Account-based marketing is often described as an effective way to acquire new customers. And that description is accurate. But ABM is also a powerful tool for growing relationships with existing customers you can’t afford to lose.
One reason for the growing popularity of account-based marketing is the widely-held belief that it can dramatically improve the productivity of customer acquisition activities and programs. Most of the content that’s currently being produced about ABM emphasizes its use for winning new customers. What often gets lost in this hype is that many companies can realize big benefits by using ABM with (some of) their existing customers.
The importance of existing customers hasn’t been lost on many seasoned ABM practitioners.
- Research completed this year by ITSMA and the ABM Leadership Alliance shows that in companies practicing Strategic ABM, 84% of the accounts in the Strategic ABM program are existing customers.
- Recent research by TOPO for the ABM Leadership Alliance found that 58% of study participants from large companies (more than $500 million in sales) focus their ABM efforts on existing customers. This research also found that 60% of companies just getting started with ABM put greater emphasis on existing customers.
- The specific business needs and challenges the customer is facing
- The identities, preferences, interests, and concerns of the key stakeholders who influence the relationship between the customer and your company
- How the key stakeholders currently view their relationship with your company
- The customer’s organizational structure and culture
Image courtesy of Kate Ter Haar via Flickr CC.