The product life cycle is a critical concept in marketing and business strategy, describing the stages a product goes through from its inception to its eventual decline or discontinuation. This life cycle typically consists of four primary stages: introduction, growth, maturity, and decline. During the introduction stage, a new product is launched, and the focus is on building awareness and establishing a market presence. As the product enters the growth stage, demand increases, and the company may invest in expanding distribution, refining marketing strategies, and capturing market share. The maturity stage is characterized by a plateau in sales growth and increased competition, leading to a focus on maintaining market share and extracting profit through cost efficiencies. Finally, in the decline stage, sales drop, and the company must decide whether to discontinue the product, innovate, or reposition it.
FEATURES
• Full Lesson Plan
• Perfect for a Sub Day!
• Bellringer
• Active Learning
• Group Work
• Real-world Product Life Cycle
LEARNING OBJECTIVES
• Explain the activities that happen during the development of a product or service.
• Explain the characteristics of the four stages of the product life cycle.
• Apply the concept of the product life cycle to a real-world example.
Purchase Marketing – Product: Product Life Cycle at the Edge of Learning storefront.
UTAH CTE ALIGNMENT – MARKETING 1 (MAY 2022)
Strand 5 Product Service Management
• Students will understand the concept of Product Service Management: the strategies used to create, maintain, improve, and add to a product and service mix.
Standard 2
• Identify the components of the product life cycle (Development, Introduction, Growth, Maturity, and Decline) Describe the different stages and common marketing strategies and goals used during each stage.
• Introduction Stage: is when a product is first launched in the marketplace. This is when the marketing team begins building product awareness and reaching out to potential customers. This stage is focused on advertising and marketing campaign implementation.
• Growth Stage: consumers have accepted the product in the market. That means demand and profits are growing. Competition begins and the marketing team seeks to establish a brand presence so consumers choose them over their competitors. Companies start thinking about new distribution channels, product features and other support services.
• Maturity Stage: is when the sales begin to level off from the fast growth of the introduction period. Companies begin to reduce their prices so they can stay competitive amongst growing competition. They now focus on becoming more efficient and their marketing campaigns focus on differentiating themselves from competitors.
• Decline Stage: during this stage sales decline and consumers lose interest in the product. Companies determine that this product has run its course and is ready to be discontinued. As a last attempt companies may change product packaging to try and revive it.