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What is Key Account Management?
Key account management is a process that helps organizations manage relationships with key customers and providers. It involves setting goals, objectives, and priorities for the account, monitoring performance, and making adjustments as needed. Key account management can help an organization become more efficient and effective by increasing customer loyalty and reducing the need to sell to new customers.
Key account management also helps identify potential threats to the relationship, such as inappropriate pricing or product offerings. If a threat is identified, key account managers may work with the supplier to correct the issue or alter their behavior. By maintaining a positive relationship with key suppliers, an organization can avoid disruptions and ensure reliable product delivery.
Overall, key account management is an important way to improve an organization's overall performance. By focusing on the needs of key customers and providers, businesses can build strong relationships that benefit both parties.
Types of KAMs
There are a few different types of key account management (KAM). These include customer relationship management (CRM), promoter management, and supplier relationship management.
Customer Relationship Management (CRM) is the process of managing relationships with customers. This includes acquiring new customers, developing and maintaining current customers, and reducing customer risk. It also includes tracking customer activity, understanding customer needs, and creating marketing programs tailored to meet those needs.
Promoter Management is the process of managing relationships with promoters or advocates. This includes identifying promoters, developing and maintaining relationships with them, and managing the launch and success of products or services. It also includes measuring promoter effectiveness and motivating promoters to remain engaged.
Supplier Relationship Management (SRM) is the process of managing relationships with suppliers. This includes acquiring new suppliers, developing and maintaining existing suppliers, and reducing supplier risk. It also includes tracking supplier activity, understanding supplier needs, and creating marketing programs tailored to meet those needs.