What Is Account Mining? What Are the Top Account Mining Strategies?

What Is Account Mining? What Are the Top Account Mining Strategies?

In this write-up, we discuss the definition of account mining and some of the top account mining strategies used by enterprises.

What Is Account Mining? What Are the Top Account Mining Strategies?
What Is Account Mining? What Are the Top Account Mining Strategies?

Account mining has been an age-old, reliable method for helping businesses derive and extract as much revenue as possible from existing accounts. Recent studies have shown that the probability of selling to a new customer is only 5% to 20%, while the probability of selling to an existing customer is up to 70%. Therefore, utilizing account mining to drive growth and increased revenue from existing accounts can be extremely effective and beneficial for your business in the long run.

The main objective of account mining is to help businesses empower long-term growth that can prove to be extremely transformative for the prolonged survival and scalability of an organization. Account mining can not only be an extremely efficient method to showcase credibility and reliability to existing accounts, but it can also help indicate a sense of forethought and concern for each customer. Therefore, this can help significantly drive growth, productivity, and profitability without requiring large amounts of time and financial investment that is typically associated with acquiring new accounts.

What Is Account Mining?

Identifying new and innovative opportunities and insights that can be leveraged to expand each organizational account can be extremely overwhelming, especially with rapid technological advancements and increasing market competition. However, account mining can be extremely useful for helping your business accelerate growth. Similar to data mining processes, account mining refers to an extensive search for an increase in potential revenue generation from each existing account. This research often involves upselling opportunities, growth spectrums, and demand forecasts. Account mining can help your business identify, recognize and expedite potential areas of account growth, future account projections, and much more. Account managers typically utilize account mining to search for new opportunities to diversify growth, nurture existing high-potential accounts and facilitate continuous long-term growth.

Account mining can also provide your business with valuable insight into the lifecycle of each account. This can be particularly valuable for identifying adequate opportunities for upselling and cross-selling as well as implementing these new opportunities for growth in the most profitable way possible. Therefore, as our current business landscape continues to become more and more complex, account mining is essential for helping modern organizations accelerate and transform current business operations.

Benefits of Account Mining:

1. Obtaining More Projects with Less Effort

One of the biggest challenges that modern organizations experience is identifying and converting new prospective leads. Businesses typically invest time, financial resources, and manpower to identify new projects to accelerate and expedite organizational growth. However, this can become extremely time-consuming and expensive over time and does not necessarily guarantee results. Account mining allows companies to monitor existing accounts and maintain a comprehensive, centralized data repository. This can then enable your business to keep track of purchase histories, need and demand identification, and future projections. This process can help account managers identify significantly more projects with minimal time and effort. Once these databases are established, your business can utilize this data to empower upselling and cross-selling processes.

2. Aligning Growth with Customers

Account mining can help your business identify necessary areas of growth and project demand for your business’s services. Therefore, as your business continues to scale up, account mining can help align your organization’s growth and future opportunities with the needs of existing customers. Furthermore, account mining also enables your business to include customers in every step of day-to-day decision-making processes.

3. Identifying Unexplored Business Functions

Since account mining can help your business identify potential growth opportunities for each account, this can empower your business to identify and explore untapped business functions. There may be various functions that your customers could potentially utilize your business’s products or solutions for. Therefore, account mining can help your business proactively identify where and how customers can further utilize your products and services. This will not only help substantially increase revenue and profitability but will also help establish a comprehensive plan for the strategic growth of your organization.

4. Positioning Your Business as A Strategic Vendor

A strategic vendor refers to a trusted, long-term vendor that a customer believes is instrumental and essential to continued tactical success. Account mining can help your business research, identify and analyze potential areas of growth as well as gaps that your products or solutions can help solve. Furthermore, account mining can help determine how your business should undergo upselling and cross-selling processes to efficiently and effectively accelerate revenue generation. Therefore, account mining can help you position your business as a strategic vendor for all existing accounts, establishing you as a trusted, reliable and credible source.

Strategies For Effective Account Mining:

1. Know Your Customer (KYC) Processes

The Know Your Customer, or KYC Processes, are probably the most used strategies to successfully implement account mining into any operation. To fully understand how this strategy can be utilized effectively, it is crucial to know how it works –

Know Your Customer (KYC) Processes are typically the most common strategy for successfully implementing account mining into any business function. It is also usually the first step before proceeding to more sophisticated data collection and analysis. To fully understand how KYC processes can help empower account strategy, it is crucial to understand how it works:

  • Account Understanding- Understanding each account and the spectrum of their previous purchase history, preferences, and customer journey is the first step of a successful KYC process. Therefore, account managers must clearly establish a holistic understanding and growth projection of each individual account. This step is so essential for businesses attempting to implement account mining because it is especially valuable for providing data-backed explanations for future contingencies or expansion plans. Without this foundation, it is extremely difficult to initiate any further account mining processes.
  • Clear IT Architecture and Expansion Plan- As technology continues to evolve at such an exponential rate, your business must establish a clear outline of each account’s current IT infrastructure as well as projections for future IT architecture expansions. Obtaining a clear picture of the IT vision of each account can make account strategy much more effective and productive.
  • Strategic Initiatives– Your business needs to understand each account’s strategic initiatives and potential investment areas in sectors such as IT, finance, and business. This can help provide account managers with a more transparent overview of the current health of each account as well as how the account is forecasted to perform in the future. Therefore, this step can help your business implement account mining by establishing a more narrow and concentrated starting point for further analysis.
  • Key Competition– It is also crucial for your business to research, analyze and determine the major competition for each account. Competitor analysis can help empower short-term and long-term success. By analyzing the competition of each account, account managers will be able to further determine how the growth of each account should be mapped over time.
  • Innovation and Technology- It is also important to identify who the primary decision-makers are for each account and understand how open they are to innovation, digital transformation, and the implementation of emerging technology. This can be especially useful for determining the pace of customer journey mapping.

2. Create Centralized Data Repositories

Creating centralized data repositories can make account mining much easier than ever before. Implementing data storage solutions such as a standard data warehouse can help your business organize all data related to every organizational account in one place. Furthermore, creating centralized account data repositories that involve authorized decision-makers for each account, such as account managers, can help significantly reduce the amount of manual day-to-day research and analysis tasks.

Centralized data repositories can not only help ensure that information is collected and organized in a standardized, effective manner, but they can also enable your business to undergo automatic data analysis. This can help ensure that all further insights are credible and reliable. The more reliable and accessible account data is, the better the results of the consequent analysis.

3. Identify Key Areas of Strength

Another way to implement and execute account mining effectively is through Know Your Strength (KYS) processes. In contrast to KYC processes, which involve extensive research into each account, KYS processes involve analyzing and determining the strengths that your business can leverage to serve customers better. By identifying key areas of strength, your business will be able to understand better how accounts can be handled more effectively and productively.

Therefore, your business should carefully evaluate its strengths in the following domains to determine how you are beneficial to each account:

  • Domain Strength– Your business must understand its critical, primary domain strengths, especially from the account’s perspective. This is indicative of the major reason why customers utilize your business’s products or solutions. Account managers can utilize data from this step of the analysis to initiate further account mining processes.
  • Technical Expertise– Technological resources and digital transformation are extremely beneficial for any modern business. Therefore, determining the level of technical expertise your business can provide customers is highly indicative of competitive and strategic strength. If your business possesses a high level of technical expertise, it can be effectively leveraged to serve clients.
  • Future Investments– Your business must also be aware of its own future scalability goals and objectives. Analyzing self-growth functions such as geographical, technical, and operational expansion can help your business understand how accounts can be managed more efficiently and productively in alignment with long-term growth.

4. Regularly Communicate With Organizational Accounts

Client communication is one of the most important processes for any successful business. If your business does not prioritize effective communication with each account, you will not be able to gauge client preferences and future objectives. Therefore, this can lead to a substantial disconnect between the objectives of each account and the objectives of your business. A lack of effective and efficient account communication can lead to a high level of customer attrition, hence negatively impacting organizational profitability.

Therefore, to effectively implement productive account mining, account managers must maintain regular and transparent communication with clients. Regular communication can not only help your business collect useful feedback that can be used to improve your services, but it can also be an extremely valuable channel to upsell (introducing an account to new upgrades to their current purchases and more extensive plans) or cross-sell (introducing an account to more features in their existing purchases). Therefore, this can help ensure that your business’s account strategy efforts translate into increased revenue.

5. Develop Mined Accounts

Mined accounts can result in a more precise and narrowed-down approach to account strategy enabling your business to focus on more defined aspects of retention and expansion. After your business has undergone extensive KYC and KYS processes, you will be able to determine which existing accounts clearly fall under your core areas of strength, which accounts partially fall under your core strengths, and which accounts do not fit your business’s core strengths. For accounts that fit under your business’s areas of strength, account mining can help establish a more strategic and focused direction for account managers. However, for accounts that do not fall under your business’s strengths, account mining can help determine how to explore and expand into new areas of growth and scalability. 

Leverage The Power Of Account Mining Now:

Account mining can be extremely transformative for any business to accelerate growth, scalability, and long-term profitability without investing large amounts of time, resources, and manpower into acquiring and converting new accounts. Account mining can help businesses obtain more revenue with less consumption of organizational resources, align short-term and long-term growth with account objectives, identify unexplored business functions and help establish your business as a strategic vendor.22

Several strategies can help your business introduce and implement successful account mining. However, if implemented concurrently, all of these strategies can help guarantee potential growth from existing accounts. Therefore, the aforementioned step-by-step guide can help your business understand what account mining is, the benefits of account mining for your organization, and the various strategies to implement account mining.

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