Demand Generation vs. Lead Generation -What do you need to know about it?

With the advancement in technology, marketing has become more efficient. These days companies are using both demand generation and lead generation to boost their business.

Let us take a look at what both of these concepts are about and then we will see how they can be used effectively in helping business owners to grow their companies.

What is Demand Generation?

With demand generation, companies need to build brand awareness about products and services in the market through various promotional activities such as advertisements, social media marketing, etc.

It includes all promotional activities which are carried out to make people aware of the existence of different products and services in the market.

 

What is Lead Generation?

Lead generation is the process of creating an interest in a product or service among potential customers.

It includes all promotional activities which are carried out to make people aware of the features, advantages, benefits, and other aspects related to a specific product or service.

These activities usually aim at making people interested in purchasing the product/service once it reaches the market after the development stage. 

 

Difference between Demand Generation Vs. Lead Generation

Demand generation is when a company tries to create demand for its products or services. It is focused on converting prospects into customers and relies on creative content and emotional storytelling.

However, Lead generation is when a company tries to generate leads for its products or services. It is focused on generating opportunities for sales and relies on rational content and technical storytelling.

Companies use lead generation to generate opportunities for sales. They focus on generating leads with the goal of converting them into customers. In contrast, demand generation focuses on converting prospects into customers by providing value to them and creating a need for their product or service in their life.

Now let us take a look at how demand generation results in actual sales:

Demand Generation Tactics

Following are some of the popular demand generation tactics:

• Social Media Marketing:  

It is one of the most efficient ways to attract people to your company's product or service. You use social media to post content about your company and how it can make a difference in people’s lives.

With the help of social media, you can reach billions of potential customers all across the world which in turn, will result in huge sales for your company.

• Search Engine Optimization:  

Optimizing your content helps you rank high on search engines, hence higher conversions.

It is a highly functional approach to attract a large number of potential customers who are looking for a particular product or service online.

• E-mail Marketing:

Email marketing helps you land directly in your potential customer’s email to promote your brand, converting them into your leads.

It is another useful strategy through which you can reach out to people and convince them about the usefulness of your product or service.

 

Now let us take a look at how lead generation results in actual sales.

Lead Generation Tactics

With lead generation companies need to build relationships with potential customers to make them interested in the product or service offered by the company.

Following are some of the popular lead generation tactics:

 

• 1. Website reviews and ratings:

People generally look for reviews before investing money in a product or service. You can use website reviews, ratings, and testimonials as an insightful method to generate leads for your business.

People always tend to trust what other previous buyers have experienced about a particular product. Once you gain their confidence and they show interest to purchase your products or services then you can convert them into actual sales.

 

• 2. Flyers, pamphlets, brochures:

If people are looking for some general information about a particular product or service then pamphlets, brochures, and flyers are the best way to generate leads.