3.01 PSM Part 2 Product Life Cycle

1
3.01 PSM Part 2Product Life Cycle
2
Product Life Cycle

• Product Life Cycle
• the stages that a product goes through on the
  market
• 4 Stages of Life Cycle
• 1. Introduction
• 2. Growth
• 3. Maturity
• 4. Decline

https//www.youtube.com/watch?v3s3aBhH0fAE
3
Product Life Cycle

• Introduction Stage
• Product Launch
• Slow Sales
• Minimal Competition
• Promotion to increase consumer awareness

• During Growth Stage
• Sales increase
• Shift from awareness to customer satisfaction
• Competition from other products
• Can cause profits to decline

4
Product Life Cycle

• Maturity Stage
• Sales level off or decline
• Prices lowered to maintain sales
• Company tries to extend product life
• Decline Stage
• Sales decline rapidly
• Many similar products
• Priced for quick and final sale
• Product may be terminated

5
Product Life Cycle

• Marketing strategies change for each stage

6
Extending the Product Life

• Monitor Sales
• Profit and Market Share
• Modify product to spark interest
• Find new uses for the product

7
(No Transcript)
8
Activity