keyaccountmanagement-091023150305-phpapp01

8/13/2019 keyaccountmanagement-091023150305-phpapp01

1/27


2/27

WHAT IS KAM???

Key account management is a strategic businessapproach with the objective of ensuring long-term andsustainable business development through profitable

partnerships with strategically important customers

Key account management is not an isolated business

process. It is an intgrative lment of the businessstrategy .


3/27

S TRATEGIC IMPLICATIONS

KAM as core to business: For KAM to be able todeploy its full potential and benefits, it is crucial that

it be positioned in the organization as a core to the business.

Capacity building: Developing internal capabilities

and capacity in terms of knowledge, structures,systems and tools is a requirement for long-termsuccess


4/27

OBJECTIVES OF KAM

Maximizing the sales velocity , this improves theutilization of the sales resources and understanding

the importance and nuances of managing account.

Increasing average deal size or the wallet share,weachieve with each customer, while at the same timeminimize price erosion by developing specific processto build and manage accounts

Increasing customer loyalty and customer retention,this in turn drives down overall cost of sales.

Thereby, be value partners to our customer.


5/27

THINK LIKE YOUR CUSTOMER:

Managing & selling to key accounts-Bussiness Acquisition & Retention


6/27

HOW TO GO ABOUT IN KAM???

penetration New ProductDevelopment

Market ExtensionOn Product

LinesMarket Development


7/27

THE BUSINESS PARADIGM

ACQUISITIONS

SERVICE

RETENTION


8/27

Business resources

M ANAGING KEY ACCOUNTS

Managing the futuremust be continual

process of analysis,reassessment and

change

KAM is aboutmanaging

people

Business objective

Mrkting Oppurinities


9/27

S ELLING MILLIPORE SERVICE

Thefour?

What do wesell?

Whom do wesell?

Why willprospectchoose

someoneelse?

Why wouldcustomer

buy from us?


10/27


Managing & selling to key accounts-Understanding what customer really

wants


11/27

THE NEED VS RESULT ANALYSIS

A. Disparity(need)

B. Solution(transaction)

C. Results(need filled)

c buys what they need to,sothey can get what they want.

They dont want a solution,what they want is result.

Current State Desired Future state


12/27

THE BUSINESS ACTION DRIVERS

motive

urgency

Payback orreturn

Constant at

a place

Resourcesor means

Perceived

risk


13/27

WHY KAM???

1.KAM is a process for finding newopportunities

2.KAM is a means to provide uniformservice and selling solutions

3. KAM is a means which focuses on

providing solutions for overcoming barriers


14/27

THE KAM PROCESS


15/27

WHO IS OUR PROSPECT ???ASSESSMENT CRITERIA POINTS SCORE

1. P resent contributions

2. C ustomer expansion/ diversification

3. R eferrals

4. C onformation to regulatory norms

5. C redit worthiness

6. R & D

7. G eo- reachability

8. P ricing & profitability


16/27


Managing & selling to key accounts-Selling to key accounts


17/27

P ORTER S ANALYSIS

Competitive rivalry

ThreatOf

Newentrants

Bargaining powerof buyers

Bargaining powerof supplier

Threat ofNew

substitute


18/27

S ELLING TO KEY ACCOUNTS


19/27

ASPECTS OF SOLUTION SELLING

1. Relatively long period of time

2. Unclear needs and demands

3. What is the right solution.

4. Large number of people are involved both in the customersorganization and our company

5. More efforts are required to form a tailor made solution and sell itto the customer.

6. There is a need for a more structured planning.


20/27


21/27

S OLUTION SELLING

The sellingconcept

Building

confidenceIn milliporeIn our tech

In ourselves

Evolving asolution

Counteringcompetition


22/27


Managing & selling to key accounts-Managing key accounts


23/27

LET S CONSIDER SIX POSSIBLE OBJECTIVES

1. Retention of customers in a competitive environment

2. Growth through entry into new customers

3. Growth with existing customers

4. Managing customers with a cross territory perspective

5. Going beyond product and benefit selling .


24/27

ACCOUNT STRATEGY PLAN

Evaluate performance

Develop a retail mix to implement strategy

Establish specfic objectives and allocate resources

Evaluate strategic alternatives

Identify strategic opportunities

Conduct a situation audit: market attractiveness analysis,competitor analysis

Define the business mission


25/27

THE KEY ACCOUNT RELATIONSHIP DEVELOPMENT MODEL

HIGH

LOW

HIGHLOW

KARSUCCESS

%

STRATEGY


26/27


27/27

KEY ACCOUNT MANAGEMENT

THANK YOU

keyaccountmanagement-091023150305-phpapp01

Documents

Transcript of keyaccountmanagement-091023150305-phpapp01