Key Account Management

1. Key Account Management

2. SUSPECTS PROSPECTS CUSTOMERS KEY ACCOUNTS Identified but not yet contacted or visited Visited but not yet buying Buying regularly from you 80% from 20%

3. Where Are We Headed? What is a key account? How do you get your message across to potential key accounts? How do you become a “partner” not a supplier? How do you measure the value you create and use it to win new business? How do you audit a key account’s feelings? How do you become an expert in their world? What is the role of a key account manager? What are the differences between an account manager and a typical salesperson? How do you exceed expectations at each stage of their experience? How do you manage KAM as a “team sport”? What is the role of the Board in all of this? What should an effective key account plan contain?

4. WHO IS THIS? • He was born on 3rd June 1947 • He always enjoyed his sport but struggled in the early days • He went to Oregon state university

5. SUSPECTS Identified but not yet contacted or visited Which 10 words capture your company’s bit of magic, character and uniqueness?

6. Your website? • Proposals? • Presentations? • Introductions?

7. Customers buy at an emotional level ...but justify at a rational level

8. So what do companies sell at an emotional level? NIKE HARLEY DAVIDSON REVLON YOU! WINNING FREEDOM HOPE ?

9. “We are the only...” “We are the first to...” “We are the best at...” DIFFERENT * * * * * * * PRICE NICHE “We are the leaders in your sector” “You won’t get it cheaper anywhere else!”

10. GOOD SUPPLIER PARTNER B U S I N E S S U N D E R S T A N D I N G OUTSIDER FRIEND POOR GOOD RELATIONSHIPS

11. What Are The Partnership Indicators? • Clear evidence of ROI • They tell you that you are a partner • You understand their future strategy • Good multi-level relationships • Plan in place to develop the relationship • They give you confidential information • There are no nasty surprises • They give you referrals

12. If you were arrested and charged with ‘planning to add value’ would there be enough evidence to convict you?

13. The Value Ladder PRICELESS 4 AUDITABLE 3 QUANTIFIABLE 2 IDENTIFIABLE 1

14. Decision Making Process “FINANCE DIRECTOR” Killer Questions: 1. What will this proposal do to our bottom line? 2. For every £1000 we spend what will we get back?

15. What questions would you ask a key account to audit their perceptions and identify opportunities for the future?

16. Audit Questions • Where are we meeting your expectations? • Where are we exceeding expectations? • Where are we falling short? • What unresolved issues are there? • How do we compare to other suppliers • a) in our industry? • b) all others? • How would you sum us up in a sentence? • How many marks out of ten? • If we were an animal or bird what would we be?

18. The Future • How is your business changing and developing? • What pressures will you face? • What are your main objectives for the future and how will you achieve them? • How could we help you? How could we add more value? • How will you measure us in the future? • What do you see as being the big issues for our relationship in the future? • What could we do for you that we are not currently doing? • What would we have to do to score 10 out of 10? • Where would you be happy to see us have more of your business? • Is there anything else I need to know?

19. What makes good customer service ‘good’? • What makes bad customer service ‘bad’? • What happens?

20. EXCEEDS EXPECTATIONS FALLS SHORT

21. How do you ensure that you are exceeding the key account’s expectations at each stage? Stages Typical Experience XX Experience Enquiry Check-In Room Bar & Restaurant Check-Out

22. Stages Typical Experience XX Experience • Use names • Ask questions • Special needs? • Map link • Details of local events / attractions • Book restaurants / taxis • We sign confirmation • Polite • Friendly • Take details • Confirm booking Enquiry

23. KEY ACCOUNTS 80% from 20% What is the process for proactively “auditing” their perceptions?

25. If you are an EXPERT in the client’s world ...you never have to sell again!

26. Job description for an “account manager” “To improve our profitability by improving theirs!”

27. Your Company Key Account

28. Key account management is a team sport! • “My customer” becomes “Our customer”

29. Team Diary “Key account management is a team sport!” “None of us is as strong as all of us”

30. Team Expertise * * * * * * = Current, compelling ROI testimonials

31. Quarterly Review Meeting Quarterly Review Meeting Quarterly Review Meeting Quarterly Review Meeting Annual Strategic Review

32. The quality of service we give the customer is influenced by the quality of service we give each other!

33. Situation • Imagine that your top key account is producing 8% of the turnover • Mike, the “account manager”, wins the lottery and is leaving today • He is handing over the account to Sue at 4pm • What would you expect Mike to hand over and discuss with Sue?

34. Intelligence Intentions Implementation What is the SWOT situation? What are the plans for the future? Who is going to do what by when?

35. Background information Intelligence Organisation chart “The numbers” What is the SWOT situation? Allies and enemies Key account audit Key personnel Favours log Supplier split Strategic bridges

36. “Allies and Enemies” HARRY WILLIAMS SUE JACKSON TOM CHAUDHARY DICK HALL

37. Key Personnel

38. Supplier Split Key Account: Bulldog Automotive, Warwick Value today: £28,000 …….. £7k £14k £2k £5k …….. …….. £28k £164k

39. Intentions To add value to them What are the plans for the future? To improve your business To develop relationships

40. Implementation 12-18 month calendar Who is going to do what by when? Build around their timings Start with the end in mind

43. SUSPECTS PROSPECTS CLIENTS KEY ACCOUNTS kamguru.com