The New World Of Account Management. What's Changed?
The need for reliable account management is more urgent today than it has ever been - not only in getting new accounts, but growing existing clients - consequently, the role of "account manager" has changed to one of general manager.
Growing and protecting strategic accounts has emerged as a key account manager concern and responsibility. In virtually all companies, 5 percent of the customers bring in more than 50 percent of the business. That holds true whether you're selling cars or potato chips, and whether you're an international conglomerate or a local distributor. Obviously, a customer who falls into this 5 percent group is very important to the success of your company. But what are you doing specifically to protect (maintain) and grow these valuable accounts?
Experts estimate it costs six times as much to get an unhappy customer back as it does to keep a satisfied one on board.
Three Changes to the Account Manager Role
- Moving from transaction to solution-led selling: To ensure success - even survival - in today's strategic account arena, you've got to set your sights on three or four years out, and on building long-term business, not just today's "opportunities." Adding up quick serial wins is shortsighted, while working for the account's long-term benefit helps to ensure account retention. And in today's environment, retention is the name of the game.
