Growth Marketing vs. Demand Generation: Are They Different?

Demand generation is different from growth marketing. The demand generation’s task is to create a strategy that will make people interested in your products or services. It is usually done through content creation and then collecting leads. Growth marketing, however, covers a wider aspect of marketing. Keep on reading, and you’ll learn what that is. This blog will give you enough knowledge about growth marketing vs demand generation. After reading this article, you can easily choose between these two.

Before we talk about the procedures in detail, here’s a real world example of growth marketing and demand generation’s success.

Checkout: Broad List of B2B Digital Marketing Benchmarks

Real World Example of Growth Marketing

Dropbox is the prime example of the brand who uses growth marketing. Dropbox combines growth marketing with a smart referral program where it offers extra storage for inviting friends in their ads. This strategy has always created a viral loop that increased their growth. There was a time when they went from 100k to over 4 million users in just 15 months. This shows how growth marketing strategies can help businesses if they use it correctly. It can help them achieve fast and scalable results.

Real World Example of Demand Generation

Le Creuset has always used demand generation to maintain its premium status. Le Creuset, in its ads, focuses on making its history and legacy shine. The brand does storytelling and builds strong customer relationships to show to people its quality. And it works. This strategy has helped Le Creuset reach out easily to new generations. Not only that, they also keep older ones loyal customers.

What is Growth Marketing?

Growth marketing is a long-term strategy. It focuses on growing a brand’s customer base, revenue, and market share using data and creatives. Growth marketing aims for continuous and lasting growth. Here  you use data to create a plan to attract customers, nurture them, and then retain them. As a result, you increase your increased sales while lowering ad costs. This is what an ideal growth marketing strategy looks like.

Growth Marketing Process

Growth marketing puts together the creative part with data analysis to improve the entire sales funnel. It starts with long-term revenue goals and uses backwards strategy. With this strategy, you start with the end result in mind. After that you figure out how to reach that goal. Growth marketing takes care of everything from SEO, blogging, lead magnets, email campaigns, and loyalty programs, to social media, and real events. As a result, growth marketing gives you the following results:

• Attracts new people to your business so that you can expand your business.
• Shows you easy to understand and detailed metrics to track and estimate marketing impact.
• Improves your SEO campaigns, PPC campaigns, and social media engagement and growth.
• Gives a complete, all-encompassing strategy that is flexible to different needs.
• Uses multiple channels to create a complete and broad-reaching marketing strategy.
• Acts as an important ingredient in a broader marketing strategy for uninterrupted growth.

Check: What Is The Digital Marketing Strategy That Tracks Users Across The Web?

What is Demand Generation Marketing?

Demand generation is a strategy that uses data to create awareness and attract high-quality leads, mainly at the top of the sales funnel. It is also known as marketing on demand and is usually done for B2B marketing purposes. Its goal is to fill the funnel with leads to meet short-term sales targets rather than focusing on long-term growth. That’s why it doesn’t usually give quick sales but builds interest by nurturing leads by persuading them to buy.

Demand Generation Process

The marketing on demand process involves content marketing, social media (paid and organic), email campaigns, and platforms like Connected TV (CTV). Other strategies include SEO, blogging, conversion rate optimization, account-based marketing (ABM), and influencer marketing. Demand generation does the following things for your brand or business:

• Makes a steady flow of potential customers to support sales and revenue growth.
• Increases visibility of your brand, helping you reach more potential customers.
• Gives valuable information to help potential customers make informed decisions about your product or service.
• Improves ongoing interaction with your audience, helping to nurture leads through the funnel.
• Sets the stage for successful conversions at the bottom of the funnel.
• Helps with consistent growth over time by continually attracting new prospects.
• Helps break into new markets and reach different audiences with your products or services.
• Increases the number of prospects so that it eventually gives you a higher number of sales and total revenue.

Difference Between Growth Marketing vs Demand Generation

Know that growth marketing and demand generation are two different things. Growth Marketing focuses on the bigger picture. It covers all the aspects of marketing from grabbing potential customers, to have them on board and offer them services. This table shows big differences between growth marketing vs demand generation:

Should You Choose Growth Marketing or Demand Generation?

When choosing between a growth marketing agency or consultancy, don’t only focus on tools an agency uses. Make sure you have enough information about their blueprint, approach and strategy as well. You can ask them to educate you about their execution plan. One of the most important questions to ask an agency is how they plan to help you achieve business goals.

Here you can ask them to show you a mockup blueprint of how they’re going to take your business on the top through their growth marketing and demand generation services. The agency will show you a tailored-made, structured, proven framework for driving results for your business. Based on that you can decide which one to choose by looking at what fits your business model the most.

Read: What Are Three Key Considerations When Evaluating Keywords For Search Engine Optimisation?

Final Verdict on Growth Marketing vs. Demand Generation

Demand generation is different from growth marketing. The demand generation’s task is to create a strategy that will make people interested in your products or services. It is usually done through content creation and then collecting leads. Growth marketing, however, covers a wider aspect of marketing. Keep on reading, and you’ll learn what that is. This blog will give you enough knowledge about growth marketing vs demand generation. After going through this blog, you can easily choose between these two.

For the best results, growth marketing and demand generation should work together in a full-funnel marketing strategy. Demand generation makes sure that there is a continuous arrival of leads at the top of the funnel. Growth marketing focuses on engaging and converting those leads throughout the rest of the customer journey.

Without top-of-funnel tactics, like demand generation, the sales team won’t have enough leads. Not only that, without a strong middle-of-funnel strategy, potential customers can also drop off. This concludes that there is no particular pick in growth vs marketing. You need to combine both. Only then will you be able to attract, engage, and retain customers effectively. At First Growth Agency, we’re here to help you make it happen.

Conclusion

Now you know all about growth marketing vs demand generation. We’ve talked in detail on this topic of growth vs marketing. To cut it short, growth marketing and demand generation both help businesses grow. Growth marketing focuses on long-term growth by improving the customer experience. Demand generation focuses on building awareness and attracting quality leads. Together, these two approaches work hand in hand to advance your brand at every stage of the sales process. You can expand your audience or create sustainable growth by contacting First Growth Agency for these two services.