Account-Based Marketing (ABM) has long been a cornerstone of B2B marketing, a strategy that focuses on identifying, targeting, and engaging specific high-value accounts and customising campaigns across those entities. Over the years, ABM has proven its value by enabling businesses to build deep relationships with key accounts, leading to higher conversion rates, increased revenue, and stronger customer loyalty.
As technology has changed, so too have business models and value chains. Modern ‘accounts’ may sit within a more complicated nested brand hierarchy or an ecosystem of entities that have a stake in business buying decisions. These complex ‘accounts’ require a more nuanced approach which we call Stakeholder-Based Marketing (SBM).
The Rise of Stakeholder-Based Marketing
Basic ABM targets entire accounts, often treating these entities as monolithic bodies. You’ve probably seen a PowerPoint presentation with your competitor’s name which was missed in the ‘find and replace’ process. Sophisticated ABM campaigns recognise that there are multiple personas within an account, each with their own priorities, challenges, and decision-making power. It gets even more complicated when that account is part of a larger enterprise or has external stakeholders that need to be influenced.
This shift in dynamics requires a new mindset – Stakeholder-Based Marketing. SBM recognizes that for every target account, there are multiple stakeholders with varying degrees of influence and interest. They may be internal or external. SBM focuses on understanding and engaging each stakeholder group, tailoring marketing efforts to address their specific needs and motivations.
Why the Shift?
- Complex Buying Processes: B2B purchasing decisions are rarely made by a single individual. Instead, they are made by a committee of interested and affected parties, each representing different functions and interests within the organization. These decision makers often have conflicting priorities, and their decision-making processes are influenced by various factors, including personal KPIs, biases, organizational politics, and external pressures. The external pressures are often overlooked by ABM.
- Simplification Driven by AI Efficiency. AI based lead generation and ‘personalisation’ can help organisations become more efficient, however the models are only as good as the subject matter experts they serve. Just as personalisation has been available for over 25 years, many marketing people still only use basics e.g. country or job title to create more targeted campaigns. SBM forces the users of AI to make the algorithms think more widely and consider 3rd party stakeholders who may require personalised content and messaging.
- Longer Sales Cycles: As sales cycles and buying process becomes more complex, the need to engage multiple stakeholders throughout the journey becomes increasingly important. In some cases, consultation processes may include external stakeholders who need to be acknowledged and considered. SBM allows marketers to maintain continuous, relevant communication with each of these stakeholders and interest groups, guiding them through the decision-making process and addressing any concerns or objections along the way.
The Benefits of Stakeholder-Based Marketing
Stakeholder-Based Marketing offers several key benefits that can help B2B organisations drive better outcomes and build stronger relationships with their target accounts:
- Increased Relevance: By focusing on the specific needs and concerns of stakeholders, SBM ensures that marketing efforts are more relevant and impactful, leading to higher engagement and conversion rates. Why spend money targeting the ‘buyer’ if the finance committee has the final say? Is there a global head office that could veto the deal?
- Stronger Relationships: SBM helps build deeper relationships with stakeholders by demonstrating a genuine understanding of their challenges and priorities. This, in turn, fosters trust and loyalty, increasing the likelihood of long-term customer relationships. It also helps to make better product management decisions.
- Better Alignment with Sales & Revenue Teams: SBM aligns marketing efforts more closely with the sales process, ensuring that both teams are working towards the same goal of engaging and converting key stakeholders. This alignment can lead to more effective sales enablement and better overall outcomes.
Implementing Stakeholder-Based Marketing
Transitioning from ABM to SBM requires a strategic shift in how marketing teams approach their target accounts. Here are some key steps to successfully implement Stakeholder-Based Marketing:
- Identify Key Stakeholders: Seems like a no-brainer, but some influencers might not be so obvious. The first step in SBM is to identify all the key stakeholders within a target account. This includes not only the decision-makers but also influencers, gatekeepers, and end-users who may have a say in the purchasing decision. These may be outside the organisation e.g. competitors, consultants, regulators or the media.
- Develop Stakeholder Personas: Just as ABM requires the development of account personas, SBM requires the creation of detailed stakeholder personas. These personas should include information on each stakeholder’s role, priorities, pain points, decision-making criteria, and preferred communication channels.
- Tailor Content and Strategy: With stakeholder personas in hand, marketers can develop content that speaks directly to the needs and concerns of each individual. While some of these campaigns might utilise new channels, others might involve more ‘old fashioned’ techniques such as sponsorship.
- Leverage Data and Technology: Marketing automation platforms, CRM systems, and data analytics tools can help track stakeholder engagement, measure the effectiveness of marketing efforts, and provide insights into stakeholder behavior. These tools also enable marketers to deliver personalised content and messaging at scale, but be careful of relying on these systems without any input from sales leaders and subject matter experts.
- Foster Cross-Functional Collaboration: SBM requires close collaboration between marketing, sales, and customer success teams. Account Management teams, in particular, can provide valuable insights into the needs and priorities of different stakeholders, helping to inform marketing strategies. Regular communication and collaboration between these teams are essential to ensure a cohesive and effective SBM approach. Sales is a customer of the marketing team in this sense.
- Hire a Fractional CMO: Want to accelerate the setup of a Stakeholder Based Marketing approach? Engage an on-demand Chief Marketing Officer with B2B experience.
As the B2B landscape continues to evolve, so too must the strategies that drive marketing success. Stakeholder-Based Marketing represents the next logical step in the evolution of ABM, offering a more nuanced and effective approach to engaging today’s complex buying committees. By focusing on the needs and priorities of individual stakeholders, SBM enables marketers to build stronger relationships, drive better outcomes, and ultimately achieve greater success in an increasingly competitive marketplace.
