Marketing programs often identify influencers and decision makers then convince them to buy our products or services. What should we call these programs? Lead generation, demand generation, what? Typically we skirt the question by referring to programs as Dialog Marketing. It leaves the door open to several forms of marketing engagement. Are we generating demand, or meeting a pre-existing demand in the market?
Prospects that have already identified a pain point scan the market for a solution. The demand is already out there. We have to prove that demand can be met and fulfilled with our client’s solution. Maybe it’s semantics, but perhaps we should start paying closer attention to the difference between generating and meeting demand.
Here’s a quick analogy. A man standing on a street corner with his foot on fire screams for a bucket of water. He identified his pain and solution. He just needs someone to get him water. Should you give him the water first, or ask him if he’d like the water plus a soothing aloe vera salve? You’re talking about meeting an existing demand in the market.
Conversely, that same man is standing on the corner reading the paper and has no idea his foot is on fire. You walk by, notice, and offer the man water, an aloe vera salve, and a bandage. Not realizing he’s on fire the man is grateful and you have a friend for life. That’s demand generation.
In a perfect world we are the only ones carrying a bucket of water around town, but we know that is not true. There are lots of different types of water and different ways to find people on fire.
Marketing managers building 2010 budgets are right now trying to figure out how much money they should devote to generating demand and/or meeting existing demand. The choice can be difficult, but as long as you know the difference between the two the battle is all but won. Your prospects are on fire. Do they know it, or do you need to tell them?
Oh, what if your prospects are not on fire? Should you buy matches?
