6 degrees of Demand Generation


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Today, marketing is more than simply about doing some communications and throwing leads over the wall to sales. It is a discipline that touches every part of the sales cycle – attracting new customers, making them sales-ready, helping close the deal, converting new customers into advocates, delivering long-term repeat sales.

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6 degrees of Demand Generation

  1. 1. 6 Degrees ofDemand GenerationThe essential guide to delivering leads 6 Degrees of Demand Generation 1
  2. 2. Rethinking the sales cycleToday, marketing is more than simply about doing some communicationsand throwing leads over the wall to sales. It is a discipline that touchesevery part of the sales cycle – attracting new customers, making themsales-ready, helping close the deal, converting new customers intoadvocates, delivering long-term repeat sales.Fundamentally, this means the marketing sales cycle is now both longerand more complex than ever before. It requires a more holistic view of howto take someone from cold prospect to active evangelist. And it demandsthat marketers must deploy a wider range of strategies and tactics –understanding what to use and when to use it to deliver the best results.Today, marketers must have access to expertise in every aspect of generatingdemand. It is no longer enough to think just in terms of direct or brand oreven digital. To do so significantly limits the results you can achieve.Of course, we are now used to hearing about the latest developmentsin social and mobile and all the other bright shiny new things. But youcan’t simply jump on the bandwagon and hope it will magically deliverthe result you need (no matter what some ‘social media gurus’ tell you).Demand generation today is as much about science as it is about art.It requires that you intelligently mix and blend different approaches.It’s about measuring results (in all their varied forms). And it meansadapting to changing circumstances, tuning your activity to takeadvantage of new opportunities. 6 Degrees of Demand Generation 2
  3. 3. Aligning sales and marketingThe war is over. Today, the most important word in ‘sales and marketing’ is and.It’s now more important than ever that the two groups work closely together.Silos kill results, fostering a ‘them and us’ culture which works againstgenerating long-term profitable demand. Marketing must gain an ever-deeper understanding about how sales convert opportunities intocustomers. They have to understand both the triggers and barriers toa sale. And they must use their own skills to tip the odds of a successfuloutcome in their salespeople’s favour.Effective communication is vital. Together, sales and marketing must havea clear picture of what a qualified lead looks like. They should agree onthe core stages of the sales funnel. And they must map out the entireworkflow, including who is responsible for what.What does success look like?Objectives should begin with the overall business strategy. Unless they canbe tied back to this, serious questions must be asked about whether youhave the right objectives in the first place.They should be SMART (Specific, Measurable, Achievable, Realistic and Timely). Specific – what exactly do we want to achieve? How many leads will we need to convert to final sales? Who precisely are we talking to? Where are they? Measurable – what are we going to track? What are the benchmarks we should measure ourselves against? Can we test different approaches? How will we know when we’ve succeeded? Achievable – is what we want to do achievable? Or do we need more time, more money or a different set of objectives? Can we develop a must-intend-like approach of tiered objectives? Realistic – are we looking at the world as it is or as we’d like it to be? Have we avoided taking a distorted view of the market? What assumptions are we making (and are they reasonable)? Timely – how long do we have? Is now the best time? What stages can we break the task down into? 6 Degrees of Demand Generation 3
  4. 4. Thinking through the funnelThere is a tendency to look at the sales funnel in a very narrow way – alltoo often it means doing some basic activity to generate leads at one endand then additional activity to drive these leads towards a sale.While this isn’t wrong, it misses much of what it takes to deliver exceptionalresults.In this guide we’ll be focusing on the core sales funnel itself but it isperhaps better to think about the sales cycle in three stages: Pre-funnel – the activity that targets the pre-customer and helps build brand and reputation so that they become receptive to more overt demand generation tactics Funnel – creating and sustaining momentum with relevant content and offers – nurturing leads over an extended sales cycle Post-funnel – creating brand advocates from new customers and generating ongoing profitable relationshipsIt is also vital to think about those leads that fall out of the funnel along theway (those that relapse). We should not give these up for dead. There mustbe strategies and tactics to reengage with them. 6 Degrees of Demand Generation 4
  5. 5. The 6 essential tactics of successful demand generationThere are, of course, a multitude of different approaches and tacticsyou can use to generate and sustain profitable demand. In fact, it’s thishyper-fragmentation that causes many marketers sleepless nights asthey try to determine the best way forward for their brands.It’s been compounded by an increasing focus on media (i.e. where weshould put our message) rather than strategy (i.e. how we should approachthe market).This has led many marketers to get caught up in whether they needsomething like a social media campaign, without getting the foundationsin place of how best to profitably acquire new customers.In the following pages we will take a step back and look at the six coreelements to focus on when developing a successful demand generationprogramme – these are: 1. Getting inside customers’ heads 2. Behavioural targeting 3. Content marketing 4. Guaranteed success 5. Marketing automation and lead nurturing 6. Messaging channelsWe’ll look at each in turn and give some examples of how we’ve usedthese approaches to drive demand for some of our clients. 6 Degrees of Demand Generation 5
  6. 6. 1. Getting inside customers’ headsThere was a time when targeting B2B customers was all aboutdemographics – job title, location, company size, etc. While this canprovide some interesting information, it is insufficient to unlock theopportunities that will really deliver standout results.Today, you need to go deeper and understand the attitudes andmotivations that are making your customers and prospects act the waythey do (and which will encourage the behaviour you want to see). Themove is from demographics to psychographics. But short of gettingeveryone on the psychiatrist’s couch, how do you do this?You start by listening. More people than ever are sharing their thoughtsonline – whether on blog posts, in comments, on support forums, intweets. They are giving powerful clues about how the market as a whole(or at least large sections of it) is feeling. Monitoring tools, such as Radian6 and Vocus, can be also used to give a more nuanced, insightful result.Of course, your prospects are searching too. The keywords they use giveclear pointers to areas of confusion and gaps in the market – after all, ifthey knew the answers, they wouldn’t need to search. This informationgives you a powerful indication of the kind of content and programmesyou should be creating.It is now easier than ever to conduct simple online research to get manyof the answers we need (providing, of course, we ask the right questions).By paying attention to all these factors, we can build up powerful buyerpersonas that will help us determine the most profitable approach togenerating demand. And, as it works on an individual level, it worksequally well for B2C marketing.In B2B, however, we rarely focus on a single buyer. More typically, wehave to deal with a group of people with varying degrees of power andinfluence. Understanding and mapping these influences means you cantake a more intelligent approach to communicating with your customers.Again, some intelligent research can help you map the relationships. Andwith the growth of networks such as LinkedIn, you can now target peoplewho exactly match your audience at a time and place where they are in theright head-space to receive your message. 6 Degrees of Demand Generation 6
  7. 7. This ultimately means that you’ll be able to talk to customers and prospectsabout what really matters to them. You’ll be able to influence both theirthinking and behaviour, and drive higher results for your business.Case study: Adobe – CS5.5 Upgrade campaignChallengeAdobe Creative Suite is the market leader in graphic-based softwaresolutions. With incremental product updates, Adobe research identifiedthat slow adoption of new product suites across EMEA resulted in SMBcustomers running outdated software. Research showed customers hada “good enough” attitude to their existing older CS suites. Banner wastasked with developing a campaign to motivate users to upgrade, re-register and acquire new Creative Suite licences. Solution Given the target audience covered a wide range of market verticals and industry sectors, Banner determined the campaign would need to have an overarching theme, while providing tailored messaging to key decision makers. The “What If?” messaging encouraged the recipient to see the benefits of the new Creative Suite in light of their own business application. Creative Directors, IT Administrators and Procurement Managers were targeted with tailored email messaging navigating them through to a role-specific page on the microsite. 6 Degrees of Demand Generation 7
  8. 8. Banner developed a series ofonline copy platforms for useacross existing Adobe socialplatforms as well as customisedcreative “skins” for social networks.To support the digital materials,co-brandable DM booklets,posters, product cheat-sheetsand event collateral were alsodeveloped.The flexibility of an Eloquamicrosite allowed for multiple entry points based on job function orinterest while still leaving access open to all other areas. Supportingcontent such as pre-filled emails and upgrade guidelines were availableand tracked so that Adobe would be notified of both target activity andareas of interest. This allowed for accurate profiling and increasinglyrelevant targeting.2. Behavioural targetingSo we know how our customers think. But how can we know when and howthey are going to act on those thoughts? And what can we do to improveour chances of influencing them at just at the right time?Fortunately, actions speak louder than words. Customers do a pretty goodjob of telling us exactly when they are going to buy. As they move acrossour sites and the wider web, they leave digital footprints. These footprintscreate patterns of activity that are indicative of what they will do next andhow close they are to buying.Of course, if we can spot these patterns, we can serve up the rightmessages at the right time to have the most profitable impact. And this isexactly where behavioural targeting comes in.By tracking a user’s behaviour, we can score and assess their activity,building up a picture of their ‘digital body language’ (as Eloqua calls it).This profile can then be used to serve up contextual messages and offersdesigned to drive conversion, either on your site or across the widerinternet with media partners. 6 Degrees of Demand Generation 8
  9. 9. By closing the gap between indicative behaviour and marketing message,we can increase a prospect’s likelihood to buy and cut competitors out ofthe equation.Case study: Sage – All Business campaignChallengeSage is well known for the accounting software it provides for small businesses.However, many people don’t realise that Sage also has a wide range of offeringsfor larger companies and enterprises. This means they have tended to lose outto the likes of SAP and Oracle on vendor shortlists. Our challenge was to makeSage more relevant to the large business market. In particular to focus on fourkey areas: Construction, CRM, ERP and HR & Payroll.SolutionSage had some great video case studycontent featuring current large businesscustomers talking about how easy itwas to implement their software. Thesebecame the core of our campaign.Because it can be difficult to driverespondents to external sites (especiallyif you are less well known) we createdan interactive nanosite.Four versions of the nanosites weredeveloped, each promoting a different key vertical market. These vertical-specific nanosites were then served up to the relevant audience throughhighly targeted site placements and behavioural targeting, ensuring theend-user only saw case studies relevant to their industry. The campaign alsoexpanded into print, mobile advertising and lead generation. Results The nanosites outperformed the industry average in every measure. They created more impact and, crucially, greater engagement. In fact they outperformed theindustry average interaction time by almost 300%. The campaign onthe whole helped solidify Sage’s presence in the mid-market segment; asurvey revealed an improvement in perception of thought leadership andthe innovative nature of the firm. 6 Degrees of Demand Generation 9
  10. 10. 3. Content marketingB2B and technology buyers do not generally buy on a whim. Theirpurchases are not driven by wanting to look cool or eat sugary snacks ordrive a fast car. More often than not, they’re looking to solve a tangiblebusiness problem.Most business problems are complex and touch every part of theorganisation. They ask the big questions: how can I improve supply chainefficiencies? How can I gain a more accurate picture of what’s going on?And how can I respond to threats and opportunities faster?Ultimately, businesses need answers.What this means is that, when they come to your site, they aren’t lookingfor your products. They want someone who can help them overcome thechallenges they face.In the first instance, they’re looking for content. Content that’s about them,their issues and their situation. Content that will help them move forwardregardless of whether they go on to buy your products. This is the cost ofbeginning a relationship.It allows prospects to judge what lies behind the claims, giving thema sense of what the relationship might be like if it progressed. It’s yourbig chance to earn some major brownie points for being a helpful,knowledgeable business partner.Of course, this is just the ice-breaker – what you want is a deeperrelationship. You want to get into a conversation about the issues. Aconversation that gives you the opportunity to show how your productsand services can deliver the solution. This means sharing your contentbeyond the firewall, encouraging people to pass it on, discuss it and askyou questions about it.It also means developing a range of content in a variety of formats. Somepeople will happily read a white paper or ebook while others prefervideo or a webinar. Importantly, different content is effective at differentstages of the sale. In the early stages and pre-funnel, you’ll need thought-leadership pieces that examine the issues from a high level. Later, you mayneed the validation of a white paper or analyst report. And, later still, youmay need to develop an interactive ROI tool. 6 Degrees of Demand Generation 10
  11. 11. While content marketing requires a greater commitment to developongoing material that can be deployed over an extended time period,it allows you to match your communications far more precisely to theextended buying cycles found in B2B.Case study: Novell EMEA Virtualisation – Content AuditChallengeNovell engaged Banner to launch a European demand generation andlead nurture program for their Virtualisation products. Key to the successof any multi-stage nurture program is content, but Novell had a hugeamount of content in many different formats across its website and othercontent repositories.They didn’t know what content they had and weren’t aware which pieces ofcontent would be best to drive awareness and convert prospects.The negative impact of poorly created content cannot be underestimated:slower decision-making, frustrated customers and lost deals. Somethinghad to be done to bring clarity to the situation and ensure that every pieceof Novell content was working as hard as it could.SolutionBanner recommended a content audit to Novell EMEA. Working inconjunction with IDG Connect, the content audit reviewed hundreds ofpieces of existing content and rated them according to their ability toprogress a prospect through the buying cycle. Source: IDG Connect 6 Degrees of Demand Generation 11
  12. 12. IDG identified a five-stage process from initial consideration through tosale. Each stage had been exhaustively researched to uncover insightsabout audience behaviour and their requirements for content throughoutthe buying process: 1. General Education 2. Business Case Development 3. Implementation Scenarios 4. Shortlist Creation 5. Final DecisionsThrough the content audit we scored and mapped the content acrossthese five stages, split the assets by target audience, their effectivenessat meeting audience requirements, how they were linked to other assetsand their “shareability”. Ultimately, it created a “goodness” rating of thecontent. Anything under a certain score would need to be revisited.We put together an exhaustive presentation and recommended how Novellcould improve their existing content to increase buyer momentum. A gapanalysis showed what new content types would be needed across eachbuying stage. We also suggested alternative content formats that wouldcreate more impact than standard PDFs and made recommendations toensure that each piece of content was created with a prospect-centric view.Ultimately, we were able to make recommendations that would enable Novellto optimise its content portfolio to increase demand generation performance. 6 Degrees of Demand Generation 12
  13. 13. 4. Guaranteed successVirtually every marketing programme is a leap of faith. No matter how muchdata you have, how robust your insights or how great your offer, you cannever be 100% sure of the results you’ll achieve. Understandably, this canhold you back when assigning scarce budget against ambitious targets.But what if you could guarantee the results you’ll achieve?Such is the promise of a guaranteed lead generation programme.Essentially, this involves creating a piece of content such as a white paperor high-value report and specifying what a marketing-qualified lead lookslike (e.g. they have a need, are in the right sector and geography and havea purchase timeframe of 6 months).Then we agree with a publisher that they will commit to delivering Xnumber of leads at an agreed cost per lead. Now, this cost may well bemore than you might pay if you were to run a traditional lead generationcampaign, but it does mean that you know exactly how much you will payfor every marketing-qualified lead you get.It also places the onus on the publisher to deliver against your targetsusing all the means at their disposal – this will tend to result in themup-weighting their promotional activity featuring your brand if they are indanger of not hitting their targets. All without any additional cost to you.While this approach is not for everyone, we have seen it deliver standoutresults for a number of our clients, particularly targeting enterprisedecision makers.The secret is to have a high value piece of content, to be very clear aboutwhat constitutes a lead and to understand the real value of a lead givenyour typical rates of conversion. 6 Degrees of Demand Generation 13
  14. 14. Case study: Riverbed – Pan-European Online Lead GenerationChallengeBanner was tasked with delivering qualified leads to the Riverbed salesteam through white paper promotional activity. Riverbed is ultra-strictwhen it comes to rejecting leads which don’t meet requirements, sodiligent campaign management was needed.SolutionUsing quarterly budgets, white paperprogrammes were set up to drive responsevia email and web promotions. Leads weregathered, checked against the extensiveexclusion list and detailed filter list and, ifcorrect, were sent onto the client via secureFTP (to comply with data protection).Leads which did not fulfil the criteriawere returned and reconciled with thepublishers.Contracts were in place with certainpublishers, so a rebate based on volumeof spend was applicable and could berolled into additional activity.To boost awareness via lead gen, anumber of live webinars were recordedwhich delivered leads and promoted thewider Riverbed message.ResultsWe generated 3,570 leads with approx10% over delivery. The success ofthe campaign led to the EMEA teamextending the white paper programmeinto more countries across the region –directly indicative of how the white paperprogramme influences the sales cycle. 6 Degrees of Demand Generation 14
  15. 15. 5. Marketing automation and lead nurturingOne of the defining differences between B2B and B2C is the length andcomplexity of the sales process. In B2B, multiple buyers, multiple stagesand multiple tiers of distribution all conspire to create an extendedprocess that must be managed over time.This means that you cannot simply dangle a single piece of content like acarrot at the beginning of the process and then expect it to turn into a salesix, nine or twelve months later. Having a well-considered lead nurturingprogramme that will cover the expected time it will take for a lead to beacquired and finally passed to sales is fundamental to success.Traditionally, these programmes have communicated with prospects atpredefined intervals and with a number of touches, each offering furtherresources or additional content. Every touch is designed to shift theconversation on a little, moving the prospect closer to a sale. So we maybegin by offering a free analyst report, followed by a short video giving anoverview of how the product solves a particular problem. After that maycome a case study and invitation to a webinar (all specific, of course, to thetask in hand).While this traditional approach delivers results, there are ways to take ita stage further. A marketing automation system lets you communicatemore dynamically, delivering relevant communications based on customertriggers. So a customer downloading a white paper may trigger a follow-up offer. One using an ROI tool may trigger a sales call. And we mightdecide to offer one view of our website to a certain type of customer andanother to a different one based on their behaviour.More than this, using lead scoring we can determine where an individualprospect is in the funnel and use pre-defined rules to automate the wholeprocess. This enables us to have a sophisticated, responsive solutionwithout the crippling timescales such an approach would traditionally take.This also means that we can stop thinking in terms of fixed-lengthcampaigns. Because each action is triggered by a previous one,‘campaigns’ can run as long as there are products to sell and customers tobuy them. Combining marketing automation with intelligent lead nurturingmeans we can generate demand even for the most extended sales cycle. 6 Degrees of Demand Generation 15
  16. 16. Case study: Colt – Smart OfficeChallengeColt had a range of point products designed specifically for the needs ofthe SME market and sold through a network of European channel partners.The challenge they had was twofold. Firstly, while partners where relativelysuccessful at selling individual products, they struggled in moving beyondthis to sell suites of interlinked solutions. Secondly, Colt wanted to getmuch closer to its partners to help them to succeed.SolutionWe worked with Colt on the namingof the new suite of products, whichwas finally christened Colt SmartOffice. We developed a positioningaround “greater flexibility, morepossibilities” to successfullycompete against the perceivedinflexibility of the national carriersthey were competing with.Then we created a suite ofcommunications materials thatcould be used across Europe. Theseincluded EDMs, direct marketing,datasheets and solution guides.We also built an Eloqua-powered microsite and an interactive Flash toolallowing visitors to discover the right suite of products for their individualneeds. The website was capable of serving different content based on thevisitor profile and their previous interaction with the campaign. All visits to the site were monitored and hot leads were sent as alerts to the Sales and Marketing teams at Colt. All marketing data captured in Eloqua was synchronised with salesforce.com to ensure effective follow-up on every lead. Finally, we developed a full channel pack featuring cheat sheets, proposition guides and telemarketing scripts to get partners on board with the campaign. 6 Degrees of Demand Generation 16
  17. 17. 6. Messaging channelsToday there are a multitude of ways to communicate with a customer.We consider over 80 when we’re planning our campaigns (and that’s justthe main channels).This presents both an opportunity and a problem. On one hand, thereare many more ways to get through to our audiences. But, on the other,they have many more ways to avoid us.Of course, if we get our content right, then communicating becomes lessabout the interruptive battle for attention and more about engaging withcustomers where they want, with information and tools to help them getstuff done.Search is key. As we mentioned before, customers are clearly telling us whatthey want every time they enter a term into Google. Using this informationnot just in PPC campaigns but also as a foundation for developing tools andcontent is an obvious (though surprisingly rare) next step.In addition, where at one time all messaging was essentially one way (batchand blast), we’re now in an age that values far greater social interaction. Nowthis doesn’t necessarily mean that all customers and prospects want to beyour ‘friend’, but they do value the opportunity to exchange opinions andhave their say – they also appreciate being able to ask questions without asalesperson immediately jumping down their throat.While traditional channels still exist (and continue to deliver results for certainchallenges) the move has been increasingly to social and almost whollydigital media. This doesn’t mean that the answer to all marketing problemsis a combination of Facebook and Twitter, though both have their place.Just that social components should be built into all your communications.Certainly, everything should be shareable. But this is just the start.Today, you must look to make everything you create remarkable in thetrue sense of the word – to have sufficient inbuilt interest and usefulnessfor customers to want to remark upon it. Let’s face it, no one will ever bebored into sharing and spreading your content. There is a glut of dull, self-serving content on the web. You need to think hard about how to lift yoursout of the mire. 6 Degrees of Demand Generation 17
  18. 18. This is as much about attitude as media. If you begin by looking for waysto engage with your audience rather than just shouting at them, you’remore likely to create campaigns that are both enduring and effective.The one channel that is beginning to radically change the way peopleaccess information is mobile. Mobile forces us to be far clearer and simplerin what we say. Even the larger screens are still smaller than we’re used toworking with. While this may appear to be a limitation, it is probably nobad thing as it makes businesses focus on their core offering.Fundamentally, mobile makes us far more contextually aware – where arethe people we’re communicating with? What are they trying to get done?What’s their appetite for content?Effectively generating profitable demand will ultimately require the skilfulblend of paid, free and earned media. This can only be achieved if youhave a deep understanding of your customers and their motivations andshow how you can help them achieve success.Case study: Autodesk ShowcaseChallengeAutodesk ® Showcase ® is a real-time visualisation tool producing stunning,high quality renderings of CAD designs. Sadly, it was not well known (apartfrom among hardcore aficionados) and Autodesk wanted to use SocialMedia to help educate customers and prospects about the value of real-time visualisation to create demand.SolutionSocial media and content analyticsshowed us that a large amount ofAutodesk-branded content alreadyexisted but was disparate andwasn’t effectively contributing toAutodesk’s marketing.The solution was to create a contentdestination for Showcase users and3D design professionals. We worked 6 Degrees of Demand Generation 18
  19. 19. closely with our social media agency partners Content & Motion (C&M*) todevelop a bespoke Showcase site for both the UK and Italian markets. Thishighlighted the best in 3D design by Autodesk customers and providedbest practice tips and insights from Autodesk technical experts.We spread the word using display advertising, SEM, a blogger PRprogramme and other content seeding techniques combined with strongcontent optimisation, a SEO programme and great search engine visibility.We then went further, introducing competitions and trial downloads asincentives for active participation.Content was generated by C&M* and Autodesk experts who weretrained in best practice blogging and online engagement. Agency-side,we collectively managed the weekly editorial and publishing agenda viaregular content analytics, trend analysis and content mapping – resulting ina steady flow of highly optimised posts targeted directly to the wider 3Ddesign community.You can read more about how to use mobile and social channels toinfluence buyers in our B2B Mobile & Social white paper. 6 Degrees of Demand Generation 19
  20. 20. Bringing it all togetherToday it’s more important than ever to take a holistic view of your demandgeneration activities. Customers are harder to reach and more resistant tobeing marketed at. They have no time for empty, claim-based approaches.People want to be treated like the individuals they are. They want brandsto engage with them on a human level, to have a conversation aboutthe issues (not just about their products). They want answers, not just‘solutions’. For marketers, this requires a shift in both thinking and practice.You must understand what’s going on in your customers’ heads, what theirreal motivations are. You need to be able to affect their behaviour whenthey are most receptive and likely to be influenced. And you need to thinkmore deeply about content.Content is king – useful, helpful content that helps customers get stuff doneor gain fresh insights or discover what’s working (or not) in their market.Companies that are not continually thinking about developing effectivecontent will simply not live up to their demand generation potential.Because B2B sales cycles are typically measured over months rather thanweeks, being able to sustain your engagement over the long term is vital.Today’s marketing automation tools can help you take a more dynamic,individual approach to your communications, allowing you to successfullynurture prospects until they’re ready to buy.And finally, the multitude of available messaging channels mean thatmarketers must carefully pick and blend the ones that will deliver the bestresults. They must closely track performance. And importantly, they mustbe able to tune and adapt these channels over time to optimise theireffectiveness.There has never been a more interesting time to be in demand generation.While the challenges can appear significant, the opportunities to delivertruly exceptional results are everywhere. All it takes is the right insightcoupled to the right tactics. 6 Degrees of Demand Generation 20
  21. 21. Let’s talkWe hope you’ve found this guide interesting and useful.If you have any questions or would like to discuss any of thetopics further, we’d love to talk.Email Michael Wrigley at michael@b1.com or call him on020 7349 2266.Follow us on: Twitter: @bannercorpAnd keep up to date at: www.b1.com/blog 6 Degrees of Demand Generation 21