How to create demand for a product or service

The presence of demand is a crucial prerequisite for profitability and the prolonged operation of a company. An unrequested product often becomes the reason for the decline of even well-known brands, as was the case with Blockbuster Inc. It is essential not only to generate demand for new products but also to enhance it for products that have already established their presence in the market.
Let's explore how to create demand for a product or service.

A demand strategy refers to a marketing action plan designed to cultivate a need for a product.
To develop an effective demand strategy, one must begin during the product market entry planning stage. The key steps to determine are:

• Target Audience: Understand and assess their needs.
• Product Attributes: Identify the characteristics of the product, service, or brand that will appeal to the chosen target audience.
• Marketing Toolkit and Communication Channels: Choose the most effective marketing tools and platforms for reaching out.

For instance, youth-oriented apparel and footwear are better promoted through social media and brand ambassador bloggers than via TV advertising. This is because the younger audience tends to spend more time online than watching TV. In contrast, banking services are better promoted through native integrations in financial and investment-themed blogs.

One significant benefit of introducing a demand strategy at the development stage is that it allows us to "warm-up" our audience. By showcasing the various stages of product creation and sharing these updates with our subscribers, we pave the way for a smoother and more effective product launch. This approach ensures that selling the finished product becomes considerably easier.

Demand generation refers to the comprehensive strategy for introducing a product to the market and boosting its appeal. The goal of demand generation is to narrow the gap between production volume and sales. This is crucial to enhance cash flow and leverage the scale effect.
In contrast, lead generation focuses on encouraging potential users interested in the product to take a specific action. Companies target only a segment of the sales funnel, starting directly from the lead acquisition phase. Other critical stages, such as analyzing the potential audience and familiarizing the target audience with the product, are not engaged in this process.

It's essential to study your potential customers. Divide the audience based on the following criteria:

• Gender;
• Age;
• Region;
• Marital status;
• Interests and tastes;
• Occupation.

Conduct segmentation at early stages to identify the predominant demographic and its needs. Ensure you avoid ageism and gender stereotypes — the more accurately you understand your consumer, the more precise your strategy will be.

These departments must work in harmony to spark audience interest and ensure product availability at the most advantageous time. Here are the primary marketing tools for stimulating demand:

• Landing pages: Useful for announcing the product and collecting contacts.
• Native advertising: Through bloggers and influencers.
• Advertisements on YouTube and in mobile apps.
• Email campaigns and messenger ads: Especially effective if the brand already has a client base.
• Promotions: Offering samples in exchange for a review or social media mention.
• User-generated content (UGC).

If a product is entirely new or hasn't been sold online before, targeting might not be as effective — users might not understand its utility. In such cases, advertising through bloggers is more apt. Opinion leaders can share their experience and provide helpful tips. This approach instills greater trust and understanding among the audience.

These methods are often ineffective when the audience isn't aware of the product and won't search for it by name. It's vital to pique the customer's interest. Once they're ready to try the product, the sales department can step in.

Develop a Customer Journey Map to pinpoint interactions between the customer and the brand. This map will:

• Manage user experience;
• Identify the most effective promotional channels;
• Retain customers by understanding and improving their behavior;
• Optimize sales;
• Enhance the loyalty of existing clients.

Remember, understanding and interacting with your audience at every touchpoint is the key to fostering loyalty and ensuring sustained demand for your products.

Based on initial analytics, assess the demand for the product and the effectiveness of the strategy. It's crucial to gather information about the product's strengths and weaknesses, determine whether it addresses consumer pain points, and identify any issues during its use. It's essential to survey clients, encouraging them to rate the product and write reviews. After analyzing the results, adjust the strategy and consider ways to interact with clients.

To stimulate demand, consider the following:

• Free Version of the Product or Tool: During an advertising campaign, provide access to a test version or offer samples. In return, collect client contacts and ask for a review or a mention on social media.
• Affiliate Marketing: Promote yourself through blogger accounts and niche websites. Engage opinion leaders and experts in your platforms, events, and webinars.
• Content: Ensure your publications are both informative and appealing to the audience. Utilize current trends, publish research, and find your unique presentation style.
• Email Campaigns: Think about the content and frequency of your newsletters, monitor email open rates, and conversion percentages. Consider everything, from the email subject to its length.
• Look-a-like Targeting: Attract a similar audience. Think about which product features will appeal to customers from different socio-demographic categories.
• Lead Scoring: Evaluating leads involves monitoring behavior and ranking users. By doing so, you can identify the most promising group of clients and strategize ways to convert them into buyers.

To ensure long-term success, continually adapt to changes in the market and refine strategies based on feedback and evolving consumer preferences.


How to Increase Demand If the product is already on the market, a company can:

• Attract new customers. Methods to stimulate demand for a new product will work, as well as SEO, contextual, and targeted advertising.
• Encourage existing buyers. Retargeting, email campaigns, personalized offers, and loyalty programs are suitable. Customers will purchase more of the product and share their positive experiences with acquaintances. Encouraging a consumer to repurchase is much more profitable than attracting a new customer. This way, we can quickly navigate the sales funnel stages that require significant expenditures. For instance, awareness and interest: the client already knows about our product and has purchased it. Thus, we can focus on increasing the clients' desire to buy the product.

When I first started working, the question, "Why is it so expensive?" used to stump me. However, the objection "it's expensive" in internet marketing is always about undelivered value. If you just state a price, selling becomes challenging. Online, people buy from people: trust is the foundation, which is why personal brand development or a company's multi-branding is so prevalent. It makes selling easier. When we communicate the high value of a product through content, its cost becomes secondary.