Account-based marketing (ABM) platforms promised to revolutionize B2B marketing. They reminded us that it’s all about the account and elevated that understanding from a notion to a craft. They recognized that the importance of a lead goes beyond MQLs and SQLs, and reframed it as a significant account signal for prioritization and scoring.
ABM platforms allowed marketers to look into the crystal ball of intent data to see which accounts were in the market for solutions. They unleashed digital marketing superpowers at the corporate level, allowing marketers to interact more effectively with executives and sales colleagues.
We live in the age of fantastic ABM systems, so why is there so much frustration with them? When you talk to CMOs who have been using these platforms for at least nine months, you’ll notice steam coming from their ears like a train whistle. What went wrong, and how can it be fixed?
To gain a better understanding, we’ll look at the three primary functions of an ABM platform, as well as the hidden costs and complexities that make integrating these systems difficult. We’ll also look at solutions that enable brands to disintermediate the functions of ABM platforms while achieving comparable or better results.
The primary functions of an ABM platform
- Predictive Analytics
This is the first and perhaps most important function of an ABM platform. The promise is straightforward: employ a combination of intent data (such as keyword searches, third-party signals, and industry-specific trends), CRM data, and website visitation behavior to prioritize accounts with the highest conversion rates. This approach entails utilizing machine learning models to examine thousands of data points in order to assist marketers in predicting which accounts are displaying buying signals and are ready for targeting. Doesn’t that sound great? That’s because it is.
Intent data alone is amazing and provides enormous directional advantage; but, when combined with CRM and website behavior, ABM solutions may provide a more comprehensive and accurate account prioritization process. The end result should be a finely refined list of accounts that will help sales and marketing teams focus their time and resources.
- Account-Based Programmatic Bidding
This feature enables advertisers to hyper-target digital ads to high-value accounts they’ve discovered. Unlike traditional programmatic ad buying, which casts a broad net across several audiences, account-based programmatic bidding is laser-focused, directing ads just to decision-makers or influencers within target accounts.
Granular filters such as job titles, geographic areas, and company names are used to guarantee that your messages reach only the relevant people (think buying committee) in the target accounts. This level of specificity maximizes the efficiency of marketing expenditure, ensuring that every dollar is spent engaging the right individuals at the appropriate businesses.
- Account-based measurement.
Finally, ABM platforms provide account-based measurement tools, which are designed to track and report on the effectiveness of account-based marketing. Instead of focusing on traditional measures like clicks or impressions, they look at how specific accounts interact with your content and progress through the sales funnel.
These platforms provide a full perspective of how marketing operations affect key decision-makers within a target account, whether they interact with advertising, visit your website, or download material. This makes it easier to link marketing activity to sales results, bringing clarity to the often opaque area of B2B marketing attribution.
Hidden costs of ABM platforms.
ABM platforms do more than just provide intriguing features; they enable businesses to employ ABM as a comprehensive system, rather than a one-time technique. This distinction is significant. An account-based approach benefits all B2B marketing tactics, including demand creation and brand promotion.
However, hidden fees make these platforms far more difficult to use efficiently than they look. Here are some critical challenges that diminish the value of an ABM platform and help explain why such powerful systems experience such high churn.
Interdepartmental ownership and confusion
A fundamental challenge with ABM platforms is that their efficient use necessitates the support and cooperation of several departments, such as sales and IT. This highlights the need for organizational change management. Sales teams may resist new self-service systems owing to competing priorities, but IT teams frequently have their own approaches to data integration, security, and governance.
These teams must coordinate from the start and understand how platforms operate. The marketing department can prioritize accounts based on the predictive insights given by the ABM platform. However, if sales is not involved, they may target other accounts based on personal preferences or past performance. Similarly, IT may have concerns about how data is collected and used, resulting in implementation difficulties. All of these moving pieces can easily lead to frustration and misplaced efforts across departments.
The burden of implementation
ABM platforms are frequently self-service. Marketers are expected to install, integrate, and administer the system themselves. This method is far from straightforward. Implementing an ABM platform is similar to implementing a CRM system: it involves extensive change management, employee training, and ongoing maintenance.
Given the complexities of these platforms, many businesses underestimate the time and resources required to get them up and running efficiently. Without committed project management and stakeholder interaction, the platform depletes resources before delivering transformative effects. Furthermore, because ABM systems are frequently used by numerous departments, the responsibility of implementation is unevenly distributed, resulting in situations in which no single department assumes full ownership.
The not-so-hidden high prices and extended contracts
ABM platforms are pricey. Many suppliers need lengthy minimum contracts, which frequently lock businesses into a year or more of service with six-figure yearly prices. These contracts frequently include hidden fees for extra functionality, data storage, or interfaces with other products, which can increase the cost even further.
For many organizations, particularly small and medium-sized firms, the ROI of an ABM platform makes justifying the initial investment challenging. Because these platforms require regular maintenance and optimization, the ongoing expenses of staff time and resources can be substantial.
However, we live in the era of fantastic ABM platforms for a reason. They provide an account-based approach to marketing, which is the ideal GTM for any organization selling to an account.
Disintermediating ABM platforms: Another option
Many businesses have successfully used these systems and made the necessary investments to implement an account-based approach. However, for those who cannot afford to spend in annual fees and organizational change management, there are other options for developing an account-based approach to generate faster and more efficient growth.
Agency partners
Consider collaborating with an agile and modern agency partner that specializes in ABM. Agencies bring knowledge, tools, and data partnerships to the table, eliminating the need for internal teams to maintain a complex platform. They can provide consultancy services to help your organization produce a more effective go-to-market approach, whether it’s assisting with the integration and management of an ABM platform or recreating the three duties that an ABM platform performs.
Point solutions
Instead of employing an all-in-one ABM platform, businesses can develop point solutions for each of the three key functions. Predictive analytics, for example, can be handled by specialist intent data providers, programmatic bidding by cutting-edge new ad platforms, and measurement by emerging account-based solutions. This technique enables businesses to create a more agile solution that meets their requirements.
Managed service partners.
Managed service partners offer a hybrid solution, combining the technology capabilities of an ABM platform with hands-on management and strategy. They can handle the day-to-day management of campaigns, freeing up internal teams to focus on higher-level strategy and implementation.
Agile alternatives for unlocking ABM potential
There has never been a more exciting time to be a B2B marketer. B2B CMOs are making up for lost time by pioneering new uses of data and martech to drive faster and more measurable growth. We can thank the ABM platforms for driving so much innovation over the previous five years.
However, what works for one company may not work for another. There are new ways to deliver focused, efficient, and quantifiable account-based marketing without the need of an ABM platform. Organizations can achieve account-based marketing success without the significant costs and problems associated with an ABM platform by disintermediating the “jobs to be done” with alternatives such as agency partners, point solutions, or managed service providers.
