The Importance Of Demand Gen In 2020
Before we deep dive into the importance of Demand Gen, how many brands actually know what it is?
Demand Generation refers to any plan or action that is done to increase awareness and interest in a product or service, with the ultimate goal being able to create a sustainable and predictable channel that will grow your business and lead to profits.
It is not about creating demands for sales. It is about creating awareness among your target audience via high-quality content to purchase your product or service. Demand generation puts all your content marketing, content creation, and sales initiatives into the right goal-oriented framework, creating a value-added customer journey, from the initial interest right to the purchase of the product.
To plainly define it, demand generation creates the demand for a product or service through a gradual and holistic marketing process that spans the entire company- from product creation, brand marketing, content marketing, and product marketing.
Still asking yourself why this is important?
You can build authentic relationships with your potential customers!
Think about it...As consumers, we want value. As a company, you want to create value in your brand, product, and services and align it with your customer’s values.
This will help them become aware of your solutions and how they can solve their pain points. According to Invesp, 59% of shoppers prefer to buy new products from the brands they trust. By adding value, you can build genuine, lasting relationships with your consumers that are built on trust.
Take, for example, the coworking brand, WeWork. Their mission statements put the focus directly on people and their brand value “Create a world where people work to make a life, not just a living.” Through their mission statement alone, they can create interest, trust, and optimism by engaging in purposeful branding.
You can establish genuine buyer trust.
Creating content is one thing but creating content that inspires, motivates and educates your ideal customers helps build your company as a brand authority. When people view you as a brand authority, they also see you as a trusted source for information and believe that you can provide the solution to their specific needs. So while they may not buy immediately, you’re on their mind and the minute they want to make a purchase, your company name would be the first they’d search in Google.
You can focus on lead quality
In today’s content marketing ecosystem (not just Demand Generation), it’s not about quantity, it is about quality. The more specific and targeted your marketing initiatives are, the higher-quality leads you will receive. This requires an idea of your customer persona- where do they hang out online and offline, what are their needs, how does your solution help them solve their pain points.
Any marketing initiative, actions or plans need to lead to revenue. Through Demand Generating content, you can create measurable interest in your products or services which can be turned into anticipated revenue.
Revenue is the ultimate goal and your most vital metric. But there’s one thing about Demand Generation to be aware of- depending on your business model and business goals, the full performance of the awareness you’ve created may take from six months to a year for it to turn into revenue.