While most companies understand that it is cheaper to grow revenue from existing accounts than the cost of acquiring new one, many are challenged in fully developing all accounts. As a result they fall into a pattern of maximizing only a few accounts rather than consistently across their base. This leads to the self-fulfilling 80/20 rule, where 80% of their revenue growth is generated by 20% of their accounts. These accounts, usually called Major or Key accounts, represent a dangerous dependency due to the share of revenue they represent.

Expanding the number of accounts that are “Key” or “Major” is something that leading sales organizations focus on. Increasing the number of Major accounts is crucial not only to spread the distribution of revenues, but also because of their nature and buying patterns. Key Accounts regularly represented by their early adoption of new products, their likeliness to be bigger deals, and typically are your best references. In addition, the very nature of their size makes them an active target for your competitors. Mishandling any one of these major customers can cause a major disruption in your revenue stream.

Leading sales companies develop key account programs to ensure that these customers receive the necessary attention and handling. Properly executed, Key account programs lead to real business intimacy that benefits both the buyer and the seller.

Successful programs include:

• Aligning the sales objective with the objectives of the client
• These objective forming the core of strategy and plan for each customer in a way unique to them
• Establishing an account plan that identifies sources of revenue, obstacles to success, and action plans to exceed your goals.
• DEEP X planning: The development of a multi-tier relationship structure between key players and executives and management from both companies,
• Mapping a coverage and resource strategy appropriate for the size and reach of the client.
• Understanding how these major customers make purchasing decisions.
• Building a strategy to keep competition out of these accounts.
• Ensuring that the salespeople assigned to these accounts have the skill, the business maturity and the political savvy to deal with complex issues and relationships.

Renbor Sales Solutions draws on years of experience in planning, managing and cultivating Key accounts. Core to this account planning and auctioning, we can help create and refine existing and new initiatives. Building a base of loyal clients can help spread the risk and revenue growth across a broader base of Key or Major accounts.

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