What is product life cycle?
3 years ago
Marketing
Products, like human beings, have a limited life. They are created to fulfill a need. When a firm is able to fulfill a need better than its rivals, it gains momentum and speed. Such products grow quickly. Both profits and market share would improve quickly, and begin to mature after a while when rivals begin to hit back.
Finally, products see the end of the road, when customers get disenchanted. They stop buying the product and the product ceases to exist. A new product, thus, progresses through a sequence of stages from introduction to growth, maturity and decline. This sequence is known as product life cycle (PLC).
To say that a product has a life cycle—according to Philip Kotler is to assert three things:
- Products have a limited life,
- Product sales pass through distinct stages, each posing different challenges, opportunities, and problems to the seller,
- Products require different marketing, financing, manufacturing, purchasing, and human resource strategies in each life cycle stage
Susmita Sah
Jan 17, 2022