Needs, wants and demands are a basic part of the marketing principles. It helps a marketing department to decide whether a product effectively sells or not.
- Essential things for the survival of human beings.
- Basic requirements like food, cloth, shelter etc.
- Extended parts of needs today are insurance, pension, education, healthcare etc.
- Things that we associate with ‘needs’ don’t require a boost because these are the products and services people always buy.
- It is not easy to promote products which come under the ‘needs’ category as there are thousands of brands promoting the same products and services from the needs category.
- Do not require a PUSH.
- A product desired by a customer that is not required for people to survive.
- Wants are not permanent and it regularly changes. As time changes, people and location change, wants change accordingly.
- Wants are not essential for humans to survive, but it is associated with needs.
- If we always manage to satisfy our wants, it transforms into a need.
- Wants are shaped by one’s personality, culture, society and surroundings
- Eg: iPhone, music player, dryer, eating out, Pepsi, big screen TV, CCD etc.
- If a customer is willing and able to buy a need or a want, it means that they have a demand for that need or want.
- For people who can afford a desirable product are transforming their wants into demands.
- The basic difference between wants and demands is desire.
- Eg: Willingness to buy a BMW is a want, but if you have the buying power, then it becomes demand.
January 31, 2022