The main factor that impacts a change in consumer demand for a product or service at a given price is a change in one or more economic or non-price determinants. These include:
- Consumer income: When income changes (up or down), demand shifts for normal or inferior goods.
- Consumer preferences and tastes: Changes in tastes can increase or decrease demand independently of price.
- Prices of related goods: The price changes of substitutes or complements affect demand.
- Consumer expectations: Expectations about future prices or product availability can impact current demand.
- Population size and composition: More consumers or changes in demographics alter demand.
- External factors like advertising, social trends, and economic conditions also influence demand.
At a given price, any change in these non-price factors will result in a change in demand, seen as a shift of the demand curve rather than a movement along it.