21,99 €
Account-Based Marketing is changing the discipline of marketing--Why? Business-to-business (B2B) companies spend $40 Billion on marketing each year, and they embrace tech-driven innovations, yet the traditional model for lead generation has not changed for decades. Why? In addition to the techniques being outdated, they create friction and distrust between marketing and sales teams. ABM has quickly gained traction with leading B2B companies because it aligns sales and marketing teams around the accounts that will have the most business impact. Instead of chasing a large volume of lower-quality, generic leads, ABM helps sales and marketing professionals coordinate their efforts against a specific set of target accounts. Despite the clear advantages of ABM, there continues to be much confusion around just how to implement it. Written by the leaders behind the successful marketing firm Demandbase, Account-Based Marketing explains how to execute a world-class ABM strategy from start to finish. * Find out exactly how highly successful B2B companies are using Account-Based Marketing to grow their customer base * Develop an effective strategy to adapt ABM principles for your own organization with its own unique needs * Integrate your sales and marketing processes into an efficient, cohesive workflow * Locate and attract the ideal clients for your business to increase revenue and open up new opportunities From building the right target account list and understanding the impact of ABM on marketing programs, to selling ABM within an organization and finding budget for the strategy, you'll find it all in this authoritative guide.
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Seitenzahl: 298
Veröffentlichungsjahr: 2019
Chris Golec
Peter Isaacson
Jessica Fewless
Cover image: © George Rudy / Shutterstock
Cover design: Wiley
Copyright © 2019 by © Demandbase, Inc.
Published by John Wiley & Sons, Inc., Hoboken, New Jersey.
Published simultaneously in Canada.
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ISBN 978-1-119-57200-8 (hardcover)
ISBN 978-1-119-57204-6 (ePDF)
ISBN 978-1-119-57202-2 (ePub)
Cover
1 The Sweet Spot:
Is This Book for You?
What Would a World-Class Marketing Strategy Include?
Pushback
Key Gains of an ABM Strategy
Notes
2 Building Blocks:
Organizational Benefits of ABM
One Size Never Fits All
Data Is at the Core of an ABM Strategy
The Six Areas of Focus for ABM
ABM Maturity Model
Key Transformations of an ABM Strategy
3 Getting Buy-In:
What 1878 Can Teach Us
Getting ABM Off the Ground
Next Step: Alignment
Everyone Will Get to Flex Some New Muscles
Your New Compass Heading
Notes
4 Your Target Account List:
Beginning the List Process
Secure Provisional Agreement
Update Your List Regularly
Begin to Embed the List in Your Systems
Segmenting Your Target Account List
Set Your Goals
Expanding Your Target Account List
Customers, Partners, and Your Target Account List
The 30-60-90-Day Plan
5 Attracting Your Target Accounts:
Marketing Automation Systems
Account-Based Advertising
Case Study: Progress
What About Retargeting?
Field Marketing
Getting Social
Your Event Strategy
Webinars
Content Marketing
Defining Your Initial ABM Attraction Strategy
Notes
6 Boosting Engagement:
The Net and the Dart
Personalize the Message
Seven Steps to Phasing in Website Personalization
Notes
7 Converting and Closing:
Signals and the Buying Journey
Heat Maps Deliver Insights
On-Page Signals to Watch for
The Great Gate Debate
Ways to Increase the Likelihood of a Conversion
Best Practices for Webinar Conversions
Lowering the CTA Bar
Case Study: Iron Mountain
Closing Accounts
Note
8 Measuring What Matters:
Attribution
Three Levels of Measurement
Establishing Goals and Incentives
Reporting Your Results
Notes
9 Scaling Your ABM Efforts:
Six Questions to Ask Yourself
Your ABM Playbook Is Crucial
Five Ways to Find the Budget for ABM
Orchestration
Note
10 Enhancing ABM with Technology:
Identify Current Gaps
The ABM Tech Stack
Infrastructure Technologies
Account Selection Technologies
Engagement Technologies
Sales-Enablement Technologies
Measurement Technologies
Four Considerations to Keep in Mind
Take It Step by Step
Notes
11 Guiding ABM Ever Higher:
The Top Eight Signs that Your ABM Strategy Might Be in Trouble
Two Interesting Questions
CA Technologies Case Study
What’s on the Horizon for ABM
Acknowledgments
Index
End User License Agreement
Cover
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E1
Why Now Is a Better Time to Try ABM Instead of Five Years Ago or Five Years from Now
Crystal balls are silly, right? We all know that it’s impossible to predict the future. Take the stock market for example: if someone could predict its movements, that person could retire in a day and be a billionaire in a month. It’s also impossible to predict other short-term events like who will win the Super Bowl, or be next year’s pop music sensation.
Even so, accurate crystal balls do exist—if you know how to look at the right things. For example, demographics are highly predictable: we can confidently forecast the median age of a country’s population even 10 or 20 years from now.
Another clear trend: one by one, industries are being transformed by technology. Some industries benefit sooner than others. Technology has allowed the 140-year-old telephone to become infinitely more useful as a smartphone. Farming has gone from the iron plow to GPS-mapped fields that get precise amounts of fertilizers every few feet in order to maximize crop yields.
This book is about another trend we can confidently predict: it’s the turn of business-to-business (B2B) marketing and sales to benefit from the technology revolution. We are at the early stages of an astonishing transformation in B2B marketing, made possible by data science, and aided by cheaper computing power and storage, as we’ll discuss later. Companies that recognize these elements coming together will be positioned to lead their industries in reputation, relationships, and revenue. Their competitors who are late to the party will wonder what happened.
Just as recognizing trends too late can mean that all you get are the crumbs, it’s also possible to adopt technology too early: the first attempts at applying technology can be buggy, time consuming, and frustrating. It can be enough to put you off the whole idea unless you’re willing at first to take one step back for every two steps forward.
This book is also about how right now, we’re at the sweet spot where mature technology meets B2B marketing: we’re far enough along that the technology has been tested, refined, and proven. Yet we’re early enough in the revolution that most industries have not yet been dominated by companies that recognize the sweet spot, act on it, and have become the leaders. That’s the opportunity before you right now.
To be more specific, the opportunity relates to Account-Based Marketing, or ABM. In the pages to come we’ll become intimately familiar with the workings of ABM, but for now let’s use this definition:
Account-Based Marketing enables marketers to identify and target the accounts they value most. Accounts can be segmented in many ways, like prospect or customer. That’s not new. What’s new is this: among other capabilities, ABM allows you to personalize the marketing experience to your target accounts
before they ever identify themselves to you.
And you can scale it to 30, 300, or 3,000 accounts to support your business objectives.
“In your dreams,” you say? “Pie in the sky,” you say? No. ABM is a tested and proven approach that gives you insights into what your prospects are thinking and doing. In a sales environment in which business is won or lost on slim margins, ABM enables you to enjoy a substantial advantage over your competitors who are likely doing business the way their parents and grandparents did it.
At this point, you may be asking yourself a reasonable question: “Chris, Peter, and Jessica wrote this book, they work at Demandbase, and they offer ABM-related solutions. Is this book going to be one long sales pitch for their stuff?”
Relax. There are a lot of great ABM technologies out there today, with more on the way. That’s what makes ABM such a vibrant category. But this book does not focus on any single vendor or any single technology. We intend to answer the following questions:
What exactly is ABM, and how is it different from the way marketing was done in the past?
What companies are right for ABM and what ones are not? (Because nothing is right for everyone.)
How can I determine if ABM will work in my company? (It needs to be done in such a way that you don’t spend a ton of time and money before you know the answer.)
What are best practices and also pitfalls to avoid so as to maximize the contribution of ABM to our bottom line?
Our guess is that you’ve been around the block a few times when it comes to witnessing fads that come and go in business. You have a healthy skepticism about something you’re told has the potential to make a big difference in your revenues. It’s not that you’re cynical that nothing will work—you just need proof and details before taking the next step.
Our further guess is that you’re in the marketing department of a B2B business, given that the book title is about account-based marketing, and not selling directly to consumers. If you happen to be in sales, you will also get a great deal from this book: you’ll love how we advocate a different approach for marketing, getting away from delivering volumes of leads that you have no interest in pursuing, to working with you to generate interest from the accounts you actually care about.
If we’re even partly right about your situation, then you’re in for a treat: we will show you a smarter way to attract and persuade the customers you most want to close and win.
Now let’s look at why ABM is such a fundamental improvement on the inefficiencies that make up much of traditional marketing.
“We’ve proven that ABM is a successful part of what we do in marketing. Without ABM we’d be struggling to achieve our KPIs. So ABM is kind of a hero.”
—Head of Account-Based and Deal-Based Marketing, EMEIA Fujitsu
In his book, The 7 Habits of Highly Effective People, Stephen Covey calls one of those habits “Begin with the end in mind.”1 Let’s consider that approach and try to answer the following question: “If we were designing a zero-waste, world-class marketing system, what would it look like?” Here’s our take on how we would define the characteristics of such a system—and the degree to which ABM meets those characteristics:
You don’t waste efforts on people who are not available or qualified to buy what you have to offer.
Some leads may be qualified but currently locked into multiyear contracts. Then again, someone may be typing in the keywords you’re targeting and paying for in your pay-per-click campaign, and this person is merely writing a research paper in college. Either way, you would save time and money if you could filter out such leads.
ABM allows you to do just that. Sure, anybody can come to your website or stroll up to your booth at an event. Some of those visitors may even end up buying from you. But in terms of your outbound efforts, ABM focuses your resources on your target accounts.
Down the road after you implement both ABM strategy and technology, you will be able to detect the earliest stages when qualified and available prospects are not just surfing, but are in the market for a solution.
Imagine how great it would be to engage with prospects at just the right time in the buying journey: they’re not merely casually browsing, but seem to be on the hunt for solutions. At the same time, you want to be able to know when they’re not so far along that their minds are made up.
As you’ll see later in this book, technology deployed to support an ABM strategy gives you the ability to gauge where your target accounts are in their buying journey, and what it is that they’re focused on buying. This allows you not to waste messages that are mismatched with the mindset of those target accounts.
You will be able to deliver a personalized message to target accounts, even before they ever fill out a form on your site and give you any personal details.
For years the best you could hope for on your site was to get people to fill out your form in exchange for a white paper, webinar, or other piece of content. That can work okay except for the people who’ve been burned by filling out a form, because they were hounded afterward. They will not complete the form, or they’ll use bogus details and a throwaway email address.
With ABM, you can not only serve up a page that’s customized to target accounts when they visit your site, but you have the luxury of deciding the extent of that personalization. Highly relevant messages served with pinpoint accuracy enable you to avoid a lot of generalized, semi-effective messaging.
Marketing and Sales are in sync so that Marketing delivers the kind of leads that Sales wants.
Have you ever delivered leads to Sales, only to find out that they didn’t follow through on them? Yeah, we know the feeling. What if we told you that a world does exist in which the kind of leads you deliver are just the kind that Sales wants?
When an ABM strategy is working properly, that’s precisely what happens. We said, “Working properly” because sometimes people think they’re following ABM when in fact they’re misapplying it or only partly applying it. We’ll get into this in much more detail later. We’ll also give you many real-world cases of ABM facilitating Marketing and Sales to work together and not at cross-purposes.
Marketing’s budget is calibrated so that as leads get closer to becoming revenue, more dollars are spent on them.
It’s always been the case that a few choice prospects would merit the expense of VIP or exec experiences. However, it’s also been the case that enormous amounts of budget gets spent on spray-and-pray activities, in the hope that the more that leads of any kind get loaded into the hopper up top, the more will trickle down to closed-won status. Talk about waste.
With ABM it’s possible to synchronize expenses so that as target accounts progress through the pipeline, they get progressively more attention and resources. It’s certainly how they want to be treated, and it’s possible to do so without increasing your budget. In fact, we’ll explain how your expenses might even drop while simultaneously enhancing the experience of those on your target account list.
You and we are in the marketing profession, and we know that some of the best customers are the ones who start off with lots of questions. They want to believe what you’re telling them, but they first need to square it with their understanding of how things actually work.
At this early stage in the book, we expect that you have plenty of questions about ABM and how it may or may not apply to your situation. Throughout the book we’ll address the likely questions that relate to whichever aspect we’re discussing at the moment. For now, let’s address a few things that might be on your mind from the get-go:
“What’s actually new here? Target marketing has been around for ages.” This is where labels can sometimes get in the way. Computers have been around for many decades, but early computers only have a vague resemblance to current ones.
The general concept of ABM has been around for about 20 years. Initially it went by the names of Strategic Account Marketing or Target Account Marketing to match the Target Account Selling approach used by many sales teams.
For many years, and in fact decades, it was common for organizations to focus on a relatively small number of named accounts. Marketing initiatives like customer dinners, executive briefings, or even one-off webinars were high-touch and personalized. They took a lot of time and individual attention to be effective, and were therefore not very scalable. Most companies could afford this level of attention for a handful of accounts, and the biggest companies might have had the resources to extend this high-touch approach to at most a very few dozen accounts.
By around the year 2000, we started to see two major improvements, in the form of marketing automation systems (MAS) and customer relationship management (CRM) systems. At last, digital marketing systems had gone beyond spreadsheets and word processing tools, and began to be useful for large marketing organizations.
The limitation was that these systems were focused on email, which is a fine communication channel but very quickly became loaded with spam. This was the golden age of spam, when everyone had an email address, but companies like Google were years away from developing effective spam filters. As a reaction to all this spam, response rates dropped.
These systems had two other limitations: they focused only on individuals, and they were reactive. They required the capture of contact information at an event or through a web form before you could market to that individual.
ABM grew out of the realization by a few marketers that the account was the missing link between Marketing and Sales. If those teams could align around accounts and revenue, then they both would be pulling in the same direction.
Chris (Demandbase founder) has been in B2B sales and marketing his whole career, starting at DuPont and then at GE. He held a number of marketing and technical sales roles. For example, for one job, he managed 25 accounts in a region. The job was not to get new customers in, as much as to maintain this base of customers—who brought in $25 million annually—by owning those relationships. For years, he did account-based marketing and account-based selling, but it was all analog.
Chris then co-founded a company to help large businesses identify and manage their worldwide supplier base. They sold into companies like Apple, GE, and Dell. He was running marketing and was surprised at the lack of tools and functionality.
The company got acquired and Chris then got into consulting, helping small businesses study their revenue plan and reverse-engineer what had to happen in marketing to hit that revenue plan. He would be asked by VCs to analyze their portfolio companies and often had to report: “Your companies are missing their revenue goals even before the sales team starts selling. That’s because they’re getting all these leads from companies that will never buy.”
Over these various jobs, Chris realized that the suitable account is the missing link between sales and marketing. Take pay-per-click ads, for example. If you have 100 leads, maybe only four will be worth anything because the rest are the wrong industry, wrong size, or wrong person coming to the site.
Marketing tools traditionally focused on B2C: the tools were about age, gender, and income. In B2B, it’s about industry and revenue instead. Chris set out to change that tool situation when he started Demandbase. The focus became how to use technology to enable ABM to be scalable.
Chris likes to say: “All marketing is better when you know whom you’re talking to.”
Technology eventually reached a point at which it could support and expand the ABM focus on high-value accounts. To put things in perspective, in 1967 it cost around one million dollars to store one megabyte of data.2 These days, some companies will give you a million times more data storage—one terabyte—just for free, for using their cloud applications.3
Technology has enabled the originally manual process of ABM to be scaled and optimized. In addition to inexpensive storage, ABM is further enhanced by massive computing power, the relatively new field of data science, and more sophisticated website-personalization tools. It has only been when these technologies matured and were combined that ABM at scale became possible. Figure 1.1 shows a summary of how ABM has evolved.
Figure 1.1ABM has been around, but ABM at scale is a more recent development
“So what then are these new capabilities that were previously impossible?” First, they enable you to get beyond individuals and look at entire accounts, which is what’s needed in the B2B world. As consumers, we usually make decisions on our own or perhaps after consulting one or two others. In the B2B world, the average decision-making group includes more than six buyers4. ABM allows you to get a good idea of how many people from a given target account are researching a topic.
Second, ABM allows you to discover and identify accounts that are showing buying signals and real intent in your products and services—before they ever raise their hand and provide contact information on your site.
Third, ABM provides your sales team with insights and information they need on the target accounts and decision makers, so they can close deals faster. Harvey Mackay is a bestselling author and founder of Mackay Envelope. He developed what was known as the Mackay 66: it was 66 different pieces of information on key decision makers in B2B accounts. He required that no salesperson could return from the field without collecting at least one new piece of information.5 That was many years ago. Now some ABM systems collect as many as 200 billion data points per month on accounts and people. They provide the background and context that your salespeople can use to maximize rapport, engagement, and sales.
Fourth, ABM allows you to deliver a personalized, relevant experience on your website to visitors from these accounts. After all, if you sell direct-current motors and turbine engines and you know that Acme Industries uses devices that could incorporate only your turbines, it makes no sense to show your direct-current motors to visitors from Acme. What’s cool is you can deliver these tailored experiences in real time.
The fifth capability is huge: ABM allows you to do all of this at scale. You can target hundreds or even thousands of qualified accounts, and each one can be the recipient of carefully tailored information that matches where the account is in the buyer’s journey.
Important note: ABM is not an app or service the way a CRM tool is. ABM uses technology, but it is ultimately a strategy. That’s why you cannot just buy yourself “an ABM” and plug it in at your company. You need to build the strategy, align groups within your company, set up certain communications and reporting systems, and then integrate the technology into it. There will be much more on this later.
“Given the level of personalization you describe, ABM must cost a fortune to implement.” As we discuss in detail in the next chapter, ABM requires that you and Sales co-create a target account list. Because these are the accounts that are the most qualified and most able to deliver the revenue you seek, your efforts become focused on a smaller number of accounts compared to the old way of doing business. As a result, it’s often possible to keep overall marketing expenses at or even below pre-ABM levels.
As we’ll also discuss later, ABM can play a major role in keeping your customers happy over the long term. This can result in reduced churn, lower ongoing expenses, and longer lifetime values.
“We are interested in improving our B2B effectiveness, but how do I know that this methodology will work in our business? You don’t. (We told you this was going to be a no-BS book.)
ABM is not suitable for every company on the planet, just as no solution works for everyone. That’s why we will spend a lot of time in the coming pages to explain how you can run a small pilot program in your company—before you ever buy any technology from us or anyone else—so you can see if ABM works in your situation.
At the end of the day, that’s the only valid response to this valid question, right? Because if someone tells you, “Yeah, we don’t know your exact business but this is perfect for your business” you know that’s nonsense.
We talked earlier about how until recently, technology had not advanced to the point that would allow companies to use an ABM strategy at scale. We also talked about how ABM is not merely a tool, but instead a strategy that uses technology, alignment of goals and compensation, and a high degree of communication, among other practices, in order to work at maximum effectiveness.
What can an organization look forward to once it has these elements in place and working? You can expect some remarkable things.
First, you’ll see an end to the conflicts and disconnects that have historically existed between Marketing and Sales. That conflict has traditionally been rooted in a disconnect between the focus of those units. Marketing typically focused on individuals and Sales usually focused on accounts. Sure, there may have been exceptions and times when Marketing and Sales were in sync, but for the most part, these different areas of focus led to frustration for both groups.
ABM has the potential—and a proven record in many companies—to also shift Marketing’s focus to accounts, much to the relief of Sales. And it doesn’t stop there: as we’ll see in a later chapter, the focus becomes centered on specific target accounts. This way everyone’s energies and resources are focused on the same targets, and that results in closing deals more quickly.
Second—and this is a big one—your organization will ultimately be able to focus on the quality of leads and not merely on the quantity. This is where the “strategy” part comes in, because this mindset shift will be a challenge for some at first. Traditionally, companies have for the most part focused on quantity—pouring leads into the top of the funnel in the hope that a few would eventually work their way down to closed–won business.
Think about how painful this process has been for all parties: Marketing needed to work triple time to fill up that funnel because close rates have historically been a fraction of a percent. Sales then had to attempt somehow to sift and sort all of those leads, knowing full well that most would never amount to anything. Both parties needed to play the quantity game because it felt like it was the only game in town. From all the B2B companies we talk to, we find that anywhere between 50 to 75 percent of leads—depending on program type and corporate culture—never get followed up. We suspect that this may not come as a total surprise to you.
The game-changer is ABM. When you have key performance indicators (KPIs) and compensation in line with lead quality—we’ll show you how to do this later—then Marketing can focus on bringing in high-quality leads that are more likely to buy from you. That, in turn, allows Sales to focus more on those very same leads from the accounts they care about. They have more time to focus on them now that they’re not chasing as many dead ends.
The third benefit is that your organization will increase efficiency and move closer to that zero-waste strategy we talked about earlier. Once you have your target account list agreed upon, you can focus your resources where they will do the most good. For example, instead of generating five lower-quality leads at five different companies, you will be able to generate, say, three leads from the decision makers in one of your target companies. Now you’ll be in a position to influence the buying decision more effectively in that company.
Once you have a defined set of target accounts, coupled with the ABM platform, your programs can become focused on proactively delivering your message to those accounts instead of hoping that they come to your site and fill out a form. You’ll be able to use sophisticated buyer-intent methods to engage them with the appropriate message for the stage they’re in, and move them along the buyer’s journey.
Marketing and Sales will be doing all of this with more company intelligence than you’ve had before, again thanks to the ABM platform. You’ll know more about these accounts in your own meetings and when going into meetings with those accounts. This added intelligence will enable Sales to prioritize these leads even more effectively so as to maximize the chances of converting the leads into opportunities and eventually into revenue.
It can be scary and downright unproductive when it’s necessary to make a complete break with how things have been done in the past, whether it’s a new corporate software system or other major change. Fortunately, no such chasm needs to be crossed when you move along on your ABM journey.
When we work with companies around the world, we explain that it’s possible to ease your way into an ABM strategy by taking it in three phases.
Phase 1: New lens.
