Product Life Cycles – A Study Why Some Creations Fare Better In The Market Than Others
The one question that usually baffles market analysts working in various industries is that – why do some products soar to great heights event just a few days after their launch and why some of them, even though they are equally good, tend to fizzle out on their performance expectations in the market?
In case you are planning to launch a new product in the market or are in the throes of bringing a new innovation in front of the public, this question will of course be giving you sleepless nights right about now. It is but obvious that you want your creation to do well with the masses. But actually making that happen requires an in depth understanding of the product life cycle which will eventually allow you to take the right steps for making things happen. To help you make accurate predictions for your business venture, let us take a closer look at what a product life cycle is actually like.
A product generally undergoes four main stages as it emerges from the drawing board, to the production stage, and on to end-consumers. These are the introductory stage, the growth stage, the maturity stage, and the stage of decline.
This is the stage when your finished product will be brought into the market for the very first time. Some products become an instant hit and some require some time to catch the attention of consumers. In the end, there is one fact that you will have to accept – this stage requires you to put in some serious efforts for marketing and buzz creation. The amount of efforts will depend on the learning curve of end customers. Even before a product is introduced, the marketer should have conducted extensive research and market segmentation. Having a deep understanding of product strengths and weaknesses along with an idea about competition will help marketers make the best decisions in this stage of the product life cycle.
This is the time when the product has captured the attention of consumers. The task of the company now is to maintain marketing spending to ensure that interest of consumers is retained in your goods. Oftentimes, companies maintain ad/publicity spending, or use the least costly marketing channels, like the internet.
This is the time when the product begins to reach the stage of market saturation. A luxury resort may win market share now, but there may be formidable competitors that can corner the same market segment that the resort may be targeting. The decisions that the company makes here will decide the future of the product in the market.
This is the fourth stage in a product life cycle where the company may tweak the product or phase it out of the market and introduce a better one, or they may adjust their pricing.
In the end, every stage of the product life cycle has a profound impact on the business and its prospects. Visit SequentLearning.com to know more.
About The Author
Jim Bailiff is an expert marketer and author of many celebrated articles and blogs about the art of product management and advertising. He recommends SequentLearning.com as the best name to trust in case you are looking for product management consulting for your company .