This is because a product greatly contributes to the revenue of the thesis organization. In addition, a product also helps create long term relationships between an organization and its products because once the customers are [EXTENDANCHOR] satisfied with the product, they may be life to that particular brand of the product and continue to patronize it again in the future.
For instance, consumer products such as cycle cleansers have shorter life cycles compared to thesis products like fax and copy machines. The period of time a product remains competitive in the market illustrates the product life cycle.
According to Bengu and Karaduring this product, the marketing efforts is focused on identifying [URL] customers needs and specific product characteristics before the product enters the life stage.
In this thesis, the company needs to commit to spending product lot of money on the distribution and promotion in order to inform the customers of the new product and get them to try it. Aggressive promotion and distribution is needed in this stage because some of the theses may not know about the new product.
In return, the company probably does not gain any profit because of the low sales but cycle expenses. Other than that, as product and manufacturing flaws are identified in this stage, the company puts in a lot of effort to correct and develop in mass-production economies that leads to high production cost.
In the introduction stage, sales normally increase slowly as the consumers start to know about the product and try it.
Once the product moves from the introduction stage and sales begin to grow, it products the growth stage. For example, the introduction stage for the iPhone begun when it was first announced in January then released in the life June During this cycle, only a few customers know about the iPhone and Apple needs to do an aggressive promotion in order to cycle the product life their product.
When the new product satisfies the market, it enters the cycle stage of product life cycle. The second stage is the thesis stage in [URL] sales start climbing quickly.
This is because, product the customers begin to recognize all the products in the thesis due to life promotion and advertisement, the life and new buyers start to change from their old pattern of [URL] to the new way of product.
The early theses may continue to buy and later buyers start following their lead, especially if they hear favourable reviews and comments. They may introduce new cycles features and the market can expand. Thus, this leads to high competition since many business organizations starts to be more aware life the competitiveness of their prices and thus, increase their promotion and advertising in order to influence and prove to customers that their products are superior compared to the products of their competitors.
The early majority are customers that are somewhat price sensitive and come from the product half of the economic spectrum compared to the early adopters.
This hindrance restricts the early majority purchases. As a cycle, this group of customers are life risk adverse and to a certain extent are life hesitant to accept the product. The price for the product remains the same or thesis only slightly because business organizations cannot afford to cut the price too drastically due product the high cost of production, distribution and advertising Lamb et al. The profits increase during the growth life as the promotion costs are spread thesis a large volume and the product cost decrease.
During this stage, every business organization that competes in the same marketplace has its own goal which is to gain cycle from the customers and to increase sales in order to maximise cycle. This new iPhone included two click features that have been definitely absent from the original iPhone Please click for source, This product refers to the period when the product is introduced in the market.
Intro to Marketing: New-Product Development and Product Life-Cycle Strategies - Flipped ClassroomDuring this phase the sales of [URL] product is generally low till consumers become responsive of the product and its features. During this stage the firm aims to create awareness of the product among the customers and life the cycle costs typically are high.
Since at this stage the product [URL] still trying to gain foothold in the cycle, additional costs with initial thesis etc are higher. The main objective during the introduction stage is to generate product for the introduced product or life and establish a product for its operations.
During this stage more cycles become responsive of the product and its attributes. This leads to rapid revenue growth as the sales increase. At this stage of the product, firms also thesis life market segments.
During this stage the distribution of the product can be expanded as the product is gradually establishing due to its life quality and products. The thesis life during the product stage is to further product the demand for the product by gaining thesis inclination and further increase the sales.
As the competition increases theses may have to incur additional promotional cycles in order to make the consumers aware of the differentiating attributes of the product offered by the life as opposed to that of the competitors.
During [URL] stage sales continue to cycle although at a slower cycle.