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Account-based marketing (ABM) or traditional lead generation, which way should you go? Well, actually that is the wrong question to ask. In fact, the two strategies complement each other rather well.
With all the confusion surrounding Account Based Marketing and its somewhat complicated relationship with the more conventional marketing approach, we thought this explainer article was way overdue.
We get it, yet another thing to invest in, and mastering it is keeping you away from getting all you really want – which is actual qualified leads. That’s why, before we dive deep into account based marketing funnel and best practices, we want to clarify one thing real quick: what is ABM in marketing?
ABM doesn’t have to stand in opposition to more traditional marketing tactics, aka what you’ve been doing so far. Try to think about ABM as something that can complement your broader marketing activities by offering a more tailored approach. How? Let’s see.
Conventional LeadGen tends to take a broader approach to lead generation, with the goal of capturing as many leads as possible within the defined target audience segment. Conversely, B2B Account Based Marketing services flip the funnel around (see below)
“Traditional demand generation is like fishing with a net for leads. You don’t care which specific ‘fish’ you catch, you only care if you catch enough. But Account Based Marketing is more like fishing for named accounts with a spear. You reach out to the right people at the right accounts with targeted, relevant messages.” - Jon Miller
Account Based Marketing is a form of strategic B2B marketing based on measurable goals for specific target accounts. Engagio, an ABM and sales software company, simply defines it as: “...a strategic approach that coordinates personalized marketing and sales efforts to open doors and deepen engagement at specific accounts.”
“Specific accounts” is the key here. While inbound marketing casts a wide net to target as many prospects as possible, account-based marketing identifies an entire company as a valuable prospect, before pushing ultra-personalised communications on its employees. These communications can be based on B2B inbound tactics and content marketing as well as outbound paid campaigns.
Unlike the conventional LeadGen funnel that starts as wide as it can and gradually narrows down the leads, B2B ABM funnel focuses on personalizing the journey from the very start. Here’s what it would typically look like:
The B2B ABM funnel is ultimately about switching focus from quantity to quality of interactions and relationships you can build with key accounts throughout their entire customer journey.
Reasons to Adopt Account-Based Marketing
While Account Based Marketing is not exactly a new concept in the B2B marketing community, it can be extremely effective at helping marketers create and sustain growth and profitability. Account Based Marketing strategies are ideally suited for B2B firms with long, complex sales cycles that often involve many stakeholders, and are typically high-value. Creating ABM tactics for a product sold for $25 a month and is suited to a wide audience may not be the right approach. Is your product niche, expensive, and aimed at enterprises? Go with Account Based Marketing.
“Over the last year, we have seen B2B marketers move in droves to account-based approaches.” - Craig Rosenberg
Planned and executed correctly, B2B ABM can help companies to engage earlier in the sales process with high-value opportunities and get the best value and ROI out of their marketing campaigns. If your company hasn’t begun implementing B2B Account Based Marketing tactics yet, here are other compelling reasons why you should give at least some bits of B2B ABM a try:
Now, we know how B2B ABM differs from a more traditional LeadGen approach, but how does it stand opposed to other activities, mainly inbound marketing and demand generation? Understanding these differences will help you refine your B2B marketing strategy and maximize its impact. So let’s see:
Just to sum up everything we’ve just said, wherever lead generation focuses on casting a wide net to capture a large volume of potential leads, ABM is all about quality of those leads from the very beginning by tailoring marketing efforts to engage and nurture key decision-makers within identified accounts.
While ABM is a targeted approach where marketing efforts are customized for specific high-value accounts, B2B inbound marketing relies on tactics like SEO, blogging, and social media to draw potential leads into the sales funnel organically. Inbound marketing is more of a passive and reactive approach, while ABM is very much focusing on staying proactive and engaged.
"Don't count the people that you reach, reach the people who count". - David Ogvily
Account-Based Marketing: The Future of B2B Marketing?
For B2B marketers, account based marketing services offer both limitless possibilities and proven results. Thanks to improvements in technology, it’s now possible to coordinate and execute ABM campaigns with much greater scale and efficiency than ever before.
However, as with any marketing campaign, ABM requires a solid understanding of the approach and its execution and optimization. Done effectively, it can be a valuable marketing strategy, easily increasing the number of qualified leads.
Have any questions?