What is Account Based Selling?
Account based selling (ABS) is a B2B sales strategy where a defined list of specific companies, referred to by salespeople as ‘accounts’ are targeted. They are often accounts that a company has pre-existing connections with. ABS is about knowing when to tap in to the clients current needs and what product or service to introduce to them. Whether it’s to the co-existing department where the relationship exists or an entirely different department, the focus is always on account penetration. The term ‘land and expand’ is often used in conjunction with account based selling, where the salesperson builds a relationship after closing a small transaction, with the long-term goal of expanding revenue from the account over time.
10 Tips for an ABS approach
When using an ABS approach, it’s helpful to have a list of current clients who you feel you have a robust connection with. Here is a list of rules to follow when pursuing an ABS approach to selling.
1. Know when to implement ABS – The ABS selling approach should not be used all the time. Understand when this model should and should not be implemented. ABS is best used when selling to large corporations that possess a multitude of buy-in levels, that require complex solutions with a high degree of personalization.
2. Work with Marketing – Account Based Selling often runs hand-in-hand with Account Based Marketing. Have a common goal in mind between your Sales and Marketing teams. Develop a feedback process. Have open communication channels. Share reporting lines. Collaborate in producing captivating and persuasive content for each landmark and buyer’s requests.
3. Pick suitable target accounts – Using your CRM system, start by running a report and finding out which industries your company has the most success with. Talk with your senior colleagues and gain a consensus of the types of accounts and job profiles they think should be targeted. Establish an ICP (Ideal Customer Profile) of prospective clients that are most likely to buy your solution based on a positive history of purchases.
4. Map out relationships – It is important that you identify which individuals within a customer organisation make up the decision-making process. Larger companies often have a complex web of influencers, which sit within a steering committee. It is good to establish a connection with a single point of contact; a strong champion can guide you through the politics of the organisation. However, if you can establish multiple relationships that can be even better. Map out the buyer centre and nurture the key relationships throughout the sales process. Relationship mapping apps like ContactBase can enable this.
5. Use technology to assist – The most effective ABS professionals are those that establish such a strong bond with the customer that they are seen as a trusted advisor. CRM isn’t the only sales tool to help you. Sales AI tools like 6 sense can help you see things more clearly, make better predictions, and help you utilise analytics better.
6. Do your homework – By researching and reading any report or strategic paper your customer may have published, you can predict what sort of product your client needs, where their problems lie and the competition they might call upon to help solve their issues. By gathering customer data and information about the stakeholders, insight can be generated including what’s important to them and what the value drivers are.
7. Always update data systems in real time – When selling through an ABS strategy, everyone and every data system needs to be in sync. Lack of communication, miscommunication or inaccurate data can break up the whole process. If this happens then your customer may lose trust and faith in you and your company.
8. Monitor activity – Commanding the message is key to success. Do you know how many newsletters your sales and marketing colleagues are sending to your client’s organisation? Who in the structure the emails are going to? What is the message they are communicating? Tracking your own activity may not be enough, especially if you work in a product silo or unique department within a larger sales organisation.
9. Have a sales-only focus – There are often a number of decision makers weighing in on the decision of whether to purchase or not. Show them that you know your industry inside and out. Stay on top of market trends, latest technology and use social media to your advantage. Know your client back to front and understand their position. Do not give them a single reason to look elsewhere.
10. Track your sales effectiveness – Identify trends in your sales process by looking at data. This will enable you to identify trends and predictions in your sales pipeline and understand where there are gaps and pitfalls exist. Don’t repeat the mistakes of yesterday.
Why Account Based Selling?
Account Based Selling is not for everybody, especially for transactional or SMB focussed business. However, there are many benefits if implemented in the right places.
(1) Forecast with accuracy ABS allows you to predict the future of your sales pipeline. It allows you to have visual clarity of your pipeline and enables you to predict future opportunities.
(2) Control the sales process Using your understanding and knowledge of ABS will allow you to understand which clients to approach, when to approach them and what to approach them with. This allows you to command the message and take control of who to sell to and what to sell them.
(3) Focus on ICP ABS allows you to focus on the personas who buy your product. It is important to understand that you can often have a more meaningful impact on your sales pipeline if you concentrate on the 20% of clients who you are well established with, rather than spreading yourself thin over the clients you are unlikely to have a future relationship with.
(4) Reduce Risk There is far less risk of a deal falling though if a contact decides to leave or is off sick. This is because you will generally be building relationships with multiple contacts and decision makers, as opposed to just one single point of contact.
