Why More Companies are Launching ABM to Grow Business
During the Cold War, ABM often meant Anti-Ballistic Missiles, but in today’s fast-paced, no-edge-too-tiny world of commerce, it stands for Account Based Marketing. Also described as Key Account Marketing, it’s a strategy where a company focuses on growing existing business with an equal or higher priority than hustling new business.
It’s a philosophy and methodology that seems to be catching on, and recent research is showing why.
A study in the United Kingdom revealed that buyers are looking for their current suppliers to keep them updated with relevant propositions, and those existing suppliers consistently came out on top of the consideration list for new purchases.
However, it’s not from any ABM expertise. The research indicated that more than 50% queried felt that marketing by their supplier was in fact, bad. However, the data also showed that a whopping 77% of decision-makers said that the marketing from NEW suppliers was even worse; so poor that it made it easier to just stick with their existing supplier. The devil you know versus the one they don’t, if you want to be cynical.
Basically, they are taking the lesser of two bad marketing overtures. The good news is you have a clear advantage over your competitor with your existing customers. The bad news is that they are susceptible to a good marketing approach from your competitors, so do not take them for granted.
It’s not a nuclear-tipped missile, but you’ve been warned.