submitted to

DR. ALKA AWASTHI

DIRECTOR OF TIT MBA

PROJECT
REPORT
on
PRODUCT LIFE CYCLE
submitted by
ANALYSIS HARSHIT SHARMA
Table
Of Contents
01 WHAT IS PRODUCT

WHY A PRODUCT LIFE

02 CYCLE
03 PRODUCT LIFE CYCLE
04 THREE SPECIAL CATEGORIES OF
FOUR INTRODUCTORY MARKETING
05 STRATEGIES

EXAMPLE FOR STAGES OF

06 PARTICULAR MARKET
WHAT IS PRODUCT

Product is anything that can be offered in a

market for attention, acquisition, use, or
consumption that might satisfy a need or
want
WHY A PRODUCT LIFE 2025 Annual Report

CYCLE

A company's positioning and differentiation strategy

must change as the product, market, and competitors
change
over the product life cycle

When we say that a product has a life cycle we assert

four
things:

Products have a limited life.

Products sales pass through distinct stages, each posing

different challenges, opportunities and problems to the
seller.
Profits rise and fall at different stages of the product life
cycle.

Products require different marketing, financial,

manufacturing, purchasing, and human resource
strategies in each life - cycle stages.

Page 4
PRODUCT LIFE CYCLE

• Product Life Cycle deals with the life of a product in the

market with respect to business or commercial costs and
sales measures

• It has 5 stages:

• Product development

• Introduction

• Growth

• Maturity

• Decline
 2025 Annual Report

PRODUCT LIFE CYCLE

Financial statement
PRODUCT DEVELOPMENT 2025 Annual Report

PRODUCT LIFE CYCLE

Financial statement
For the full year ended 1st December 2025

PRODUCT DEVELOPMENT
Product development is always a leap into the unknown.
Companies can spend millions of dollars on product
research and development, but there’s no guarantee the
product launch will be successful.
At this stage, companies are spending money on the
product without corresponding revenue. Proposals are
made, tests carried out, hypotheses validated, and
changes implemented.
This stage is naturally integrated into the process of
startup companies but is not restricted to them. For
example, an automobile manufacturer won’t launch a new
car without first having an intensive project development
phase. The only difference is that established companies
are able to fund this phase from revenue generated by
other products.
To give you a real-life example, let’s look at the collection
of leggings for dogs that Walkee Paws released in 2018.
PRODUCT DEVELOPMENT 2025 Annual Report

PRODUCT LIFE CYCLE

Financial statement
For the full year ended 1st December 2025

Given the innovative nature of this product, we can

imagine that this launch was preceded by careful
planning and research, which resulted in the shape of
the pieces, the material used, and the patterns selected.
There may also have been some initial promotional
efforts, too. When a product is in development, it doesn’t
require intensive sales efforts, but some level of
promotion may be required if the product is new.
Imagine the success potential of a marketing campaign
from Walkee Paws announcing this novelty to dedicated
dog lovers. It could involve teasing posts on social
networks, generating curiosity, and encouraging
engagement. There may also be press releases,
billboards, or even interactive campaigns on the streets.
The fact is that the company must consider all this even
during the development stage.
INTRODUCTION STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Financial statement
Summary of Characteristics, Objectives, & Strategies
For the full year ended 1st December 2025

Sales Low sales

Costs High cost per customer

Profits Negative or low

Marketing Create product awareness &

Objectives trial

Product Offer a basic product

Price Usually is high; use cost-plus formula

Distribution High distribution expenses

Build product awareness among early

Advertising adopters & dealers
INTRODUCTION STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Anaya & Co.
[1. Introduction Stage

When a product first launches, sales will typically be low and grow
slowly. In this stage, company profit is small (if any) as the product is
new and untested. The introduction stage requires significant marketing
efforts, as customers may be unwilling or unlikely to test the product.
There are no benefits from economies of scale, as production capacity
is not maximized.

The underlying goal in the introduction stage is to gain widespread

product recognition and stimulate trials of the product by consumers.
Marketing efforts should be focused on the customer base of innovators
– those most likely to buy a new product. There are two price-setting
strategies in the introduction stage:

Price skimming: Charging an initially high price and gradually reducing

(“skimming”) the price as the market grows.

Price penetration: Establishing a low price to quickly enter the

marketplace and capture market share, before increasing prices
relative to market growth.
 INTRODUCTION STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Anaya & Co.

. Introduction to the Introduction

Stage

Definition and overview of the introduction sta

Importance of effectively managing this stage for new

product success

Brief outline of what will be covered in the section

INTRODUCTION STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Anaya & Co.

Characteristics of the Introduction

Stage
Explanation of the key characteristics of the
introduction stage:

Low sales and slow market penetration

High marketing and promotion expenses

Limited product awareness and consumer adoption

High uncertainty and risk for the company

INTRODUCTION STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Anaya & Co.

Marketing Strategies:

Market Segmentation: Companies identify target

market segments based on demographic,
psychographic, or behavioral factors. This helps tailor
marketing efforts to specific consumer needs and
preferences.
Product Positioning: Establishing a unique value
proposition is crucial to differentiate the product
from competitors. Companies may highlight key
features, benefits, or use cases to position the
product effectively in the minds of consumers.
INTRODUCTION STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Anaya & Co.
.Pricing Strategies: Pricing decisions are influenced by
factors such as production costs, perceived value, and
competitive pricing. Companies may adopt strategies
such as penetration pricing (setting a low initial price to
gain market share) or skimming pricing (setting a high
price to maximize profits from early adopters).
Promotional Campaigns: Marketing communication
efforts aim to create awareness and generate interest in
the product. Channels such as advertising, public
relations, social media, and influencer marketing may be
used to reach target audiences.
.Distribution Channels: Companies establish
distribution channels to make the product accessible to
consumers. Decisions regarding distribution partners,
logistics, and inventory management are critical to
ensure availability and timely delivery.
INTRODUCTION STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Anaya & Co.

Challenges:

Uncertain Demand: Predicting demand for a new

product can be challenging, leading to inventory
management issues and potential stockouts or overstock
situations.
Rapid Technological Changes: In industries
characterized by rapid technological advancements,
products may become obsolete quickly, requiring
companies to continuously innovate to stay competitive.
Regulatory Compliance: Compliance with regulatory
requirements and industry standards adds complexity to
the product development and introduction process,
particularly in highly regulated sectors such as
healthcare or automotive.
 INTRODUCTION STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Anaya & Co.
Competitive Pressures: Competitors may respond
aggressively to the introduction of a new product, posing
challenges such as price wars, imitation, or aggressive
marketing tactics.
Resource Allocation: Allocating resources effectively
between product development, marketing, and other
business activities is crucial for success in the
introduction stage. Companies must prioritize
investments that drive long-term growth and
profitability.

In summary, the introduction stage of the Product Life Cycle

represents the initial phase of a product's journey, characterized
by market development, sales growth, high costs, and intense
competition. Effective marketing strategies, innovation, and
careful resource allocation are essential for navigating this stage
successfully and laying the foundation for future growth.
GROWTH STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Financial statement
Summary of Characteristics, Objectives, & Strategies
For the full year ended 1st December 2025

Sales Rapidly rising

Costs Average cost per customer

Profits Rising

Marketing
Objectives
Maximize market share

Product Offer extension, service, warranty

Price Penetration strategy

Distribution Build intensive distribution

Promotion Reduce to take advantage of demand

GROWTH STAGE OF THE
PRODUCT LIFE CYCLE

2. Growth Stage

If the product continues to thrive and meet market needs, the product
will enter the growth stage. In the growth stage, sales revenue usually
grows exponentially from the take-off point. Economies of scale are
realized as sales revenues increase faster than costs and production
reaches capacity.
Competition in the growth stage is often fierce, as competitors
introduce similar products. In the growth stage, the market grows,
competition intensifies, sales rise, and the number of customers
increases. Price undercutting in the growth stage tends to be rare, as
companies in this stage can increase their sales by attracting new
customers to their product offerings.
GROWTH STAGE OF THE
PRODUCT LIFE CYCLE

1. Introduction to the Product Life Cycle (PLC):

Define the concept of the PLC and its significance in
marketing strategy.
Briefly outline the four main stages of the PLC: Introduction,
Growth, Maturity, and Decline.
2. Characteristics of the Growth Stage:
Describe the growth stage in detail, focusing on its key
characteristics.
Highlight factors contributing to the growth stage, such as
increasing market acceptance, rising sales volume,
expanding distribution channels, and growing profits.
Discuss the role of marketing strategies in sustaining
growth, including product differentiation, market
segmentation, and promotional activities.
 GROWTH STAGE OF THE
PRODUCT LIFE CYCLE

3.Market Analysis during the Growth Stage:

Conduct a market analysis to understand the competitive
landscape and consumer behavior during the growth stage.
Identify market trends, customer preferences, and
competitor strategies shaping the growth trajectory.
Analyze the potential for market expansion and the
emergence of new market segments.
4.Product Strategies in the Growth Stage:
Explore product-related strategies aimed at maximizing
growth opportunities.
Discuss product development efforts to enhance features,
quality, and performance.
Examine the role of product line extensions and
diversification in capitalizing on market demand.
GROWTH STAGE OF THE
PRODUCT LIFE CYCLE
5.Marketing Mix Strategies for Growth:
Break down marketing mix strategies (Product, Price, Place,
Promotion) tailored for the growth stage.
Detail product strategies, including pricing tactics,
distribution channel expansion, and promotional
campaigns.
Provide real-world examples of successful companies
implementing effective marketing mix strategies during the
growth stage.
6.Challenges and Opportunities in the Growth Stage:
Address challenges companies may encounter during the
growth stage, such as managing increased demand,
maintaining quality standards, and fending off competition.
Explore opportunities for innovation, market expansion, and
strategic partnerships to sustain growth momentum.
Discuss the importance of financial management and
operational efficiency in maximizing profitability during the
growth phase.
MATURITY STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Financial statement
Summary of Characteristics, Objectives, & Strategies
For the full year ended 1st December 2025

Sales Peak sales

Costs Low cost per customer

Profits High profits

Marketing Maximize profit while defending

Objectives market share

Product Diversify brand and models

Price Price to match or best competitors

Distribution Build more intensive distribution

Stress brand differences and

Advertising benefits
MATURITY STAGE OF THE
PRODUCT LIFE CYCLE

Introduction to the Maturity Stage:

IDefine the maturity stage within the PLC framework,

emphasizing its significance as a critical phase in the
product's lifecycle.
Discuss how the maturity stage is characterized by slowing
growth rates, market saturation, and intensified
competition.
Provide context on why understanding the maturity stage is
essential for businesses to adapt their strategies effectively.

In the Product Life Cycle (PLC), the Maturity Stage represents

a critical phase where products experience stable growth, but
at a slower pace compared to the earlier stages. During this
phase, sales reach their peak, but growth rates start to decline
as the market becomes saturated. It's a stage marked by
intense competition, pricing pressure, and the need for
companies to differentiate their offerings to maintain market
share.
MATURITY STAGE OF THE
PRODUCT LIFE CYCLE

Key Characteristics of the Maturity Stage:

Stable Sales: Sales volume stabilizes during the maturity

stage as the product reaches widespread adoption.
Market Saturation: The market becomes saturated with
competing products, leading to fiercer competition for
market share.
Price Competition: Increased competition often leads to
price wars and pressure on profit margins.
Product Differentiation: Product differences become less
pronounced, making product differentiation crucial for
maintaining competitiveness.
Marketing Emphasis: Marketing efforts focus on
maintaining market share rather than expanding it, with an
emphasis on brand loyalty and customer retention.
Cost Efficiency: Companies strive for cost efficiencies to
maintain profitability in a mature market environment.
MATURITY STAGE OF THE
PRODUCT LIFE CYCLE

Market Analysis during the Maturity Stage:

Competitive Landscape: Analyze the competitive

landscape, including the number of competitors, market
shares, and their strategies.
Consumer Behavior: Understand changes in consumer
preferences, buying patterns, and brand loyalty.
Technological Advancements: Assess how
technological advancements impact product innovation
and market dynamics.
Regulatory Environment: Consider regulatory factors
that may influence product marketing and distribution
MATURITY STAGE OF THE
PRODUCT LIFE CYCLE

Product Strategies in the Maturity Stage:

Product Differentiation: Enhance product features,

quality, or packaging to differentiate from competitors.
Product Line Extensions: Introduce variations or
extensions of existing products to cater to different
customer segments.
Cost Reduction: Streamline production processes and
reduce costs to maintain profitability despite price
pressures.
Investment in R&D: Continue investing in research and
development to innovate and stay ahead of
competitors.
Lifecycle Management: Evaluate the product portfolio
and consider phasing out less profitable products or
investing in new ones.
MATURITY STAGE OF THE
PRODUCT LIFE CYCLE

Marketing Mix Strategies for Maturity:

Product: Focus on improving product quality, adding

new features, or launching line extensions.
Price: Implement pricing strategies such as discounts,
bundles, or value-added services to maintain
competitiveness.
Place (Distribution): Optimize distribution channels to
reach target customers efficiently while minimizing
costs.
Promotion: Invest in promotional activities that
emphasize brand loyalty, customer satisfaction, and
product reliability.
MATURITY STAGE OF THE
PRODUCT LIFE CYCLE

Competitive Strategies in the Maturity

Stage:

Market Segmentation: Target specific customer

segments with tailored marketing messages and
offerings.
Product Diversification: Expand product offerings to
enter new market segments or cater to different
customer needs.
Strategic Partnerships: Form alliances or partnerships
to access new distribution channels or technology
platforms.
Cost Leadership: Focus on cost reduction initiatives to
maintain competitive pricing while preserving profit
margins.
MATURITY STAGE OF THE
PRODUCT LIFE CYCLE

Challenges and Opportunities in the

Maturity Stage:e:

Price Competition: Intense price competition can

erode profit margins and pose challenges to
profitability.
Innovative Disruption: New technologies or disruptive
innovations may threaten the relevance of existing
products.
Market Saturation: Saturated markets make it
challenging to find new growth opportunities.
Customer Retention: Maintaining customer loyalty
becomes crucial amidst increased competition and
product commoditization.
Global Expansion: Opportunities exist in exploring new
markets or expanding internationally to offset declining
growth in mature markets.
DECLINE STAGE OF THE 2025 Annual Report

PRODUCT LIFE CYCLE

Financial statement
Summary of Characteristics, Objectives, & Strategies
For the full year ended 1st December 2025

Sales Declining sales

Costs Low cost per customer

Profits Declining profits

Marketing Reduce expenditure and milk

Objectives the brand

Product phase out weak items

Price Cut price

Go selective: phase out unprofitable

Distribution outlets

Reduce to level needed to retain

Advertising hard-core loval customers
DECLINE STAGE OF THE
PRODUCT LIFE CYCLE

Introduction to the Decline Stage:

the Decline Stage is the final phase in the Product

Life Cycle, characterized by a decline in sales,
profitability, and market share. Products enter this
stage for various reasons, such as technological
obsolescence, changes in consumer preferences,
or the introduction of superior alternatives.
Managing products in the decline stage requires
careful consideration of exit strategies, cost
reduction measures, and potential opportunities
for revitalization.
DECLINE STAGE OF THE
PRODUCT LIFE CYCLE

Key Characteristics of the Decline Stage:

Decreasing Sales: Sales volume declines as

consumer demand wanes or shifts to newer
products.
Profit Erosion: Declining sales lead to reduced
profitability due to lower revenue and potentially
higher per-unit production costs.
Competitive Pressure: Intensified competition
from newer and more innovative products further
erodes market share and profitability.
Obsolete Technology: Products may become
technologically obsolete as newer, more advanced
alternatives enter the market.
Reduced Marketing Efforts: Companies may scale
back marketing and promotional activities for
products in decline to minimize costs.
DECLINE STAGE OF THE
PRODUCT LIFE CYCLE

Market Analysis during the Decline Stage:

Market Size and Growth: Assess the size of the

declining market segment and the rate of decline.
Competitive Landscape: Analyze competitors'
strategies and market positioning in the declining
segment.
Consumer Behavior: Understand reasons behind
declining demand, including changing consumer
preferences or needs.
Technological Trends: Identify emerging
technologies or innovations that contribute to
product obsolescence.
DECLINE STAGE OF THE
PRODUCT LIFE CYCLE

Product Strategies in the Decline Stage:

Harvesting: Optimize profitability by reducing

investments and focusing on maximizing cash flow from
the declining product.
Product Rationalization: Streamline product offerings
by phasing out unprofitable or obsolete products to
allocate resources more effectively.
Cost Reduction: Implement cost-saving measures to
maintain profitability, such as reducing production
costs or overhead expenses.
Niche Market Targeting: Identify niche markets or
customer segments where the product still holds value
and tailor marketing efforts accordingly.
Product Innovation: Explore opportunities for product
revitalization through enhancements, upgrades, or
repackaging to extend the product's lifespan.
DECLINE STAGE OF THE
PRODUCT LIFE CYCLE

Marketing Mix Strategies for Decline:

Price Adjustments: Implement pricing strategies such

as discounts, promotions, or price adjustments to
maintain sales volume and profitability.
Distribution Channel Optimization: Rationalize
distribution channels to minimize costs and maximize
efficiency in reaching remaining customers.
Promotion: Target remaining customer segments with
targeted promotional efforts, emphasizing the product's
unique selling propositions or benefits.
Customer Service: Focus on providing exceptional
customer service to retain remaining customers and
build brand loyalty.
DECLINE STAGE OF THE
PRODUCT LIFE CYCLE

Exit Strategies and Considerations:

Product Discontinuation: Decide whether to phase out

the product entirely or gradually reduce its availability
in the market.
Asset Recovery: Determine the most appropriate
method for disposing of excess inventory or assets
associated with the declining product.
Brand Transition: Manage the transition process
smoothly, ensuring minimal impact on the company's
overall brand reputation and customer relationships.
Resource Reallocation: Redirect resources and
investments toward more promising opportunities,
such as new product development or expansion into
growth markets.
DECLINE STAGE OF THE
PRODUCT LIFE CYCLE

Challenges and Opportunities in the Decline

Stage:

Managing Declining Sales: Balancing the need to

minimize losses with maintaining profitability during
the product's decline.
Competitive Pressure: Dealing with intensified
competition and pricing pressure from alternative
products or substitutes.
Brand Reputation: Safeguarding the company's
brand reputation and customer relationships
throughout the decline phase.
Identifying Opportunities: Recognizing potential
opportunities for product revitalization, niche market
targeting, or asset recovery amidst decline
THREE SPECIAL CATEGORIES OF
PRODUCT LIFE CYCLE

THREE SPECIAL CATEGORIES OF

A Style is a basic and distinctive mode of expression appearing in a field of

human endeavor. Styles appear in homes, clothing, art etc.
A Fashion is a currently accepted or popular style in a given field. Fashion pass
through four stages:
Distinctiveness, emulation, mass fashion, decline.
Fads are fashions that comes quickly into public view, are adopted with great zeal,
peak early, and decline very fast.
FOUR INTRODUCTORY MARKETING STRATEGIES
PRODUCT LIFE CYCLE

Rapid-skimming Slow-skimming
strategy strategy

Rapid-penetration slow-penetration
strategy strategy
EXAMPLE FOR STAGES OF PARTICULAR MARKET
PRODUCT LIFE CYCLE

Example for stages of

particular market

INTRODUCTION STAGE
• HOLOGRAPHIC PROJECTION

Introduction Stage
• Holographic Projection
EXAMPLE FOR STAGES OF PARTICULAR MARKET
PRODUCT LIFE CYCLE

GROWTH STAGE
- TABLET & PCS
Example for stages of
particular market

MATURITY STAGE
• LAPTOPS

Introduction Stage
• Holographic Projection
EXAMPLE FOR STAGES OF PARTICULAR MARKET
PRODUCT LIFE CYCLE

DECLINE STAGE
• TYPEWRITERS
Example for stages of
particular market

https://blog.hubspot.com/marketing/product-life-cycle

https://www.entropik.io/blogs/understanding-the-
product-life-cycle-a-comprehensive-guide

https://www.qualtrics.com/au/experience-
management/product/product-lifecy
https://www.geeksforgeeks.org/product-life-cycle-plc-
stages-and-case-study-of-apple

https://www.interaction-
design.org/literature/topics/product-life-cycle