In account classification, which method uses two factors to analyze accounts?

The portfolio analysis method is designed to assess accounts based on two critical factors: the potential value an account represents and the relative strength of the company's position within that account. This approach allows sales professionals to categorize accounts not just based on their current sales volume or revenue but also by considering the growth potential and the competitive dynamics associated with each account.

By analyzing accounts through these dual lenses, businesses can prioritize their sales efforts more effectively. For example, they may identify high-potential accounts where the company has a strong position and focus resources on expanding those relationships, while also recognizing accounts that may be less strategic or have less potential for growth. This nuanced understanding supports better decision-making and a more targeted sales strategy.

The other options, while valuable in their own right, do not involve the dual-factor analysis that characterizes portfolio analysis. ABC analysis is typically focused on categorizing inventory or customer accounts based on their importance or frequency of use. Customer segmentation involves dividing customers into distinct groups based on various characteristics, but it doesn't inherently analyze accounts with two specific metrics. Market share analysis measures a company's total sales in relation to the overall market but does not classify accounts based on two factors.