What Is Account Based Marketing?
Introduction
In today's digital economy, businesses must be more agile than ever if they want to grow their revenues and remain competitive. One way of doing this is by employing an account-based marketing (ABM) strategy. While many companies are still trying to understand what it means, others are already reaping the benefits of ABM.
What is account-based marketing?
ABM is a marketing strategy that helps you attract and retain high-value customers. It emphasizes the relationship between your company and individual customers rather than approaching all prospects similarly.
In this marketing approach, you work closely with sales to identify accounts likely to become customers. You then specify the decision makers at these accounts, figure out their needs, show them how you can meet them better than anyone else—and convince them of it.
A result is a relationship-based approach to marketing that's more effective than the traditional strategy. You can use it to get new customers and keep them for decades.
How does it differ from other types of marketing?
Account-based marketing is a specific type of marketing that focuses on particular accounts. It differs from other types of marketing, such as mass marketing (which targets large groups of people), segmentation (which divides target audiences into smaller segments), and personalization (which tailors messages to individual customers).
ABM involves identifying accounts that are the most likely to make or influence purchases in your industry and then targeting them with highly-personalized messages based on what you know about them. This approach can be helpful in any field—not just B2B companies!
Why is ABM becoming increasingly popular?
Why is ABM becoming increasingly popular?
It's a more targeted approach to marketing.
It is more effective than other forms of marketing—research suggests that ABM generates an average of $38 in revenue per customer acquisition, compared with $28 for digital advertising or $19 for direct sales.
It's more cost-effective than other forms of marketing: You're focusing your efforts on a smaller group of customers, so you can spend less time and money on targeting them (and no time or money on reaching out to non-targeted prospects).
It's easier to measure results: Because you're focusing your efforts on specific accounts, it'll be much easier to track how they respond when you reach out. The same goes for social media advertising campaigns; if you target an account that works at your company, those ads will only appear in front of people who work there! This makes it easy for companies using this method to see how well their paid ads are performing compared with others because all they have to do is look at the number of clicks they receive from each account type instead of having some complex formula based on Google AdWords bids like most marketers do today when measuring ROI on Facebook Ads etcetera which doesn't take into account any other factors outside clicks, i.e., cost per click value etcetera."
How exactly does ABM work?
A good ABM strategy is built on a comprehensive account list, including all relevant accounts in your target market. You can start building this list with your existing customer database and then expand to include other potential customers in your network.
Once you have identified the right accounts, you'll want to determine how they fit within your overall business objectives. This will help determine what kind of content you create for these people and any other strategies that might be appropriate for them (for example, trade show attendance versus email marketing).
While it may seem like a lot of work up front, identifying and targeting these specific groups pays off when it comes time for selling because you'll have already built trust with them based on previous interactions—and there won't be any guesswork involved about who wants what from whom (which means faster sales cycles and less wasted time!).
Account-based marketing is a specific strategy that helps you attract and retain high-value customers.
Account-based marketing is a specific strategy that helps you attract and retain high-value customers. It's different from other marketing types in that it prioritizes your best prospects and accounts. By focusing on these critical accounts, you can gain deeper insights into their needs, allowing you to provide more personalized experiences for each one.
ABM has been around since the 90s, but it's only recently become a popular marketing strategy among companies looking to generate revenue through an increase in customer lifetime value (CLV). Many experts believe ABM will continue growing as more businesses realize its potential benefits for growth.
If you're considering implementing an ABM strategy at your company or trying to decide whether investing in one would be worth the time and effort, here's what you need to know:
Conclusion
So, what do you think? Do you have any questions about account-based marketing? We'd love to hear from you!
