Key account management is going to become more important than even solutions selling as more and more buyers look to hook up with preferred suppliers.

1. T +61 3 9532 7677 PO Box 277
F +61 3 9532 7388 782 Glenhuntly Road
contact@barrett.com.au Caulfield South VIC 3162
www.barrett.com.au ABN 13 067 951 188
Implementing Key Accounts
Management
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2. The Modern Day Challenge!
• Business is more complex
• Less time to make a correct decision
• More choice and access to information
• Risk is greater
• Buyers want to reduce the number of suppliers
• Cost of sale increasing
• Market more competitive
• Products less differentiated
• Simply selling is more complex
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

3. Misconceptions…
• The objective of key accounts management is to
build relationships with customers
• All national and major accounts are “key
accounts”
• Every company has to have key accounts
• Key accounts is simply another selling style
• Any salesperson can be Key Accounts Managers
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

4. KAM – A Summary
• Key accounts is a strategic sales initiative
• It is customer-centric rather than internally focused
• It’s main purpose is to capture share of mind
• It results in improved margins share of spend
• It is not a home for would-be pensioners
• It demands strategic thinking capabilities
• It also demands commitment from buyer and seller
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

5. Organisational Challenge
• Be more flexible in what and how it does things
• Adapt process to satisfy customers
• Form strategic alliances to add value
• Deliver exceptional pre-sales / post service
• Focus externally – deliver what buyers expect
• Provide sustained quality of post-sales service
• Accept fallibility and work fast to correct any error
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

6. Organisational Challenge
Key
Accounts
National
Accounts
Major Accounts
Transactional Accounts
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

7. What is a Key Account?
“A customer that has strategic value; that
usually involves selling into a complex
environment; that includes interaction
with more than one buying influence;
that has the capacity to sustain long-
term, profitable growth; where buyers
are prepared to develop mutually
beneficial business partnerships…”
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

8. Partnerships
“A mutuality of dependence in which
both buyer and seller work in
partnership to ensure that each
receives full value from the
relationship; that each has their needs
fulfilled; and that in the process,
neither disadvantages the other…”
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

9. The KAM’s Profile
Diplomat Business
Analyst
Manage
Process
Trainer
Planner
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

10. Relationships
Supplier
Distribution
Production
Distribution
Marketing
Production
Buyer
Marketing
Finance
Finance
Admin
Sales
Admin
Buyer
CEO
CEO
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

11. Relationships
Buyer Supplier
CEO CEO
Finance Finance
Production Production
Distribution Distribution
Marketing Marketing
Admin Admin
Buyer Sales
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations

12. Key Account Management
Finance
Administration
IT
Needs Desires Market
Production
Key Accounts
Conventional
Selling
Management
Image Aims Politics Procurement
Performance Ambitions Economics
Finance Aspirations Growth Management
Vision Legislation
New future Globalisation
Marketing
Competition
Customers
Distribution
Copyright © Barrett – 2012 – Partnering with our clients to improve their sales operations