Demand Generation vs Inbound marketing vs lead generation - What's the Difference 

by Ayhan K. Isaacs in March 14th, 2022
Demand Generation vs Inbound marketing vs lead generation

Demand generation, lead generation, and inbound marketing are the main steps of b2b marketing. These three steps are loved by marketers to get desired results in fewer efforts. According to expert market researchers, exact knowledge is important to raise efficient steps. Lack of knowledge may affect the response of your marketing strategies. First of all, reducing the misconceptions or misunderstandings about these three terms. Many marketers still face confusion between demand generation vs inbound marketing lead generation. This article is full of related information. As a reader, you will also get to know the difference between these three marketing terms. So know them first and then give a power boost to your sale and promotion by applying them to your business.

What is B2B marketing?

what is b2b marketing?

The full form of b2b marketing is business-to-business marketing. In this procedure, one business is responsible to sell its products to another business. These commercial transactions between two businesses are impossible without mentioning three marketing strategies. To reduce the complications and chances of risks you need to focus on demand generation, inbound marketing, and lead generation. You can even take expert b2b marketing advice and support for smooth and exact operations of these three steps. In b2b business, demand generation, lead generation, and inbound marketing are keys to success. Some leading agencies provide marketing strategists to convert all your achievement dreams into reality.

What is the importance of demand generation, inbound marketing, and lead generation in business marketing?

After manufacturing a product there are many steps to ensure the sale of the product. You need to set the value and give a tough fight to your competitors. Also to spread awareness you need to perform certain promotional and marketing activities. It is a fact that you can not sell if you don't have proper marketing skills. But now solutions are available for every problem. You can hire a team of marketing experts to make and execute strategies. These strategies will pitch lead generation, demand generation, and inbound marketing. Through these, you can set up a perfect marketing platform for your products or services.

Importance of lead generation in business marketing:

importance of lead generation

Every business goal is to focus on sales. You can not improve your sales ratio without generating leads. Marketers took this step very seriously. Also, they know that ignorance will lead them to a failure result. With the help of lead generation driving traffic to your high-quality prospects becomes easier. It is again fruitful in approaching high-value customers. Lead generation is a way to gain visibility and credibility. Also, a direct approach to potential visitors has become possible only because of lead generation. So the concept of lead generation is very important in any type of business marketing.

Importance of demand generation in business marketing:

Revenue generating activities mainly participate in this step of marketing. Until unless your visitors or customers feel the requirement of the product they will not buy it. Sometimes marketers execute their strategies that convince your leads for the purchase. The example of Dominos Pizza is best to explain this point. You get many pouches of oregano and chili flakes with a pizza box. You generally use three or four and keep the rest of them in your fridge. Whenever you open your fridge those remaining pouches approach your mod for buying another pizza. It is called demand generation. There are many popular methods that you can apply to generate demand for your product in the market. Demand generation directly lifts your sales number.

Importance of inbound marketing for business marketing:

Today's consumers are highly conscious about their purchases. They gather proper information about the product before buying. Inbound marketing is a methodology that educates your consumers with the information for which they are wandering.

inbound marketing

Inbound marketing is a helpful source to pitch lead generation. This marketing step can reduce your marketing expenses and serve long-term value to a business.

What's the Difference between demand generation, inbound marketing, and lead generation:

Before you know the difference between these three terms of marketing, it is important to understand them separately.

What is demand generation?

This is a data-driven marketing program. The main reason to use this method is to spread maximum awareness about the business, product, or service. The experts executing this methodology focus on some business fundaments. These fundaments include the followings:

  • Stabilizing brand identity
  • Identification of potential customers
  • Maintaining thought leadership
  • Leveraging your brand status on social media platforms
  • Building and managing the public relationship
  • Brand alignment and positioning

What is inbound marketing?

Content is the main tool of this marketing methodology. Marketers use this tool in many different manners such as messages, ads, emailers, and more. The main purpose is to update consumers about the information he is reaching. Consumers love to know what your brand contains. Inbound marketing people also form connections and resolve customers' queries. Different strategists use this methodology fr different purposes. It can serve best-in-class results to attract your leads, keep them engaged with relevant information, and prodigy delight user experience.

The overall inbound marketing performance can be understood by the flywheel. After completing this flywheel strategy you can instantly approach your business growth.

What is lead generation?

Lead generation is an art that includes some strategies to convert a visitor's interest or inquiry into sales. Smart marketers never miss a chance to leave any single visitor without engaging. How will you update people about your brand? Why they will visit your website?

lead generation

The lead generation team works at various levels to spread more about the brand to increase interest. The more people will hear or read about you the more they would like to know about you. Below are some methods that the lead generation team uses to spread awareness:

  • Sending emailers and massages
  • Social medial updates
  • Blogs and articles for landing page opportunities
  • Providing coupon codes and offers
  • Display of adds

Demand generation vs inbound marketing:

Business persons are not that expert in marketing terms. Sometimes, they consider two different terms as the same. Commonly they consider demand generation and lead generation as the same thing. But this is the biggest mistake they do. Let us know the exact meaning and purpose of both:

Target-based difference:

Demand generation is improving the chances to raise public interest in your product or service. But the motive of applying the lead generation term is to convert their interest into potential leads.

Generation and conversion-based difference:

A long-term strategy is used to make people aware. Awareness increases the demand. But as per lead generation marketers focus on your searchers to pitch on their areas of interest to convert them into leads.

Difference of aims: Demand generation aims to educate people only. But the lead generation targets the areas of their interests and conversions.

Inbound marketing vs lead generation:

Marketers know well how they can use the power of content. Inbound marketing is the way you update people about you. Mailing, social media updates, and more platforms support this action. Where to generate leads mainly focus where your visitor shows interest. Meanwhile, you help your visitor will relevant options and reduce the obstacles to keep him engaged with your content.

Demand generation vs lead generation:

Both may sound the same but are completely different. To take each action properly we must understand what the step means and what are its objects to use. Demand generation is all about increasing the level of public interest in your brand. For this objective, you educate your audience about what is behind the curtain. Which may include new offers, the launch of new products or variants, and more. In terms of lead generation, you already know that your visitor is interested in your brand. You only have to help him with relevant details that he wants to get. Engagements are the motives for conversion in the lead generation step.


Each marketing term is incomplete without the other one. Marketers need to implement all the terms carefully. It helps them to target their goals in a short waiting period. Also, a perfect marketing strategy can uplift your business standard and set it for the next generation. So, know them first and then enjoy the results of the best marketing terms.

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