Demand refers to a certain period of timeprice level The quantity of a certain commodity that is willing and able to purchase refers to the effective demand.[1]
Changes in demandMeans that thecommodity priceChanges caused by other factors, such asConsumption habits, salary changes, etc., as shown in the figuredemand curveDisplacement;The change in demand refers to the change caused by the price change of the commodity, which is reflected in the relationship between different points on a demand curve
When other conditions remain unchanged, if the change is caused by price, it is the change of demand, which is intuitively expressed as the change fromPoint AMove to point B;If the price is unchanged, but the change caused by other conditions is the change of demand, which means that the demand curve itself (the whole curve) is shifting[2]。
influence factor
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The price of the commodity itself
The demand for goods changes with the price of the goods themselves.Since there are many kinds of goods to choose from to meet the same demand, if the price of one kind of goods declines while the price of other goods remains unchanged, consumers will buy more of this kind of goods to replace other goods, so the demand for this kind of goods will increase.On the contrary, the demand for this commodity will decrease.In economics, the impact of commodity price changes on demand is calledsubstitution effect （substitution effect）。[2]
In addition, because consumers' income is fixed for a certain period of time, when the price of a certain commodity rises, consumers will feel thatreal incomeThe decline will reduce the purchase of this commodity, so the demand for this commodity will decrease.On the contrary, the demand for this commodity will increase.In economics, the impact of commodity price changes on demand is calledIncome effect（income effect）。The substitution effect and income effect of consumption make the demand for a commodity change in the opposite direction to its own price.[2]
Consumer preferences
Demand is the quantity of goods consumers want to buy, which is bound to beConsumer preferencesConstraints.If a consumer's preference for commodity X is stronger than his preference for commodity Y, his demand for commodity X will be greater than his demand for commodity Y.The purpose of producers' advertising is not only to tell people what goods are available, but also to increase the demand for certain goods by changing people's preferences.[2]
Consumer income
Demand is an effective demand, so it also depends on the income of consumers.When consumers' income gradually increases, they will change the structure of the goods they buy.In this way, the demand for some commodities will increase faster, the demand for some commodities will increase slower, and the demand for some commodities will decrease.[2]
Number of consumers
If the increase in the number of consumers means an increase in employment, output and income, then the demand for goods will also increase.But if the increase in the number of consumers is not accompanied by the actualpurchasing powerThe increase of, that is, the increased demand is not an effective demand, then the demand for goods will not necessarily increase.[2]
income distribution
In the real economic society, due to the difference in income levels, the structure of people's purchase of goods is also different.In this way, when redistributing income on the premise that the total income remains unchanged, such as reducinghigh-incomeThe income of the class and the increase of the income of the low-income class will change their purchases of various commodities, which will lead to changes in the demand for commodities.[2]
Prices of other commodities
The demand for a commodity depends not only on its own price, but also on the price of other commodities.This impact can be analyzed in two situations: first, other commodities aresuccedaneum（substitute goods）；Second, other commodities areComplementary（complementary goods）。
The substitute Y of commodity X refers to a commodity that can be used to meet the same or similar needs as commodity X.For example,beefyesporkAlternatives to,SpinachIt is a substitute for cabbage.Because substitutes can meet similar needs, when the price of commodity Y rises, people will reduce the purchase of commodity Y and increase the purchase of commodity X. Commodity X will replace commodity Y with commodity X, thus the demand for commodity X will increase.On the contrary, people will replace commodity X with commodity Y, which will reduce the demand for commodity X.That is to say, the demand for a commodity changes in the same direction as the price of its substitute.[2]
Of commodity XComplementaryY refers to such a commodity: commodity X must be used when using it.For example, the complementary product of automobiles is gasoline;In tablewareknifeThe complementary product is fork.Because a certain commodity X and its complementary product Y are used at the same time, when the price of commodity Y rises, the cost of using commodity X increases, and the demand for commodity X decreases.On the contrary, the demand for commodity X will increase.That is to say, the demand for a commodity and the price of its complementary products change in the opposite direction.For example,Gasoline priceThis is a typical example of real economic life.[2]
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The following issues should be noted about the meaning of demand:
First, demand is what consumers want to buyQuantity of goodsInstead of the actual quantity of goods purchased.For example, if the consumer's demand for a certain commodity at a certain price is 1000 units, this means that if there are 1000 units of this commodity on the market, the consumer will buy them all.However, the quantity consumers want to buy is not always consistent with the quantity actually sold in the market.If the number of such goods on the market is only 800 units, and the number that consumers want to buy is still 1000 units, then the actual number they buy is only 800 units, the difference between the two is 200 units.
Second, demand is an effective demand.Demand is not the subjective desire of consumers, but a hope that can be realized.If consumers want to buy a certain amount of goods at a certain price, they must be able to pay for these goods.
Third, demand is a kind of flow.Demand is a concept of a period, which can only be measured in a specific period, such as monthly, quarterly or annually.Demand is measured in terms of quantity per unit time.For example, you buy a cup of coffee every day.The amount of coffee you need can be expressed as one cup a day, seven cups a week, or 365 cups a year.
Rolling demand loop
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According to the view of the book "Brand, the Fortress You Can't Escape",MaslowThe five levels of demand are what consumers hope to get in every purchase choice. The division of these five levels of demand actually exists in every consumerDesire to buyTherefore, demand is the embodiment of the interests of the ego and the ego of every desire, and it is a whole, just like a continuous upward rolling ring.
The demand ring is centered on desire, and every purchase purpose includes hope to realize physiology, security, belonging, self-esteemThe need for self realization。The spoke surface of the ring consists of five desires: physiology, security, belonging, self esteem, and self realization.Different needs,purchasing powerDifferent needs will lead to different requirements and realization methods for physiology, security, belonging, self-esteem and self realization.When the purchasing power increases, the demand ring will be promoted by the purchasing power, and at the same time, the intensity of desire will become larger and largerProduct form）The requirements of will become higher and higher.
Rolling demand loop
Demand is adiscrete model , influenced by five factors: environment, demand awareness, desire intensity, products and purchasing power.In general,purchasing powerWith incomeDiscretenessOfCorrelationIt is related to the intensity of desire and the intensity of demand awarenessenvironmental effect, which varies with the environment, so the demand can be expressed by the following formula:
Demand=environment+demand awareness+desire intensity+product (realization mode)+purchasing power
The degree of desire, the way of realization, and the size of purchasing power are all affected by the environment, so to achieve the sales volume of new products in a specific market, we must create an environment in this market that can stimulate consumers to purchase new products, that is, the optimal environment mentioned in this book.To create this optimal environment, it is necessary to create a brand that can compete with the leading brands in this market through communication, sampling, promotion and other meansAUP, which is why promotions always work.(See《Brand, you can't escape the siege》）
