In industries where customer purchases are highly influenced by distributors—such as electrical, industrial, and construction—account-based marketing is essential for success. If the distributor has a choice of products to promote, they choose based upon the support offered by the manufacturer, as well as the profitability opportunity and/or ease.

Historically, manufacturers offer an ineffective, one-size-fits-all approach to marketing, then wonder why their co-op funds went unused. Typically, 20 to 40% of marketing support dollars go unspent because it’s good for finance but bad for taking share. 

We think account-based marketing IS effective—when it’s done thoughtfully and customized for the manufacturer’s situation and goals. 

For example, for many manufacturers, 30 to 50% of sales—sometimes more—come from national chains. If marketing groups are included, this could be over 80%. Why not spend a little more time developing a customized initiative? You’ll demonstrate that you value the account when you tailor something to achieve joint needs.

Or consider opportunities where, as a manufacturer, you develop initiatives that co-op/co-brand strategies with end-users (or distributors) to pursue selected market segments. Targeted marketing initiatives may be required for each audience. 

• Analyze prior marketing expenditures
• Determine a Distributor Marketing Index
• Categorize current activity by customer and vehicle
• Identify competitive strategies
• Solicit distributor and sales organization input
• Set objectives
• Identify effective branding and marketing tools
• Develop co-op program management tools
• Train the sales team
• Promote the program to distributors