Let us know the difference between Lead Generation vs Demand generation
keyword: Lead Generation VS Demand Generation | Benefits of lead generation | Benefits of demand generation | what is lead generation | what is demand generation
For any product business that wants to grow and develop as well as prosper, it is essential that it follows lead generation tactics for its business. In order for any business two sustain, the company needs to adapt to Demand generation and lead generation for its products and services.
In this article, we are going to compare and contrast the Demand Generation and Lead Generation.
What is Demand Generation?
Demand Generation is an approach that is followed by an organization’s marketing efforts that are designed to build awareness and drive interest in the company’s products and services.
The Demand Generation can incorporate the elements of inbound marketing, content, social media marketing and other marketing tactics and practices.
Demand Generated can be characterised for an organization towards solving a particular problem that the consumer or customer is facing.
Demand generation is capable to bring together multiple marketing approaches for reaching customers at various touchpoints throughout the buying journey with content that is going to influence them and make them feel that they require your product or service. Thus helping the organization to build up a potential relationship with your customers over time.
Some people often confuse demand generation and inbound marketing because they share the same core similarities. For each of them, you are creating relevant and valuable content, putting it in places where your customers are already talking and conversing with each other. However inbound marketing is really just a single tactic of overall demand generation strategy.
When put to practice, demand generation is a complex process that is aimed at a specific and particular goal. Similar to inbound marketing demand generation begins with understanding who your particular buyers are and where they exist online. You are eager to know what problems and pain points they have and how your organization or company can solve them.
Demand Generation approach is followed by many companies and organizations that generates revenue by selling products and services.
The demand generation expands over inbound marketing in terms of efforts.
Demand generation brings together and unites multiple marketing practices such as content marketing, email marketing, social media marketing, PR and advertising in order with the intention to reach customers where they exist online and offline. These practices are capable of delivering the right message and information at the right point in a customers sales journey. One of the most important aspects about demand generation is that they bride the gap between marketing and sales.
All of these practices create the need as well as demand for your product or service.
Recommended: Lead Management App
What is Lead Generation?
If demand generation is creating the need or wants for your product or service, lead generation is then qualifying the people that you have influenced or attracted, leading them to purchase your product.
Lead Generation is a tactic that is adopted by companies that filters out the probable leads and qualifies them into high quality leads.
Using lead generation, you are creating the content or marketing campaigns that are designed to capture prospects information such as contact details through things such as gated content, lead forms or newsletter sign-ups.
For example you might be keen to generate more business for a particular product or service that your business offers. One way to achieve this would be to create gated content on your website. This shall include things such as ebooks, white papers, or workbooks that would be of value to your ideal customer.
By creating something of value you are giving an incentive to that prospect in order to provide their contact information. To build awareness about that piece of gated content, you can easily boost your content’s reach by running paid ads promoting it to your target audience. This is a basic example of lead generation.
Lead Generation and Demand Generation are always complementing each other as well as help each other to generate leads and probable customers for the company or organisation
However, the best tactics that you can use involves an integration and alignment of demand generation and lead generation efforts.
How does Demand Generation and Lead Generation complement each other?
A great demand generation strategy should be able to drive leads. But when you are able to strategically combine demand generation with lead generation tactics, that is when you are able to get the most quality and qualified leads that are most likely to convert.
If you are running demand generation tactics such as social media conversations, content marketing or free ungated content without also strategizing a way to ultimately capture a lead, your sales goal will not be met. This can also be said if you’re placing a lead capture form on your website without having any plans to attract potential customers from it.
If you are planning to strategically place a lead magnet or a form on a page that you likely know can drive a prospect to from demand generation activities and then there is now a very enticing download that will attract a person and help them, that is a more targeted strategy.
Demand Generation is followed with lead generation that creates a demand about a product. This is followed by qualification of the leads that are looking for product.
Doing this, you have started to build awareness and gain trust through demand generation and are delivering value to them in the form of exclusive and unique content in exchange for their contact information.
Also Read: Lead Management App(2019): Way Forward to Close the Sales.
Let us compare and contrast Demand Generation and Lead Generation
Demand Generation VS Lead Generation
Demand Generation |
Lead Generation |
Demand generation is about generating a demand for a particular product or service |
Lead generation is about gaining quality leads to a particular product or service |
Demand generation is a part of the inbound marketing strategy |
Lead generation is an outbound marketing strategy |
Demand generation creates awareness and trust for a particular product or service |
Lead generation aims to gain a customer base for that particular product or service |
Demand generation is one activity that happens as a part of a digital marketing strategy. |
Lead generation is one activity as a part of sales process |
Demand generation can only happen for a product or service-based company |
Lead generation can also happen for a product or service-based company. |
Demand is generated through product awareness and sharing of gated content towards a particular targeted audience |
Lead is generated through contact forms and social media strategies as well as through cold calling and email marketing activities |
Demand generation is a part of a marketing strategy for a company’s product or service |
Lead generation happens as a part of sales activity for a product or service company |
Demand generation is independent of lead generation. |
Lead generation is dependent on demand generation, that is lead generation can only occur after demand generation |
Benefits of Demand Generation
1)It helps to create awareness and trust for a company’s product and service
2)It helps a company to create brand awareness and trust
3)Helps to carry out the sales process in a smooth manner
4)Involves traditional marketing and digital marketing activities
5)It identifies the need for a product or service in the minds of consumers
Benefits of Lead Generation
1)Lead generation helps to carry out the sales process in a distinct manner
2)Lead generation helps to increase companies revenue through sales
3)Helps to generate quality leads through marketing activities
4)Lead generation activities cost less compared to other marketing activities
5)It helps to generate better returns on investment for products or services company.
Scope of Lead Management for Lead Generation and Demand Generation:
Now that you know that how effective Demand Generation and Lead Generation can be. It is now time to know that when you apply the above tactics for your business to generate demand and leads, there will be a time where your efforts will bear fruits, and for this you need to manage your leads and contacts of prospective customers well enough. You should not be overwhelmed by the amount of data or contacts that you will be coming across. This is because that these contacts can generate you a lot of business provided it is well managed and organized. it is important that you regularly follow up with your leads and contacts. A good lead management app will do this trick for you and help you to manage all of your contacts and prospective customers for you.
Field Force Connect is the solution that you need to check out. This awesome app helps you to manage and organize all your lead information in a simplified and compact approach for sales management. This app will automate all of the basic lead management functions that you need to perform for gaining customers. Field Force Connect can be your one stop solution to all of your lead management needs that your organization has. With a robust and simplified approach that is well organized and easy to understand and use, the app enables you to follow up with all of your lead contacts in an easy way thereby helping you to retain almost all of your customers and convert them into sales for your organizations products and services.
Conclusion:
To conclude we state that both lead generation and demand generation are inter-related to each other and both form a part of your companies digital marketing strategy that helps to generate business for your products or services. These activities also come in handy for client acquisition for any company, as the basic methods still remain the same throughout.
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