Pardon me while I nitpick. While your theory is correct in economic terms,
it's not quite accurate in marketing terms. The world is full of successful
products that were not invented for an existing demand, but are now in
demand because of smart marketing. Slinkys? Lattes? Designer Jeans?
Coke? French water? Cabbage Patch Dolls?
No one knew that they need $3.00 coffee. Most people would have scoffed at
this idea if you had done "market focus groups" about 10-15 years ago. The
same thing with slinkys 30 years ago: "Why would I pay $10 for a big
spring? What does it do & why?" These products became successful because
smart marketeers convinced people that they needed/wanted/deserved them.
The image, the benefits, the usefulness of each had to be "taught" to the
audience. In other words, the marketeers *created the demand.
So I would say there are really two axioms:
1) "Demand entrains supply" (as you & Adam Smith have said)
2) "Marketing entrains demand" (as I & Slinky manufacturers have said)
Of course, that's why we're all out here on the internet, marketing away.
The tricky part of trying to create new demand on the internet is that
suddenly the consumer is in the proactive role. They have to know what
they want before they can search for your site. The slinky never would have
succeeded if it had been marketed on the internet first. The web will never
be a marketer's market the way TV has been. Maybe your axiom will become
more relevant as the web becomes more prominent.
Just my two cents. I hope that you will keep us informed as you continue
this line of thought in your articles.
Kim J. Smith
====== N E W S Y O U C A N U S E ======
U.S. News Online <a href="<a href="http://www.usnews.com">http://www.usnews.com</a>">http://www.usnews.com</a>
Internet Marketing Specialist kjsmith@usnews.com
====== W E B Y O U C A N U S E ======
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