Did you know that 85 per cent of B2B marketers say lead generation is their most crucial marketing goal? Despite this, only 5 to 10 per cent of leads convert for marketers. One of the reasons for this is that in focusing on lead generation, marketers forget about demand generation.
You may have heard these terms used interchangeably but they are not the same. So what are the differences, and how can they help your business? Let us look a bit closer at demand generation and lead generation.
What is Demand Generation?
Demand generation refers to the process by which marketers assist prospective clients in identifying a problem they may have. This process then tells the client how a particular business can help them resolve that problem.
Demand generation is a marketing strategy that raises awareness for a brand, creates buzz, and drives potential clients to your content. This strategy can happen over different platforms, including social media, PPC ads, videos, and blogs, as well as in person. The content has to be free and easy to access.
There are different ways that you can engage in demand-generation strategies. B2B prospects socialize and gather information on social media and throughout different platforms, but they also rely on person-to-person contact, so it is vital to not restrict your demand generation ideas to only one or two options. Here are some of the options you have.
When you want to boost buzz around a business at the same time that you build trust in the brand, guest posts across social media platforms can be a good choice. You will be creating contacts with trusted sites, and you will be link-building, which helps you with organic traffic.
Seeing the company name or the brand often on trusted sites will go a long way to helping a reader of the content become a lead and then a client.
Having content that uses SEO strategies will improve your search engine rankings, letting people discover what you offer. You will also be seen as an expert in the field if you are one of the first results they see.
SEO strategies can take time, but maintaining first-page rankings for your highest-ranking keywords is one of the marketing tips that are most important for demand generation.
If you want your potential clients to get a real sense of what you are offering, give them the chance to try your services for free. You can have free trials, audits, estimation tools, free-to-use features, and walk-throughs of self-service tasks.
What is Lead Generation?
Lead generation is the evolution of your demand generation results. It is the process of transforming those customers who realized they needed what you offer into actual clients. While demand generation focuses on giving the person access to free information, lead generation builds on that interest.
Lead generation moves the person to engage with what you offer. For example, if you have interested a potential client enough to consider purchasing construction materials from you, the lead generation strategy you may want to use is to encourage them to sign up to download a guide on How to Estimate Costs for Construction Projects. Your team can then reach out to the client and offer your services.
For effective lead generation, you have to invest a bit more.
You want your lead generation to contain more information than your demand generation strategies. It should also be tailored to the person’s needs.
Ebooks, reports, whitepapers, and more can be some of the most effective lead-generation options. They help you demonstrate knowledge in the field and can move the client to the next stage. If you offer free content that anyone can download, a way to engage in lead generation is to offer a more in-depth guide behind a sign-up page.
You can make a connection with the prospect with direct mail marketing. Direct mail marketing teams will look at lead scoring and decide on the most appropriate way of connecting with a prospect.
Direct mail marketing can be notes of thank you for an inquiry and other personalized messages for a prospect you see is getting closer to making a buying decision.
Many industries rely on live events like trade shows, summits, keynote events, and conferences. In these events, salespeople can make actual connections with potential prospects, answering questions and offering demonstrations.
Demand Generation vs Lead Generation: The Differences
These two terms are not interchangeable. Demand generation focuses on creating brand awareness, educating people on the services or products you offer, and building trust to spark interest. Lead generation focuses on converting interested prospects into clients.
Demand generation will grow your audience, bringing people to your social media platforms or site.
Lead generation strives to get contact information for the client and shows the brand value and how it stands apart from the competition. Lead generation is focused on directly nurturing qualified leads that can be converted to customers.
If you have a strategy with a goal of reaching as many people as possible, that is demand generation. If you offer content behind a sign-up form, culling the number of people who will see it, you have a lead generation strategy in place.
You need both demand generation and lead generation to get your business the attention it needs. Turn to experts to assist you in managing your marketing strategies so you can build brand awareness while still getting the prospective clients you need.
At Sales Focus Advisory, we are dedicated to helping you grow your business. Using the latest and most trusted marketing campaigns, we can offer the tools you need to get ahead. Contact us today to discuss your marketing strategy.
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