ABM: Beyond the Marketing Misnomer

Basic barter systems to complex, data-driven strategies.

That’s the simplified version of the evolution of marketing – from the “start” to the present day.

Direct sales and personal relationships initially drove marketing. Mass production and advertising in the 20th century shifted marketing towards a product-centric approach, emphasizing brand building and broad outreach. The digital age introduced targeted marketing, leveraging data and technology to reach specific audiences.

This brings us to account-based marketing (ABM) – identifying and engaging high-value target accounts using personalized marketing and sales efforts to drive revenue growth.

ABM started gaining traction in the early 2000s as businesses used technology to help teams engage with high-value accounts.

ABM as a strategy became more formalized and widely implemented as marketers recognized the many benefits of aligning sales and marketing efforts to focus on key accounts rather than a broader audience.

But here is the reality: ABM was never really about just marketing. It’s evolved into something more sophisticated, and the acronym has become stale and outdated.

So, what exactly is ABM today, and why should anyone outside the marketing department care?

Let’s explore.

ABM is a misnomer

ABM sounds pretty self-explanatory, right? Account. Based. Marketing.

To say ABM is all about marketing is like saying a football game is all about the quarterback. Sure, the QB is crucial — the leader and play caller — but there are 10 other players on offense (+ 11 on defense + special teams + the entire bench).

So, if ABM isn’t just marketing, what is it? And how should we be thinking about it today?

ABM encompasses the entire go-to-market (GTM) strategy — sales, operations, customer success, and anyone who touches revenue.

ABM has always been about aligning different parts of an organization to focus on the most promising accounts. The traditional view of ABM as a marketing-only function is obsolete and was never accurate to begin with.

ABM is a strategy that requires cross-departmental cooperation, leveraging technology and data to effectively target and engage with high-value accounts. But at the end of the day, it’s as simple as having your organization work as a team.

ABM has historically been tied to marketing

When the ABM concept was introduced, it was the “shiny new toy” for the marketing team. And let’s be honest, marketers — we love a new tool.

However, B2B marketing teams and technology were built “incorrectly.”

Marketing started as B2C. The B2B marketing world incorrectly copied the structure and technology of B2C by continuing to focus on people, even though their sellers focused on accounts.

For years, B2B marketers have thought about growing their pipeline through individual people vs. moving accounts down the funnel.

ABM is the “course correction” for B2B marketing. After years of speaking a foreign language in their organization, Marketing is now emphasizing the importance of engaging the right accounts and the people within them.

But, in an attempt to differentiate and add value, ABM became surrounded by jargon, high-spend programs, and a lot of fluff that made it seem more complicated than it was.

ABM is basic, and that’s OK

In order for something to be effective, it does not need to be complicated. Some of the best food you’ll ever eat in life is from mastering simplicity. ABM is no different, there is no need to over-engineer or spend as much as you would on a Michelin star dish. ABM is simplistic, and that’s why it works.

Case in point: TreviPay, a global B2B payment and invoicing provider, encountered hurdles in its transition to a hyper-growth phase. Initially, TreviPay’s marketing efforts were scattered as they struggled to align marketing and sales teams and identify the right targets effectively.

The result: a lack of cohesive strategy and difficulty in identifying high-value accounts, which slowed growth momentum.

Enter Demandbase. When TreviPay sought an ABM provider, they meticulously evaluated several options. Senior Director of Marketing, Tara Depaepe, emphasized the unmatched technology behind Demandbase’s intent data, declaring it the “clear winner” for their needs.

By choosing Demandbase, TreviPay transformed its approach:

• Enhanced Marketing and Sales Alignment: TreviPay achieved over a 600% increase in meetings from targeted accounts. This success came from expanding the value of their ABM program beyond just marketing, integrating it across sales, account management, and other customer-centric teams.
• Revolutionized Target Identification: TreviPay shifted from traditional account picking to leveraging Demandbase’s intent signals. This allowed them to build dynamic target lists that accurately reflected market needs and active interest in TreviPay’s offerings.
• Adaptability to Market Changes: With Demandbase, TreviPay frequently updated their intent keywords, ensuring their strategies remained relevant as they navigated different industry intersections.

Without Demandbase, as Tara candidly admits, competing in today’s market would be nearly impossible. Demandbase provided the insights and adaptability TreviPay needed to stay ahead, proving crucial in detecting buyer signals and adapting to ever-evolving market demands. It’s clear that Demandbase didn’t just support TreviPay’s ambitions; it supercharged them.

The truth: ABM is about teamwork

The real aha moment for many companies comes when they realize that ABM isn’t just about marketing or sales; it’s about teamwork — aligned goals, shared data, and technology to streamline processes.

This teamwork means the entire GTM organization is speaking the same language. It’s no longer marketing talking in “people” and sales talking in “accounts.”

ABM is a shared language.

But ABM is evolving.

At Demandbase, we have expanded the definition to include the customer experience and increased sales and marketing alignment — what we call account-based experience (ABX).

ABX is a GTM strategy that uses data and insights to orchestrate relevant, trusted marketing and sales actions throughout the B2B customer journey.

In short, ABX is a customer-centric approach to ABM, focused on delivering the right message at the right stage in the customer’s journey.

ABM is a component of ABX’s more complete, inclusive strategy.

Read more about the differences between ABM and ABX

ABM has evolved from a marketing gimmick to a comprehensive business strategy. It’s no longer just about generating leads; it’s about creating meaningful engagements with the right accounts and generating the right leads. It’s about bringing together all the different parts of your organization to work towards a common goal.

See Demandbase in action and discover how it can transform your revenue marketing strategies.

Schedule a demo today!