Common Challenges with Demand Generation and How to Solve Them
Demand generation is the cornerstone of modern marketing strategies, driving awareness and interest. However, this complex process is fraught with challenges that can hinder its effectiveness. Identifying these obstacles and implementing strategies to overcome them is crucial for achieving sustained growth and success. This article delves into common challenges faced in demand generation and provides actionable strategies to resolve them.
Challenge 1: Generating High-Quality Leads
One of the primary challenges in demand generation is attracting high-quality leads. While generating a large volume of leads is often achievable, ensuring these leads are of high quality and relevant to the business can be difficult.
Strategy to Resolve:
To attract high-quality leads, businesses should refine their targeting and segmentation. Utilise buyer personas to tailor content and campaigns to specific audience segments and their needs. Implement lead scoring systems to prioritise leads based on their engagement and fit. Additionally, leveraging data analytics can provide insights into the characteristics and behaviours of high-quality leads, allowing for more precise targeting.
What is a high quality lead?
A high-quality lead should show high intent, it isn’t a whitepaper download and it isn’t someone reading your latest blog however if you have your tracking set up right (a topic for another day) this might be a combination of high intent engagement over a defined period which indicates someone is more than just window shopping - equally it could be someone attending a high intent webinar or event - you need to decide what buying intent means for your brand but keep the bar high and the conversion metrics will thank you.
In Demand Generation: Transforming Your Organization into a Sales Machine, Carlos Hidalgo asserts, “The key to high-quality leads lies in understanding the needs and pain points of your target audience. By tailoring your approach, you can attract those who are truly ready to engage.”
Challenge 2: Creating Engaging Content
Demand generation is nothing without engaging and valuable content, yet producing content which consistently attracts and resonates with the target audience is a tricky challenge.
Strategy to Resolve:
Develop a content strategy that prioritises value and relevance. Conduct regular audience research to understand their pain points, interests, and preferences. Use a mix of content formats such as blog posts, videos, webinars, and infographics to cater to different preferences encourage user-generated content and capture testimonials to build authenticity and engagement.
Gary Vaynerchuk’s approach to content marketing emphasises the importance of “anchor and sub-content.” Create a comprehensive “anchor” piece—like a detailed blog post or video—and then break it down into smaller, shareable pieces (“sub-content”) that can be repurposed across various platforms. This method ensures that your content remains valuable and engaging in multiple formats.
Brian Halligan and Dharmesh Shah, in Inbound Marketing: Attract, Engage, and Delight Customers Online, highlight, “Effective content marketing is about understanding your audience’s needs and providing valuable, relevant content that engages them throughout their buyer’s journey.”
Challenge 3: Integrating Marketing and Sales Efforts
A disconnect between marketing and sales teams will also put a damper on demand generation performance and can hinder demand generation efforts. Misalignment can lead to ineffective lead nurturing, lack of effort and lost opportunities.
🤝 Quick Fix:
To bridge the gap between marketing and sales, regular communication is key. Set up a routine of weekly or bi-weekly meetings where both teams can review their goals, align on priorities, and discuss progress. “Consistency is crucial,” says Scott Pointon. “These meetings should be a platform for sharing insights, adjusting strategies, and ensuring everyone is pulling in the same direction.”
Here’s how to make it work:
Set Shared Goals: Both teams should have a clear understanding of common objectives. Agree on what constitutes a ‘qualified lead’ and how success will be measured.
Regular Check-Ins: Schedule frequent meetings to review the progress of ongoing campaigns, discuss feedback from sales, and refine lead-nurturing tactics.
Align Priorities: Make sure that marketing efforts are supporting the sales team’s immediate needs. This could involve tailoring content to address specific sales challenges or adjusting campaigns based on current sales feedback.
Integrated Platforms: Use CRM systems or other integrated tools to give both teams visibility into lead status and interactions. This transparency helps in understanding where leads are in the funnel and what actions are needed next.
Dan Bassett adds, “Effective alignment isn’t just about communication; it’s about collaboration. When marketing and sales work together seamlessly, it maximises lead quality and drives better results.”
By creating a culture of collaboration and alignment, you ensure that both marketing and sales are working towards the same objectives, and with that a greater likelihood that your demand generation strategy will be successful
Challenge 4: Measuring ROI
Measuring the return on investment (ROI) of demand generation activities can be a pain due to the long-term nature of these efforts and the difficulty in attributing conversions to specific campaigns.
Strategy to Resolve:
Use analytics and attribution models to track and measure the performance of demand generation campaigns. Set clear KPIs and benchmarks to monitor progress and adjust strategies as needed. Marketing automation tools can also provide insights into the customer journey, helping to attribute conversions more accurately. Regularly reviewing and analysing data can inform future strategies and improve ROI measurement.
In Top of Mind: Use Content to Unleash Your Influence and Engage Those Who Matter to You, John Hall explains, “Without a clear understanding of your content’s impact, measuring ROI becomes a guessing game. Implement robust analytics to gauge effectiveness and drive future success.”
Challenge 5: Keeping Up with Changing Market Dynamics
The marketing landscape is constantly evolving, with new technologies, trends, and customer behaviours emerging regularly. Keeping up with these changes can be a daunting task.
Strategy to Resolve:
Focus on yourself and your growth by committing to continuous learning and professional development. Participate in industry conferences, webinars, and networking events to gain the insights you need to stay ahead of the curve. If you’re part of a marketing team, or any team for that matter, foster a culture of innovation and the adoption of new technologies and approaches to enhance demand generation efforts.
Robert Rose and Carla Johnson, in Content Marketing Strategy: How to Get the Most Out of Your Content Marketing, note, “Adapting to market changes is crucial. A culture of continuous learning and innovation enables marketers to remain relevant and effectively engage their audience.”
Conclusion
Demand generation is a dynamic and challenging field, but by addressing common obstacles with targeted strategies, businesses can enhance their effectiveness and achieve their goals. By focusing on generating high-quality leads, creating engaging content, aligning marketing and sales efforts, measuring ROI, and staying abreast of market changes, organisations can build a robust demand generation framework.
Scott Pointon, Co-Founder of Brandtale, sums it up well: "Overcoming these challenges requires a strategic and adaptive approach. By continually refining and evolving your demand generation efforts, you can drive sustained growth and success."
Suggested Reading for Further Learning
Demand Generation: Transforming Your Organization into a Sales Machine by Carlos Hidalgo - Provides comprehensive insights on creating a successful demand generation strategy, aligning marketing and sales, and improving overall business growth.
Inbound Marketing: Attract, Engage, and Delight Customers Online by Brian Halligan and Dharmesh Shah - A definitive guide to inbound marketing, offering strategies on how to attract and convert leads through engaging content and effective online presence.
The Challenger Sale: How to Take Control of the Customer Conversation by Matthew Dixon and Brent Adamson - Explores a new approach to sales that focuses on challenging customers' thinking and providing unique insights, crucial for demand generation efforts.
Top of Mind: Use Content to Unleash Your Influence and Engage Those Who Matter to You by John Hall - Learn how to stay top of mind with your audience through strategic content creation and relationship building.
Content Marketing Strategy: How to Get the Most Out of Your Content Marketing by Robert Rose and Carla Johnson - Delves into the intricacies of content marketing strategy, essential for creating engaging and relevant content that drives demand generation.
These resources provide valuable insights and strategies to deepen your understanding of demand generation, helping you to further refine and enhance your marketing efforts.
