Account-based marketing (ABM) has emerged as a go-to marketing strategy for B2B businesses. It goes beyond irrelevant and intrusive tactics and takes a more relevant and personalized approach to targeting potential customers. Besides adding value to buying experiences, ABM builds trust, credibility, and marketing efficiency for businesses.
According to statistics, 70% of marketers reported using ABM in 2021, up 15% from 2020. The numbers have probably grown since then, considering the extensive benefits of this marketing strategy. However, some marketers feel frustrated as they miss out on the expected results from ABM despite their best efforts. The worst part is that they fail to realize where they are going wrong.
Knowing the potential pitfalls of account-based marketing can give you a head start by enabling you to avoid them. Here are some signs that your strategy is not on the right track:
Sign #1: Your Sales And Marketing Goals Are Misaligned
A HubSpot report notes that 22.1% of salespeople state that the alignment between sales and marketing helped them close more deals in 2022. It means misalignment between them does just the opposite. Your ABM strategy can go wrong if both teams do not follow the same goals. Sales leaders think marketers aren’t doing enough, while the latter have no way to gauge the success of their efforts.
Account-based marketing thrives on close collaboration between marketing and sales. A lack of alignment between them means a business may target the wrong accounts or send mixed messages to potential clients.
RevOptica highlights that a rift between the teams is imperative when marketers focus on leads at the top of the funnel while sales teams concentrate on accounts and buying centers. Aligning both results in a smooth buyer journey that translates into more sales for a business.
Sign #2: You Are Targeting The Wrong Accounts
Selecting the wrong target accounts is the worst blunder marketers make when implementing an account-based marketing strategy. Imagine trying to sell your product to a business leader who doesn’t even need it. You cannot expect them to fall for your tactics, no matter how hard you try. These aren’t the conventional B2C customers ready to buy on impulse.
Targeting the wrong accounts can burn your budget and time. You should thoroughly research your targets before investing marketing dollars in an ABM campaign. Ensure they make an ideal fit for your solutions. Also, dig deep to build a client persona, understanding their demographics, pain points, and expectations.
Sign #3: You Are Focusing On Volume
Another sign that your ABM campaign is on the wrong track is that you are still focusing on volume. Account-based marketers often mess up their campaigns by finding a mass of industry-based contacts and blasting out a cookie-cutter message to everyone.
Do you expect to impress business decision-makers with canned communication? Of course, the strategy will fail miserably, even if you try it. Statistics show that 56% of marketers consider content personalization a cornerstone of successful ABM.
You need a more granular approach with deeper personalization. Rather than focusing on the volume of accounts, you should prioritize the quality of the relationship with potential customers. A targeted approach is more likely to deliver results with this strategy.
Sign #4: You Are Experiencing Low Engagement And Response Rates
Account-based marketing has a good reputation for increasing B2B engagement and response rates. Your strategy may be wrong if you are experiencing neither of these despite the best efforts. If your targeted accounts are not engaging with or responding to your emails, content, and outreach efforts, you should rethink your ABM plan.
There could be several causes for your strategy failing to resonate with the target accounts. For example, you may be targeting the wrong audience, or your messaging does not align with their needs. A few minor tweaks in your strategy can get it back on track.
Sign #5: Your ROI Is Stagnant Or Declining
Marketers believe that the ROI of account-based marketing is higher than other strategies. According to statistics, companies aligning their sales and marketing teams with an ABM initiative generate 208% more revenue.
However, if your ROI seems to be stagnant or decreasing, something is surely amiss with your strategy. Your resources might not be allocated in the right direction or your approach likely needs refinement if you fail to get the expected ROI.
The Bottom Line
Account-based marketing is a powerful approach for B2B businesses looking to interact with business leaders and decision-makers. Since these high-value clients are different from regular B2C buyers, targeting them requires a well-planned strategic mindset.
ABM is the ideal solution, provided you steer clear of these mistakes and target your clients with the right set of tactics.