategy comes in, in order to help you protect your best clients aka "Key Accounts", from your competitors.
Reality Training offers comprehensive leadership development training which includes courses such as Key Account Management training.
We are the best people you can rely on to help you with a Key Account Management strategy, to protect the clients you most likely spent a lot of time earning, both energy-wise and financially.
Key Account Management (KAM)
To understand Key Account Management strategy, it is important to understand Key Management. This process of building a favourable long-lasting relationship with the most valuable accounts of your company, is what is regarded as KAM. Some consider the process as an effort to turn your best buyers into business partners.
It is easy to identify key accounts, as they make up the majority of your business income. These are your most important customers whom you should have a strategy to maximize mutual value, between them and your business.
Key Account Management strategy involves nurturing the clients' relationship, to ensure mutual beneficial goals are achieved by both you and your key accounts.
Certain tactics can be used to facilitate a Key Account Management strategy. These include:
1. Identifying Key Accounts
What are your key accounts? Who is your most important client? You'll need to define who your key accounts are, in your company. If you fail at identifying your key accounts, you'll fail at satisfying them, as you may end up having too many clients, which you consider to be key accounts.
You could consider your company's objectives when filtering key accounts. If an account has values or the ability to help your company attain its goals, then it can qualify as a key account.
2. Choose Only A Few Accounts
Bite only what you can chew. This point is related to the one above. Ensure the key accounts you select are manageable and you can offer what specific needs a key account requires.
You can increase the number later when you become a more competent Key Accounts Manager, as your business grows.
3. Have an intimate knowledge of your key accounts
If your key accounts feel that your company genuinely cares for them, they are highly likely to stay, so offer this by understanding and knowing about them.
Make it your endeavour to know your most important customers, and show them you have their best interest at heart. Touch base with the clients, meet with them regularly either virtually or in-person, and have a great relationship with them.
4. Focus on the idea of providing value and insight instead of selling products and services
As a Key Account Manager, you should know the best selling tactics involve providing value and solutions as a way of selling.
Offer the best recommendations while considering things such as;
• Benefits of certain solutions you offer
• Features of products or services, and how valuable or helpful they are to the customers in solving their problems
5. Always up your game
Remember to constantly up your KAM strategy. Your competitors are certainly looking for ways to beat you.
Also, you should consider the following components that can aid in key accounts management strategy.
• View key accounts as separate, from the simple large accounts revenue-wise
• Pursue key accounts as institutional partners with the intention of collaboration and value co-creation
• View key accounts as assets to be continuously invested in
• Regard the key accounts investment return as a long-term business strategy
Talk to us today and we'll help you learn how to successfully perform a Key Accounts Management strategy.