The product life cycle depicts that every product goes through 4 stages. i.e., product development, product growth, product maturity, and product decline.
Each product in the market has its own length of the cycle.
This is the stage when a new product is developed and introduced in the market. The company conducts research and development procedures in order to generate a new product or an old product with a unique features.
This is the stage where the product is introduced for the first time in the market.
This is a stage that witnesses growth in the demand for a product. The company develops a new marketing strategy to enhance the reach of the product.
You will be noticing an increase in demand, distribution, and competition for the product developed.
This is the stage where the product has reached its highest level of demand in the market. The company is able to distribute its product into various segments.
As the product has reached its highest level of demand, there is no use for further advertising at this stage.
This is the stage where a product starts losing its market share. It may be that product has become obsolete or a new product has replaced it.
A decline in demand, price, and distribution is noticed in this stage.
Let’s assess the time limit that each stage involves:
There is no specific time limit required in each stage. It totally depends upon the type of the product and many other factors.
Let us discuss it for all the stages:
For product development
The time limit required in this stage depends upon the time a company spends researching the product. Every company has a separate research and development department. The main job of this department is to find out ways in developing a new product or enhancing the features of an existing product.
It takes time for a company to assess whether such a product can be introduced in the market or not.
For product growth:
The time required by this stage depends upon the market share covered by the introduced product. If there is huge competition in the market, the product will take a longer time to grow. The growth in stage depends on how a product can satisfy the uses of the potential customers.
For product maturity:
The time required in this stage depends upon the potential of the company to assess which product needs to be kept in the market. The company has to regularly introduce the product with a new features. If it fails to do so, it will start losing its existing customers.
The time required in this stage also depends upon the potential of the existing competitors in the market.
For product decline:
The time required in this case depends upon how fast the customers switch to the products offered by the rival companies. The loyalty of the customers plays all the game in this stage.
The product life cycle is used by marketing people to make strategies for marketing a product. But by studying its life cycle of it, a company can decide on the various strategies involved in gaining a market share for the product.
The benefits of a product life cycle are mentioned below:
Decision-making is one of the most important parts of a company. If the company has introduced more than one project, it has to decide which product to sell in the market first.
The company prefers in selling a product that has the highest rate of return.
It helps the company in forecasting the sales of the newly introduced product. Depending upon its existing demand and the market it can cover, companies can forecast whether there would be to the successful launch of the product in the market.
By comparing the product cycle of your product with that offered by your rival company, you can get an idea of how successful your product is going to be.
You can also draft adequate strategies to market your product in order to achieve the goals you want.
LiveWebTutors is one of the best companies offering online assignment help to students. We have come up with a completely unique style of writing our assignments.
The entire content is written by our expert academic writers. We make sure that our content is completely free of any errors or mistakes. The content provided by us is completely original and does not contain any plagiarized statements. We undergo robust research before writing on any topic given to us. Thus, we are also able to provide you with the latest information on the topic.
The content written by us is completely genuine and true. We add all the relevant facts and details to support the information in our content. Students looking out for assignment help in Sydney companies will find our work to be completely reliable.
We can also help you in making a very attractive assignment on the subject of economics. Our writers keep themselves updated with all the latest information present in the economy. If required, we can also make a technical assignment for you. We are also well capable of including any calculations which are necessary to support the content of assignments. Students looking out for economics assignment help, nursing assignment help, economics assignment help, and so on. We will find our company to be the best in the market.
We also specialize in writing essays for students. While writing an essay, we ensure that all the required guidelines have been followed. We have helped thousands of students in scoring good marks through our attractive essay writing. We also ensure that the content of the essay is meaningful and true. Students looking out for essay writing help can contact us anytime they want.
We can also help you out with our nursing assignment help services. We guarantee you to provide the best service in the market. The price charged by us is very reasonable and easily afforded by the students.