Firmographics — a term thrown around our office every 5 minutes or so, but one that you may not be as familiar with.
Firmographics are attributes about companies that can be thought of similar to the demographics B2C marketers might use to define different customer segments. However, many of these traits are unique to B2B markets. These can include industry, revenue, number of employees, geographic location, and more. B2B marketers use these traits to segment their markets, find target accounts, and more.
Accurate firmographic data is one of the main pillars of any effective account-based marketing and sales strategy. Using this data, marketers can make more informed decisions about everything from personalizing their website content and generating targeted display ads to managing campaign attribution and tracking ROI.
Let’s look at a simple example:
|Company A||Company B|
|Company: Conway Group||Company: DeZign Creative|
|Revenue: $40 Million - $50 Million||Revenue: $1 Million - $5 Million|
|Size: 200-300 employees||Size: 10-50 employees|
|Industry: Political Organization||Industry: Advertising and Marketing Services|
|Website: conwaygroup.com||Website: dezign.com|
|Location: New York, New York||Location: San Francisco, California|
Looking at these two company profiles, a keen B2B marketer would know that the needs of these companies are vastly different. Of course, both companies will have some similarities based on the fact that they both happen to conduct business in the United States. However, Company A will face unique problems for their size and industry, likely have a larger budget, and require a different set of solutions than Company B. Thus the sales and marketing strategy needed to reach and influence the key decision makers at each company will also be different.
The cornerstone to building an effective account-based marketing strategy is knowledge, the more you know about your target accounts the better equipped you will be to meet their needs. Firmographic data provides vital business intelligence that will lead to more informed sales and marketing decisions. Armed with intricate knowledge of your target audience you’ll be able to create more effective messages that will lead to more engagement and, ultimately, the holy grail of all sales and marketing efforts — increased conversion rates.