What is Account-Based Marketing (ABM)
Account-based marketing has become the most sought-after marketing strategy for B2B organizations striving to win a specific group of customers and retain current customers through increased alignment of sales and marketing. However this strategy also requires measuring metrics differently. To do so, we need a set of KPI’s that allows us to track progress from the earliest stages of awareness, all the way down to closed-won revenue.
Why Account-Based Marketing ?
Account-based marketing (ABM) is a focused growth strategy in which Marketing and Sales collaborate to create personalized buying experiences for a mutually-identified set of high-value accounts as a one-to-one approach instead of a one-to-many approach.
- Improved return on investment (ROI): Many companies have reported seeing an increase in ROI after implementing ABM. This is likely due to the highly targeted nature of ABM, which allows companies to focus their marketing efforts on a specific set of accounts rather than trying to reach a broad audience.
- Increased revenue: ABM has also been shown to drive an increase in overall revenue for many companies. This is likely due to the highly personalized nature of ABM, which can lead to more successful sales conversions.
- Higher win rate: A study by SiriusDecisions found that companies with a strong ABM strategy had a win rate of 70%, compared to just 40% for companies without an ABM strategy.
- Longer customer retention: Companies with a strong ABM strategy also tend to have a higher customer retention rate, as the personalized approach of ABM can lead to stronger customer relationships.
- Better alignment between sales and marketing: ABM involves close collaboration between the sales and marketing teams, which can help to align the two departments and improve the overall efficiency of the organization.
Statistics About Account-Based Marketing
Overall, ABM can be a powerful tool for companies looking to drive revenue and improve their marketing efforts.
Here are some interesting statistics about account-based marketing:
- According to a survey conducted by Demand Gen Report, 81% of marketers who have implemented account-based marketing (ABM) have seen an increase in return on investment.
- The same survey found that 82% of marketers who have implemented ABM have seen an increase in overall revenue.
- A study by SiriusDecisions found that companies with a strong ABM strategy achieve a higher win rate (70% vs. 40% for non-ABM companies).
- ABM is more effective at driving revenue than traditional demand generation tactics, with a higher average deal size and shorter sales cycle.
- The same study by SiriusDecisions found that companies with a strong ABM strategy had a higher customer retention rate (91% vs. 75% for non-ABM companies).
- According to a survey conducted by the ABM Leadership Alliance, 90% of B2B marketers say that ABM delivers a higher ROI than other marketing tactics.
- ABM is becoming increasingly popular, with 74% of B2B marketers saying they will increase their ABM budget in the next 12 months.
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