Key / Account Management




The right customers to manage

right




Customer management-managing the right customers correctly requires detailed customer analysis as a basis



Earlier, an occasional visit was enough for customer management and a few presents at Christmas. Those days are long gone.



Modern customer management includes a variety of analyses, methods, preparations and experience to satisfy existing customers and thus generate further sales (including cross-selling and upselling). In this context modern and digital marketing measures become an increasingly important role.

Key accounts moreover do have further claims. Often Key Accounts know about their importance to the supplier and this is then often exploited. On the other hand, however, it is also important to retain these customers and in many cases there is also good growth potential there.



The customer is not always king

Strategic Customer Portfolio Management

“The customer is king” is as much an outdated saying as “small cattle also make crap.” This requires distinguishing important customers from unimportant customers and making only the right customers kings. Find>out>more



What do you actually do with your small customers?

C-Customer Management

In many companies, small customers are neglected in sales work because the cost of care is allegedly too large and because the salesperson who is driven in sales cannot fetch enough here. Learn more>>



A strong concept for potential customers

Account Based Sales (ABS)

You certainly have customers who buy only a small part of the total demand and thus have great potential. Or customers with great potential who do not buy yet but fit well into your portfolio. Learn more>>


Managing customers accurately

Customer-Touchpoint-Management

How much a customer strategy really uses is decided at the customer contact points. It is helpful to record, structure and manage the real and digital points of contact (where the customer meets the supplier, its employees, products or services as well as advertising, mailings, etc.) (“Customer Touchpoint Management”). Learn more>>



Will your Key Accounts only be selected by revenue?

Key Account Management Strategy & Handbook

In order for Key Account Management to work, the company must have grasped the content of Key Account Management from management to internal service and production and adhere to the specifications and processes of the Key Account Management. Learn more>>



Major customers need something Special

Planning process for Key-Accounts

Key Account Management requires a comprehensive view and processing of key customers, but rarely is Key Account Management (KAM) implemented in such a way that it can perform its essential tasks. >Find>out more



Lost customers are forgotten customers

Customer Recovery Management

Do you know how many customers with what sales, revenue potential and why you lost during last 3 years?

Customer losses are usually taboo (if registered at all in management) or dismissed as bagatell damage. Happens stop. Let’s look for new ones. Learn more>>



How do you keep your customers?

Customer Retention Management

While it may seem harder to find a new customer, keeping a customer is a challenge for the entire company. Not least because the distribution costs are therefore down to a factor of 10. Learn more>>





Strategic Customer Portfolio

Management



Strategic Customer Portfolio Management-identifying and managing customer potential

The customer is not

always king


“The customer is king” is as much an outdated saying as “small cattle also make crap.” This requires distinguishing important customers from unimportant customers and making only the right customers kings.

However, practical studies show that, for example, only about one in six capital goods manufacturers systematically and permanently assesses their customers. Customer structures then grow randomly and are not the result of systematic customer management.

If the sales team focuses specifically on the most promising customers, then it can significantly increase its efficiency and company success. However, this requires extensive and in-depth knowledge of the individual customer and the customer segments ( see also under customer analysis).

One tool for distinguishing the good customers from the less good is the use of a customer portfolio analysis, whereby, for example, customer segments or clusters can be formed on the basis of, for example, order probability, contribution margin, sales and service costs, etc.

It is then important for the selected customers to develop the right customer-specific strategies and tactics. For example, customer management for the existing A – and B – customers includes, among other things, the following aspects:

  • Activity planning for ongoing customer care and continuous support (buying center strategy, marketing support, call planning/frequency, networking plan, etc.)
  • Identify and develop new sales opportunities for customers, incl. Cross-selling and upselling potential, pricing strategy, needs analysis, competition analysis, SWOT analysis, product positioning tactics, after-sales concepts
  • Strengthening customer loyalty (IT connectivity, supply agreements, sales contracts, service contracts, joint product/service developments, etc.)

Consulting example “Strategic Customer Portfolio Management”

  • Workshop customer segmentation based on portfolio analysis and customer value
  • Creating a concept to group customer attractiveness as a basis for leading the area sales managers
  • Training area sales managers to better analyze customers in terms of earnings and growth potential and efficiency enhancement of their own activities
  • Development and introduction of a “Solution & Competence Selling” concept
    • Determination customer potential including Cross-selling and upselling (customer value analysis)
    • Position customer type within the strategic customer portfolio matrix
    • Development of the customer-specific sales concept: products, service, image, networking, marketing support
    • Expanding customer relationship and strengthening customer loyalty: after sales service, customer advisory board, IT connection, etc.
    • Implementation success control: determination of KPIs and reporting

© New Business Consulting GmbH




C-Customer-Management



Small Accounts or C-Customer Management. Not all small customers should be handed over to customer service

What are you actually doing

with

your small customers?



In many companies, small customers are neglected in sales work because the care effort is allegedly too large and because the salesperson who is driven in sales cannot fetch enough here. On the other hand often do have (should have!) small customers higher prices. Whether these prices are sufficient to compensate for the relatively high sales and service costs is often not known.

Successful companies with profitable small account management pursue differentiated approaches in sales, marketing, customer service and supply chain. Professional small customer management requires actively addressing the accounts’ potential, as they might become the Key Accounts of tomorrow.

Consulting example “C-Customer Management”

Creating a C-customer care concept

  • Customer structure and segment analysis. Definition C-Customers
  • Need demand assessment of C-Customers, delivery shares
  • Ranking of C-Customers, analysis growth potentials and trends, current and future importance for sales and contribution margin
  • Assessment Cross-and Upselling Potential
  • Determination of sales expenses and costs, forward-looking profitability analysis taking into account possible complexity reductions
  • Development of a C-Customer-specific concept including Analysis of sales channel options, alternative C-Customer organizational forms as well as processes, pricing and conditioning system

© New Business Consulting GmbH






Account Based Sales (ABS)






Account Based Sales (ABM)-the new strategy for potential customers

A strong concept for

potential customers



You certainly have customers who buy only a small part of the total demand and thus have great potential. Or customers with great potential who do not buy yet but fit well into your portfolio.

In both cases, it’s not Key Accounts which might already be looked after by appropriate sales managers. Also, the procedures and tools that need to address potential large customers are different from those of existing Key Accounts, as so far there is little contact, no trust is built yet, etc.

In such cases, the “Account Based Sales” (ABS) is used. The method is based on treating and guiding the selected potential customers by the sales team with special care and individual. Thereby it makes sense for marketing to support sales through individualized inbound and content marketing.

So every target company is seen as a market in its own right. Therefore, a sales and marketing strategy must also be developed for each target company. It is therefore a question of fully capturing a target company, understanding its challenges and objectives, identifying all relevant members of the Buying Center. Its about conceptualising an intelligent approach that is individualised and relevant in each case. The concept provides content for the respective Buyer Persona in the target company.

Consulting example “Account Based Sales (ABS)”

Specific “Account Bases Sales” concept

  • Analysis of value drivers and Buyer Persona in the selected target companies + customer analyses
  • Analysis of communication and cooperation.
  • Building strategy and customer communication
  • Planning optimized paths and instruments
  • Compilation of the “Best Fit” customer team and distribution of role/responsibilities
  • Create a specific target customer sales process including RACI matrix, planning tools, activities, content plan, reporting and KPIs
  • Process-specific training of the customer team

© New Business Consulting GmbH






Customer-Touchpoint-Management





Customer-Touchpoint-Management-Meet the customer where he needs you

Customers to manage

accurate



How much a customer strategy really uses is decided at the customer contact points. It is helpful to record, structure and manage the real and digital points of contact (where the customer meets the supplier, its employees, products or services as well as advertising, mailings, etc.) (“Customer Touchpoint Management”).

A key goal is to always satisfy and even inspire the customer at the contact points. To this end, it examines what customers expect, what services they want to receive how and when, and what their response is.

In doing so new touchpoints can be found, existing ones optimized and outdated ones be eliminated. Opportunity gaps can be discovered and filled. At the end its to prioritise the most influential points of contact and to optimize the interaction and its impact.

Everything serves the purpose of optimizing processes with customer contact and thus increasing the customer’s satisfaction and loyalty and thus also creating further growth potential.

Consulting example “Customer Touchpoint Management”

Creating a Customer-Touchpoint-Concept

  • Selection and analysis of target customers
  • Identify the respective customer contact points
  • Analysis of the actual situation
  • Determining the respective target situation
  • Planning relevant measures
  • Implementation of priority measures
  • Measurement and comparison with the target. Analysis of deviation,
  • Process-Optimization

© New Business Consulting GmbH







Key Account Management Strategy

& Handbook




Key Account Management - special selection procedures and processes are necessary for an effective KAM

Will your Key –

Accounts only

be selected

by revenue?



In order for Key Account Management to work, the company must have grasped Key Account Management in terms of content from management to internal service and production/logistics and adhere to the specifications and processes of Key Account Management.

For non-sales departments, it is often not possible to tell the difference between a “normal” customer and Key Account. This is why there are always problems that Key Account specific agreements and processes (e.g. delivery of the goods within an agreed time) are not adhered to.

It needs a descriptive and leading tool that includes the affected interfaces of the Key Account Management, as well as it defines processes and responsibilities.

Consulting example “Key Account Management Strategy & Handbook”

  • KAM as part of the sales strategy
  • Definition KA criteria, analysis and selection process
  • Goals of the KAM strategy and selected KAs
  • Creation Business Plan, Budget and 5-Year Plan
  • Action and Activity Planning KAs
  • Definition of internal interfaces and overarching processes, workflow diagrams
  • Reporting, templates, KPIs
  • Process description including RACI matrix, building the manual
  • KA integration into the sales structure. Definition of Key Account Manager requirements
  • Training of all participants
  • Implementation, monitoring, process improvement

© New Business Consulting GmbH






Planning process for Key Accounts



Planning Key Accounts requires a comprehensive approach

Major customers need

something special



Key Account Management requires a comprehensive view and processing of key customers, but rarely is Key Account Management (KAM) implemented in such a way that it can perform its essential tasks.

Often Key Accounts are determined only on the basis of their sales size or individual large customers demand the “status” themselves. There is rarely a difference from the normal customer in operational customer service. It lacks a professional, and structured Key Account Management system.

In order to aggressively lead key customers, the Key Account Manager creates an annual plan together with marketing, sales services, quality management and supply chain. This includes:

  • a SWOT analysis
  • marketing /sales planning of us and Key Account
  • budgets /sales development
  • campaign planning
  • training of the employees at the Key Account and/or at his sales partners depending on the sales structure

In addition to the plan, the Key Account Manager also sets up a target framework. This is followed monthly in terms of developments and discussed at least 3-4 times a year with the key customer in terms of attainment.

Consulting example “Planning process for Key Account”

  • Documentation and evaluation of strategic customer information related to potential and requirements
  • Customer analyses based on existing data, including SWOT
  • analysis of Buying-Center and Buyer Persona
  • Factors of behaviour and measures to bind/expand
  • Key factors for communication and content (communication and value expectation)
  • Budget planning at article level
  • Planning activities with and with the customer, including marketing support
  • reporting and KPIs

© New Business Consulting GmbH





Customer – Recovery-

Management



Customer Recovery-one of the most important questions: Why is the customer lost?

Lost customers are

forgotten customers



Do you know how many customers with what revenue, revenue potential and why you lost during last 3 years?

Customer losses are usually taboo (if registered at all in management) or dismissed as bagatell damage. Happens stop. Let’s look for new ones. Lost customers are forgotten customers. Alarmingly, however, many managers not yet have wasted a single thought on systematically recovering lost customers and building professional customer recovery management.

Consulting example “Customer Recovery Management”

  • Concept creation “Customer Recovery”
    • Identifying lost customers
    • Analysis loss rate & causes
    • Recovery measures
    • Process definitions and action plan
    • Implementation and control
    • Control of success and optimization
  • Workshop “Regaining Lost Customers and Limiting Customer Fluctuation”

© New Business Consulting GmbH





Customer Retention Management




No customer retention without customer loyalty-and it needs to be worked out

How to keep your

customers?



While it may seem harder to find a new customer, keeping a customer is a challenge for the entire company. Not least because sales costs are therefore down to a factor of 10. The aim of Customer Retention Management is to establish and maintain such good relations with the customer even beyond contractual agreements that he requests or orders directly even without a separate sales process and that competitors do not get a chance to enter.

Good relationships and the build-up of customer loyalty are often determined by very personal factors. But it would be bad if a company only would rely on the intuition of the sales manager in such an important issue like customer relations. Also the construction of customer relationship follows certain rules, can be measured at least in part and via targeted activities.

Within daily life practice is often attempted to retain customers by planned sales call frequencies for individual customer groups or by invitations to events. This is according to our experience and our results neither systematic nor professional. Customer visits for no real reason, for example, are more of a annoyance than a customer loyalty measure.

While a salesman’s gut instinct is also important, it is not a reliable indicator of the quality of a customer relationship. Even customer satisfaction surveys help is very limited. They relate to the whole of the customers, often do not cover all customers and do not allow any conclusions to be drawn about the quality of a single customer relationship. In addition, satisfied customers are not automatically loyal customers. Most companies have regularly experienced painfully that even satisfied customers switch to competition without warning if they get a small advantage there.

A customer loyalty process is structured in a completely different way than an expansion process. Its no longer a classic sales cycle, but a selective use of concrete activities that are also available at different times and can be used independently of each other. To ensure professional customer loyalty management levers needed and used to retain customers must be defined. These are measurable stability criteria allowing evaluation of each customer relationship.

Consulting example „Customer-Retention-Management“

  • Analysis of current customer retention intensity via scoring model
  • Construction of a stabilisation factor matrix and weighting (target)
  • Measure planning
  • Determination KPIs and Reporting
  • Training Sales

© New Business Consulting GmbH