Account-Based Marketing (ABM) is hot right now, but why? It’s not like it’s a new term or practice with citations at least a decade old. Recently the space has been heating up as new technologies allow marketers to increasingly target their specific buyers. With a lot of buzz comes confusion, so let’s start at the beginning — Is ABM right for you?
- Do you sell to people or companies?
It’s an old adage – Marketers sell to people not companies. So when I ask, do you sell to people or companies, I don’t mean existentially. I mean more specifically, “Do you sell groceries to my aunt or technology to LeanData via me?” If you’re selling B2C only to an individual, think yoga pants to my sister, then ABM might not be your approach. However if you’re selling consumer goods, those same yoga pants to a university’s athletic department, you should probably investigate ABM.
- Does your sales team target key accounts?
What is your business’ model? Are you a high-volume SaaS solution, enter a credit card and go live? Off the cuff, I’d say you would probably benefit more from targeted lead marketing. If that same business is struggling to break into the enterprise space, then it’s time to go ABM. Is your sales team already focused on a strategic account list? Do you have top tier reps focused solely on large enterprise? If so, it’s definitely time to get going on ABM.
- Are you looking to increase revenue and predictability?
We are all – always – looking for how we can help our businesses make more money. By focusing resources on the biggest targets and determining those most likely to buy now, your company can accelerate velocity of deals while booking higher ASPs. I love this quote from the Wikipedia about ABM, pretty much sums it all up. “Many suppliers have woken up to the fact that the revenues of some of their customers exceed the GDP of some nation states.”
- Is there untapped potential in Customer Cross and Upsell?
Many people discuss “Land and Expand”. If they can just get a foot in the door, the account is theirs. However many businesses struggle to expand within their customer base. By focusing on ABM you can determine who else needs to participate in the conversation.
Are there other questions you’re asking to determine whether Account-Based Marketing is right for your organization? Post them in the comments below.