When Is the Right Time for an Organization to Adopt ABM?

If you’ve ever wondered whether your business is ready for Account-Based Marketing (ABM) or how to fine-tune your approach, this one’s for you.

As part of our ABM Answered series, we always include a segment called ‘Next Guest’s Question,’ where marketers share their biggest ABM or marketing challenges. 

In this edition, Saurabh Sanghi (IGT Solutions) asks, ‘What is the right time for an organization to adopt an ABM approach?’ Meanwhile, Kristina Jaramillo (Personal ABM)  takes it a step further, asking, ‘How do you do your homework to know if ABM is even right for you?’

When some of the biggest names in marketing are asking this thought-provoking question,“When should an organization adopt an ABM approach?” It's clear that this isn’t just a niche debate. 

If industry leaders are discussing it, chances are many businesses, maybe even yours, are wondering the same thing.

At first glance, the question seems simple, but not just anyone can answer it. The truth is, timing matters. 

And to find the answer, we won’t just rely on theories or Google searches. We'll dive into real-world insights from some of the brightest minds in marketing.

Explore real-world insights with our community and discover the right time to adopt ABM in this step-by-step guide.

What Is ABM, and Why Does It Matter?

In case you’re new to the term, Account-Based Marketing (ABM) is a way for businesses to focus their marketing efforts on specific, high-value customers instead of trying to reach everyone. It’s like picking out the best-fit customers and creating personalized strategies just for them. 

(For a deeper dive, check out our What Is ABM? article.)

Now, let’s get to the core question: When should you adopt ABM?

Key Triggers That Indicate It’s Time for ABM

1. When Sales and Marketing Need to Be More Aligned

Steve Armenti (Twelfth):

“Anytime is right because ABM is about making sales and marketing more efficient at talking to potential customers. The easiest way to do that? Align on accounts.”

If your marketing team is generating leads, but sales isn’t following up on them (or vice versa), ABM helps bridge that gap by making sure both teams are working toward the same goal, winning key accounts.

Freya Ward, Global Growth Director at Headley Media, echoes this, highlighting the importance of alignment:

“Anytime I speak to a client who hasn’t seen success from an ABM campaign, it’s because sales and marketing are speaking a different language.”

In other words, If your teams aren’t in sync, ABM can be the framework that gets everyone rowing in the same direction.

Case study: Nuvolo, a SaaS company targeting enterprise healthcare clients, successfully used one-to-one ABM campaigns by having sales and marketing teams work together on a select group of accounts per quarter. This deep alignment led to stronger engagement with decision-makers and faster sales cycles (HealthLaunchpad).

For a deeper dive into how to align sales and marketing teams effectively, and why it’s crucial for ABM success, check out our full guide here.

2. When You Have a Clear Picture of Your Ideal Customer

Ross Howard, Director of Insights and Intelligence at Inbox Insight, suggests that before jumping into ABM, businesses should have a well-functioning outreach system in place. 

Why? Because without a clear understanding of your Ideal Customer Profile (ICP), ABM efforts may fall flat.

Freya Ward reinforces this:

“The best time to adopt ABM is when you truly understand your ICP; who your ideal customers are, what their job titles are, what company size they belong to.”

If you’ve already had success with certain types of customers and know what works, ABM helps you double down on what’s already winning.

Case study: Thomson Reuters executed ABM through highly targeted events for key decision-makers in their top accounts. Over a year, they hosted 700 in-person and online events across North America, strengthening relationships and achieving a 95% win rate in their target accounts (xGrowth).

3. When Traditional Marketing Is No Longer Delivering

If your digital ads and broad email campaigns aren’t bringing in quality leads, it may be time to shift focus.

Dan Smith points out that there’s often external pressure to jump on the ABM train because “everyone else is doing it.” But he offers a great analogy:

“The best time to plant a tree was 20 years ago. The second-best time is now.”

If broad marketing isn’t working for you anymore, now might be the time to experiment with ABM even if it’s just a small, test campaign.

Case study: GumGum, an AI-driven ad tech company, needed to get the attention of T-Mobile’s CEO, a known Batman fan. Instead of running generic outreach campaigns, they created a custom comic book featuring the CEO as a superhero. This hyper-personalized approach secured their meeting and ultimately won them the deal (The CMO).

4. When You Have an Outbound Sales Process That’s Working

Ross Howard warns that ABM or “company-based marketing,” as he likes to call it isn’t a magic fix if your outbound sales strategy isn’t mature yet:

“If you refine who you’re going after but have no skills or technology to reach out to people, you’re going to struggle even if your ABM is perfect.”

In other words, if your team isn’t already strong at outbound selling, focusing on accounts too early can backfire. Instead, it’s crucial to strengthen your outreach process first before implementing ABM.

For organizations with large deal sizes, lengthy sales cycles, or extensive buying groups, ABM becomes an essential tool. As Howard puts it:

“If you don’t have a good outreach function that’s already seeing results, even the best ABM strategy will struggle.”

In these cases, adding elements like account-based events or high-touch customer engagement layers can drive significant results.

5. When You Want to Improve Efficiency and Budget Allocation

One of ABM’s biggest benefits is that it protects your budget by helping you focus on accounts that actually matter.

Dan Smith explains:

“An account selection process can help you unlock meaningful insights, personalize content, and avoid wasting money on less relevant or inactive accounts.”

If you’re looking for higher ROI on your marketing spend, ABM ensures that you’re only investing in the prospects that are most likely to convert.

Case study:  Mixpanel, a product analytics platform, shifted to ABM-focused paid campaigns, prioritizing accounts based on lifetime value. This resulted in a 98% increase in customer lifetime value from paid channels and a 13% boost in ad click-through rates (xGrowth).

A common misconception is that ABM requires a huge budget. 

Gentle reminder: ABM doesn’t have to be expensive. Even simple account selection and personalized messaging can make a significant impact without breaking the bank.

As Dan puts it:

“You don’t have to launch a fully-fledged ABM strategy overnight. Start small, run an ABM-style campaign, learn from it, and iterate.”

When ABM May Not Be the Right Fit (Yet)

While ABM has many benefits, it’s not always the best approach. You might want to hold off if:

❌ Your business sells low-cost products with short sales cycles.

❌ You don’t have alignment between sales and marketing.

❌ Your team lacks the resources to personalize outreach effectively.

❌ Your outbound sales function isn’t well-developed.

If any of these apply to you, it’s okay to wait. Instead, focus on building the right foundation before diving into ABM.

How to Prepare for ABM (A Readiness Checklist)

Before launching an ABM strategy, ask yourself:

✅ Do we have a clearly defined Ideal Customer Profile (ICP)?

✅ Are our sales and marketing teams aligned on goals and target accounts?

✅ Do we have the right technology and tools to personalize outreach?

✅ Is our outbound sales process working well?

✅ Do we have the resources to execute a targeted strategy effectively?

If you can check off most of these, you’re probably ready to start experimenting with ABM.

Key Takeaways & Next Steps

•  ABM is ideal for B2B companies with high-value deals.

• The right time to adopt ABM depends on key factors such as sales and marketing alignment, a clear ICP, and a well-established outbound process.

• If traditional marketing isn’t delivering results, ABM helps you focus your budget and resources where they matter most.

• Not ready yet? No stress. Focus on alignment and strategy first, then introduce ABM when the time is right.

Final Thoughts

ABM takes a little [ok quite a lot] of effort to set up but the results make it all worthwhile. 

Once you start seeing engagement from the right accounts, higher conversion rates, and stronger sales-marketing collaboration, you’ll realize just how powerful ABM can be. 

Start by aligning your sales and marketing teams on your top target accounts. From there, test a small ABM campaign and see what happens, you might just be surprised at the impact.

Stay tuned for more expert insights, strategies, and real-world ABM success stories. There’s so much more to uncover!