Whether you’re launching a new product or refining your existing strategy, having a well-defined target account list is crucial for the success of your Account-Based Marketing (ABM) efforts. ABM is all about focusing your resources on a select group of high-value accounts to maximize conversion rates and drive more significant revenue.
An Ideal Customer Profile (ICP) is a foundational document that specifies which type of clients you are targeting. A functional ICP helps narrow down and create a list from all the available market opportunities, ensuring that your efforts are targeted and efficient. At a minimum, your ICP should include:
Signals are specific indicators that a company might be a good fit for your product. These can vary widely depending on your industry and product offering. Identifying and leveraging these signals can help refine your target account list and increase the likelihood of conversion. Some examples of signals include:
Filters are essential in the list-building process as they help disqualify accounts that are unlikely to convert. These filters ensure that you do not waste time and resources pursuing accounts that do not fit your ICP or have significant barriers to entry. Examples of effective filters include:
There are two main checks you need to do with your ICP before starting list building:
You need to start by having a meeting to consult with all stakeholders from relevant areas and ask them very clearly if they believe that you:
The next thing you need to do is cross reference with CRM. On top of consulting with the key stakeholders of each department, you should make a quick export of your CRM and try to answer the following questions:
Note: Your ICP and target list should not be a dream list. It should be a list of companies that you believe you can both close and service properly, ideally based on historic data or team expertise.
Identifying the right sources for your initial list of companies is a key step to know what you will shortlist. There are a couple of ways you can do this but it largely boils down to identifying proper information sources:
The right information source is not only the one that has the information, but also the one that has the right filtering and targeting criteria you need.
Now that you have your information sources, it's time to extract and enrich your data.
Once you have determined your information sources, the next item in the agenda is to extract and enrich. The initial extraction can be done using tools like DataMiner.io or Octoparse for complex web scraping. For LinkedIn, tools like Phantom Buster can automate the extraction of company data. If scraping isn’t your expertise, consider outsourcing this task to freelancers on platforms like Fiverr or Upwork.
After extraction, you’ll need to enrich your data to ensure it’s complete and actionable. Enrichment might involve adding details such as:
Enrichment is crucial because it transforms raw data into valuable insights that drive better decision-making.
While enrichment is truly where the brunt of the work is, segmentation is the most important part. Segmentation refers to using all data points enriched to try to answer the question: Which of these accounts are most likely to buy from me first?
Basically, it’s not enough to have a list; you need to understand which accounts to prioritize. Use a two-by-two matrix to score accounts based on:
Friction: How likely is the target company to be looking for a vendor? How well does your solution meet the company’s needs? Do they have the infrastructure, budget, and interest?
Fit: How good is my solution for them? Do they have the right number of seats for my solution? How big is the potential deal size? Are there potential barriers, such as existing vendor relationships or budget constraints?
The concept of scoring high or poorly is rather relative to your total market size.
When doing your list building and then your list segmentation, you might feel the impulse of hoarding as many accounts as possible. However, that will most certainly end up being counter productive.
One of the biggest mistakes in ABM is trying to go after too many accounts. Focus is the name of the game. ABM is about quality over quantity, ensuring that your team can give each account the attention it deserves. It is extremely important to make the conscious decisions of the accounts you will NOT go after so that you can focus your resources on the right account.
A good rule of thumb is to maintain a list of no fewer than 100 and no more than 350 accounts per quarter, adjusted for the size of your sales team and average contract value. This balance ensures that your efforts are focused and manageable, increasing the chances of success.
Creating your first target account list for ABM is a strategic process that involves careful planning, stakeholder alignment, data enrichment, and thoughtful segmentation.
Remember, ABM is about creating meaningful engagements with the right accounts. As you refine your target account list, continuously revisit and adjust your ICP, signals, and filters to stay aligned with market shifts and company goals.
By focusing your resources on accounts that have the highest likelihood of success, you can drive more impactful results and set the stage for long-term growth. With these steps, you're well on your way to creating a targeted, effective ABM strategy that will help you win high-value customers and build lasting relationships.
Need help with ABM or want to learn more? Reach out to us!
See our blog: Integrating Account-Based Marketing into PLG and SLG strategies.