Demand Creation and Management

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Demand Creation and Management

• Lynda Kate Smith
• MSE 271 Global Entrepreneurial Marketing

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Todays Objective

• Leave class with
• A view to where demand creation fits in building
  a company
• An understanding of the differences between
  indirect direct demand creation
• An appreciation of the relationships needed with
  sales to be successful in creating demand
• The basics needed to implement a demand creation
  program

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Agenda

• Where Demand Creation Fits
• Indirect Demand From PR to Pure Buzz
• Direct Demand The Basics

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Perception is Reality

• I dont know who you are.
• I dont know your company.
• I dont know your companys product.
• I dont know what your company stands for.
• I dont know your companys customers.
• I dont know your companys record.
• I dont know your companys reputation.
• Now-what was it you wanted to sell me?

Source McGraw-Hill Publishing Company, Inc. 1961
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Two Types of Demand Creation

• Direct
• Goal leads
• More Actionable
• Highly Measurable
• Generally more
• budget intensive

• Indirect
• Goal awareness
• Harder to measure
• revenue impact
• Supports direct
• demand efforts

Indirect
Direct
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Demand Creation and the TALC
Pragmatists Stick with the herd!

Techies
Direct Demand
Try it!
Indirect Demand
Demand creation increases in importance with
maturity
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Demand Generation The Sales Cycle
Lead Generation
nn
1n
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Nurturing
Reinforce
Marketing Approaches
Demand Objectives
Sales Phases
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Agenda

• Where Demand Creation Fits
• Indirect Demand From PR to Buzz
• Direct Demand The Basics

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What Falls Under the Banner of PR?

• Press Releases
• Editorial Calendar Tracking
• Proactive Article Placement
• Paid Article Placement
• Press Relations
• Analyst Relations

Applies to Traditional and Online Media
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10 Rules for Successful PR Encounters

• The Right Stuff Push only real news to the
  press. The stories you want to tell might not be
  the stories readers want to hear.
• Perseverance Writing a press release is not
  enough you need to follow up continuously.
• Relationships Establishing relationships with
  your target press will triple your chances of
  getting mentioned.
• Preparedness Be prepared for an interview
  because the camera never blinks.
• It all Counts Never say anything off the
  record. If you said it and somebody heard it,
  its on the record!
• Juicy Soundbites Have quotable quotes that
  reporters will want to include in their story.
• Says Who? You say you have the best product,
  but does anybody else? Quantify and qualify your
  statements to support your claims.
• Analyze This! Establish relationships with
  industry analysts early on. They can be some of
  your best spokespeople.
• Contingency Plan You urgently need Crisis
  Communications but have no plan. Its probably
  too late. Dont be caught unprepared.
• Go Online Use the power of online PR to place
  articles on industry portals, trade association
  sites etc. Optimize article so search engines
  pick them up.

Source PartnersSimons
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Word-of-Mouth Has Connected Power
Traditional Marketing (Direct)

• Buzz Marketing

captures the attention of consumers and the
media to the point where talking about your brand
or company becomes entertaining, fascinating, and
newsworthy.
Source Buzzmarketing
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Buzz Marketing Basics

• Objectives
• Consumers talking
• Media writing
• Rules for Success
• Put your brand 2nd
• Put the story first

Source Buzzmarketing
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Consumers - 6 Buttons

• 6 tried and true things we talk about
• the unusual
• the outrageous
• the taboo (sex, lies, etc)
• the hilarious
• the remarkable
• Secrets

What we talk about is rooted in emotion
(gasp, surprise, thrill, laughter, you gotta
be kidding).
Source Buzzmarketing
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5 Most Frequently Written News Stories in America

• 1. David Goliath
• 2. Outrageous Unusual
• 3. Controversy
• 4. Celebrities
• 5. Whats hot in the media already

Create a story with 2, 3, or 4 of these and you
have a winning story.
Source Buzzmarketing
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Agenda

• Where Demand Creation Fits
• Indirect Demand From PR to Buzz
• Direct Demand The Basics

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The Neglected 80

• The most time-consuming steps in the sales
  process are researching and developing accounts
• Net result sales focuses on the 20 of the
  prospect base where there are established
  relationships and neglect the other 80

Lead generation addresses the 80 and more.
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Sales and Marketing Waterfall
Source SiriusDecisions
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Definition of a Lead
Organizational Definition of a Lead
Nearly 50 define a lead as something akin to a
mere response.
Source SiriusDecisions
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Lead Spectrum
Source SiriusDecisions
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Buying Cycle Connection
Understanding the buying cycle is a must before
any marketing Campaigns are conceived and
launched.
A portfolio approach to Campaigns is recommended
Source SiriusDecisions
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Interaction Cycle
Demand creation isnt a single event It is a
series of events, that must be consistently driven
and supported.
Source SiriusDecisions
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Demand Generation Taking A Strategic Approach
What do we need to say?
What
Where
Where do we reach them?
What
What are we trying to accomplish?
Who
Who are we trying to reach?
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Database Development

• Start with Company Assets
• Cross-pollinate with External Databases
• Research the Company
• Industry, Size, Revenues, Locations etc.
• Gather Contacts
• Maintain Records
• Responses, Conversation Notes, etc.
• Update Database

Source Lead Dogs, Nuance
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Campaign Materials
Content is king inform, entertain, and educate.
Source Nuance
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Offers
Soft Offers Easy to say yes to drive
quantity Hard Offers Hard to say yes to
drive quality

• QUANTITY
• Free guide
• White paper
• Sweepstakes
• Article reprint
• Book
• Newsletter
• Game
• Curiosity quiz
• Survey result
• Premium

• QUALITY
• Product demo
• Sales call
• Trial
• Needs analysis
• Catalog
• Informational site
• Product sample
• Case history
• Seminar
• Pricing Discount

Source PartnersSimons
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The Roles Within Inside Sales
Supports marketing campaigns e.g. data
gathering/ verification, driving/verifying
registrations for events, fulfilling campaign
deliverables etc.
Telemarketing

Qualifies and/or generates leads based on a
pre- determined definition of a field-ready
opportunity. May or may not include setting of
appointments.
Teleprospecting
Acquires new customers. (Organizations using
this model give sole responsibility of the sales
cycle to inside sales.)
Telesales (1)
Telesales (2)
Manages current customer relationships.
(Organiza- tions using this model give sole
responsibility for an accounts day-to-day
interactions to inside sales.)
Teams with a field representative to complete
tasks, which can include data gathering, selling,
account penetration and field support.
Telecoverage
Acts as a central help desk for field sales
personnel. Work can include updating
product/pricing data, Assisting with RFPs, sales
collateral etc.
Sales Support
Source SiriusDecisions
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Marketing Budget Changes
Source Marketing Professionals Research,
MarketingProfs in conjunctions with Forrester
Research
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Tactics Generating Leads
Source Marketing Professionals Research,
MarketingProfs in conjunctions with Forrester
Research
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Media Options Compared
Source Morgan Stanley Dean Witter Digital
Impact S.U.R.E-Fire Direct Response Marketing,
Russell Kern
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Demand Gen Media

• Direct Mail
• Pros 3D mailers still get attention
• Cons Not all mailrooms accept, executives often
  dont open their own mail, can be costly
• Email Marketing
• Pros Highly cost effective, broad reach
• Cons Corporate IT departments block bulk
  email, legal considerations exist, black listing
  happens
• Seminars
• Pros Focused attention for 2 to 3 hours
• Cons Potential high costs, time slot dependent,
  over used late 1990s/early 2000s
• Webcasts
• Pros Highly cost effective, broad reach
• Cons Time slot dependent, over used early 2000s

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Demand Gen Media

• Search Engine Optimization/Ad Words
• Pros The web is the way people manage their
  education phase
• Cons Requires constant attention to stay on
  top, lead capture more difficult

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In essence, SEO is
Content Link Popularity High Rankings
Value of the page linking to you Number of links
pointing to the page pointing to you Link in
text Age of link (debatable) Content on this page
Headlines Page Title in browser
bar Lists Bold/Italicized text Paragraph/body
text KW Density (too much/little) Text in
links Text near links
Content is King.
Source Business.com
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Optimize For Key Word Pick Up

• Keyword Density
• Put keywords and phrases several times
  throughout your web page and site.
• Article pages
• that discuss your core product offerings
  utilizing several keyword variations (search
  engine food). (glossaries etc.)
• Keywords in your URL structure
• Examplewww.nuance.com/ care vs.
  www.nuance.com/call_center_automation
• Using keywords in your meta tags
• description, keyword, etc.
• Using effective descriptions that encourage
  clicks
• Inbound link strategy (i.e. partner inbound
  links, etc.)

This isnt all inclusive list of actions.
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Optimizing the Demand Machine

• Sales force automation capability
• Website optimized for demand
• Strong sales relationship

Demand creation effectiveness is dependent on The
ability to capture, pass and track leads.
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Measuring Success

• Inquiries
• Number of raw responses to campaigns
• Net new customers
• Current customers
• Marketing Qualified Leads (MQLs)
• Number of leads deemed worthy to hand off to
  sales
• Conversion rates from Inquiries to MQLs
• Sales Acceptance
• Number of leads accepted by sales
• MQL-to-Sales acceptance rate
• Sales Qualified Lead (SQL)
• Conversion rate of sales accepted leads to SQLs
• Size of opportunities
• Closed Business
• SQL to close ratio
• Revenue generated

Source SiriusDecisions
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