The product life cycle consists of a series of stages that most products go through from the time they are developed until they decline or are removed from the market.
- Introduction: Launching a new product and gaining initial market awareness and trial
- Growth: Increase in sales and market share as demand expands
- Maturity: Product reaches peak performance and sales plateau as market becomes saturated
- Decline: Decreasing demand as product ages and is replaced by competitors/new innovations
Strategies and tactics must evolve through each phase, from heavy promotion in intro/growth to harvesting profits in maturity to graceful obsolescence planning.
Understanding where a product sits in its lifecycle helps determine optimal pricing, distribution, budget allocation and end-of-life management.
The duration of each stage depends on industry factors, technology lifecycles, and effective brand management strategies to lengthen maturity phases.
Tracking key metrics aids predicting & navigating the lifecycle and transitioning customers to successors at optimal timings.