Over the last few years, world-class companies have built their competitive edge around the principles of Account Management. Unfortunately, many companies are yet to up their game in this aspect and master this science. They have either underestimated the power of this concept or they have found it cumbersome and expensive to implement or they struggled to drive its adoption.
Whatever the reasons, organizations cannot afford to ignore this if they want to win market-share and build a strong foundation for sustained profitable growth.
So what is Account Management?
Account management refers to a comprehensive approach towards selling and serving customers on an ongoing basis with the primary objective of maximizing lifetime value of a customer.
As a concept, it is much beyond the conventional practices around Relationship Management. Also, it is much more strategic in nature unlike transactional Sales Management.
Framework of Account Management is built on the foundation of two wheels –
INTELLIGENCE & EXECUTION
While execution is focused on getting things done; it will be most effective only when you have the right intelligence and insights in place to channelize the efforts in the right direction. This intelligence could be with respect to market dynamics, customer needs & behavior, competition, overall trends etc.
Like in the case of bike-riding, both these wheels of the framework need to be balanced and rotate in unison to unlock full potential.
World-renowned business advisor & author Ram Charan, in his book Execution: The Discipline of Getting Things Done, wrote
“discipline of getting things done was what differentiated companies that succeeded from those that just muddled through or failed.”
It becomes imperative for you to arm your warriors with the right Account Management tool that will help them win their battles for you to win the war!
This is true for both hunting as well as farming; especially given the fact that repeat sales to existing customers is much more profitable than new acquisitions.
Intelligence coupled with actual execution on the ground is the most effective ammunition for an organization to survive and thrive in a hyper-competitive market; ideally spanning across sales, service and accounts receivable operations to maximize lifetime value of a customer.