It costs a lot less to service an existing customer than it does to win a new one. We all have key customers that we wish to develop. Our aims are usually to:

• Extend the relationship to make sure we are talking to as many of key people in the customer as is practical;

• Uncover new opportunities within our major customers;

• Grow our revenue from key customers;

• Ensure that we maximise the length of the relationship;

• Make sure we do not miss any warning signs that the relationship is beginning to flag.

What to think about

Start by reviewing what you know about your key customer:

• Business Profile

• What do they do?

• Who are they?

• How big are they?

• Growing (or otherwise) ?

• Business strategy?

• Sales Markets

• Competitors

• Customers

• What do they buy from you?

• What do they buy from competitors that they could buy from you?

• Suppliers

• Approach to Market

• Other issues that may affect you

Then move on to analyse the key people

• Who are you talking to on a regular basis?

• Who should you be talking to?

• Who makes the buying decision for your products or services?

• Who else influences those decisions?

• How do they feel about you?

• Who else may have a need for your products or services?

• Can your existing contacts sponsor a conversation to explore opportunities / extending the relationship?

Be specific about your own objectives:

• Are there other unmet needs / opportunities not on the table?

• Are there others you could introduce?

• To extend the value you deliver?

• To help you get access to more people in the customer?

• Because you are just a nice person?

• Is this a strategic customer you should groom for the future?

• If so, what is your plan:

  • Contact plan

  • Action plan

  • Pricing and position plan

    • Tactical, one job at a time?

    • Strategic discounting?

    • Fixed price in exchange for a long term contract?

This was a guest post by Paul Fileman of SPS who are a national team of proven senior management professionals, passionate about working to help businesses achieve their next level of development and performance. Whether they are facing market changes, financial problems, people/skills issues, or are preparing a major project, they offer dedicated support from a multi-disciplined team of experts.

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