20 Skills Every Account Manager Needs to Know

What is account management?

Account management is a strategic approach to cultivating relationships with key clients or customers. It entails grasping each client's unique needs, tailoring solutions to address their challenges, and providing exceptional service to foster long-term loyalty and satisfaction. Beyond mere sales, it's about establishing trust, promoting collaboration, and serving as an expert advisor to clients.

Effective account management demands a proactive, customer-centric strategy, emphasizing strong relationships and value delivery at every interaction. This includes regular communication, proactive issue resolution, and a thorough understanding of the client's business and industry. By adopting such an approach, a business or organization can anticipate client needs, pinpoint growth opportunities, and drive mutual success.

What are the key responsibilities of account managers?

1. Communicating and building trust with customers

Communication is the top skill of an account manager. By creating open lines of communication, actively listening to  clients’ needs and concerns, and providing timely and effective solutions—they develop an exchange of trust, credibility, and reliability that helps customers feel valued and supported throughout their experience.

2. Collaborate with sales/marketing Teams

Collaborating with sales and marketing teams is another key responsibility of account managers, as they work closely with these departments to align strategies, coordinate efforts, and maximize opportunities for growth. By sharing insights, feedback, and market intelligence, account managers help optimize sales and marketing initiatives to better meet customer needs.

3. Analyze sales data

Essential for account managers, analyzing sales data allows them to accurately assess performance, track progress, and identify areas for improvement. By interpreting key metrics, trends, and customer feedback—they can gain valuable insights into sales performance, customer preferences, and market dynamics.

4. Stay up to date with the company and products 

A large portion of account management is the need to continuously educate yourself on the company's products, services, policies, and industry trends to provide accurate information, address inquiries, and position yourself as a trusted advisor.

5. Identifying industry trends

Account managers need to stay informed about market developments, competitor activities, and emerging technologies that may impact their customers' businesses. By keeping abreast of industry news, market research, and customer feedback, account managers can anticipate issues, identify new opportunities, and proactively address challenges.

Why is being a great account manager important?

First and foremost, account managers serve as the primary point of contact between a company and its clients or customers, playing a crucial role in building relationships and often serving as the face. By providing above and beyond service, addressing needs promptly, and going the extra mile, great account managers can generate loyalty, leading to long-term partnerships and repeat business. 

Additionally, great account managers often have a deeper understanding of their clients' businesses, industries, and pain points, allowing them to tailor solutions and offer valuable insights to other team members. 

Account managers are responsible for identifying upsell and cross-sell opportunities, as well as negotiating contracts and pricing terms to ensure profitability for their company. By understanding the client's needs and goals, great account managers can effectively position their company's products or services as solutions that add value and drive ROI for the client. 

Top tier account managers excel at managing client expectations, handling objections, and resolving conflicts—ultimately minimizing stress and frustration. In today's landscape, where customer experience is vital, being a great account manager can make all the difference in holding on to valuable clients. Having top-notch account manager skills is crucial for several reasons. Firstly, they act as the primary liaison between a company and its clients, playing a pivotal role in nurturing relationships and often representing the company's image. Through exceptional service, prompt problem-solving, and going the extra mile, outstanding account manager skills can cultivate loyalty, leading to enduring partnerships and recurring business.

Moreover, exceptional account managers typically possess a profound understanding of their clients' businesses, industries, and pain points, enabling them to customize solutions and provide valuable insights to their team members.

Managerial skills help with managing client expectations, addressing objections, and resolving conflicts, thereby minimizing stress and dissatisfaction. In today's landscape, where customer experience is paramount, being an outstanding account manager can significantly impact the retention of valuable clients.

Now, let's explore some of the benefits that stem from having a proficient account manager.

Benefits of establishing strong account management skills

1.Customer retention

Account managers who excel in anticipating and addressing client needs can accurately foresee potential issues, offer timely solutions, and provide customized insights tailored to each client's preferences. Through consistently delivering outstanding service and displaying a sincere dedication to a client's success, these Account Managers enhance loyalty and satisfaction, resulting in profitable customer retention.

2. Increased revenue

By identifying upselling and cross-selling opportunities, an effective account manager can maximize the lifetime value of each client relationship. Account managers equipped with a deep understanding of their clients' businesses and goals, can showcase additional products or services that align with their needs, driving incremental sales and revenue growth.

3. Increased adaptability

With a deep understanding of a client or brands’ business and market landscape, Account managers can anticipate shifts in priorities and preferences, proactively adjusting strategies and offerings. Effective communication and collaboration with clients allows account managers to gather feedback and insights, facilitate decision-making, and encourage the development of tailored solutions.

4. Improved employee and customer satisfaction

Through proactive support, prompt addresses to concerns, and by representing the customer’s interests, account managers create a partnership that fosters long-term loyalty. By promoting collaboration, empowerment, and professional development among internal teams, account managers add to a positive work environment that can boost morale, engagement, and satisfaction.

Account management—Hard vs soft skills

While both hard and soft skills are essential for success, they serve different roles in an account manager's toolbox. Hard skills refer to the technical abilities and knowledge required to perform specific tasks. These include proficiency in data analysis, understanding CRM software, financial forecasting, and strategic planning. Hard skills are often quantifiable and can be learned through formal education and specific training programs.

On the other hand, soft skills are the interpersonal attributes and traits that enable account managers to navigate the complexities of relationships with clients, colleagues, and other stakeholders. These include communication, empathy, leadership, adaptability, and problem-solving. Soft skills are often developed over time through experience and personal development.

The synergy between hard and soft skills allows account managers to effectively meet their responsibilities. Both sets of skills are crucial for identifying and taking advantage of opportunities, resolving challenges, and ensuring client satisfaction and loyalty. Developing both hard and soft skills can significantly impact an account manager's success.

10 hard skills every account manager needs

Hard skills are tangible and measurable. They play a critical role in an account manager's ability to effectively manage accounts, drive sales, and contribute to the overall success of the business.

1. CRM software proficiency: Understanding and navigating customer relationship management software is essential. This includes managing contacts, tracking sales interactions, and analyzing customer data to make informed decisions.

2. Data analysis and reporting: Account managers need to interpret data to identify trends, forecast sales, and measure performance against goals. This includes using tools like Excel for creating reports and presentations.

3. Financial literacy: A solid grasp of financial principles, including budgeting, forecasting, and profitability analysis, helps account managers make decisions that align with the company's financial goals.

4. Project management: Skills in planning, executing, and tracking projects are crucial. This includes setting timelines, coordinating with different teams, and ensuring project goals are met on time and within budget.

5. Marketing and sales techniques: Understanding the fundamentals of marketing and sales, including sales funnel management, lead generation strategies, and SEO, can help account managers exceed company goals.

6. Technical product knowledge: Account managers should have a deep understanding of the products or services they are managing, including how they work, their benefits, and any technical specifications.

7. Digital marketing tools: Familiarity with digital marketing tools and platforms, such as email marketing software, social media management tools, and content management systems, can enhance client communication strategies.

8. Regulatory and compliance knowledge: Understanding relevant regulations and compliance requirements in your industry ensures that strategies and client interactions are conducted ethically and legally.

9. Technical writing and documentation: The ability to produce clear and effective written communication, including proposals, contracts, and client documentation. This skill is important for ensuring all parties have a clear understanding of terms, expectations, and project deliverables.

10. Sales forecasting tools: Proficiency in using sales forecasting tools and software to predict future sales. This includes understanding how to use historical data, market analysis, and sales trends to make accurate forecasts that guide strategy and decision-making.

How Freshsales can assist in your account management needs

While finding a talented candidate who possesses all the skills, techniques, and passion discussed throughout this article is the ideal scenario, there are other options to consider. If you believe your current staff needs a boost or if new staff require a better platform, software might be the solution.

One such solution is Freshsales, which offers tools and features designed to streamline, enhance, and support your account management processes. Freshsales aids account managers with its efficient and adaptable customer relationship management (CRM) capabilities. With Freshsales, your staff can easily track and manage all customer interactions, including emails, calls, meetings, and tasks, on one centralized platform. This significantly reduces the likelihood of oversights, as account managers have a comprehensive view of each customer's journey and history, enabling personalized interactions, upselling opportunities identification, and direct support provision.

In addition to CRM, Freshsales provides extensive sales automation tools that help account managers optimize their workflows and increase efficiency. Features like lead scoring and email tracking allow staff to automate repetitive tasks, prioritize activities, and focus efforts on high-value opportunities or complex situations, enabling them to build better relationships with customers rather than spending time on low-level administrative tasks.

Freshsales also offers analytics and reporting that provide valuable insights into sales performance and customer behavior. With customizable dashboards and reports, account managers can track key metrics, monitor trends, and identify areas for improvement in real-time. This data-driven approach facilitates informed decisions, optimized strategies, and continuous improvement efforts.

Ultimately, Freshsales equips account managers with the tools and insights necessary to effectively manage their accounts, drive revenue growth, and deliver exceptional customer experiences.