How can I create a cascading drop down using SPServices?

Documentation for $().SPServices.SPCascadeDropdowns


In my opinion, the tricky part to this is the third list "CascadeExample". It was unclear to me after reading the documentation on the SPServices website that the two columns "Country" & "Region" in the "CascadeExample" list need to be lookup columns. It might be obvious to everyone else.



How do I: Implement $().SPServices.SPAutocomplete
How do I: Implement $().SPServices.SPLookupAddNew