B2B Sales & Marketing Executives:
GROW YOUR SHARE OF WALLET IN MULTIPLE-SUPPLIER ACCOUNTS AND BOOST PROFITS
The case for growing Share of Wallet
In many of today’s stagnant or shrinking B2B markets growing through new customer acquisition may not be an option. It may at best be a
long-term option, with a high sales and marketing investment attached.
You need a profit growth option that is realistic, can be achieved at much lower cost than new customer acquisition, and in much shorter
time: Increasing Share of Wallet in existing multiple supplier accounts.
I have extensive experience in helping B2B companies systematically review key customer relationships in a multiple-supplier setting. Over the years I have been surprised by the frequently lacking knowledge of the Share of Wallet within an account, and if this share has
remained stable, increased or decreased.
While sales volumes might seem satisfactory, there is thus a real risk that a competitor is “eating the cheese off your sandwich”, without you knowing it.
Customer Satisfaction is a key driver of B2B Share of Wallet
The predictable myth that needs debunking is that Share of Wallet success in B2B is driven by price.
However, empirical research identifies four key drivers of Share of Wallet, with Customer Satisfaction at the top:
- Customer Satisfaction
- Trading Terms
- Length of Relationship
- Supplier Capability
The impact of Customer Satisfaction on Share of Wallet in B2B is three times as strong as the other drivers which have virtual equal impact.
Trading Terms is a strong driver of Customer Satisfaction and is undoubtedly also of high relevance.
How I can help you increase Share of Wallet in B2B accounts
As a seasoned customer service consultant with more than 25 years experience in some twenty industries I know my way around the critical issue to increasing Share of Wallet: Customer Satisfaction.
I developed and widely applied a process and methodology for reviewing key customer relationships with the purpose of turning them into High Value Relationships. In the process I conducted more than 400 executive interviews, mostly in person and also via telephone.
This is a “Fresh Eyes relationship X-ray process” that helps you see hidden flaws:
- Determine strengths and weaknesses and develop competitive benchmarks, with a focus on customer satisfaction.
- Bolster your relationship with key customers and increase Share of Wallet.
- Prevent unnecessarily losing a key customers (what would the cost be?).
- Demonstrate how you value this customer.
- Design a strategic account management plan.
Is this an expense or an investment?
If you consider this as an investment and you pilot this process, you are advised to ask yourself:
“What is the dollar value of this account? If I invest X amount of dollars (typically less than $10,000) in an in-depth review process, what are my chances that I will not be able to increase enough Share of Wallet to break even?”
My experience has been that without exception this process always provides a positive experience and my clients had no problems acting on the information and recouping their investment.
Most important is to know or discover how easy it is to pilot this process and if it works for you!
The upwards potential is significant, while the investment is low.
Visit my website for more information about me or contact me for a no-obligation phone conversation or request a service brochure with details.
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