Demand marketing 101: what it is and how to do it
What is demand creation?
In its simplest form demand generation can be defined as (unexpectedly!) the generation of demand for business products or services. This is achieved through a gradual, comprehensive and holistic process that often involves entire marketing departments.
Both b2c and b2b demand generation can (and should) be seen as a funnel. Demand generation starts by identifying the target audience. However, unlike incoming marketing or traditional ways of conversion (both of which play a certain role in the future), demand creation closely links marketing with sales to achieve these goals.
Think of demand formation as a long-term relationship between the marketing team of the brand and potential customers. Demand creation begins with identifying and qualifying potential customers through content and inbound marketing, email marketing campaigns.
While demand generation and traditional lead generation may seem very similar, there is, in fact, an important difference between demand generation vs lead generation.
For example, someone who simply visits a website may be considered a lead for companies that rely on cold sales.
However, demand generation identifies potential prospects based on initial user actions and further leads to ‘cultivation’.
The biggest difference between demand generation and lead generation is that the former is a more complex process that takes place over a longer period and involves close collaboration and communication between sales and marketing departments, elements of inbound, direct and electronic marketing to lead nurturing, offering users material.
3 stages of demand creation
Did you know that before buying your product, the consumer has to go through four stages of demand formation? It is not enough just to give advertising and wait for an incredible surge in sales. (As most entrepreneurs think). (As most entrepreneurs think) No.
If you are selling after a particular promotion, then the demand for your product or service has been formed before.
So your customers have already seen messages or mentions of your offer before that particular campaign.
This means they have already passed ALL four stages of demand formation. And that is exactly to this advertising campaign – they are “ripe”.
It is this model has become “the last straw in the sea”. It is now that they have heard the key moment that has become decisive for the decision to buy.
We are now talking about new customers. Or we are talking about a new product (new model, modification, composition, packaging…). I mean, the FIRST purchase.
And it does not matter what product, service or any other market offer we are talking about. This is the Marketing Law. (Yes, marketing also has its own laws:-)). And, yes, options are possible in complex markets, monopolies, and some other cases.
Well, there you go.
It’s for. Perfections. First. Shopping. Buyer. Must. Make it through. Four. Stages. Formation. Demand.
Repeat that phrase to yourself as a mantra. Especially when you want to give idiotic spontaneous advertising in some newspaper.
What are these stages? There they are:
At the first stage, the buyer only learns about the existence of your product, service, the first acquaintance.
On the second stage, the buyer comes to understanding and confidence that he knows the purpose of this product, its properties. He learns the name, packaging, logo – something, some attributes.
In the third stage comes the belief that this offer has certain advantages, important for this particular buyer, which can satisfy him. And finally, a decision is made to buy a product.
Thus, advertising is not a straightforward activity, as many people are used to considering it. There is no RIGHT, direct connection between advertising and sales (“saw – bought”). Buying occurs only when the buyer is convinced that he needs this and directly NOW.
5 steps to carry out demand marketing
You have created a new product or service and are ready to release it to the market. Or you want to improve an existing product and present it to your customers. Either way, it is impossible to release a new product or service and expect immediate success without doing the necessary work. Even Apple has had to innovate, research, develop and risk releasing a new mobile phone form factor to the consumer market. That’s why we offer strategies to create demand for products and services to increase sales.
- Carry out market research
One of the most important things you and your company have to do is find out what your customers want and need. There are several ways you can get this information. First, you can conduct surveys and organize test groups with your customers, asking them specific questions about any area of the product. Second, do some market research to see what customers are saying to you in social media and what their needs are.
Of course, there are other ways to do market research, but if your budget is limited, there is no better channel than social media.
- Highlight the real customer testimonials
Real honest feedback is what usually encourages consumers to buy a product or service, creating a new level of trust. Think about it from a brand perspective. How has viewing feedback from past customers helped you improve your product and service? And by the way, bad reviews are exactly what you need. After all, they are the ones that will help you reconsider a particular service and offer.
- Create winning content
Any business, new or old, must promote itself and its products or services through the content they release. This content should not only be informative and informative but also interesting for your customers. You can post blog posts related to your niche, highlight various aspects of your product or service that your potential customer may not know about, create podcasts or funny videos of the product or service you are selling. Regularly providing your customers with quality content will keep them interested and can help increase overall sales.
Potential customers are always looking for additional information to confirm their purchase decision.
- Think of a loyalty program
When companies offer special offers to their regular customers, they are likely to not only buy again but also recommend this company to friends and family. Some companies offer tiered rewards programs, while others use a point system: customers accumulate points with each purchase and can buy items with these points or receive equivalent discounts on future purchases.
Creating a loyalty program is effective in creating and increasing the value of life per customer (LTV).
- Extend coverage
We need to make your product known to as many potential customers as possible. It is the potential – otherwise, there is a risk to “drain” the budget, which is often lacking. To prevent this from happening, use a proven channel – automated placement of ads in applications or on sites. It is in mobile devices you can quickly “catch” users and offer them the necessary product with the help of precise targeting settings.
9 demand generation strategies to master
So, now we have an idea of what demand is, how to realize this knowledge? Here are nine strategies to generate demand that you can start using right now.
1. Let’s have real value.
Whether it’s a content download, a free offer or another advertising campaign, be sure to give only your best offers. While this may seem illogical, the constant offering of gifts of real value has several advantages.
It creates a sense of trust between your audience and your brand and means users are more likely to return to your site. Finally, by offering something of real value, your visitors are much more likely to part with any information you need, and you can qualify them as viable leaders. This is the first stage in the demand creation process.
2. Provide a free tool, application or resource
One of the most effective ways to create a successful demand creation campaign is to offer a free tool or resource.
Of course, developing a free tool (or application) is not cheap, and you will have to consider development budgets.
3. Use Look-a-Like strategies (similar audiences).
As the name implies, similar audiences are user-generated audiences that are similar to those who have already expressed interest in a product, service or content based on demographic and behavioral similarities.
One of the key advantages of this demand generation strategy is that it allows you to significantly double the potential coverage of advertising campaigns, using a huge amount of data. The larger the user audience you upload, the more you can use your network with “twins”. This targeting feature is one of the most powerful strategies to generate demand, and we recommend that you start using it immediately.
4. Launch affiliate marketing
If webinars will be part of your demand creation strategy, you need to go to your bank and collaborate only with your industry opinion leaders through these webinars. This will increase your industry credibility, create valuable links with key influencers and increase your brand awareness – all important elements of a continuous demand creation strategy.
Building relationships takes time and effort, and initially, you may not be able to catch the speakers you want. However, when planning and hosting webinars, you should strive to invite the most respected, famous guests and – see our first item – give your best advice, recommendations and strategies during the webinars themselves.
It doesn’t have to be hard – there’s a variety of lead generation software that would help.
5. Include special accommodations
Special placement places allow advertisers to better manage the audience to which advertisements are shown, limiting coverage for those who are more likely to respond positively to them.
6. Invest in content creation
Incoming marketing is a huge part of a successful strategy for demand creation, and content creation is an important part of incoming marketing.
A solid content strategy for demand creation includes elements of some of our previous recommendations, including giving away only your best materials and providing your audience with valuable resources. Content is a long-term investment, just like demand generation itself.
If you already publish regular blog posts, think about how you can make them even more valuable. Does it include original data or research, or is it just repeating what has already been said? Do they reflect current trends or are they late? Basically, ask yourself some hard questions about why someone should spend their precious time reading your content.
7. Optimize your e-mailing marketing strategy
E-marketing can be an incredibly powerful component of your demand creation campaigns, but too many advertisers are abusing it or not using its potential at all.
If you regularly bombard your subscription list, you risk disabling potential customers and harming your brand. Instead of sending e-mails to your subscribers over and over again, act smarter. A/B testing is important. Everything from the length of the header and the subject matter of the email should be tested so that you can make informed decisions based on hard data, not assumptions.
8. Use remarketing capabilities to increase brand awareness
For many marketers, remarketing is a strategy to increase conversion and only. But remarketing is also an extremely powerful tool for raising brand awareness.
9. Consider implementing a lead assessment system
Generating demand means not only increasing the number of lead for your brand but also improving the quality of these leads. Assessing the leads is one of the best ways to determine if they match the quality that your sales team needs to close more deals.
Lead scoring evaluates the behavior of your potential customers and the actions they have taken when interacting with your brand to determine if the individual potential customer is showing sufficient interest. This is achieved by examining the actions taken at various points of contact with your brand, such as whether they have viewed a particular page on your website that suggests the intent to purchase, expressed interest in demonstrating your product or used your free tools.
Let us know what approach on demand marketing you think would work best. Leave a comment 😉
Demand generation manager job: how to handle it?
The average Demand Generation Manager salary in the United States is $86,825 as of March 26, 2020, but the salary range typically falls between $73,135 and $103,598.
It pays very well, but it is quite a demanding job!
Here’s what the Demand generation manager does:
1) General management of the trade marketing department.
2) Organizing research on the main factors that affect the dynamics of consumer demand for goods, the supply/demand ratio for similar types of goods.
3) Development of the general strategy of trade marketing of the enterprise based on the results of marketing research; budgeting of marketing, control over the financial resources allocated to the trade marketing department.
4) The demand generation manager conducts the categorization and identification of priority groups of potential consumers to develop activities that contribute to the expansion of the sales market of goods.
5) Evaluating the prospects for market development, as well as the prospects of the enterprise to master and conquer a particular segment of the market; development of a strategy to enter the market.
6) Determination of the required range of goods, price policy for goods.
7) Development of proposals for the individualization of goods to transfer information to manufacturers or to give goods individualization characteristics (e.g., packaging of goods).
8) Definition of distribution channels – their types, characteristics, creation and use policy; development of the concept of creating dealer and distribution networks.
9) The demand generation manager develops the concept of procurement (purchase) of goods.
10) Development of the methodology of searching potential sellers and buyers; management of search for sellers and buyers of goods; organization of work on establishing relations with consumers and wholesalers of goods; management of contractual work with outside organizations.
Organization of collection of information from consumers about satisfaction with goods, claims, and complaints about goods; definition of forms and ways to eliminate shortcomings in consumer complaints and complaints.
12) Maintaining communication with the market through advertising, information service to inform consumers and promote products; organizing the development of strategies for promotional activities.
13) Developing measures to stimulate (both active – through a system of discounts, incentives, etc., and passive – through the quality and design of goods, image policy) sales.
14) Management of purchasing, sales, and marketing research managers exercising operational control over their daily work.
15) General management of regional offices and branches.
16) Coordination of trade departments (sales departments) with warehouse services, information department, and advertising department.
17) Preparation of proposals for the formation of the corporate identity of the enterprise and corporate design of advertising products.
18) Analysis of the effectiveness of marketing activities; monitoring the marketing campaigns of competitors, their analysis, making adjustments to their own marketing activities.
Best Demand Generations Software top use
There are many tools and software to ease the work, automate some parts of it and help get the job done and get leads on demand.