• by Ray Schultz , Columnist, December 13, 2023

B2B brands are hurling themselves into Account Based Marketing (ABM), judging by Rethinking ABM: Outperforming the Market in the World of AI, a study from Momentum ITSMA and the ABM Leadership Alliance:

Of those polled, 66% will increase their ABM budgets in 2024. Moreover 30% of the average B2B marketing budget is devoted to ABM. 

It seems to be working. Users report these improvements in their programs: 

• Active engagement with selected accounts — 85% 
• Pipeline growth — 78% 
• Sales team satisfaction — 77%
• Revenue growth — 74% 
• Brand awareness, perception, knowledge — 70% 

Most have seen some improvement in key revenue metrics. But not many are not yet enjoying a significant boost. The list includes: 

- Active engagement with selected accounts — 40%

- Sales rep/account team feedback or satisfaction — 28% 

- Pipeline growth — 27%

- Relationship development: Number of new and/or imp[roved relationships with decision makers and influencers — 21%

- Reputation: Brand awareness, perception, knowledge within selected accounts — 20% 

- Deals closed/win rate — 14%

- Account satisfaction/loyalty/advocacy — 12%

- Cross-sell/upsell — 11%

Part of the problem may be that 35% do not measure ABM ROI, while 13% don’t know if they do. Another 52% measure ROI. 

There are multiple challenges, including:

People Challenges

- Educating sales on ABM process and value 

- Aligning the wider marketing organization 

- Managing ABM-ers’ time for execution

- Not having enough people 

- Hiring ABM-ers with the right experience, skills and talent 

Organization Challenges

• Measuring program impact
• Proving ROI
• Tailoring marketing to key contacts at each account
• Getting adequate budget 
• Aligning sales and marketing on goals, metrics, and strategies 

Technology Challenges 

• Tracking attribution 
• Integrating and managing fragmented data 
• Measuring and reporting program effectiveness 
• Selecting the right martech tools
• Automating campaign execution

There are three types of ABM, often running in tandem with each other: 

• One-to-one — utilized by 68% 
• One-to-few — 75% 
• One-to-many — 61%

Of the companies surveyed, 45% are using one type only, 25% two types and 30% all three.  

Email plays a key role depending on the type of ABM: it tends to be used more for broader audiences.  

One-to-One ABM 

• Account specific (custom/bespoke content and thought leadership) 
• Microsites (dedicated client extranets) 
• Paid social media 
• Executive-to-executive relationship programs
• Small in-person events/executive seminars (their own)

One-to Few ABM 

• Paid social media 
• Microsites (dedicated client extranets) 
• SDR outreach 
• Pay-per-click (PPO/display advertising)
• Email marketing/e-newsletters (their own) 

One-to-Many 

• Paid social media 
• Pay per click (PPO/display advertising) 
• Email marketing/e-newsletters (their own) 
• Content syndication
• SDR outreach  

Are brands utilizing AI as part of this process? On a five-point scale, they list their program status as follows:

• All ABM programs — 1.9
• Small company programs (less than $100 million revenue) — 2.2 
• Large company programs $1 billion or more revenue) — 1.6 

The core principles of ABM include (and we quote):

• Strategic focus on improving business reputation, relationships, and revenue (if it’s just about leads, it’s not ABM) 
• Tight partnership and integration with sales (if there isn’t active, ongoing collaboration throughout the lifecycle, it’s not ABM) 
• Tailored and personalized programs and campaigns based on deep customer insight (if customers get the same experience and inside- out messaging, it’s not ABM) 

The analysis is based on a qualitative and quantitative study with 320 ABM heads and practitioners conducted in August 2023.