Effective Ways of Funding Your ABM Strategy

Funding Your ABM Strategy
ABM is B2B marketing with a higher ROI. It involves going after fewer accounts with a more personalized approach. So, account selection is vital. No matter the budget, if you fumble the ball in the account selection process, your campaign is bound to fail. Guesswork is not an option. You need to stringently research your ideal accounts based on your ICP (ideal customer profile).

In an interview with Media 7, Maliha Aqeel, Director of Global Communications at Fix Network World, talked about the common mistakes companies make while implementing brand strategy. Not budgeting your ABM strategy correctly may be one of them.

"One of the most common mistakes companies make is implementing a brand strategy that isn’t aligned to the organization’s overall business goal."

Businesses that want to transition into ABM are often confused and have several questions about ABM implementation. One of the most important questions they have is about budgeting.

According to a 2016 report by SiriusDecisions, 33% of companies allocated at least 30% of their marketing budgets to ABM. In 2017 that number increased up to 52% — a 57% year over year increase. Their 2019 State of Account-Based Marketing Study showed that the average ABM budget is around $350,000 excluding head count costs.
Going by these statistics, how much should you invest in your ABM strategy? It is common to finalize a strategy way in advance. Allocating budgets to a certain strategy and then deciding to execute ABM can be a pain.

Before deciding on your ABM budget and streamlining your ABM funding strategy, consider the following factors:

Factors to Consider for ABM Funding

Know Your Target Accounts

Business size, decision-makers, departments, positions, interests, demographics, get all the information you can on your target accounts. Make sure you are investing your money in the right target accounts. The bigger your target account, the more stakeholders, and departments there are to manage. This may considerably increase the cost and complexity of your campaign.

Your Advertising Budget

Zero in on the platforms you want to use to engage your target audience. Once you do this, you will get an idea of how much you need to spend to reach your audience on these platforms and get maximum engagement.
Additional marketing techniques like seminars, webinars, conferences, and other events should also be considered in your ABM funding.

Brand Awareness

Gather information on how well your target accounts know your brand. If they already know your brand, then you are saving time and money on creating a new relationship from scratch. However, if your brand does not have a good reputation or reach, creating new leads requires more resources than creating new opportunities.

Your Product’s Complexity

If your product or service complexity is high, you need to work harder to explain its advantages and benefits to convince the stakeholders of your target accounts. This effort is directly proportional to the amount of money you need to spend.

Your Customer’s Needs

The customer’s need for your product or service defines how much you need to spend on advertising. If there is no urgency or if there are many similar solutions that they have used in the past, it becomes difficult to convince them to use your product or service. In short, if they don’t need your product, you need to spend a better part of your budget on impressing them.

Your Competition

The more competitors you have, the more aggressive your campaign needs to be. An aggressive campaign will need a bigger budget. It gets trickier if your competitors already have an established relationship with your target account.
However, if you have the target account’s CLV (customer lifetime value) figured out, you can easily determine how much you need to spend on pursuing a particular account.

Technology Integration

To deliver hyper personalized account-based experiences, you need to find suitable technological platforms to launch your ABM strategy. Platforms like ABM Unified Workforce are an ideal start because of their unified approach to strategy implementation. Consider allocating a part of your budget to technology integrations so you remain up-to-speed with modern implementations like marketing automation. It will also help you optimize your campaign results.

ABM Partners

You need knowledge, human resources, and technology to launch and successfully run account-based marketing campaigns. Alternatively, you can also hire new staff or train the people you already have. Partnering with an ABM agency is also a great option. It not only saves you the time and effort of finding the right marketers, but it also delivers the results and metrics you expect. There are many service providers in the market who can help you kick-start your ABM campaign.

Funding Your ABM Strategy

Now that you know the factors that should be considered for your ABM funding, let us look at some tips to enhance your budgeting.
  • Identify Target Account CLV
In ABM, less is more, so identify target accounts based on their CLV. It may require three or more years for your ABM campaign to show results, so make sure you periodically assess your target account’s CLV before making big investments.
  • Harness Technology
Tie your technology budget with sales. Support your goals and streamline your processes by using martech. Collaborating with specialized agencies that have talent and technology can uplift your ABM campaign. Not only do agencies quickly launch your campaign, but they also save you the trouble of recruiting new staff. However, make sure you engage a trustworthy agency with the best technology offerings and expertise.
  • Get Approval and Support from Stakeholders
Get your stakeholders on your side by justifying your budget with a list of target accounts and their projected value. If you are planning to implement ABM, then you should already have a preliminary version of your ABM funding proposal ready.
  • Measure Your Performance
Use relationships, reputation, and revenue, the three crucial R’s to measure your performance. These should be your benchmarks and should be assessed periodically.

Conclusion

ABM funding takes effort and time but doing it diligently can bring an increase in ROI, brand awareness, revenue, and confidence in ABM.

FAQ

What is the first step in your ABM funding strategy?

The first step in your ABM funding strategy is to know your target accounts through stringent research.

What are the three important Rs for measuring ABM performance?

The three important Rs for measuring ABM’s performance are relationship, reputation, and revenue.

Spotlight

THUNDER FACTORY

Thunder Factory helps companies of all sizes and types to conceive, create and successfully market category-leading products, services and solutions. Our highly experienced strategists, product experts and performance-driven marketers empower clients to drive outsized results…from strategy to execution.We are passionate about creating true win-win partnerships that enable clients to build dominant brands that go the distance.

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Account-Based Marketing has been one of the most preferred B2B strategies for marketers. More than 90% of marketers believe that ABM is essential for the alignment of sales and marketing teams. ABM is all about fostering a better relationship with your target accounts. And especially in this digital transformation era, it’s evident that people aren’t buying products but experiences. As per a recent PwC survey, “73% of consumers cite customer experience as an important factor in their purchasing decisions”. This shift in consumer behavior is what B2B companies/marketers should take note of. Also, ITSMA reports that of the companies that adopted ABM in the past two years, 55% are seeing a significantly higher ROI than with traditional marketing.

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Thunder Factory helps companies of all sizes and types to conceive, create and successfully market category-leading products, services and solutions. Our highly experienced strategists, product experts and performance-driven marketers empower clients to drive outsized results…from strategy to execution.We are passionate about creating true win-win partnerships that enable clients to build dominant brands that go the distance.

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About 6sense 6sense is on a mission to revolutionize the way B2B organizations create revenue by predicting customers most likely to buy and recommending the best course of action to engage anonymous buying teams. 6sense Revenue AI is the only sales and marketing platform to unlock the ability to create, manage and convert high-quality pipeline to revenue. Customers report 2X increases in average contract value, 4X increases in win rate and a 20-40% reduction in time to close deals. Know everything. Do anything, with 6sense.

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Anteriad has been presented with 2023 Stratus award for cloud computing, recognizing innovation in cloud technology. Anteriad's cutting-edge Anteriad marketing cloud solution propels it to stratus award win. Industry-leading data empowers b2b marketers: Anteriad's precision and global reach applauded. Business Intelligence group acknowledges Anteriad's role in advancing cloud infrastructure. Anteriad's AI-driven marketing technology puts b2b marketers at the forefront of innovation. Anteriad has been honored with the prestigious 2023 Stratus Award for Cloud Computing by The Business Intelligence Group as a testament to its innovative approach to harnessing cloud technologies. This annual business award program recognizes organizations, products, and individuals that excel in delivering distinctive solutions that leverage the power of cloud computing. Anteriad's exceptional achievement stems from its cutting-edge Anteriad Marketing Cloud solution, tailored to meet the dynamic needs of B2B Marketers. This accolade underscores Anteriad's commitment to advancing cloud-based solutions and highlights its pivotal role in driving innovation within the industry. Anteriad empowers the B2B sector with industry-leading data characterized by purpose-built, highly trusted, compliant, campaign-ready attributes and global reach. This unparalleled offering provides B2B marketing leaders with unmatched depth and scale, coupled with hyper granularity, ensuring precision and effectiveness in their campaigns. Maria Jimenez, Chief Nominations Officer of Business Intelligence Group, mentioned, Anteriad is one of the leaders in the cloud, helping to develop the infrastructure we need to store and host the data and applications driving our society. We are so proud to recognize all of the winners in this year’s award program. [Source – GlobeNewswire] Ken Lordy, Chief Product Officer at Anteriad, expressed their excitement at winning a Stratus Award for Cloud Computing for their Anteriad Marketing Cloud solution. He highlighted how their fusion of extensive, high-quality data and AI-driven marketing technology positions their B2B marketing clientele at the forefront. Lordy emphasized that Anteriad's technology capabilities, shaped by the demands of contemporary B2B marketers, form the bedrock of their global offerings. Anteriad Marketing Cloud's robust solution empowers customers with exclusive, pertinent B2B data and invaluable insights into their target prospects. A pathway to remarkable enhancements in lead quality, precise identification and expansion of buying groups, amplified pipeline performance, and, most significantly, the cultivation of new business opportunities. Additionally, Anteriad's extensive, diverse, and deeply sourced intent data has proven instrumental in the success of campaigns spanning email marketing, demand generation, and programmatic channels.

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Being named a Leader for the third year in a row fuels our drive to keep raising the bar. 6sense leaders believe notable product launches this year contributed to the company’s ability to remain a Leader and strengthen its ability to deliver significant value for both marketing and sales teams, including 6sense Revenue AI for Sales and Conversational Email's AI Writer. The company's dedication to product innovation and customer-driven roadmaps solidifies its standing as the premier Revenue AI platform for go-to-market teams. “Over the past decade, 6sense has been at the forefront of the data and AI revolution, and we're proud to have played a pivotal role in helping our customers drive revenue growth with efficiency,” said Viral Bajaria, CTO and co-founder of 6sense. “Our unwavering commitment to uniting data and AI has empowered businesses to make smarter, data-driven decisions and achieve remarkable results. We look forward to continuing to lead the way in this space, delivering cutting-edge solutions that enable our customers to stay ahead of the curve and maximize their success.” “6sense has more than a decade of experience offering AI-backed solutions, including generative AI, to support our customer’s go-to-market success. Our AI solutions not only provide a multitude of possibilities for revenue strategy but also enhance long-term success for our customers,” stated Viral Bajaria, CTO and co-founder of 6sense. “We are committed to a clear and inspiring vision, focusing on driving efficient revenue growth that is customer-driven and achieved through our utilization of superior data and proven AI innovation.” Customer Satisfaction in the Market In addition to being named a Leader in this Magic Quadrant, 6sense also holds the highest overall rating (4.6 out of 5) based on 53 reviews as of April 30, 2023 and the most 5-star reviews –on Gartner Peer Insights Voice of the Customer for Account-Based Marketing Platforms. Highlights from customers who shared their experience of using the 6sense platform in the past year include: “Best martech AI tool to empower sales and marketing team for informed decision making.” – Sales and Business Development Strategy Manager in the healthcare and biotech industry “The alignment of marketing and sales priorities, processes, and accounts provides clarity into our total revenue funnel. We've identified new opportunities, accelerated existing opportunities, and learned more about the interests of existing relationships because of 6sense.” – CMO in the IT services industry “Choose 6sense and get ready for one of the best SaaS experiences you will ever have.” – VP of Global GTM Operations in the software industry. Gartner states in the report that “Leaders demonstrate broad support for all ABM critical capabilities and consistently meet customer needs across the three core ABM use cases (acquisition, renewal, and expansion). They have high market visibility, high market penetration, strong market momentum, and a clear, long-term strategic vision and roadmap for growing their ABM platform business. Their customers report high levels of satisfaction and success with their implementations. Leaders also have initiated plans for geographic and industry expansion.” In September 2023, 6sense was honored as a Gartner Peer Insights Customers' Choice in the Voice of the Customer for Account-Based Marketing Platforms. The recognized vendors meet or exceed both the market average Overall Experience and the market average User Interest and Adoption. Additionally, 6sense was named a leader in the Cloud Ratings Category Report for ABM Software Platforms based on over 4,000 customer ratings. These accolades highlight the exceptional value and satisfaction that B2B sales and marketing professionals find in the 6sense Revenue AI platform. About 6sense 6sense is on a mission to revolutionize the way B2B organizations create revenue by predicting customers most likely to buy and recommending the best course of action to engage anonymous buying teams. 6sense Revenue AI is the only sales and marketing platform to unlock the ability to create, manage and convert high-quality pipeline to revenue. Customers report 2X increases in average contract value, 4X increases in win rate and a 20-40% reduction in time to close deals. Know everything. Do anything, with 6sense.

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