What Is Demand Generation Software: Analysis of Features, Types and Pricing

Markets today are very saturated. Each product or brand not only has direct competition but also substitutes and alternatives. Moreover, the same is true for marketing communications channels. Brands not only have to compete with other brands, but they also have to compete with other entities that create useful content. These include social media personalities and subject matter experts that carve their own digital niches. Attention is hard to come by.

These dynamic shifts in commanding attention have also changed the face of demand generation. But, really, what is demand generation? How does it differ from other marketing functions? Also, what software can help users accomplish this?

In this article, we will provide a guide on different demand generation strategies and tactics and showcase demand generation software tools to execute them. We will also discuss common demand generation software features and delve into discussions about what demand generation is. In this way, you will be able to gain some actionable insights on how to systematically create demand offline and online using a mix of traditional and digital means.

Brands are undergoing difficulties vying for customer attention. This is reflected by the shift in content marketing priorities. One study found that lead generation is the top priority of 79% of marketers. This is followed by attracting more web traffic (75%), improving brand reputation (57%), and improving customer engagement and loyalty (47%). However, all of these are not achievable without creating enough demand for a brand or product. And, this is where demand generation comes in.

In fact, by creating more awareness, brands can increase their revenue by 23%. Generating interest in a brand, a product, or a service is the first task of marketers. And, this task is crucial to marketing success. You want to take your first steps in the right direction. However, for the uninitiated, the demand generation meaning is quite murky. Often, people equate the term with lead generation. But, experts place a different demand generation definition. Although, not all agree.

But before unraveling what demand generation is, we will discuss the definition of demand generation software tools. In this way, you can familiarize yourself with them before we delve deeper into the fundamental issues of demand generation and its operational use. Also, we will discuss the advantages of demand generation software.

What is demand generation?

Demand generation, as its name suggests, is a key marketing function that looks to increase awareness and interest in a specific brand, product, service, or company. If we look at the traditional marketing funnel, it is at the very mouth—creating awareness to facilitate trial that leads to purchase and, finally, brand loyalty or evangelism. Of course, there are many versions and subdivisions of the marketing funnel. The same goes for demand generation.

But, the fundamental idea holds. Demand generation is creating a brand that prospective customers or leads want to engage with. The execution, however, is different between B2B and B2C companies. Nonetheless, like any marketing function, demand generation uses multichannel approaches to create awareness and interest.

These include offline programs like events, live sales engagements, and experiential marketing campaigns, among others. Moreover, in the increasingly digital market landscape, demand generation usually entails online marketing communication channels and techniques. Such include social media campaigns, email marketing, and content marketing.

Certainly, the mix of these channels and techniques ultimately depends on the type of company, its phase in the business journey, and its current and planned offerings. Naturally, this poses a blank canvas to marketers, especially those who are new to demand generation. This is what makes it interestingly difficult.

A Small Controversy: Demand Generation vs. Lead Generation

Before we move on to discussing how to successfully create demand generation strategies, there is a need to discuss a somewhat sensitive topic: if there is a difference between demand generation and lead generation. Some marketers see lead generation as a pillar of demand.

On the other hand, others see lead generation come after demand generation. In the next section, we will briefly discuss why marketers may take one stance against the other, and, also, discuss the merits of both views, and offer an account of why there are two seemingly opposing views. At the end of the section, we will attempt to provide a synthesis of these views by proposing which domains each of them can be, operationally, or of use.

Demand Generation vs. Lead Generation

For those new to marketing, the issue of demand generation vs. lead generation can cause confusion and controversies. As mentioned, some view lead generation as a pillar of demand generation while others insist that demand generation comes before lead generation. Here, we offer a brief survey of both views and discuss where each can be operationally useful. A good grasp of these concepts can help businesses minimize their rate of failure as poor marketing is one of its leading causes.

Existing Demand: Established Firms and Qualifying Leads

Gurdeep Dhillon, the Head of Global Demand Generation at Marketo, stated that “The common misconception is that demand generation is all about creating demand for a product. The clue’s in the name, right? Well, demand generation is actually far more than that.” Instead, he stated that “demand generation is an umbrella term for a range of marketing activities that drive long-term engagement—including lead generation, demand capture, and pipeline acceleration.” These three activities he mentioned form the three pillars of demand.

Three Pillars of Demand

1. Lead Generation. This happens before any demand generation can happen. This involves gaining the interest of potential customers to add them to your database.
2. Demand Capture. If there is an existing demand in the market for your products, you capture it and guide potential customers to your offering using advertising and other techniques like SEO optimization.
3. Pipeline Acceleration. This is creating targeted content or customer engagements to meet a lead’s pain points appropriate to their customer journey.

The gist of this view is that lead generation comes first before demand generation. This view, however, is from the vantage point of well-established companies operating in markets with existing demand for their offerings.

Lead generation, especially for B2B companies like Marketo, can almost be considered to be synonymous with demand generation. Because of its existing database, they just have to categorize and qualify leads in markets with existing demands for their products. Then, they will be able to design marketing programs around them to generate further demand.

However, for businesses that aspire to create demand in niches where there is no existing demand, demand generation can mean another thing. This is why other marketers would agree that this confuses demand generation with the lead generation function.

Prospective Demand:  New Entrants and New Niches

For well-established brands, especially in the B2B market where Marketo belongs, lead generation for growth is a pillar of demand generation.  This is because companies at this stage of their business journeys have existing market demand for their products. Also, as mentioned, most have good leads within their databases.

Thus, they can just build demand generation programs around these qualified leads. But, this does not capture the experiences of marketers working for new entrant organizations or those that are carving out new niches. And, this is the case for many. Keep in mind, that the number of business applications has been increasing since 2011.

Within this context, demand generation is creating excitement about one’s offerings to make people want to buy them. The main difference between the aforementioned view is that demand generation, here, comes before lead generation.  Put simply, the demand generation process involves campaigns that create interest and demand for a brand or an offering.  Lead generation, in this view, is collecting customer information based on these campaigns.

RJ Licata, the Director of Marketing for Terakeet, provides three key points about their differences.

Three Key Points: Demand Generation vs. Lead Management

1. Demand generation turns brand strangers into prospects through methodological marketing processes.
2. Lead generation uses strategic content to nurture brand-aware prospects to guide them through their purchasing journeys.
3. Both are interrelated and have subtle differences.

Licata likened demand generation to “tossing bait in the water to attract as many fish as possible to your boat” to get the attention of people that are strangers to your brand. On the other hand, lead generation is “baiting your hook with the best lure” to reap the “fruits of your demand generation marketing efforts.”

Both demand generation and lead generation go hand-in-hand. And, as they are marketing processes that should mesh together, they can easily be confused for each other. This confusion, we propose, is they can both be modeled using both continuous and discretized frameworks. Both views have merits. However, as implied, each is applicable to different contexts involving the type of company you have, the current phase of its business journey, and its current and planned offerings.

The Interrelation: Continuous and Discrete Views

The main merit of framing lead generation to come before demand generation is that it emphasizes the ongoing mix of marketing efforts to create viable prospects. It highlights the fact that marketing, ideally, is a continuous undertaking with no halts or gaps in between processes.  On the other hand, the merit of the view that lead generation comes after demand generation is that it emphasizes a discrete and ordinal process. This highlights a step-wise approach to the marketing funnel that discretizes customer journeys and the appropriate steps to successfully guide them through it.

Both views, in essence, capture the whole marketing game. They are not totally opposing views. Their definitions may differ because of their different vantage points but they show how both demand generation and lead generation are interrelated.

The former is sufficient in the context of well-established companies or in markets with strong existing demand. Demand generation, for them, is a continuous marketing process that, in some ways, is synonymous with marketing communication. This is especially so for B2B operations where leads are the basis for demand generation campaigns. This is true for businesses with customizable offerings that are flexible to a particular client’s needs. A good example would be providers of  SaaS solutions.

On the other hand, the discrete view better captures the experience of new market entrants and firms that are carving out new niches. For these companies, creating market demand for their products or services is a top priority. This is because there is little to no demand for what they offer. For instance, this is the case with musicians and other artists that create and showcase their works for free to create demand before selling any.

So, like in many other things, context is key in defining demand generation for your business.

What is demand generation software?

So, what does demand generation software do? A demand generation software solution helps users create awareness and stimulate excitement about a product, service, or brand. These software products also allow users to expedite conversions and sales cycles. Moreover, it connects demand generation with other marketing processes, especially lead generation. Furthermore, the top products also offer advanced analytics and reporting modules among the other features of demand generation software. These allow users to make data-driven decisions to optimize their demand generation campaigns.

Most demand generation software tools today give users tools to create campaigns across different digital channels. These include social media, email, and SMS. Also, they are fitted with team and project management features to help users manage internal operations for their campaigns. These modules include collaboration tools such as internal chat, @mentions, comments, and forums.

Lastly, there are demand generation software systems that also have CRM capabilities. This way, it will be easier to nurture captured leads from demand generation campaigns.

Types of Demand Generation Software

There are different types of demand generation software solutions. In fact, many of them are general marketing software tools. They differ, however, in the way they are deployed. Here are the three types of deployments that are commonly available for demand generation software solutions.

On-premise. This type of demand generation program is installed into your work machine like traditional legacy products. These are usually covered by a single license or a license for a limited time. Additional fees may be required for updates outside the initial subscription period. The good thing about this type of deployment is that you have a copy of your data in your local system.

Cloud-based. These demand generation software solutions are hosted on the provider’s server. Clients can access them through the cloud via web-based portals and/or their native mobile apps. Moreover, cloud-based solutions are usually offered via monthly or annual subscription plans. And, many of them offer free basic plans. The benefit of this type of deployment is that users can access the software anywhere provided there is an internet connection. There are those that have offline mode capabilities but they are few and far between.

Hybrid. There are also software products that can be deployed on-premise and be accessed on the web. Hybrid deployment allows users to access their solutions through their installed apps and the product’s web client. With this, users can save important data on their local machines and continue to work whenever the internet is down. When there is an internet connection, accounts will automatically sync.

HubSpot Marketing is a good example of demand marketing software.

Features of Demand Generation Software

Even though they come in different kinds, the purpose of demand generation software stays the same. However, some offer general features while others provide highly-specific tools for a few specialized functions. We cannot, however, cover the latter here. This will be discussed in later sections. For now, here are the ideal features that you should look for in a general demand generation software offering.

Ad Management

Demand generation software tools must have an ad management module. This enables users to create demand through target ads on various platforms, including Facebook, Instagram, LinkedIn, YouTube, and Google. This module also allows you to monitor and track the performance of your ads across different channels in one single hub.

Lead Management

A good demand generation software solution should include tools for lead capturing. These tools include landing page creation and opt-in forms. With these, users can provide prospective customers with call-to-action tools that are not only limited to information gathering but can also direct them to sales for faster conversion. Furthermore, good lead generation modules should include features for automated lead scoring and segmentation.

CRM Capability

It is also best for demand generation platforms to have a CRM module for lead nurturing. This helps users provide an instant line of communication across digital channels. Features within this module should include website chat, social CRM, and email CRM. Moreover, these should be accessible in a single command center for a single source of truth.

Email Marketing

For those embracing a content marketing strategy, an email marketing feature with a newsletter campaign editor is a good fit. This is especially so for B2B users that use educational content to create demand. This is also helpful when upselling or offering lateral products after a sale. Moreover, email tools can also be used to promote other demand generation tactics like offering free webinars or free reports.

Analytics

Choose a platform that has a good set of analytics tools with great visualizations. These allow you to form a better idea of the current status of your campaign and inform you of things that you can improve on. Also, find a product that has dashboard-creation capabilities. In this way, you will be able to customize not only the look but also how you can interpret the data.

Collaboration Tools

Demand generation is usually done by teams of multiple people. Thus, look for a system that has tools for collaborative work. Common collaboration features would be those for messaging, commenting, and file sharing. Do note that there are demand generation programs that also have great project management features that can rival standalone project management platforms.

Users love Pipedrive’s customizable visual sales pipeline method.

Benefits of Demand Generation Software

So, why use demand generation software? The main benefit of demand generation software is that users can easily conduct campaigns across digital platforms. Moreover, these solutions also have team or project management modules that help users streamline processes and management. These can also be used to manage offline demand generation campaigns.

Omnichannel Demand Generation

Users will be able to post ads and other marketing content on different digital avenues in one single hub. These include social media, search engines, apps, email, and even SMS. By having a centralized platform, marketers will be able to keep track of  their campaigns and have the chance to course-correct or optimize as they go.

Make Data-Driven Decisions

Demand generation software solutions provide users with reporting and analytics tools. The best ones also have predictive analytics that are useful for generating projections for scenario planning. With these tools, users can make data-driven decisions when it comes to their campaigns.

Increase Collaboration

Since demand generation software products typically have team and project management tools, multiple users can collaborate with each other on projects or specific tasks. These collaboration modules are usually pretty intuitive to use and are very reminiscent of popular social media interfaces. They include features for chat, commenting, @mentions, and file sharing.

Connect Demand Generation with Lead Generation

Most demand generation software solutions are fitted with lead generation features. Thus, users will be able to connect their demand generation campaigns with lead management processes. With this, process siloes will be avoided. And, users will be able to integrate each marketing process with another to streamline their marketing funnel.

Monitoring live marketing campaign in Mayple dashboard.

Examples of Demand Generation Software

If you want to know how does demand generation software work, it is best to try them out yourselves using free trials and demos. To make your canvassing faster, you can try out the best demand generation platforms on the market today first.

HubSpot MarketingVISIT WEBSITE

HubSpot Marketing is a powerful marketing tool with demand generation features like ad placement and management. The product allows users to post ads on various digital channels, from Facebook to LinkedIn all under the same roof. Moreover, it provides a CRM module with robust lead generation capabilities, including lead scoring.

PipedriveVISIT WEBSITE

Pipedrive is another popular software for demand generation. It is prized for integrating CRM and sales features into one software package that helps users accelerate lead gathering. It is also famous for its easy-to-use interface complete with an intuitive timeline view. Moreover, Pipedrive offers great analytics features to help users make data-driven decisions.

Mayple

Mayple is a unique digital marketing service. It connects users with digital marketing experts to help them create their marketing strategy for free. You only pay when you execute the demand generation strategy that you and your assigned expert have agreed upon. Mayple provides features for paid media, social media marketing, SEO, and marketing audits.

Marketing Creatio

Marketing Creatio is a leading marketing automation solution fitted with lead generation tools. It is valued for its easy content creator and its omnichannel communication tools. The package includes team management features, including modules for business process management, knowledge management, and case management.

UnbounceVISIT WEBSITE

Unbounce is a copywriting and landing page solution. It helps users create demand by creating interactive and visually-striking landing pages to directly gather leads. Its unique Unbounce Conversion Intelligence platform is known to help increase conversion rates by up to 30% by sending visitors to the best-fit landing pages. It is used in a wide variety of industries from SaaS to ecommerce.

Cost of Demand Generation Software

The cost of demand generation software solutions can vary between products. Also, they depend on the payment scheme and type of plans. Of course, the number and depth of features also affect pricing. In this section, we will give you an idea of how much top demand generation software tools cost by using some examples.

Free

There are free demand generation software solutions. Most of them, however, are just free versions of premium plans. Hence, they don’t have the comprehensiveness of their premium counterparts. However, for smaller operations, they can be quite enough. Examples of top products with free plans include HubSpot and Freshsales.

Monthly (per user or per organization)

Usually, marketing and demand generation software solutions are offered via monthly subscription plans. Prices, again, vary depending on the number and quality of features. Some products charge clients on a per-user basis. Pricing can range from $10 a month to more than $99 a month.

Moreover, other platforms like Unbounce charge users on a per organization basis. For large organizations, this can prove cheaper. But, the entry price can be quite high. For instance, the Unbounce basic plan costs $90 per month and its highest-tiered plan costs $225 a month. HubSpot’s Enterprise plan costs $3,200 per month for the whole organization.

Yearly (per user or per organization)

Most of the time, software providers with monthly plans also offer yearly subscriptions. Also, because of the lengthier commitment required from the client, the price of annual plans are usually lower compared to that of making monthly payments for the same period. For instance, Unbounce offers a 20% discount on their annual plans while Wishpond offers a 36% off on their yearly package.

Custom Quotes

There are demand generation software products that are deployed tailored to a particular business’s needs. Hence, they are offered via custom quotes. So, the price ultimately depends on the number of features, customization, and support that a client wants. Products like Marketing Creatio and Optimizely are only offered by quote.

Tiered Commission

Platforms that also offer professional services like Mayple sometimes charge using commission schemes. The price depends on tiers based on the monthly media budget that a client has to spend. For Mayple, they charge roughly 9.9% to 11% of maximum marketing budgets categorized in tiers. For example, they charge $590 a month for clients with $5,000 or less which is 11.8% of the budget cap. On the other hand, they charge $2,990, nearly 10%, for clients with monthly media budget caps of $15,000 and up with a $30,000 cap.

Demand Generation Software Buying Factors

Ultimately, the buying factors for demand generation software solutions depend on your organization’s needs. However, there are common key things to consider. They are:

Features

To execute your demand generation strategy and tactics, you would need the right tools. So, you need to find a platform that has a good match when it comes to what your operation needs and the solution’s features. For instance, if you have a small ecommerce operation that relies on social media, influencer marketing, and email campaigns for demand generation, then it is best to find a platform that has features to execute your strategy. These should include email marketing, social ad placements, and maybe social CRM.

Usability

Usability, roughly, has two sides: ease of use and functionality. You want a software product that is not only highly-functional but is very wieldy. You don’t want to be stuck with a highly useful product that is very hard to use. At the same time, you don’t want to have a very easy-to-use software tool that is not much of a tool at all.

So, you’d want a good balance between ease-of-use and functionality. Of course, it is best to have something that is highly functional and very intuitive to use right off the bat. In this way, adoption will cost less as training time and other adoption birthing pains will be minimized.

Price

The cost of demand generation software tools is one big factor. You might want to get the best tool or plan for the job. However, it might not work with your operational budget. So, it is best to look for tools that you can possibly use given this restriction. And, they have to be quite able as well. Fortunately, the business software solutions market is a cutthroat market. And, price wars are very common. Thus, it is highly likely that you can find a good enough solution that fits your operational budget.

Competitiveness and Support

In the SaaS market, a software product is operationally synonymous with the provider. This means that the quality of your product depends on who you get it from. So, don’t only look at the product but also the track record of your software provider, especially in two important areas: competitiveness and support.

Firstly, you want your provider to be competitive in the way that they improve their software and your experience regularly. This is because if they stay competitive with their competition, you will also be competitive with yours as your demand generation execution largely depends on their tools.

Secondly, you should want a provider that offers stellar customer support. A company that performs less stellar in this area is not worth your business. They will only leave you hanging.

Demand Generation Software Trends

Demand generation software trends depend upon demand generation trends. And, thanks to the digital and web-based nature of software tools today, software providers can easily tweak and even pivot their offerings to fit current best practices. Here are the recent demand generation trends.

More Social Content

Content marketing is one of the most potent ways to generate demand today. This is true for both B2B and B2C brands. There are many ways to go about this but it seems that we will see more creative social media content in different formats. These include video product features from influencers and cross-marketing by brands.

Educational Content

B2B companies today are becoming more prolific in delivering educational content to create demand. These vary in formats, including free ebooks, industry reports, webinars, and tutorials. Others also engage their audience through webinars and even newsletter series.

Influencer Marketing

There are many brands and start-ups that have successfully leveraged the power and reach of influencers. Some of the time, brands choose influencers that are niche-specific, and at other times choose those that are quite general to cast a wide net. Expect more influencer marketing efforts from brands, especially in popular podcasts.

Offline Demand Generation

Even though marketing is digital-heavy, many successful brands still take advantage of physical touchpoints for demand generation. These include events and other experiential marketing tactics. Moreover, there are also fast-growing companies that have started or continue to use traditional media to generate demand. Expect more integration of offline tactics into online campaigns.

Comprehensive Marketing Software Suite

Even though demand generation is only part of the entire marketing process, it is still deeply connected with other lower-level marketing funnel phases. So, to cater to this, demand generation software solutions are fitted and will be fitted to deal with issues further down the line of the customer journey. This does not only stop at lead generation but even after-sales processes like CRM and technical support.

Potential Issues with Demand Generation Software

Software adoption will always have issues. This is because finding a great software fit doesn’t just stop after the purchase. You really have to tweak and customize it in order to maximize its use based on your purposes. The same goes for demand generation platforms. Here are common software-specific and best practices issues when it comes to demand generation.

Not connected to lead generation and management

There are really good demand generation software products that are very specialized that they don’t necessarily connect to other marketing processes. Thus, you need other software products to round them out. There are, of course, integrated marketing communications suites that have features essential not only for demand generation but also other marketing, sales, and customer service processes.

Digital-specific

Surely marketing today is digital-heavy. However, one cannot really just let go of offline marketing efforts. Sometimes, by having a good software tool, marketers forget that live marketing tactics and traditional channels can be of great help. Most demand generation software tools though have project management features that can be useful to coordinate offline demand generation activities.

Channel-specific

There are good benefits to having a specialized channel-specific demand generation platform. This allows you to create better-targeted campaigns. However, this also limits what you can do with your campaigns. Hence, to extend your capabilities, you would need to stack it up with other tools. This, of course, will cost you more. But, if you are largely committed to a single or few channels, then these types of products could be enough. This is especially so if you handle smaller operations.

Creating a Demand Generation Strategy

As we are informed of the different contexts where demand generation can be interpreted, we can now move forward to how we can create successful demand generation strategies. Also, we will be incorporating both framings of demand generation above. This, of course, should be tied to your market positioning goals. The common ones, as compiled by the University of West Alabama, are:

1. Price Leader. In many product areas, the business that offers the lowest price at a reasonable quantity wins.
2. Quality Leader. In other product areas, especially in the market luxury, businesses that offer the highest quality products dominate.
3. Convenience. Leaders in this position strive to create offerings that provide better convenience over traditional products or those of competitors.
4. Customer Service. Usually, businesses with superior service relative to competitors win over more customers. This is especially true in the restaurant and hospitality industries.
5. Differentiation. This strategy sets products or services apart from their competitors, making them more attractive in the minds of their target audiences.

These are something that you can design your demand generation strategy around. Your positioning goals will determine what kind of messages you want to put out to drive awareness of and interest in your product or company. Make sure, however, to have a clear view of who your target market is.

1. Determine Target Market

The first thing marketers do to generate demand is to ask themselves the question of “for whom?”. Again, this depends on the type of business, products, and goals that marketers have. Here, we will briefly discuss two scenarios.

Established Businesses

If a firm and its product lines are already established, then this will be based on data about past purchases. Variables would include successful products, successful target market segments, and other KPIs like sales volume and profitability.

The main problem that marketers want to solve here is mainly a marketing communications puzzle. It is answering the question of how to increase awareness of and interest in a product in a product’s target buyers and end-users appropriate for their market positioning.

Speaking of which, marketers should be aware of the difference between buyers and end-users. This is because there are many products that have different buyers and end-users. Take personalized mugs, lady’s perfume, and valentines bouquets for example. The people who buy these products are typically different from those that ultimately use them.

Hence, the message of demand generation programs should target one or both. The key, of course, is systematically identifying them from the other crowd in order to deliver better-targeted marketing efforts.

New Entrants and New Niches

On the other hand, for new entrants and established firms that want to branch out and create new niches, the process would start by looking into reliable data sources for existing market demands and, of course, gutfeel on what the next good thing is. In essence, this is near to “starting from scratch” and closer to the product development side of marketing—creating a solution for existing or projected demand.

The key idea in this scenario is to plug a hole or fill a gap between problems and solutions. This involves creating better solutions that align with current or projected pain points or creating new meaningful experiences for projected customers.

If your business is at this phase and context then you will be better off doing heavy market research in order, firstly, to identify problems and, secondly, to create superior solutions relative to that of competitors. This, of course, is harder to do when a business is really carving out a new niche or creating an unprecedented demand for something. The general idea, however, stays the same.

2. Marketing Message and Identifying Appropriate Channels

Once you have a clear idea of what product goes with what market, then it is time to create a marketing message. The main goal, we should remember, is to increase awareness and interest. In short, it is to drive demand.

Thus, it is best to create messages that provide customers value that’s virtually for free. And, the best way to go about this is through content according to recent visual content marketing statistics.

The main strategy here is to provide useful and engaging information to associate your brand or product with the idea of being “helpful”. This makes your content—by extension, your brand—to become valuable to them.

However, it is good to note that your marketing message is partly comprised of the medium you use and the channel it is found. For instance, when savvy marketers are trying to introduce a new solution or a particular pain point, they usually use a “how-to” message connecting them. They choose from different mediums that get their message across best.

Mediums may include print ads, PPC ads, videos, and live events, among other things. Then, they choose a mix of channels where their target audiences can “stumble upon” it.

For example, in marketing a new home improvement product, you may want to demonstrate what it’s for and how it works. This is your message. This message can be delivered in a wide variety of mediums, including a print ad in a magazine or blog post.

However, it may be best to use video as your medium to demonstrate visually how your product works. It is more intuitive, meaning, it is less costly for your audience to consume compared with long-form blog articles.

Appropriate Format for the Appropriate Channel

Also, it is good to note that when creating your marketing material you should also customize it for the channel(s) you want to use. For example, if it is a YouTube video, then you would fare better if it is under 15 minutes, according to recent YouTube statistics. If you determined your audiences are also on traditional home improvement channels, then the video format should also be fine-tuned for it.

If you determine that your audiences are better reached using digital tools (like for B2B), then marketing software solutions can help you out pretty easily. For instance, email marketing software can help you create interactive emails and newsletter campaigns quite easily.

3. Execution and Optimization

Once you have your appropriate mix of channels, it is time to execute and optimize. This is the time to squeeze your team’s creative juices out to create the most engaging touchpoints for your target audiences. Also, this entails creating a marketing communication schedule to pace what goes on and where on your chosen marketing channels. Moreover, this involves a good deal of data gathering to measure the success of each campaign. This can be really hard to do, especially when you have a wide mix of channels.

It is even harder to accomplish if you are using traditional media. It is a good thing, however, that consumers can easily be targeted using digital channels today. They are cheap and easy to use even for smaller operations. Such is the case for the top marketing software systems for small business.

Business Intelligence in Marketing

However, if you have a significantly large operation, then you will be better off with standalone business intelligence tools. These software solutions allow you to gather data from different sources and collate them to create data stories. This will enable you to generate actionable insights on how your marketing campaigns across channels are doing and how you can optimize them.

Keep in mind that optimization is a continuous process that is embedded within the execution phase. What we mean by this is that you should not rely on your drafted marketing plan alone. You have to improve as you go. And, thanks to digital marketing solutions, you can easily do this.

They allow you to modify parameters, including your message, mediums, and the frequency of when they appear. So, take advantage of these tools not only to know where you’re at and the trajectory of your campaigns, but also to control where you will be going.

Many marketers attest to this. According to recent business intelligence statistics, 50% of marketers find BI to be critical while 33% believe it to be important. No one, according to the study, believes that it is not important at all.

Demand Generation Tactics

Now that we have discussed how to create a demand generation strategy, it is time to get to the tactical details. Tactics are action items or are time-bound individual steps with their own sets of objectives. Also, in this case, these are a mix of medium-confined campaigns that work together to drum up awareness and interest aligned to your positioning and strategic goals.

Today, most demand generation tactics fall under one demand generation strategy: content marketing.

The Content Marketing Strategy

Here, we use content marketing as an umbrella term for the creation of online material to stimulate awareness and interest in a brand’s offerings. The key idea, however, is to create useful content that doesn’t directly promote it. It is essentially providing value to prospective customers to get them interested in what you are really promoting or selling.

This is not a new strategic way of driving awareness and interest. There are many historical examples. These include Benjamin Franklin publishing his famous annual Poor Richard’s Almanack to promote his printing business. Also, providing free books and guides has been used by many companies to drive up awareness and ultimately sales.

This is exactly the case with Jell-O and its recipe books. One stark difference between content marketing before and today is that most content is found on digital channels created and propagated by using content marketing solutions.  Below are modern examples of strategies that fall within content marketing.

Educational Content

Broadly speaking, these are content that provides users with valuable knowledge in select areas.  Content formats can vary from blog posts to internet videos. However, the format usually come in the form of how-to tutorials and explanatory materials. Through educational content, you will be able to set up your brand as an authority in your niche. Here are some examples of tactics to achieve these goals.

1. Email Newsletters. Both B2B and B2C companies use newsletter campaigns to create a personalized engaging and continuous connection with their target audiences. As mentioned, content materials here are not created to directly promote a product but to provide valuable information. The best ones are interactive and connect directly to lead capture channels like landing pages and blogs. Moreover, other companies also find success by including call-to-action messages with links directly to their catalog of products.
2. Webinars and Online Events. Successful B2B companies are savvy when it comes to organizing webinars that provide prospective consumers with valuable knowledge to improve their professional skills and standing. These webinars usually include appearances and talks by thought leaders in the field. This is done not only to provide more value to the experience but also by getting their brands to be associated with an expert’s reputation.

Freebies 

A freebie is always a good way to get prospective customers not to only be aware of your product but also to try them first hand. So, you slide them into the first two levels of the marketing funnel (awareness and trial) in one stroke. This is also the reason why many subscription-based services have free trial periods and even free versions of their offerings. Of course, these are like teasers to get you primed to purchase the full product. Here are a few tactics that fall within this category.

1. Free Apps  (or versions). Many successful companies and franchises have their own free apps. These apps act as the hub for any content in a brand’s universe. These may be educational apps or even games. What this tactic is very good at is that it does not only make prospective customers aware of a product but also be aware of it ever so often as it either sits inside of their pockets or in the palm of their hands. A good example would be a free game from entertainment franchises like Marvel and South Park.
2. Free Tools and Templates. Many B2B companies provide their audiences with free tools and templates on their websites. These range from calculators to usable copyright-free templates and media. Of course, this is best set up with best SEO practices that allow these freebies to be easily found on the web.
3. Contests. This is maybe a great way not to only drum up awareness and interest but also capture leads in one fell swoop. Usually, companies set up contests and sweepstakes that are “free” to enter. They just have to provide their personal information.

Influencer Marketing and Strategic Partnerships

Not everyone is a competitor. This is what great business minds realize. So, they capitalize on this fact and enlist the help of other parties that can mutually benefit from a collaboration. Also, this allows businesses to pool not only resources but also clout and databases. By doing business with non-competitors, more operational resources can be used for campaigns. Examples include:

1.   Podcasts. Many brands now sponsor popular podcasts to increase awareness in target markets. This is also done in many ways. One is via affiliate marketing where podcast hosts/producers get a share of the profit every time a customer uses their promo code for a sponsor’s product. Others are simple mentions and some even go as far as having a feature of the product. For B2B brands, it is common to bring an in-house expert as a guest on target podcasts. This way, technical concerns will be addressed better for prospective B2B clients.
2. Offline and Online Events. Associate your brand with other non-competing brands by joining in events. You can be a sponsor in different ways. The most common, of course, is paying for ad spots. Some event organizers also allow for exchange deals and production support.

Demand Generation to Lead Generation

These are the most common tactics under a content marketing strategy for demand generation. Of course, the best way to generate demand is to use a mix of these tactics to cast baits around different digital and offline touchpoints. And, as discussed, these should be connected to lead generation techniques as well.

For example, lead generation touchpoints can be embedded within the promo codes for podcast affiliates. Also, opt-in pages for online events, newsletters, apps, and contests are also common lead generation tools. The key here is to have a synergistic marketing mix that guides prospective customers down your marketing funnel—from demand and leads to sales.

Case Studies: Demand Generation Examples

Here, we will quickly discuss two real examples of successful demand generation and how they transition to the lead generation process. The two popular brands included here are Ridge Wallet and Wix.

The Ridge Wallet

The Ridge Wallet, unlike many startups, is self-funded—it is growing through profits. As The Ridge Chief Operating Officer Sean Frank stated, the company is “entirely bootstrapped” with no debt and no investors. Initially funded by a Kickstarter campaign in 2014, the company started offering thin metal-clad wallets with RFID protection. In 2020, the brand became so popular that it reached $50 million in sales.

The strategy that launched this success is heavy influencer marketing.  Their strategy is casting a wide net to create awareness and interest. Sean Frank, The Ridge’s chief operating officer, even stated that they are industry agnostic. They work with popular podcasts, ranging from the famous Tiger Belly by comedian Bobby Lee to The Lex Fridman Podcast.

The way they go about it is simple. They pay their influencers upfront with no contracts. This just shows that they are easy to work with; and, they don’t care much about the content around the video and where the ad appears. In fact, in 2020, they worked with more or less 750 influencers on YouTube alone, spending $3.9 million on 3,000 unique videos.

Also, to track the performance of influencers, they use promo codes. Moreover, because you need to sign-up for these promos on opt-in pages, they have an instant lead generation tool that comes right after the demand generation process. In this way, they connect not only demand generation with lead generation but also quickly to sales.

Wix

Wix has really come a long way since 2006, the year of its founding.  The company, known for its easy-to-use website building solution, has grown from its early 1 million users in 2009 to around 150 million in 2019. Wix has embraced many demand generation strategies and tactics targeting both B2B and B2C customers.

The most famous, however, is its Super Bowl ads. In 2015, the company bought a $4.4 to $4.5 million ad spot at the big game. When you look at the Super Bowl numbers that year, average TV viewership reached 17.9 million. That year, Wix reported a 54% increase in revenue in the three months leading to March 31 at $44.5 million.

Of course, the Super Bowl ad was not the only demand generation tactic that they used. They didn’t only join a spectacle of an event but also utilized a mix of social media, PR, and other digital marketing channels. Omer Shai, Wix’s Chief Marketing Officer, credits reaching 300 million people worldwide using this mix. Wix, for many, became synonymous with building websites as Shai added.

Non-Super-Bowl affiliated demand generation strategy has also included working with influencers such as fashion models, comedians, and other sports teams like the New York Yankees. Moreover, different demand generation strategies are also in place for other target segments like website designers and small businesses.

What is also great about Wix is that it offers a free account, which is a good lead generation avenue as well. Its free account supports unlimited pages and is fitted with Wix’ patented drag-and-drop editor. This is Wix’ idea of demand and lead generation: cast bait across a wide area and reel in high-quality customers with a freebie.

Digital Marketing Mix for Demand Generation

We hope that this article has provided you with a useful general guide on what is demand generation and the common ways that businesses successfully go about it. As discussed, different companies may define demand generation differently. Some start off with creating awareness outside any lead generation. Others start from leads themselves. It really depends on the type of company, the phase of its business journey, and its goals.

However, all marketers agree that creating awareness and interest is paramount. This applies to already established companies and those that are trying to carve out a niche or take up market shares. One thing, however, stays the same for both.

In today’s market, businesses have to leverage digital channels in addition to offline demand generation efforts. Sure, demand generation in traditional media can work. But, they don’t provide both consumers and businesses with a constant line of communication. Digital channels do. Pairing them would be the best way to go.

Businesses must have a constant digital presence across a mix of touchpoints with campaigns to increase demand and strategies to convert them to leads. These should also be connected with offline programs as well (for brick and mortar companies). Of course, this is easier said than done; and, there is no set way to go about it. Each company must carve out its own journey in finding the right mix of these techniques and tools. This is why businesses must always be on the lookout for changing demand generation best practices and strategies.

Remember that marketing is a game of optimization in a highly-competitive setting.

By Jenny Chang

Jenny Chang is a senior writer specializing in SaaS and B2B software solutions. Her decision to focus on these two industries was spurred by their explosive growth in the last decade, much of it she attributes to the emergence of disruptive technologies and the quick adoption by businesses that were quick to recognize their values to their organizations. She has covered all the major developments in SaaS and B2B software solutions, from the introduction of massive ERPs to small business platforms to help startups on their way to success.