Glossary: targeting
What is account-based marketing (ABM)?
Account-based marketing (ABM) is a strategy where sales and marketing agree on a named list of target companies and then run coordinated outreach to the people inside each one. It starts with the accounts, not with a wide audience.
Two ways to find customers
Lead-based marketing
- Starts with a wide audience
- Counts individual leads
- Sales picks up what arrives
Account-based marketing
- Starts with a named account list
- Counts engaged accounts
- Sales and marketing work the list together
Account-based marketing is run in three tiers.
Lead-based marketing starts with a wide audience, counts individual leads and lets sales pick up what arrives. Account-based marketing starts with a named account list, counts engaged accounts, and has sales and marketing work the list together. The list is split into tiers by how much each account is worth.
One to one is for the largest accounts.
A handful of accounts each get their own research, their own message and outreach to several people at once.
One to few is for clusters.
Small groups of similar accounts, such as ten regional banks, share a message written for that cluster.
One to many is for the rest of the list.
Hundreds of accounts that fit the profile get a lighter touch: a segment-level message sent at volume.
Here is an account-based plan for an invented company.
Imagine Elmsward, an invented company that sells claims software to insurers. Sales and marketing agree on 215 target accounts. The 5 largest go in tier one, 30 mid-sized insurers go in tier two and 180 smaller ones go in tier three.
In tier one, each account gets a tailored plan and emails to six people. Tier two is split into three clusters of 10, each with its own message. Tier three gets one sequence of cold emails written for small insurers. Progress is counted in accounts that reply, not in leads.
Elmsward's 215 target accounts by tier
Use account-based marketing when a few accounts matter most.
ABM suits high-value deals with several decision makers. These steps keep it practical.
The four steps in order
- 1Agree the list
- 2Tier it
- 3Map the people
- 4Count accounts
- 1
Agree the list with sales.
One list, signed off by both teams. If sales would not take the meeting, the account does not belong.
- 2
Tier it by deal size and fit.
Rank the accounts and spend the most effort where a win pays the most.
- 3
Map the people in each account.
List the user, the budget holder and the signer. Outreach should reach more than one of them.
- 4
Count accounts, not leads.
Report how many target accounts replied and how many booked a meeting.
Prymatica runs the cold email side end to end: a custom prospect list for your exact ICP, personalized multi-touch sequences, and interested replies booked onto your calendar. See how Prymatica's cold email process works.
Teams make these mistakes with account-based marketing.
The list is too long to tailor.
A thousand accounts cannot each get one-to-one treatment. Either cut the list or accept that most of it is one to many.
Sales and marketing keep separate lists.
ABM depends on one shared list. Two lists mean two sets of priorities and outreach that collides.
Only one person per account is contacted.
Deals of this size involve a group. Reaching a single contact leaves the account's decision to chance.
These glossary terms sit next to account-based marketing.
These Prymatica pages go deeper on account-based marketing.
Questions
People ask these questions about account-based marketing.
What is the difference between ABM and lead generation?
Lead generation starts wide and counts individual leads. ABM starts with a named list of companies and counts engaged accounts. Many teams use both: ABM for their largest targets and broader lead generation for everyone else.
Is cold email part of account-based marketing?
It can be. Cold email is one of the main ways to reach the people inside a target account. In ABM the list is named in advance and the message is written for the account or its cluster.
How many accounts should an ABM list have?
As many as you can give the right level of attention. A small team might run five accounts one to one, a few dozen in clusters and a few hundred at volume.
What does ABM measure?
Account-level results: how many target accounts engaged, how many booked a meeting, how much pipeline they hold and how many closed. Counting leads misses the point, since several leads can belong to one account.
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