Handbook of Corporate Communication and Public ... - Blogs Unpad

clear majority of the respondents believe the
proportion of their sales due to key accounts
will increase beyond the current level of over
two-thirds.
The survey reveals a wide gulf between the
attitudes, approaches and results of the winners
and losers. For example, winners consider
three times as many of the key processes
identified by participants as ‘very important’,
and they are five times as likely to be intending
to make use of emerging technologies
(Hurcomb, 1998).
Losers tend to live for the moment. They
are driven by the prospect of immediate business.
They apply the ‘key account’ label to
their most important current customers, and
when they deal with them they focus upon
their own requirements. In essence they seek
to use their customers to achieve short-term
internal targets. Key account relationships are
also left to sales and marketing staff and
hence contact may be lost when particular
individuals change jobs or move on.
Losers mouth generalizations about the
importance of building closer relationships
with customers. However, they do little in
terms of concrete actions to make them
happen. They avoid commitment, discourage
tailored responses and shun integration. They
fear that departing from a standard approach
might cause process and systems problems,
while establishing electronic links might
expose them to viruses and hackers.
Open book accounting is another ‘no go’
area. Information and knowledge is jealously
guarded. Overall, losers are very reluctant to
change corporate procedures to accommodate
bespoke approaches. Little effort is made
to categorize accounts or ‘do things differently’
to help particular customers in view of
the ‘hassle’ involved.
Losers use a range of traditional sales and
negotiation techniques to win orders that fail
to recognize ‘buyer power’. Terms of business
are used as a selling tool. If all else fails they
will offer discounts to secure new business
(Coulson-Thomas, 2002a). Customers derive
few benefits from being upgraded to ‘key
account’ status. However, when they learn of
their importance to a supplier they may
demand price reductions.
When it comes to locking out the competition
(and locking customers in) the contrast
between winners and losers is particularly
stark. The winners rank 11 out of 17 lock out
factors while the losers do not rank any
(Hurcomb, 1998). Quite simply the bottom
quarter of companies examined do not
appear to be taking any steps to protect their
key accounts. Not surprisingly, they fail to
realize strategic relationship benefits.
In contrast, winners look ahead. They take
a lifetime view of relationships and consider
future potential when categorizing accounts.
They value their customers and are prepared
to put themselves out for them. They are
open and build personal relationships. Their
focus is upon customer requirements and
buyer expectations. They endeavour to understand
their customers’ businesses, industries
and buying processes and look out for opportunities
that might benefit them.
Winners encourage a broader range of contacts
at multiple levels between their own staff
and those of key account customers. Hence
relationships can survive re-organizations and
changes of staff. At the same time, senior
managers are involved in important negotiations.
Winners are prepared to differentiate and
depart from the norm in order to deliver
greater value and benefit their customers’ businesses.
They regard processes, systems and
procedures as a means to an end rather than
as ends in themselves. They ignore traditional
‘hard sell’ and ‘win–lose’ sales techniques and
© 2004 Sandra Oliver for editorial matter and selection;
individual chapters, the contributors