Shifting from lead gen to demand gen in B2B SaaS marketing
For many B2B SaaS companies, the prospect of transitioning from a high-velocity lead generation model to a demand-focused, customer-centric approach can appear both daunting and complex. However, with the right strategy, this shift can lead to higher sales productivity and increased pipeline conversion rates. Here’s a step-by-step guide to navigating this pivotal transition smoothly and effectively.
1. Data analysis: Assessing the need for change
Begin with a thorough analysis of your current lead gen efforts. Question whether completely turning off the lead gen faucet is the best move. In many cases, a complete shutdown could disrupt your existing pipeline and sales activities, leading to pushback from both sales teams and leadership.
We recommend that you dive deep into your performance data to identify which lead gen activities still yield value. This will inform your strategy for a gradual shift rather than an abrupt stop.
2. Gradual transition: Keeping the pipeline intact
Transitioning slowly is key. If your SDR team relies on lead gen for pipeline creation, consider how you can gradually reallocate resources without halting momentum. The objective is to transition without causing a breakdown in your current operations.
We recommend starting by incrementally shifting budget and focus from lower-performing lead gen activities to demand gen initiatives. This allows for a smoother transition and less resistance from stakeholders.
3. Mindset, metrics, and execution: The new order
Adopt a new framework. Shifting from a lead gen to a demand gen model requires a change in mindset, metrics, and execution—in that order. Recognize that not everything can be directly measured and that building trust with your audience through valuable content is paramount.
We recommend implementing a leading indicator framework to gauge the effectiveness of your new demand gen strategies. As you begin to see higher quality inbounds, gradually move more resources into demand gen and zero-click ads strategies.
4. Content repurposing: Unlocking the power of ungated content
Evaluate your existing content. Start repurposing gated content as ungated content to test its value and usefulness. This not only helps in determining the quality of your content but also in aligning it more closely with buyer needs.
Monitor engagement and usefulness. If the content proves valuable, continue the process. If not, prioritize the creation of new content that addresses your buyer’s needs directly.
Uncertainty can lead to long-term rewards
The shift towards demand generation may feel uncertain, especially when compared to the tangible outputs of lead generation efforts. However, the focus on creating and distributing content that genuinely meets the needs of your target audience promises a more engaged customer base, higher sales productivity, and improved conversion rates.
Remember, demand generation is a marathon, not a sprint. It’s built on the foundation of trust, credibility, and value, offering a sustainable path to growth for B2B SaaS companies willing to embrace this change.
Stay competitive and relevant with this shift
For B2B SaaS companies in Scandinavia and Northern Europe, transitioning from lead gen to demand gen is not just a strategic shift but a necessary evolution to stay competitive and relevant. By following these steps and focusing on long-term relationships rather than short-term gains, companies can achieve a more sustainable and efficient growth trajectory. This transition, while challenging, paves the way for more meaningful engagement with your audience and a more robust pipeline that aligns with the changing dynamics of B2B buying behavior.