Looking at the growth rate of the SaaS industry, you’d think that people are more than willing to spend money on software solutions that promise to make their everyday lives (and professional endeavors) easier. Not quite, though. Despite projections forecasting the total SaaS spend to reach $171.9 billion in 2022, most buyers still prefer free solutions. […]
What is Account Based Marketing?
Account-based marketing (ABM) is a personalized approach to B2B SaaS marketing that focuses on identifying, targeting, engaging, and converting strategic or high-value accounts into paying customers of the business.
High-value target accounts are identified by the SaaS sales/marketing team with input from other stakeholders, and may be chosen for their strategic value, or because they match the selling organization’s ideal customer profile. An ABM strategy allows you to focus your sales/marketing resources on the best accounts – the ones with the highest predicted customer lifelong value (CLV/LTV) and the greatest chance of becoming your customer.
In a traditional inbound marketing campaign, marketers attempt to attract a large number of prospective customers into the top of the funnel, engage and nurture those prospects through the middle, and convert the best leads into customers at the bottom of the funnel. Top-of-funnel ads may be targeted based on demographic or behavioral data.
With an ABM approach, B2B companies identify the best and most profitable target accounts before they launch marketing activities. By narrowing down the list of potential targets, B2B companies can craft personalized content and advertisements that speak directly to each target account’s unique attributes and pain points.
After converting the prospect into a customer, B2B SaaS companies can continue the account-based strategy with personalized support and nurturance that leads to increased retention, as well as up-sell and cross-sell opportunities.