First step Key account manager / KAM must do is to formulate account strategy through account analysis to formulate a plan that results in maximum responsiveness to account’s needs This takes place by two factors:
- Account attractiveness: What makes you want to deal with these accounts Like, Size: Unit, value, profit, Etc.
- Relative strength: What makes these accounts want you?” Like price, services, quality, Etc.
- Key accounts / Strategic partner( Invest) are those where rate us more than our competitor and attraction is mutual
- Key development / Future stars (selectively invest) accounts are those that we have strong ambitions for but they prefer one of our competitors
- Maintenance account (maintain) are those that rate us highly but we don’t view as our more attractive account
- Opportunistic accounts / (manage for cash) are those where neither regards the other as of great attraction
- Frequency of contact
- Nature of commitment
- Investment
- Services
- Pricing