Businessman making thumbs up
The life cycle of a product is something that is usually at the forefront of a company’s marketing plan, as it plays an important role in the company’s ability to market the product effectively, using its sale as a source of competitive advantage in a defined market. A product life cycle is a term used to describe the identifiable stages in the life of a product, from the inception of such a product to the day it fails to fulfill the reason it was created, leading to its withdrawal from the market. . The different types of product lifecycle strategies refer to those that can be applied to manipulate the normal product lifecycle to create a different outcome. This stems from the fact that a product typically goes through five processes, ranging from the day that product is introduced to the market to its rise and eventual decline.
An example of applying product lifecycle strategies is a deliberate attempt by the marketer or manufacturer of the product in question to make some minor changes to the design or packaging of a product that is already beginning to experience a decline in sales. This is done as a means of rekindling interest in the product and consequently extending the product lifecycle beyond what it would have been without this strategy. These product lifecycle strategies can be seen in the mobile phone industry, where a phone company can simply increase the pixels on the camera of a popular mobile phone, in addition to increasing the screen size and other small changes that will wake up the consumer interest in the phone.
Another application of product lifecycle strategies can be seen when companies embark on massive promotions to rekindle interest in a product that may have reached the decline phase of its lifecycle. For example, the mobile phone company may offer different prizes to consumers for purchasing the phone, or they may hold sweepstakes as part of efforts to change the product lifecycle in their favor. Some companies also try to capture market segments or demographics that were not part of their initial marketing target in order to extend their customer base and also make the product retain its relevance for longer.