The news of the fall of the Kingdom of Jerusalem reached Europe via the bishop of Tyre. The pope heard the news and died. The next pope issued a crusading bull, but only reigned two months before he himself died.
Yet there was enthusiasm for a crusade. People had known for some time that Nur-ad-Din and then Saladin were increasingly threatening the Kingdom of Jerusalem. Many had pledged to go on crusade. Some had visited the Kingdom of Jerusalem as pilgrims and participated in battles against Saladin’s forces.
For better or worse, a new crusade was going to feature kings. Henry II of England (1154-1189) had pledged to go on a crusade as part of his penance for the murder of Thomas Becket back in 1170. Henry had collected money for this expedition (the Templars had used some of it to hire mercenaries who fought in the Battle of Hattin wearing Henry's colors). Yet he himself had not yet personally fulfilled his crusading vow because he had been involved in lots of wars in France, mostly with his own sons, including Richard, duke of Aquitaine (later Richard Lionheart).
Another potential recruit was Frederick Barbarossa, who had participated in the Second Crusade as a nephew of Conrad III. He knew the territory. He had recently settled most of his conflicts in Europe (he was now about 70), and he was ready to go.
Participation by these royals meant that other kings either had to participate or be shamed for failing to help. In fact, kings of England, France, and Germany would ultimately participate in the Third Crusade, along with many great nobles.
The Crusade of Frederick Barbarossa (1152-1190)
Frederick Barbarossa was the ideal emperor. He united the Guelf and Ghibelline factions that had divided Germany. He had fought much in Italy to consolidate his power there. Although he ultimately failed in Italy, he made the best of it and managed to reestablish his power over his great noble vassals in Germany.
Because of his previous participation on the Second Crusade, Frederick knew what he was doing. He raised a huge army. He marched it in good order to Constantinople. There he resisted Byzantine stalling tactics and counter-hostaged the Byzantine emperor.
He overawed the Seljuks, marching past Myriocephalum, the 1176 battlefield where the Turks had definitively destroyed the power of the Eastern Roman Empire (there the bones of the dead Byzantines could still be seen), captured Conya, the Seljuk capital, and led his army down to the Syrian Plain. It was the best march through Asia Minor since the First Crusade, Muslims were terrified by his success and by his imperial title.