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A vitally important sales activity is that of managing existing customer accounts to consolidate and grow the relationship. Yet unfortunately, when compared over time, the customers interest levels increase while salespeoples interest levels tend to decrease. This creates a relationship gap and is due entirely to complacency.
Another major issue is that too often the salesperson fails to expand his contact base as this next survey proves which results in vulnerability and exposure to competitive activity
Periodically, the Financial Times conducts a survey of British industry to establish how companies go about their purchasing. The survey is very comprehensive, broken down into many kinds of products and services.
From a Sales Directors perspective, these are very worrying statistics.
Customer size (Number of employees): Less than 200
Average number of buying influencers: 3.43
Number of influencers visited by salespeople: 1.72
Customer size (Number of employees): 200 400
Average number of buying influencers: 4.85
Number of influencers visited by salespeople: 1.75
Customer size (Number of employees): 401 1000
Average number of buying influencers: 5.81
Number of influencers visited by salespeople: 1.90
Customer size (Number of employees): 1001 +
Average number of buying influencers: 6.50
Number of influencers visited by salespeople: 1.65
In essence, without a sustained approach to ongoing servicing and support activities, customers that took months to win are ultimately lost because there was a lack of interest from their supplier.
To-days clients/customers are looking for vendors who can be business-partners, who are willing and able to share risks and who are able to properly manage the entire sales process.
Fact: It costs seven times as much to locate and sell to a new customer
as it does to an existing one.
Are you making the most of your customer base? Answer the questions below honestly and find out.
Question:
1. How many regular clients do you have?
2. Has that number increased in the last twelve months?
3. How many of them have bought in the last three months?
4. Of those regular clients, how many have you contacted in the last month?
5. Of those, in how many have you progressed upwards from the user/recommender?
6. With how many of them do you enjoy exclusivity i.e. preferred supplier status?
7. How many of your clients have bought more the second time around than when they originally bought from you?
8. With how many of your regular clients have you conducted
an account review within the last six months?
Study your answers - Are you still confident you are making the most of your existing accounts?
Copyright © 2006 Jonathan Farrington. All rights reserved
Another major issue is that too often the salesperson fails to expand his contact base as this next survey proves which results in vulnerability and exposure to competitive activity
Periodically, the Financial Times conducts a survey of British industry to establish how companies go about their purchasing. The survey is very comprehensive, broken down into many kinds of products and services.
From a Sales Directors perspective, these are very worrying statistics.
Customer size (Number of employees): Less than 200
Average number of buying influencers: 3.43
Number of influencers visited by salespeople: 1.72
Customer size (Number of employees): 200 400
Average number of buying influencers: 4.85
Number of influencers visited by salespeople: 1.75
Customer size (Number of employees): 401 1000
Average number of buying influencers: 5.81
Number of influencers visited by salespeople: 1.90
Customer size (Number of employees): 1001 +
Average number of buying influencers: 6.50
Number of influencers visited by salespeople: 1.65
In essence, without a sustained approach to ongoing servicing and support activities, customers that took months to win are ultimately lost because there was a lack of interest from their supplier.
To-days clients/customers are looking for vendors who can be business-partners, who are willing and able to share risks and who are able to properly manage the entire sales process.
Fact: It costs seven times as much to locate and sell to a new customer
as it does to an existing one.
Are you making the most of your customer base? Answer the questions below honestly and find out.
Question:
1. How many regular clients do you have?
2. Has that number increased in the last twelve months?
3. How many of them have bought in the last three months?
4. Of those regular clients, how many have you contacted in the last month?
5. Of those, in how many have you progressed upwards from the user/recommender?
6. With how many of them do you enjoy exclusivity i.e. preferred supplier status?
7. How many of your clients have bought more the second time around than when they originally bought from you?
8. With how many of your regular clients have you conducted
an account review within the last six months?
Study your answers - Are you still confident you are making the most of your existing accounts?
Copyright © 2006 Jonathan Farrington. All rights reserved