Poor account management may be costing more than you realize. Some of the critical effects may go unnoticed until it is too late, costing you in many ways, including:
- Missing important opportunities in strategic accounts or, even worse
- Losing important accounts.
- When customers leave, 68% of them do so because they felt poorly treated.
- You’ll spend up to 5 times more to win a new customer than it will cost to retain an existing one.
By Ron Snyder of Plan2Win Software and Jim Naro of The Naro Group According to Gartner Group, “65% of a company’s business comes from existing customers and it costs 5 times as much to attract a new customer than to keep an existing one satisfied.” This indicates the importance of not only doing a good job of managing opportunities during customer acquisition, but also following up with purposeful customer engagement to grow relationships and drive revenue growth on an ongoing basis. When do you actually cross the finish line? Is it when you win the first deal? The gap between opportunity management and account planning is not new and it’s typically driven by several misconceptions, such as:
- Opportunity management is a “won and done” achievement
- Account planning is just a once-a-year effort
- Account planning and opportunity management are independent efforts that require mutually exclusive skills, processes and vernacular
- Building your relationships and sphere of influence is part of account planning only; it’s not part of opportunity management
- It’s OK to implement these processes in silos within the organization
We have identified how to use relationships to implement 7 key account strategies that will maximize your results.
- Defend and Grow
- Land and Expand
- Direct Attack
- Change the Game
- Maintain and Support
- Develop Over Time