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Key Account Management is key to survival in difficult times

Managing client relations critical to survival in tough times.

According to the Pareto Principle, 80% of most businesses’ income comes from 20% of their customers. In some cases, that 80% can come from just a handful of major contracts.

At a time when winning new business is even harder than normal, then, taking care of your existing clients, understanding their current needs and their future expectations is critical for long-term survival.

You might think we’re stating the obvious. But it’s surprising how many businesses don’t have a structured approach to managing their key client base.

Think about it:

  • when was the last time you had a structured, planned discussion with your clients about the future?
  • Who amongst your colleagues knows what about your client base? What happens if they leave tomorrow, taking the in-depth knowledge of your biggest client with them?
  • Has it been a while since you sat down with client X to talk about new projects? What is in their pipeline and what will they need from you going forward?
  • What opportunities are there to introduce other services to the client and are their other parts of the client business that you could be working with?
  • And what about that new CEO who you’ve been meaning to take out to lunch? Is he already eating out with your competitors?


    • Julie Fitzsimmins, Director, Lodestar Marketing says:
    “Companies often have well-worked strategies for business development and communication to potential customers – but what about those existing clients who keep them in business?

    So often day to day project work takes over from client relations, working in the here and now can result in an inability to plan for longer-term relationships. It is far more cost effective to keep a client and develop new work through this client and their referrers than to target new clients.”

    Lodestar believe that Key Account Management (KAM) is an essential skill for any professional managing client relations. That’s why Lodestar has developed a KAM process and training programme which is specifically adapted to the property, construction and utilities industries.

    Lodestar have successfully worked with its clients to develop a more strategic, pro-active approach to managing key accounts.

    Through sharing client information across the team, identifying roles and developing a planned schedule of regular contact, we help you develop clearer understanding between you and your clients, enabling you to develop a clearer understanding of how to meet their needs on existing and future projects, and develop long-term, profitable relationships.

    For more information on how we can help you develop your client relationships, please contact Julie Fitzsimmins on 020 7344 1891 or email julief@lodestaruk.com

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