Five Essential Principals Of Profitable Key Account Management

In an increasingly sophisticated and competitive environment, pharmaceutical companies now realise that it is not sufficient to treat clients with a uniform approach and that certain client accounts represent an increased level of importance. If a particular client is very dominant, has a high level of transactions or is otherwise strategically important, they should be treated specially. As such, key account management strategies must be implemented and communicated to the sales and marketing team as the company aims to cement relationships with these principles.

Client management can be a complicated undertaking, involving public relations issues, politics and positioning just as much as it can be about the provision of services. Executives must decide whether an account is key or not, but interaction and daily implementation falls to the sales and marketing team, with the pharmaceutical consulting firm providing critical direction.

Success in the ultra-competitive business world requires attention to fine detail and a declaration of strategic importance for each account. If the key account values interaction, they will also elevate the importance of the relationship with the pharmaceutical company. The ultimate goal involves making the key client's position easier, focusing on product availability at the most competitive rates and being attached to the highest level of education.

Key account management can be broken down into five distinct areas:

Firstly, all parties must fully understand the level of the agreement. Once this is cemented, it must be communicated throughout the company structure, ensuring the correct level of response. While formal communication is always important, including planning, reviews, development and information exchange, the goal must always be to strengthen the bond between the two companies.

Key account management involves the building of trust and two-way commitment. When the client is comfortable, it will relax funding and resources associated with program activities and enter a comfort zone with the pharmaceutical company. As such, a level of efficiency is achieved that in turn helps to build even more commitment. This interaction may appear complex and daunting, but pharmaceutical consultants are well versed in such strategies.

The sales and marketing team will be charged with the responsibility of fully understanding the customer account, its context, make-up and trends. In truly key accounts, the pharmaceutical company will help the client through the dissemination of important trends and industry data. This is always fluid and dynamic and thus the company sales and marketing team must be always aware and trained appropriately.

Few relationships of this kind run smoothly and without issues from time to time. Conflicts are to be always avoided as they can create weaknesses in an association, but constructive conclusions should always be drawn as these could indeed lead to different paths and an even stronger relationship, down the road.

The constant review of satisfaction should be part of key account management. This will in turn help to reveal some potential stumbling blocks in the future and allow for the swift resolution of any issues or challenges as and when they arise.

All of these five concepts are revealed and explained within the pharma consulting approach.

Alan Gillies is the Managing Director of L2L Consulting, specialising in enabling pharmaceutical companies to achieve new heights of productivity and performance, throughout all levels of management and revenue generating activities.