To truly understand why a product wins in some situations but loses too often in others, one needs to get straight answers from customers and prospects. However valid or invalid, emotional or objective, informed or uninformed the buying rationale may be, it affects a product's success in the marketplace. In addition to identifying the actual reasons that a prospect did or did not buy, an analysis of won and lost accounts usually reveals a common prospect profile.
Surprising patterns can emerge.
In almost every case, there are common characteristics within won and lost accounts that differentiate the two groups from one another. Knowledge of these profiles can improve marketing effectiveness and help focus resources more productively. If you do not have complete, accurate feedback from won and lost accounts, it is relatively easy and inexpensive to collect. While an account review conducted by your marketing staff can make important contributions to product and marketing strategies, it is a separate exercise from won-lost account analysis. An internal won-lost account review can determine if all reasonable actions were taken to win the account focus management attention on the more obvious problems with strategies, priorities and people sensitize field salespeople to the fact that all losses will be scrutinized.