Influencing Demand to Increase Supply

I started studying economics when I was very young—just a kid. I read the business page of the local paper and the Wall Street Journal. I was acquiring a vocabulary that would impress any college grad. I knew names like Warren Buffet, John Maynard Keynes, Milton Friedman, and more. I could rattle off a description of monetarism, supply side economics, and supply and demand. I knew about the gross national product and other key economic indicators. I was in heaven. It got better as I grew up and entered college. Let me share with you my passion. I hope to encourage more students to select this vital and interesting field as their major. It is all about what makes the world go around. You must know the meaning of capitalism, a free market, the dollar exchange rate, and how commodities work. If you know about stocks and bonds and the S&P, so much the better. I could go on and on.

Anyone in business wants to follow economic trends and gear their marketing tactics toward them. Otherwise you are wasting valuable advertising and promotion dollars. If unemployment is high, demand will fall as people have less excess cash. If foreign prices are low, American products will suffer as buyers rush to purchase abroad. The global marketplace is highly competitive. You must change your tactics to keep pace with new technology and innovation. For example, if you are selling a vacuum cleaner, it can’t just do what all the others say it can. You must change your strategy to attract these price-focused buyers by offering something new. You can market to a target audience of allergy sufferers, much like the this example about pet hair vacuums helping with allergies. Your website copy can concentrate on the big need to solve the problem of indoor pollution. By that I mean, dust and dirt as always, but also shedding pet hair. This can exacerbate existing allergies, prompting people to abandon the idea of owning a pet.

This is not an acceptable solution for most, especially animal lovers. The allergy prone can acquire a super powerful vacuum that has special attachments to grab and suck in stubborn pet hair. Air cleaners help and sometimes damp mopping, but it is not enough if the shedding is continual. I sympathize with people whose pets shed all the time and not just seasonally. They are always subject to an aggravation of their allergies. In some of the worst cases, you get oodles of fur balls that I call dog hair tumbleweeds. A good vacuum will quickly scout them out. Cleaning up after a beloved pet is part and parcel of the experience, and we all put up with it. If you are marketing a vacuum cleaner, why not address the allergy issue as an important benefit of buying a new appliance. It is clever marketing to reach a new audience and speak loud and clear to their specific needs.