Finding your Ideal Customer Profile (ICP) enables you to cut through data to find insights that focus on your best accounts to maximize revenue and minimize effort.
If your database is filled with hundreds, or thousands, of accounts, you’re not alone.
Many businesses find themselves overwhelmed with data, but without the infrastructure, expertise, or focus to turn their data into actionable insights. If you’re sitting on a lake of data, it’s tough to segment your outreach to target the right audience with the most relevant message.
Using data to derive insights gives you a competitive advantage. Unwieldy data holds you back from reaching your full potential.
- Understand what types of customers are most likely to purchase your products or solutions
- Focus your outreach on the accounts with the highest propensity to buy
- Target accounts with larger deal sizes
- Speed your sales cycle by identifying companies that are ready to buy
Follow these 3 steps to identify your ICP and drive better opportunities to your pipeline:
1. Study Your Wins… And Your Losses
No matter what product or solution you’re selling, the best place to start identifying your ICP is to look at your existing customers.
By analyzing the accounts you’ve closed and seeing what characteristics your customers have in common, you can start to identify the companies that are the most likely to be interested in your products. But the same thing is true in reverse.
Now, look at the accounts that you haven’t closed or that didn’t renew. Ask yourself the same questions. Just because you have converted accounts from one industry doesn’t mean all companies in that vertical want your product. Data eliminates subjectivity from your accounts and expands your opportunities.
2. Dial In On Your ICP With Firmographics
Firmographic data defines an organization. It shows you the characteristics of a company, for example: their annual revenue, geographical locations, number of employees, purchasing behavior… anything. Then, this data is typically used to categorize accounts into meaningful market segments.
Looking at the firmographic similarities between the accounts you’ve closed helps you identify what type of messaging resonates with specific companies, when outreach is most effective, etc. It gives you a global sense of what accounts you should target in your outreach.
This is a great start, but you’re not at the finish line yet. Firmographic data doesn’t provide the level of detail you need to target the right accounts, identify strategic intent, or develop the precise account scoring you need to find your ICP.
3. Find Your ICP Using Data To Find Insights
This is the last, most important step to dialing in on your ICP.
Technology intelligence provides invaluable data to find insights on your account’s technological footprint. With it, your ICP becomes much more valuable, giving you answers to the most important questions:
What does their technology footprint look like?
- What competitor products do they have installed?
- Do they have a product that your business can enhance with a complementary solution?
- Do they have products from partners that you work well with?
- What business strategies do my target accounts use?
- For example: ABM, Multi-cloud, AI, Open-source, etc.
What do these accounts spend on IT products in different categories?
Do they have an IT service contract?
- Which vendor services the contract?
- Have you worked with this vendor?
- And, if so, have you landed big wins with this vendor?
- What are the contract terms?
- When is it up for renewal?
This allows you to identify which accounts may be interested in your product or solution, which accounts are the most lucrative to target.
And empowers you to sell to new logos faster.
Ideal Customer Profile: A Use Case
In this 2-minute video Archie Moore, Senior Account Executive at HG Insights, gives a real-world example of how customers use HG Insights to find companies that match their ICP.
When you have this type of technology intelligence built into your ICP, it is much easier to use data to find insights and generate more revenue from your sales and marketing outreach. Identifying your ICP allows you to turn data to find insights and focus your efforts on accounts that:
- Are most likely to buy
- Have the highest revenue potential
- Use products you compete against or complement with your own solution
- Working with an integration partner you prefer
- Working with competitors that you can displace through
- Contract terms that you can beat
- Contracts that are up for renewal
Rob Fox, HG Insights’ CTO explains:
For you, that means unlocking a better-defined ICP to increase your revenue and decrease your team’s effort.
Learn more about identifying your ICP and how you can maximize your market share, and revenue, with HG Insights.