We’re exposing the signals and triggers you cannot see that have the utmost importance for your sales and marketing teams.
The people visiting your website should be swept into your inbound funnel, but that is a drop in the ocean. The rest of the world is engaging with your competitor’s social profiles, their content, looking at events, and demonstrating intent to buy in numerous other ways you can’t track.
If you only rely on the small number of prospects who raise their hand to identify themselves, you will miss out on a ton of deals.
This week, we looked at the Accounting software industry, including some major players in the space. We were able to dissect that data and understand which vendors are favored by SMBs, Mid-Market companies, Enterprise organizations, and so on.
This is what we found. (See below for the full Infographic)
Who owns the general market?
It’s clear that Sage generally owns this market, with their name on more than 50% of the interactions from North American decision makers. That is a lot of signals of intent to buy!
Our team of data scientists found the market is completed with 22.9% of the interactions looking at Xero, 14% at Intuit, 10.7% at WaveHQ and 0.3% towards FreshBooks.
What’s interesting is that Xero, like Sage, is also an enterprise company, and the difference between their market share and Sage’s is vast. Usually, our clients see that the major players in an industry have a closer share of the market. It’s unusual to see such a high dominance from a single company.
But that is exactly the point of this data, to uncover these truths.
Company size intent
Before looking at this data, our team discussed how we expected this part of the Infographic to look. We all anticipated that the SMB market would make up over 50% of the total intent signals we found towards these vendors.
This is because there naturally are more small businesses than larger businesses, particularly in North America where startups are furiously popular right now.
According to our data, SMBs showed exactly two-thirds of the intent signals to buy from an Accounting Software vendor. Only 12.8% of the signals came from Enterprise buyers, which is very low considering we examined the Mid-Market and SMB spaces in comparison versus the Enterprise space.
Who owns the SMB market?
Sage displays their highest share of a particular market in the SMB market, where they’ve earned a very strong 53.1% of the market share. This is the only market in which FreshBooks managed a share greater than 0.1%, so you won’t actually see their name in the rest of this infographic.
This occurrence is quite common where there is a dominant player in a particular vertical. Normally, our clients will see the smaller companies they compete with take at least 5% of the signals we collect. But when there is one vendor with more than 50% of the market, the other vendors will, of course, take a smaller share.
Who owns the Mid-Market?
This is where it gets really interesting. FreshBooks again captures less than 0.1% of the Mid-Market share, so there are only really four vendors of primary importance here. While Sage once again dominates with more than half the engagements (53% again), Xero gained 3.1% as compared to their share of the SMB market.
Intuit slipped to 10.9%, while WaveHQ maintained roughly 10%. The only real movement is where Xero has captured one-quarter of the market and Sage over half. Intuit saved their worst performance for mid-market, which is where most of the gain Xero experienced.
Hey! If you like this, you’d love 100 of our leads for free.
Who owns the Enterprise market?
Get ready for a surprise in the Enterprise market…
Surprisingly, Sage experienced worst share of the market in the Enterprise market, slipping to less than half, at 45.8%. The ground they lost is taken up by both WaveHQ, which gained 3%, but most significantly, Intuit which gained 12%.
Intuit is the company to watch here, because it is rare that one company can gain 12% share of the market in one sector vs another.
Similarly, Xero lost 8% in the Enterprise market compared to their share of the Mid-Market. This is a very significant loss given that they owned 25% of the Mid-Market.
Intent signals by seniority
Lastly, we’re surprised to see the Director-level employees in the buying companies feature so prominently in this data set.
The usual players showing the most intent to buy are those persons with Manager and C-Level job titles, as evidenced by the numbers below. VPs and Directors, however, typically fall in between the top-tier leadership and the everyday users of a software or platform, who would naturally look at vendors that would impact their work on a daily basis.
Director-level employees showing intent to buy from one of our five vendors here made up 21% of the data, which we usually expect to be around the 10% mark. Although they are still second highest, the Management level is quite low compared to what we usually see across our clients and industries.
Some experience the Management level peaking at 40%, where the C level peaks at around 25% to 30% in most cases.
The key takeaway for accounting software companies: target the C level!
Want to know what your industry truly looks like? Send us an email or book some time on our calendar to better understand your buyers, so you can position yourself and your company correctly in front of the right buyers at the right time.