What’s the difference between demand generation and lead generation? Put simply, demand generation is the process of getting people interested in what you have to sell (creating demand) lead generation is the task of turning that interest into names and contact details (leads) that you or your sales teams can follow up with.ĭemand generation takes prospects all the way from establishing their awareness that they have a problem you can solve, through increasing trust and confidence in your brand, to definite interest in what your solutions can do for them. Demand generation vs lead generation – the obvious differences Making a clear distinction between the two in your B2B marketing strategy will help you to drive more leads that are more likely to be accepted by sales and convert to revenue – and it will help you to do so at a lower Cost per Lead (CPL). Mixing up demand generation and lead generation can mean missing out on leads, and paying far more for leads than you need to. Lead generation may fall under the general demand generation umbrella, but it’s a specific part of the process that involves its own specialist skills and tactics. Some B2B marketing commentators have a bad habit of using the terms interchangeably – and they really shouldn’t. However, just because demand generation and lead generation share many of the same end objectives doesn’t mean that they are one and the same. Each one has its own distinct purpose to serve in keeping you moving. That’s like asking whether the pedals or the tires are more important to biking.

Is demand generation or lead generation more important to B2B marketing? Editor’s note: Please enjoy this encore post, which was one of our readers' favorites in 2022.

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