5 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. Key account management strategies must be created and then disseminated to sales and marketing people to enable relationships to be cemented.

For the pharmaceutical company executives, client management can be as much about public relations, lobbying and positioning as it can be about the provision of products or services for the end need. While fundamentally the overall approach to client management must be decided at the executive level, implementation on a daily basis requires the effort of the sales and marketing team as the pharmaceutical consulting firm advises strategies and positions.

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 divided into five 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 must also help to build trust and commitment in both directions. When the client is comfortable, it will relax funding and resources associated with program activities and enter a comfort zone with the pharmaceutical company. This new level of efficiency prompts 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 addition, the pharmaceutical company might communicate industry information or trends to the client, enhancing the client's position. These accounts are always dynamic and a sales and marketing team must be on the ball and trained well.

From time to time, issues will arise. 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. Any stumbling blocks ahead may be revealed and challenges will invariably be simpler to resolve, once they appear.

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

Alan Gillies is the Director of L2L Consulting, an elite pharmaceutical consultancy firm which specialises in Strategy Development and Implementation Excellence for prestigious multi-national organisations.