abm: the revolution continues bob peterson senior research ... · abm: the revolution continues bob...

ABM: The Revolution Continues Bob Peterson

Senior Research Director

ZoomInfo Growth Summit

September 13, 2016

© 2015 SiriusDecisions. All Rights Reserved 2

What We’re Going to Cover Today

• ABM Definitions and Foundational Concepts

• Technology Considerations for ABM

• Examples of ABM Excellence


What Exactly is ABM?


ABM in 2016: A Few Important Statistics

87%

71%

27%

Companies who said ABM is “extremely” or “very”

important to overall marketing efforts in 2016.

Companies investing between 11% and 30% of marketingbudget in ABM (up from 19% in 2015)

Companies with staff fully or partially

dedicated to ABM (up from 68% in 2015)


2016 CMO Survey: Primary Organizational Shifts

12.2

12.5

13.2

13.2

14.3

14.3

20.2

Greater decentralization of marketing resources

Create a hub-and-spoke model (centralized centers of excellence)

Expand or enhance an existing demand center model

Greater centralization of marketing resources

Create a new central or regional demand center to drive consistent,repeatable, scalable demand creation

Create or enhance customer marketing (account-based marketing)

Create a customer experience/customer engagement function

Primary Organizational ShiftsRelative Weighting


2016 CMO Survey: Top 3 Areas For Innovation

0.3

6.2

7.6

10.2

10.4

10.4

11.1

13.0

14.8

16.0

Other (please specify below)

User-generated content

Account-based marketing

Marketing for mobile devices

New business models

Predictive analytics

Use of social channels

Data-driven marketing

New technologies

Customer communities to drive customer engagement

Top 3 Areas For InnovationRelative Weighting

Account-Based MarketingDefinitions and Foundations

SiriusPerspective:

8 © 2016 SiriusDecisions. All Rights Reserved@MariaChien @MattSenatore

#SDSummitAccount-Based Marketing ModelsThere are different models account-based marketing utilizes

aligning to sales go-to-market and customer segments.

Named AccountLarge Account Industry / Segment

Very small number

of large existing or

targeted accounts

Moderate or larger

number of new or

existing accounts in the

same vertical or other

specific segment

Moderate or larger

number of defined

existing or targeted

accounts

Customer Lifecycle

Moderate or larger

number of existing

customers that receive

differentiated outreach

Account-Based Models

Customer Lifecycle

Moderate or larger

number of existing

customers that receive

differentiated outreach


Commitment to ABM: Five Key Building Blocks

©

Copyright

Identify and

collect key

insights within

the accounts

and contacts

that will

enable us to

“do ABM”

Customer or

target

accounts are

not equal and

will not get

”one size fits

all” treatment

Willingness to

take a

different

approach to

content

development

Requires a

cross-functional

collaborative

approach with

communication

excellence

Not just about

leads; metric

classes and

leading

indicators

demonstrate

path to

success

Account

InsightsDifferentiated

Treatment

Content

Development Interlock

Differentiated

Measurement


ABM: What’s in it for Sales?

Account-Based Marketing is an accepted best practice based the reality of evolving customer relationships and sales models and is used by an increasing number of companies

These marketing resources help sales to coordinate and align messages from marketing and take advantage of all internal resources in an efficient way

They also ensure that customers do not become confused by competing or overlapping messages from sellers

© Copyright SiriusDecisions.

All Rights Protected and Reserved.


ABM Helps Customers Across Multiple Strategies

RETAIN ACQUIRE DEVELOP

“Relationship Goals” “Opportunity Goals”


Select Results and Sales Feedback on ABM’s Impact

•MORE THAN 20% INCREASE IN DEAL SIZE

•$2M IN NEW LOGO WINS

•$75M IN INCREMENTAL MARKETING

SOURCED OR INFLUENCED PIPELINE

•A 30% IMPROVEMENT IN CUSTOMER

HEALTH SCORES

•MORE THAN 200% INCREASE IN

CONTRIBUTION TO SALES PIPELINE

•A MORE THAN 140% INCREASE IN

CUSTOMER ENGAGEMENT

“AS A SALESPERSON, THIS IS EXACTLY WHAT I

WOULD HOPE FOR FROM ABM − ANOTHER AVENUE

TO MEET AND DEVELOP RELATIONSHIPS WITH

PEOPLE AS CUSTOMERS AND PROSPECTS.”

“OUR ABM PRACTITIONER IS AWESOME. SHE IS

THOUGHTFUL AND PROVIDES STRATEGIC IMPACT.

SHE IS LOOKED AT AS PART OF THE TEAM.”

“THE ABM PROGRAM HAS HELPED UNCOVER NEW

OPPORTUNITIES IN MY ACCOUNT.”

“THE ABM TEAM HAS HELPED ME BUILD NEW

RELATIONSHIP AND IDENTIFY NEW CONTACT IN MY

ACCOUNT”

SiriusPerspective: The balance of marketing and sales-sourced demand is dictated by

the go-to-market model and the type of account involved.

13

Understand Sources of Sales Demand for ABM Needs

Large/Strategic Accounts: 1 to 3 per rep

90%+ demand sourced by sales

Named Accounts: 10 to 30+ per rep

75% to 85% sourced by sales

Territory Accounts: More than 50 per rep

~70% sourced by sales

Marketing

doesn’t source

much demand

where there are

strong existing

relationships

Marketing

sources more

demand where

it can help

sales be more

productive

Sales has the

biggest

productivity

challenges in

the largest

territories


What Changes in an Account-Based Model?

Account Data and

Insights

Forecasting and

Planning

Demand

Management

Account

Management

General, market-based

Sales and marketing share little

Sales creates plans

Marketing is reactive and not scalable

on an account level

Short or mid-term focus

Generic SLAs

Broad demand gen: MQLs

Sales rep owned

Little marketing support

1

4

2

3

Account and contact-specific

Sales and marketing collaborate

on account needs

FROM TO

Shared so that account marketing

plans have proactive, scalable focus

on sales goals

Long-term focus

Account-level SLAs

Focused on specific accts/opps

Sourced and Influenced

Marketing-assisted partnering

Maintains communication with

sales account leads

15

Planning: Marketing and Sales Collaborate on Specifics

Account opportunities

Account objectives

Account strategy

Marketing adds…Sales has…

White space / cross sell / up

sell opportunities down to the

subsidiary level

Prioritization of

accounts/intent data

Programs to support

goal attainment

Account statusContact coverage > where are

we missing relevant contacts

16

ABM: What Sales Can Expect From Marketing

More marketing assistance with account planning process

More marketing-supplied sales enablement to identify, qualify and support opportunity development

More marketing strategies designed to increase velocity of pipeline


SiriusDecisions ABM Process Framework

Organization, Roles and Responsibilities, and Skills and Training

Technology Infrastructure

Interlock / Communication

Insights

Education

Scoping

Resourcing

Assessment

Opportunity

Identification

Scoring

Selection

Prioritization

Goals

Messaging

Support

Inventory

Tactic Selection

Plan Delivery

Pilot

Expansion

Full Rollout

Participation

Optimization

Audiences

Format / Timing

Metric Selection

Maturity Selection

Maturity Audit

Benchmarking

Preparation Prioritization Planning Execution Measurement

SiriusDecisions

Account-Based Marketing Process Framework


The ABM Account Planning Process

Goal SettingAudience

Identification

Insight

Requirements

Resources

Inventory

Engagement

Planning


Setting Goals: Best Practices

In account planning, when building a “GOAL”, make it SMART

Specific = be descriptive

Measurable = what do you expect to achieve?

Attainable = make it realistic

Relevant = make it appropriate to your business/focus

Time-bound = assign when you need to achieve the goal


Examples of Goals

“Be the preferred supplier

of company ABC”

“Expand Sales of Product

XYZ”

Op

po

rtu

nity G

oa

lR

ela

tionship

Goal

“Retain Strategic Account X by

engaging senior leadership team over

next 18 months, showcasing value

delivered, resulting in 5 year renewal”

“Upsell 50 more licenses of Product XYZ

to Joe Smith’s Group by Q4, resulting in

$500,000 revenue”

Not

Smart Smart


Examples of How Marketing Measures Success in ABM

Account Insights

New Contacts

Successful Planning

Sales Utilization

Account/Contact Activity

Early Progress

New Pipeline

Existing Opportunity Progress

Relationship Development

Initial Outcomes

Revenue Growth and Retention

Increased Loyalty and Advocacy

Long-Term Value

Account-Based Marketing (ABM)Technology Considerations


ABM Technology Categories Grouped by Lifecycle

Social Media

Marketing & Sales

Force Automation

Display Targeting

and RetargetingData

services

Customer

Success

Mgmt.

Progressive Profiling &

Dynamic Display/CMS

Analytics

(Web, reporting,

predictive/advance

d, etc.)

Customer

Reference/

Advocacy

Customer

Intelligence

Management

Buying Cycle Customer Lifecycle

Account Planning


SiriusPerspective:

Planned Overall ABM Investment – Next 12 MonthsAlmost three out of four b-to-b organizations are increasing budgets

for ABM efforts, some by more than 30%

20%52%

21%$

“About the same”

“Greater than last year”

“SIGNIFICANTLY

greater than last year”


SiriusPerspective:

ABM Tool, Tech and Service Investment ContinuesOnly a small percentage of B2B companies stated they are not

planning to invest in ABM tech/services over coming year.

No = 8%

Are you planning to invest in tools, technology or services for ABM in the

next 12 months?

Not Sure =

34%


SiriusPerspective:

ABM Tool, Tech and Service Investment ContinuesOnly a small percentage of B2B companies stated they are not

planning to invest in ABM tech/services over coming year.

Yes =

58% Not Sure =

34%No = 8%

Are you planning to invest in tools, technology or services for ABM in the

next 12 months?


SiriusPerspective:

Top 5 Technology and Tool Investment Areas for ABMInvestment accelerates in foundational and buying side elements

primarily.

Account-based

Advertising and

Retargeting

68%

Marketing

Automation

Platform

35%

Sales Force

Automation/CRM

31%

Web Analytics

Tools

31%

Web Site

Personalization

31%


SiriusPerspective:

Top 5 Service Investment Areas for ABMIn addition to tech/tool investment, companies continuing to spend

In ABM services for insights and content.

Custom 3rd Party

Account or Contact

Info.

3rd Party Content

Development

Agency for Content

Development

Predictive

Analytics Services

Non Custom 3rd

Party Account or

Contact Info.

35% 31% 29% 25%35%

Case StudiesAccount-Based Marketing

SiriusPerspective:


Cross-functional

teams were educated

on the benefits of

ABM, participant

roles, and

expectations in

detailed email

communications and

a dedicated kick-off

call

A detailed

collaboration plan

was established for

marketing and

sales prior to

launch, during

launch and post-

launch

Large-Account Winner: Siemens PLM SoftwareSiemens PLM Software is an award winner for best-in-class marketing

and sales interlock and communication.

Cross-functional

teams dove deep

on building ABM

plans – specific to

the growth goals

within the

targeted account

An ongoing

collaboration plan

was put in place

to respond to

challenges

highlighted in

monthly reports

SiriusPerspective:


ImpactThe focus on ABM is supported with financial commitment; teams are

trained and accounts plans are completed, leading to funded initiatives.

Q2

‘13

6

143

ABM Plans Completed

89%

Number of Marketing/Sales

ABM “Certified”

Percentage of Teams Securing

Additional FundingSales Alignment

Very positive

feedback from sales

team so far; they are

truly involved and it’s

‘our’ plan rather than

just a ‘marketing’

plan.Q4

‘13

48

Q1

‘14

SiriusPerspective:


This customer

specific newsletter

highlighted key

accomplishments,

relevant solution

news, upcoming

events and team

rosters

Segmented its

accounts, looking

to concentrate on

retention and

growth of top

strategic

accounts

Within the

strategic

accounts, a top

22 emerged

based on

revenue, white

space, level of

engagement and

logo appeal

Developed custom

account-specific

relevant content

Large-Account ABM: AdobeAdobe is an award winner for defining clear targets and developing

account-specific content for those targets.

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22

22 Strategic Accounts White Space Opportunity

SiriusPerspective:


Adobe ImpactAdobe’s success is reflected by its ABM footprint’s expansion from 22

accounts in 2013 to 58 accounts in 2014 (a 263 percent increase).

Account Type

120

ABM Sales Quota Deal Size (Index) Customer

Health Scores

100

“T22”other

Pipeline Increase

20142013

SiriusPerspective:


Named Account Example: CSCCSC is a winner for its ability to provide marketing support in a

one-to-few or one-to-many approach by building insights and leveraging technology.

Created ABM

insights platform

for named

accounts

Provided contextual

insights into target

companies and key

executives; served

up relevant news

triggers

Delivered real-time,

actionable, contact-

level insights to the

sales team

Designed concierge

service that allowed

sales and marketing to

request needed insights

Target

Company

Name/Logo

SiriusPerspective:


CSC ImpactSales acceptance of the insight tool was critical to success; the

organization integrated data into sales-friendly systems where possible.

Web Traffic

Targeted Accounts

Sales AdoptionValue Recognition

User interactions

have risen to over

eight per day; that

means a salesperson

will look at material on

or generated by this

tool once every hour.Global Sales and

Marketing Summit

SiriusPerspective:


Named-Account Example: SAP SAP is an award winner for organizing and formalizing its account-based

efforts to consistently deliver opportunities, contacts, pipeline and revenue.

• Single source of ABM

truth: Trained team on

best practices and

internal resources

• Sales and marketing

aligned to common

opportunity objectives

Custom Web sites

SiriusPerspective:


How SAP Delivered Results With ABMThe ABM team aligned sales and marketing with training, SMART goals

and specific engagement tactics to drive programs that gained traction.

• ABM is strategic to

revenue goal

attainment

• Program actions drive

sustainable account

growth, accelerate

pipeline, and cultivate

strong customer

relationships

Engagement Timeline and Milestone Map

SiriusPerspective:


SAP ImpactABM programs increased customer engagement and improved

relationships with sales, which led to positive impact in key categories.

89%

Our ABM

practitioner is

awesome. She

is thoughtful and

provides

strategic impact

at the account

level. She is

looked at as part

of the team.”

1,200 new contacts

$227MM opportunity touched

$57MM marketing progressed

pipeline

$28MM closed revenue –

marketing influenced

49 new opportunities created =

$27MM

Internal Sales Feedback:

89% said they would

recommend ABM to

colleagues

84% said ABM program

helped uncover new

opportunities

89% said ABM marketer

provides innovative ideas

and tactics

Thank You!

abm: the revolution continues bob peterson senior research ... · abm: the revolution continues bob...

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