How to Determine Key Account Level

Reset you Key Account cutoff level to keep your accounts prioritized

Your Key Account as generally defined as those top 20-25% of your accounts that bring you 75-80% of your dollars. You should reset this at least annually, as rates and spending levels change. You may be looking at this by individual business unit, or by your entire cluster. 

  1. Go to Financials>Export/Reports>Account Billing>Monthly Billing. If you manage your account prioritization by business unit, choose your first business unit. If you manage your account prioritization by cluster, choose all business units. 

  2. Choose Local, unless you want to include National accounts in your prioritization. 

  3. Choose the time frame you want to look at to determine spending levels. You might want to look at the prior year, if resetting for the following year; or if resetting in the middle of a year, choose 12 months leading up to the month you are in. You want to be sure to include all 12 months, as each quarter/month has different spending patterns and levels. 

  4. Do not choose any other limiting criteria or subtotal. You want to see the big picture!

  5. After you have run the report, determine how many accounts you have spending. That would be the number of lines on the sheet.

HINT: You may choose to NOT include the bottom accounts that obviously bought a booth at an event or bought a small digital sponsorship, for example. If you choose not to include those, simply move up to your bottom line for bottom spending other than those situations

6.   Take that number (the number of accounts) and multiply it by .20 -- this will tell you how many accounts are making up that top 20%. 

7.   Scroll back up and find that line. See what the total spending level is for that line (on the far right). 

 HINT: if the number is not a round number, you may want to consider moving it to the nearest round number. This makes it easier for your AEs to remember and focus.

That is your Key Account Cutoff Level. Those at that level and above will remain or become Key Accounts; those below are making up the lower 80% of your accounts bringing you 20% of your dollars and will be Secondary Accounts.