What Is Types of Demand in Marketing? Definition of Types of Demand in Marketing, Types of Demand in Marketing Meaning and Concept

The types of demand for marketing represent the different ways in which the request for goods and services will be made in a company .

The demand for a company establishes the volume or quantity that a group of customers is willing to buy, within a period of time, in a geographic area and in an environment defined by means of a marketing plan or program.

Defining the demand of a company is very important, because this will allow determining the level of expected income and the expenses that the company has to make in its different marketing strategies. especially in communication and distribution.

Market demand is the total volume that people are expected to buy in that business or industry area, but company demand only represents the company's share of that market.

Level of participation of the company in the total demand

The level of participation of the company in the total market demand depends on the perception that people have about:

  • Products
  • Services
  • Prices
  • The form of communication implemented by the company

People compare all these variables with what the competition offers and depending on the benefits that people are looking for or expect to receive, this will be their purchasing process and this will influence the level of demand for the company.

Types of demand

The classification of demand from the marketing point of view is very varied, but the most common classification is divided into the following groups.

latent demand

Latent demand occurs when people in the market express a strong need that they want to satisfy, but it is not easily satisfied with any that already has a presence in the market.

  • Latent demand is generated by the desire to obtain a specific product with certain characteristics.
  • It could be said that there is currently no product that is suitable to cover that need, for that reason the level of potential that this kind of demand has is very high.
  • Therefore, companies should seize the opportunity and develop products that cater to this need.

Decreasing demand

It manifests itself when demand shows a downward trend and this situation greatly affects the level of sales of companies.

  • In this case, it would be advisable to investigate the reasons for the drop and take corrective measures to improve the problem.
  • In an extreme case, the company could withdraw the product if it is no longer profitable to maintain it.

negative demand

The particular case of negative demand is seen when certain market groups do not like a certain product or service.

  • It could be the case of visits to the dentist or the doctor, the companies that provide this service will have to improve their image or their marketing strategies to encourage users to change the attitude and perception of these products.

null demand

It occurs when there are products that people do not value because certain specific groups consider that they do not need them.

  • For example, certain places that have high-quality drinking water service would not consider it necessary to buy bottled water.
  • However, companies could work by highlighting the benefits of the product and relating them to people's preferences and interests.

Irregular or seasonal demand

This type of demand presents ups and downs for the company's sales , because products and services are more strongly demanded at certain times of the year, depending on the change of season, which generates irregularity in sales. We could mention the sale of coats in the cold season.

  • An irregular demand could also be manifested due to economic conditions, if the purchasing power of people rises or falls, they could consume more of one product or less of another.
  • If it were the case of an economic crisis and there is a drop in income, fewer luxury products and more popular products will be consumed, in both cases what the company must do is adjust its supply with demand.

demand in full

It occurs in circumstances in which companies are pleased with the level of demand and the sales revenue obtained.

  • Under these conditions, the company's efforts are focused on trying to maintain the level of demand, maintaining a constant improvement in its products, its services and the delivery of value in general.
  • This demand is highly desirable because it fits perfectly with the objectives and goals of the company; asó with the marketing strategies and tools implemented.


It occurs when the amount of demand is greater than what is normally demanded, in these situations the demands will seek to adjust the demand, reducing it temporarily and in some cases permanently.

  • If the company finds a higher level of demand than it expects, can or wants to handle, it must apply demarketing programs, which is a process that consists of reducing demand.
  • The idea is to stop buying the product, so prices could be increased to achieve the expected result.

Finally, we can indicate that for any company it is important to know its level of demand participation in the total market, as well as the types of demand they face, since with this they will be able to better implement their marketing plans and programs. So that these measures are adjusted to achieve the expected results and objectives in your level of sales and business profitability.