Curious about upstream vs downstream marketing? These two strategies focus on different stages of the sales process and serve different purposes.
Upstream marketing occurs in the early stages when potential customers are just beginning to research their options. While, downstream marketing happens later, when potential customers are actively considering purchasing.
Upstream and downstream marketing are both important, but each serves different purposes and works best at different times in the sales process. It’s like a river – upstream is where everything starts, and downstream is where all the action happens.
Got it? Awesome!
Let’s dive into the details.
Upstream vs Downstream Marketing
Upstream marketing is a type of marketing that happens early in the sales process before a customer is ready to make a purchase. It involves creating educational content, building a presence on social media, and establishing thought leadership.
The goal is to influence the customer’s decision-making and ultimately drive sales by being present and visible early in their research while considering options.
Downstream marketing is a type of marketing that happens later in the sales process when a customer is actively considering making a purchase. It can involve activities like advertising, sales promotions, and personal selling.
The goal is to convert prospects into paying customers by giving them the information and incentives they need to decide. Downstream marketing focuses on the sales process’s later stages, while upstream marketing happens earlier.
Upstream vs Downstream Marketing Differences:
- Upstream marketing is typically more proactive and preventative, while downstream marketing is more reactive and corrective.
- Upstream marketing is often more focused on building relationships and establishing trust, while downstream marketing is more focused on closing deals and making sales.
- Upstream marketing is typically more cost-effective and efficient, as it can reach a wider audience and influence decision-making at an early stage. Downstream marketing can be more expensive, requiring more targeted and specific tactics to convert prospects into paying customers.
- Upstream marketing is often more focused on long-term results, while downstream marketing focuses on the short-term.
- Upstream marketing efforts may be more challenging to measure and track as they often have more intangible goals and outcomes. Downstream marketing efforts can be more easily measured regarding conversions and sales revenues.
How to Use Upstream and Downstream Marketing Together
A good strategy for using upstream and downstream marketing together is to think about the full customer journey and use each approach at the right times. Upstream marketing should be used to establish a presence and reputation with potential customers early in the sales process, while downstream marketing should be used to convert those potential customers into paying customers later on.
To use upstream and downstream marketing together effectively, it’s important to:
- Understand the goals and objectives of each approach and how they fit into the overall marketing strategy.
- Identify the target audience for each approach and create tailored marketing messages and tactics that will be most effective at reaching and influencing them.
- Monitor and track the performance of both upstream and downstream marketing efforts to understand what is working and what needs to be adjusted.
- Continuously assess and optimize the marketing mix to ensure that the right balance of upstream and downstream marketing is being used at the right times to drive the desired results.
Upstream vs Downstream Marketing Examples
Upstream Marketing Examples:
- Creating educational content, such as blog posts or ebooks, provides valuable information to potential customers and helps to establish thought leadership.
- Participating in industry events or conferences to network and build relationships with potential customers.
- Using social media to engage with potential customers and provide valuable information, insights, and resources.
- Partnering with other businesses or organizations to do partner marketing and reach a wider audience of potential customers.
- Conducting market research better to understand the needs and preferences of potential customers.
- Providing valuable resources or tools, such as a calculator or a quiz, to help potential customers make informed decisions.
- Offering free trials or demos to allow potential customers to try out a product or service before committing to a purchase.
Downstream Marketing Examples:
- Advertising in traditional or digital channels to reach potential customers actively considering purchasing.
- Offering sales promotions or discounts to incentivize potential customers to make a purchase.
- Using personal selling techniques, such as phone calls or in-person meetings, to directly connect with prospects and address their needs and concerns.
- Providing excellent customer service to encourage customer loyalty and repeat business.
- Using retargeting ads to remind potential customers of a product or service they previously showed interest in.
- Offering free shipping or other perks encourages potential customers to purchase.
- Using email marketing to send targeted, personalized messages to potential customers with special offers or incentives.
To sum up, both upstream and downstream marketing are super important for businesses.
Upstream marketing helps you make a splash with potential customers early on, while downstream marketing helps you turn those prospects into paying customers. Using both approaches, you can effectively reach and influence prospects throughout the entire sales process.
It’s important to understand the differences between upstream and downstream marketing and use them at the correct times to make the most of your marketing efforts. Or, as we like to say, “go with the flow” and use both approaches to navigate the river of sales success!