The challenges of account-based marketing in regulated industries

Account-based marketing (ABM) has gained significant traction in the business-to-business (B2B) marketing world. It is a highly targeted approach that focuses on engaging and nurturing individual accounts rather than casting a wide net to attract a large number of leads. However, implementing ABM strategies in regulated industries comes with its own set of challenges.

1. Compliance and Regulatory Restrictions

In regulated industries such as healthcare, finance, and pharmaceuticals, there are strict compliance and regulatory restrictions that marketers must adhere to. These industries are governed by laws and regulations that dictate how customer data can be collected, stored, and used for marketing purposes. This can make it challenging for marketers to execute ABM campaigns effectively.

2. Limited Access to Customer Data

Regulated industries often have limited access to customer data due to privacy and security concerns. Marketers may not have access to certain data points that are crucial for executing successful ABM campaigns, such as personal contact information or detailed behavioral data. This lack of data can hinder the effectiveness of ABM strategies.

3. Long Sales Cycles

Regulated industries typically have longer sales cycles compared to other industries. This is due to the complex nature of the products or services being offered and the stringent approval processes that need to be followed. ABM strategies require continuous engagement and nurturing of accounts over an extended period of time, which can be challenging in industries with long sales cycles.

4. Limited Marketing Channels

Regulated industries often have limited marketing channels available to reach their target audience. For example, pharmaceutical companies face restrictions on advertising certain drugs directly to consumers. This limits the options for executing ABM campaigns and reaching key decision-makers within target accounts.

5. Establishing Trust and Credibility

In regulated industries, establishing trust and credibility is crucial. Customers need to have confidence in the companies they are doing business with, especially when it comes to sensitive industries like healthcare and finance. ABM strategies need to focus on building trust and credibility with target accounts, which can be challenging in industries where trust is paramount.

6. Balancing Personalization and Privacy

Personalization is a key component of ABM strategies. However, in regulated industries, there is a fine line between personalization and privacy. Marketers need to be cautious about how they use customer data and ensure that they are complying with privacy regulations. Balancing personalization and privacy can be a challenge when implementing ABM in regulated industries.

7. Aligning Sales and Marketing Teams

ABM requires close alignment between sales and marketing teams. In regulated industries, where sales and marketing teams often operate in silos, this alignment can be difficult to achieve. Sales teams may have different priorities and objectives, which can hinder the successful implementation of ABM strategies.

8. Measuring ROI

Measuring the return on investment (ROI) of ABM efforts can be challenging in regulated industries. The complex nature of the sales cycles and the long-term nature of ABM strategies make it difficult to attribute specific revenue to marketing activities. Marketers in regulated industries need to establish clear metrics and measurement frameworks to accurately measure the ROI of their ABM efforts.

Overcoming the Challenges

While implementing ABM strategies in regulated industries may pose challenges, there are ways to overcome them and achieve success:

1. Work with Compliance and Legal Teams

Collaborate closely with compliance and legal teams to ensure that all marketing activities are in compliance with relevant regulations. Involve these teams from the early stages of ABM campaign planning to avoid any potential compliance issues.

2. Maximize Available Data

Make the most of the data that is available to you. Leverage existing customer data to gain insights and create personalized ABM campaigns. Focus on quality over quantity when it comes to data and use it strategically to engage and nurture target accounts.

3. Develop Content with Compliance in Mind

Create content that is compliant with industry regulations. Avoid making any claims or promises that cannot be substantiated. Ensure that all content is accurate, transparent, and aligned with regulatory requirements.

4. Leverage Approved Marketing Channels

Identify and leverage the marketing channels that are approved for use in regulated industries. This may include industry-specific publications, conferences, or targeted digital advertising. Focus on reaching key decision-makers within target accounts through these approved channels.

5. Build Trust through Thought Leadership

Establish your company's thought leadership in the industry to build trust and credibility with target accounts. Share valuable insights, industry trends, and best practices through content marketing efforts. Position your company as a trusted advisor and resource for your target audience.

6. Implement Robust Data Privacy Practices

Develop and implement robust data privacy practices to ensure compliance with regulations. Obtain explicit consent from customers before collecting and using their data. Encrypt sensitive data and implement strict access controls to protect customer information.

7. Foster Collaboration between Sales and Marketing

Promote collaboration and alignment between sales and marketing teams. Encourage open communication, shared goals, and joint planning sessions. Foster a culture of collaboration to ensure that ABM strategies are executed seamlessly.

8. Define Clear Metrics and Measurement Frameworks

Define clear metrics and measurement frameworks to track the success of your ABM efforts. Establish key performance indicators (KPIs) that align with your business objectives. Use these metrics to measure the impact and ROI of your ABM campaigns.

Conclusion

Implementing account-based marketing strategies in regulated industries comes with its own unique set of challenges. However, with careful planning, collaboration, and adherence to regulations, these challenges can be overcome. By leveraging available data, focusing on compliance, and building trust with target accounts, marketers can achieve success with ABM in regulated industries.