Equally a marketer, y'all must understand well about the difference of Needs, Wants, and Demands. This article explains detail nearly Needs, Wants, and Demands with examples.  Afterward reading this article, you volition understand not only the overall concept of Needs, Wants, and Demands, but also the difference of each. Let's beginning learning about Needs, Wants, and Demands in Marketing.

Table of Contents

  • 1 NEEDS – The essential things for u.s. to survive
    • one.1 Maslow's Hierarchy of Needs
    • 1.2 Five Types of Needs in Marketing
  • ii Wants: Specific objects to fulfill our needs
  • 3 DEMANDS: Willingness and power to buy Wants and Needs
    • 3.1 Factors Influencing Demands – Social & Emotional Factors
    • iii.2 Viii Demand States in Marketing (with Examples)
  • 4 Summary

NEEDS – The essential things for u.s. to survive

Needs are the essential things to fulfill united states of deprivation for our survival. Needs tin can be basically divided into Physical Needs, Social Needs, and Individual Needs.

  • Physical needs include the bones human requirements such as air for breathing, nutrient, h2o, article of clothing, and shelter.
  • Social needs are the requirement for belongings and amore from friends and family.
  • Individual needs tin be varied depending on each person's perception, knowledge, and environment.

The famous psychologist Abraham Maslow said in his book of "A Theory of Human Motivation" that Human Needs could be fulfilled in a specific order of five-tier. Let'south report about "Maslow's Hierarchy of Needs Theory" in the next topic.

Maslow's Hierarchy of Needs

"Maslow'south Hierarchy of Needs" or so chosen "V-tier Model of Human being Needs" has specified homo Needs into five levels as in the post-obit:

  • The first level of needs are the Physiological needs which are essential for usa to survive. And so this can include annihilation from air for breathing, water, food, slumber, shelter, and clothing.
  • The second level of needs are the needs for Safety . The prophylactic needs can include personal security, prophylactic of resource, prophylactic of employment, safety in property and health. All the rubber needs are the basic needs for humans as well.
  • The third level of Maslow's Hierarchy of Needs is the demand for Dearest ; the need to belong, the need to have friends and family. And so this level of needs is called the social needs.
  • The fourth level is the needs for Esteem, self-esteem. In this level, we similar to experience confident and have a sense of achievement in what we exercise. So this level is too called every bit the level of respect. Nosotros like to proceeds respect from others in this level.
  • The fifth level is called Cocky-actualization level. Self-actualization is basically our need for wanting morality, a sense of morality, a need for credence and also inventiveness. In other words, the level of cocky-appearing tin can exist called as the level of our full potential.

As a marketer, y'all should know which level of Needs is your product targeting to.

Please run across the beneath figure for the example of companies fulfilling each level of homo's needs.

In here what we demand to know is that the homo's level of needs is non always going up level by level. For example, some authors, artists, and researchers are willing to conduct with the poverty to do what they desire to do.

Their basic needs might non be fully fulfilled, merely they are satisfied with themselves for being able to do what they love. They tin can be accounted as the grouping of people who have reached the level of Self-appearing needs even without fulfilling the basic needs.

Equally a marketer, agreement the human's level of needs is not enough for us. Equally people cannot always express what they demand; some people are not even fully witting of their needs.

Therefore it has come to the role of marketers to distinguish the type of customer's needs. According to Kotler Keller ("Marketing Direction 15e", pp.31), the needs can be specified into v types. Let'south study the "Five Types of Needs" in the coming topic.

Five Types of Needs in Marketing

The "Five Types of Needs" that marketers should know in order to distinguish the blazon of customer's needs are as following:

  1. Stated needs: A customer wants to buy a automobile and if he says he needs a car, then such need is termed as STATED NEEDS.
  1. Existent needs: When the client wants a machine for actual need like he needs a machine for going to work with depression operating costs, not depression initial cost, and so such need is termed as REAL NEEDS.
  1. Unstated needs: Customer also expects a proficient subsequently-sales service from the dealer when buying a car; such need is termed every bit UNSTATED NEEDS.
  1. Delight needs: The client would like the dealer to include a gift with the automobile such as a GPS Navigation system or Music Organization to please him, merely he doesn't clearly express that he wants something with the auto. That kind of demand is termed as Delight NEEDS.
  2. Secret needs: Needs that the customer feels reluctant to admit; for instance the client wants a automobile for the status symbol and then that he can show his friends that he is a savvy consumer (person who can spend his money wisely). Simply he feels uncomfortable to admit that status is important to him. That kind of need is termed as Clandestine NEEDS.

Responding but to the customer's STATED NEED ("I need a car") and does not endeavour to observe the client's Existent NEED ("I need a car with low operating cost") will not be able to fulfill the customer's need. That'southward why it is said that responding only to the stated need may mislead the customer.

Therefore, every bit a marketer, you lot should attempt to discover the REAL Demand of the client by request questions to him.

And also fulfilling non only to his Real Need, but also the other needs that he has unspoken; UNSTATED Need, DELIGHT Demand, and Cloak-and-dagger Demand.

In this way, you tin develop a meliorate human relationship with your customer.

At present, we have end studying about "Needs", "Maslow's Hierarchy of Needs", and "Five Types of Needs". Permit'southward keep on studying how Needs plow to be Wants, and how Wants can change to exist Needs in the adjacent topic.

Wants: Specific objects to fulfill our needs

Wants are directed by our surrounding towards reaching certain needs. Therefore homo'southward wants can be varied depending on each individual's perception, environment, culture, and society.

For case, an American needs food but he may want a hamburger, fried white potato and beer; a Chinese needs food just he may want a basin of noodle and a cup of hot tea.

With the development of the it, a lot of things have turned from the phase of Wants to Needs. For example, Computers, Smart Phones, Cyberspace, etc.

Therefore in that location come the criticisms that "marketing creates unnecessary needs, wants, and demands.", "marketers go people to buy things that they don't want." , etc.

In reality, marketers do not create needs. Human's needs exist before the existing of marketers. Marketers might promote some specific objects, and make people want those objects for their needs.

For case, Marketers might promote the idea that an Insurance can satisfy a person's need for safe; they exercise not create the need for safety of man.

After knowing the needs and wants, some other nearly of import thing that a marketer must know is DEMANDS. Let's report nigh information technology in the following topic.

DEMANDS: Willingness and ability to purchase Wants and Needs

Needs or Wants turn to be Demands when a customer is willing and having the ability to buy that needs or wants.

Many people want a Mercedes, but only a few tin can purchase one. Companies must measure not only how many people desire their product, but besides how many are willing and have the ability to buy it.

What will be the factors influencing human's demands? Let's see it in the next topic.

Factors Influencing Demands – Social & Emotional Factors

In that location are many factors influencing the demands of human. Those factors tin be separated into Social and Emotional factors as in the following:

Social factors: social factors tin bear on behavior and therefore demand for the different products. Social factors can exist generally categorized into iii factors every bit post-obit:

  • Social sensation – the increasing in social awareness of our health can risk us from eating junk nutrient, drinking alcohol, smoking cigarettes, etc. touch on the demand for those products.
  • Social norms – social norms that are acceptable in society can bear upon the demand of the products. For instance, people start getting awareness near the global warming and reducing the usage of plastic bags affect the need for the plastic bags.
  • Social pressures – The pressures influence on people past peers can touch the demand for the products/ services as well. For example, social pressure on every kid should be literate can increase the need of teaching services.

Emotional factors: Emotional factors of the customers can bear on the demand for some products/ services as well. For instance, after some major incidents, the demand for insurance can exist increased.

As a marketer, autonomously from knowing the factors influencing demands, you should too know the need states of your products.

8 Demand States in Marketing (with Examples)

According to Kotler and Keller, there are eight states of demand in Marketing:

  1. Negative Need

People will have Negative Demand on the products/ services that they dislike and merely don't desire. For example, fifty-fifty though we know that doing regular medical checkup and seeing dentists are beneficial for us, merely we don't want to do it.

Negative demand tin be a positive ane past creating awareness rather than promotion, and providing the data of your products/ services to the existent needed customers.

  1. Non-real Demand

People volition have Not-real Need or No Demand on the products/ services that they don't know or uninterested in. The best case of not-real need can exist new technology products and some pedagogy courses.

Non-existent Demand tin can change to be existent need by creating awareness and educating your customers. Smart telephone was non-real need in the past, just at present information technology has get full demand.

  1. Latent Need

The demand which makes customers realize afterward is chosen Latent Demand. The best case of latent demand is smart phones.

Companies should effort to sympathize the latent demand of the customers by asking questions and suggestions from the customers.

  1. Declining Demand

Products are facing Declining Demand because of irresolute of technological development, customer'southward preference and taste.

In the past, keypad phone was the market leader in the mobile phone industry, however, with the emerging of smart phones; the need of keypad telephone gradually loses its appealing.

So how can a product that facing failing demand gain demand again? By irresolute the product's features, finding new target markets, re-marketing the product, re-branding the production, and re-positioning the production.

  1. Irregular Demand

Products/ services which usage are based on time such as seasonal, monthly, weekly, daily, hourly face Irregular Demand. The clear example of irregular demand is umbrella which is more often than not use in the rainy days merely; in the other seasons, umbrella faces irregular demand.

  1. Unwholesome Need

In Unwholesome Demand, customers want the product desperately even though they are aware of the bad result of it. Cigarettes and alcohol are the best examples of unwholesome need.

  1. Total Demand

Full Demand is created if the products/ services always have the same demand. In full need, the need is meeting the supply. For example, medicine e'er accept full demand.

  1. Overfull Need

If the demand is more than the supply, the state of Overfull Demand is created. If the companies face up with the overfull need state, they should try de-marketing by reducing promotion and services temporarily or permanently.

Which need phase is your products at now? If y'all know the demand stage of your products, then it volition be easier for you to draw the marketing strategies for your products.

Summary

Well, at present we accept reached the cease of the commodity. Yous tin have a quick review on the whole article by studying the summary of each topic, Needs, Wants, and Demands as in the post-obit:

  • Needs: Needs are the essential things to fulfill the states of impecuniousness for our survival. Needs can be basically divided into Concrete Needs, Social Needs, and Individual Needs.
  • Wants: A desire is a product desired past a customer that is not required for united states to survive. So, want is the complete opposite of need, which is essential for our survival.
  • Demands: If a customer is willing and able to purchase a demand or a want, it ways that they have a demand for that need or desire.

As a marketer, agreement the meaning of Needs, Wants, and Demands is non enough for us. We take to empathize how needs are being developed in human'southward psychology by studying "Maslow's Hierarchy of Needs". And we must know our product is satisfying which level of the human'south needs.

Moreover, we shouldn't stop at the level of knowing customer's real stage. Nosotros accept to inquire questions to client in guild to know his real need. And we must fulfill not only to his real need, but likewise to his other needs: unstated need, delight need and secret need.

In conclusion, what nosotros have to remember in marketing is that knowing Needs and Wants of human is not plenty for us. We should always attempt to measure and guess the demand for our products as well.