demand

• Demand refers to the number of goods/services customers are willing to buy at a given price
• factors affecting demand- substitutes, complementary products, consumer income, fashion consumer tastes , advertising and branding, demographics, seasonal changes and external shocks
• • substitutes- demand for a brand or product type can be affected by the price change so if cheaper demand goes up
• complementary products - when one good is bought with another e.g. printer and ink and if ink was to increase in price than printers demand would decrease
• consumer income- higher disposable income means more money available to spend on other things leading to a increase in demand for expensive products
• fashion consumer tastes- changing trends affect demand as consumers want new stuff eating too much sugar is a danger leading to fizzy drinks demand decreasing
• advertising and branding- aims to increase demand for a product or encourage exisiting customers to be loyal
• demographics- age, gender, ethnicity etc all have an impact on demand
• seasonal changes- some goods are only sold at certain times of year such as Christmas cards and chocolates leeadign to the demand of them increasign n that time period
• external shocks- if there is flood the demand for sandbags would increase to protect homes