3. PRODUCT
Anything that can be offered to a market for
attention, acquisition, use, or consumption that
might satisfy a want or need.
PRODUCT LIFE CYCLE
shows the stages that products go through
from development to withdrawal from the
market
INTRODUCTION
9. PLC Overview
• the new product is distributed andthe new product is distributed and
made available for purchasemade available for purchaseIntroductionIntroduction
• product’s sales start climbing quickly.product’s sales start climbing quickly.GrowthGrowth
• sales growth slows or levels offsales growth slows or levels offMaturityMaturity
• product’s sales declineproduct’s sales declineDeclineDecline
11. Low sales
High cost per customer acquired
Negative profits
Innovators are targeted
Little competition
12. Rapidly rising sales
Average cost per customer
Rising profits
Early adopters are targeted
Growing competition
13. Sales peak
Low cost per customer
High profits
Middle majority are targeted
Competition begins to decline
14. Declining sales
Low cost per customer
Declining profits
Laggards are targeted
Declining competition
15. CONCLUSION
The Product life cycle stages explain the
growth and decline of revenues and profits
associated with a product or service.
The company has to develop e appropriate
strategies and tactics in each of these
product life cycle stages in order to improve
its market position and profitability.
All products . Whether costly or cheap are
mortal
