Account-Based Marketing vs Inbound Marketing: Which Strategy is Best for Your Business?

In the past, B2B marketers have used separate inbound and outbound marketing strategies to reach different audiences and achieve goals through specific tactics. Today’s robust suite of tech tools and platforms, such as LinkedIn and programmatic advertising, has allowed marketers to evolve traditional outbound marketing methods, such as cold calling, into carefully curated account-based approaches.

As we routinely step back to reassess our marketing and sales processes to improve opportunities, we find that inbound marketing and account-based marketing offer incredible potential as complementary tactics that work towards a common goal. These traditional strategies are two of the trending tactics that B2B marketers are currently using, and combining them can result in even more impactful marketing.

Discover the differences between inbound and account-based marketing and how to combine them for superior results.

Businesses today have endless options when it comes to marketing strategies. Two of the most popular are account-based marketing (ABM) and inbound marketing. But what’s the difference between these two approaches? And how do you know which one is right for your business?

In this comprehensive guide, we’ll compare account-based and inbound marketing strategies. We’ll look at the pros and cons of each, and help you determine which approach (or combination of both!) makes the most sense for your unique business needs.

A Quick Overview of Account-Based Marketing

Let’s start with a quick refresher on what account-based marketing entails

ABM is a strategic approach that focuses marketing and sales efforts on a select group of high-value target accounts. The goal is to tailor messaging and campaigns to resonate with each account and accelerate the sales cycle.

Some key characteristics of ABM include:

  • Targeting a small number of pre-determined, high-value accounts

  • Highly personalized outreach and content for each target account

  • Tight alignment between marketing and sales teams

  • Use of targeted ads and one-to-one marketing tactics

  • Focus on existing customers and net new targets alike

So in short, ABM is an extremely targeted approach, ideal for companies selling high-ticket or complex solutions. Next, let’s look at inbound marketing.

The Core Principles of Inbound Marketing

Inbound marketing is a methodology focused on attracting customers through relevant, valuable content and experiences. Instead of interrupting target audiences, inbound aims to make your brand easy to find, relatable, and helpful.

Some hallmarks of a strong inbound strategy include:

  • Content creation as a top priority

  • Customer-centric messaging and experiences

  • Utilizing owned channels like blogs, social media, etc.

  • Integrating SEO organically into content

  • Lead nurturing through marketing automation

  • Aligning sales and marketing around the buyer’s journey

The goal of inbound is to turn strangers into leads, leads into customers, and customers into promoters. It’s an expansive, multi-channel approach focused on the long game.

Key Differences Between the Strategies

Now that we’ve covered the basics, let’s compare some of the core differences between ABM and inbound:

Target Audience

  • ABM: Targets a small number of pre-determined, high-value accounts
  • Inbound: Casts a wider net to attract all potential customers that may be a fit

Personalization

  • ABM: Highly customized messaging for each target account
  • Inbound: Tailored content across buyer personas and stages

Goals

  • ABM: Quickly accelerate deal cycles
  • Inbound: Grow brand awareness and loyalty over time

**Team Involvement **

  • ABM: Tight alignment between sales and marketing
  • Inbound: Marketing-led, with sales enablement

Tools and Tactics

  • ABM: Targeted ads, direct mail, one-to-one outreach
  • Inbound: Content, SEO, automation, social media, etc.

As you can see, ABM and inbound take very different approaches to attracting and engaging customers. So which one is right for your unique business?

4 Factors to Consider When Choosing a Strategy

Determining whether to prioritize ABM, inbound marketing, or a combination of both depends on your specific business situation. Here are four key factors we recommend considering:

1. Business Model

What does your sales cycle look like? How complex is your product/service?

If you sell big ticket, highly considered products, the targeted approach of ABM could be beneficial. For lower priced goods or impulse purchases, inbound may make more sense.

2. Target Customer Profile

Do you sell to a wide range of customers or a niche market?

If you serve a wide audience, inbound helps you appeal to many personas and needs. For a niche market, ABM enables hyper-personalization.

3. Resources and Bandwidth

How much budget, staff, and time can you dedicate to marketing efforts?

ABM requires significant resources to tailor everything to target accounts. Inbound can work with more modest means.

4. Sales Process

Do you need to accelerate conversion rates or nurture leads over time?

ABM speeds up deal cycles for existing opportunities. Inbound is better for educating new prospects.

Consider how these factors apply to your business. That will help determine whether ABM, inbound, or a combination is the best fit.

ABM vs Inbound: Which Should You Choose?

Based on the differences highlighted above, here are some guidelines on when each strategy may be most appropriate:

Account-Based Marketing Tends to Work Best For:

  • Companies with longer, more complex sales cycles
  • Businesses selling highly customized or enterprise solutions
  • Organizations focused on retaining and expanding existing accounts
  • Teams that need tight marketing and sales alignment
  • Businesses with robust budgets and resources

Inbound Marketing Tends to Work Best For:

  • Companies with lower priced products or simpler sales cycles
  • Businesses looking to drive brand awareness
  • Organizations that sell to a wide range of customer personas
  • Teams focused on top-of-funnel lead generation
  • Businesses with modest marketing budgets

Of course, there are always exceptions. Some companies find success blending both ABM and inbound approaches. But in general, these guidelines can help point you in the right direction.

Blending ABM and Inbound for Powerful Results

While ABM and inbound represent two distinct strategies, they can complement each other quite well.

Here are a few ways to blend both techniques:

  • Use inbound to attract and nurture a wide range of leads. Then, identify top prospects for ABM targeting.

  • Develop content for your inbound channels that appeals specifically to target accounts.

  • Use inbound channels like social media for one-to-one outreach to accounts.

  • Tap into inbound metrics like web traffic and lead quality to identify new ABM account targets.

  • Grow loyalty with current ABM accounts through inbound content and nurturing.

So while ABM and inbound have differing approaches, you don’t necessarily have to choose one or the other. With careful planning, you can integrate both strategies to maximize results.

Key Takeaways and Next Steps

  • ABM and inbound marketing take very different approaches, but can complement each other when blended thoughtfully.

  • Consider your business model, ideal customers, resources, and sales process to determine if ABM, inbound, or both strategies are best for your needs.

  • Use inbound to attract an audience and identify promising accounts for ABM targeting.

  • Personalize inbound content and channels for one-to-one ABM outreach efforts.

  • Analyze inbound metrics to uncover new potential target accounts to pursue.

Hopefully this guide has helped you better understand the differences between account-based marketing and inbound marketing. The key is choosing (or combining) the approach that aligns with your business goals and resources.

With the foundation covered here, you’re ready to build an effective, customized marketing strategy that drives real results. So don’t wait – get out there, try out some ABM and inbound tactics, and watch your business grow!

account based vs inbound marketing

Synergy Between Marketing and Sales

Inbound marketing requires a general understanding of your audience and provides sales teams with potential leads without requiring much input from them. On the other hand, ABM relies on data acquired by sales teams to identify high-value audiences and tailor content to their interests, requiring more collaboration between sales and marketing.

While inbound marketing metrics focus on conversions, leads, and revenue, the individualized approach to ABM requires looking at engagement, clickthrough, and open rates to measure campaign success.

What’s the Difference Between ABM and Inbound Marketing?

Inbound marketing relies on a broad approach, typically higher quality leads, whereas account-based marketing is more focused on ideal target personas, targeting a limited audience through personalization. Subsequently, the interactions between sales and marketing and the metrics you’ll use to determine success will be different with ABM.

Inbound marketing strategies are geared toward a broad target audience, grabbing as many prospects as possible by casting a wide net with exciting and informative content. ABM focuses on specific high-value audiences, delivering personalized messages and content your ideal customer finds most interesting.

Small Business Marketing | Inbound vs Account-Based Marketing

Is account based marketing better than inbound marketing?

Put another way: inbound marketing helps you attract the right customers. Then, account-based marketing uses marketing and sales to speed up the process of the flywheel and provide a valuable customer experience. In the end, both strategies enable you to win those target accounts.

What’s the difference between ABM and inbound marketing?

ABM allows you to delight high-value accounts with a focused approach. Inbound marketing lets you attract customers through the creation of valuable, SEO-optimized content — it provides audiences with the information that’s important to them in an organic manner. But what do they have in common?

How can inbound marketing benefit your business?

“For some stories, companies benefit immensely by complementing their inbound foundation with account-based strategies that provide more personalized, tailored buying experiences for a subset of high-value leads,” Batter says. Put another way: inbound marketing helps you attract the right customers.

What is inbound marketing & how does it work?

Inbound marketing lays the foundation for a strong ABM strategy — ABM builds off of inbound by allowing for targeted and efficient resource allocation of high-value accounts. With this combined approach, you attract a broader group of prospects than you would while using just one method.

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