INTRODUCTION TO PLC

Products, like human beings, have a length of life. the life cycle of a products is called
product life cycle. The product life cycle may be short fro some products and long dor some
other products. A products life cycle begins when it is launched in the market for sale. After
that it goes through several stages and the finally the product dies. The duration of each
stage is also different for different products. Some products take years to pass throight the
introduction stage while others may be accepted in a few weeks. Further not all products go
through all stages. Some fail in the initial stages while others may reach the maturity stage
after a long time. A product can also be in one stage in one market and in another stage in
another market. Thus product life cycle is not a universal law but an ideal type or standar
against which the life of the product may be predicted

INTRODUCTION STAGE
The introduction phase is the first time customers are introduced to the new product. A
company must generally include a large investment in advertising and a marketing
campaign focused on making consumers aware of the product and its benefits, especially if
it is broadly unknown what the item will do.
During the introduction stage, there is often little-to-no competition for a product, as
competitors may just be getting a first look at the new offering. However, companies still
often experience negative financial results at this stage as sales tend to be lower,
promotional pricing may be low to drive customer engagement, and the sales strategy is still
being evaluated.this stage is very risky as most products tend to fail during this period

Strategies employed in the introduction stage

 Proper advertisement and publicity of the product
 Attractive gifts may be given to customers as an introductory gift
 Selective distribution and attractive discount to dealers
 Removing technical and other deficiencies in the product
 Firms may use the “skimming the cream” pricing policy in which there is a higher
price to recover the heavy promotional costs during the initial period

GROWTH STAGE
If the product is successful, it then moves to the growth stage. This is characterized by
growing demand, an increase in production, and expansion in its availability. The amount of
time spent in the introduction phase before a company's product experiences strong growth
will vary from between industries and products.
During the growth phase, the product becomes more popular and recognizable. A company
may still choose to invest heavily in advertising if the product faces heavy competition.
However, marketing campaigns will likely be geared towards differentiating its product from
others as opposed to introducing the goods to the market. A company may also refine its
product by improving functionality based on customer feedback.
Financially, the growth period of the product life cycle results in increased sales and higher
revenue. As competition begins to offer rival products, competition increases, potentially
forcing the company to decrease prices and experience lower margins. The promotional
focus shifts from buy my product to buy my brand.
Strategies employed in the growth stage
 Heavy advertising to create brand image
 Expanding distribution channels to make the product available wherever demanded
 Introducing new versions of the product to cater to the needs of different types of
consumers
 Keeping price at competitive levels
 Greater emphasis on customer services

MATURITY STAGE

The maturity stage of the product life cycle is the most profitable stage, the
time when the costs of producing and marketing decline. With the market
saturated with the product, competition now higher than at other stages,
and profit margins starting to shrink, some analysts refer to the maturity
stage as when sales volume is "maxed out".Depending on the good, a
company may begin deciding how to innovate its product or introduce new
ways to capture a larger market presence. This includes getting more
feedback from customers, and researching their demographics and their
needs.During the maturity stage, competition is at the highest level. Rival
companies have had enough time to introduce competing and improved
products, and competition for customers is usually highest. Sales levels
stabilize, and a company strives to have its product exist in this maturity
stage for as long as possible.

Strategies employed in maturity stage

 Differentiating product from competitive products

 Focussing on brand image
 Extending the warranty period
 Introducting reusable packaging
 Developing new markets
 Finding new uses of the product

DECLINE STAGE

As the product takes on increased competition as other companies equal

its success, the product may lose market share and begin its decline.
Product sales begin to drop due to market saturation and alternative
products, and the company may choose to not pursue additional marketing
efforts as customers may already have determined whether they are loyal
to the company's products or not.

Should a product be entirely retired , the company will stop generating

support for it and will entirely phase out marketing endeavors.
Alternatively, the company may decide to revamp the product or introduce
a next-generation, completely overhauled model. If the upgrade is
substantial enough, the company may choose to re-enter the product life
cycle by introducing the new version to the market.

Strategies employed in decline stage

 New features may be added to the product

 Economy models of packs may be introduced to revive the market

 New and attractive packaging may be used to attract customers

 Selective promotion may be adopted to reduce distribution costs

ABANDONMENT STAGE

most firms shift their attention to other products, gradually phasing out the
declining product. They abandon the product in order to make better use of
their resources. Preferences of consumers may change and new
innovations enter the market to take place of the abandoned products .
some firms try to postpone abandonment by introducing new models with
unique features. In case of heavy losses and no futre , the firm may sell
out and merge with a strong enterprise.

DETERMINING THE MARKETING STAGE OF A MOBILE PHONE

mobile phones are currently in the maturity stage. Mobile phone sales are
still growing but not at a rate as they used to a decade ago. there are no
new major features which a smartphone can offer at this point. So far the
phones in the past 5 years have been improving the display, battery,
charging speed, and cameras. There have not been major technological
advancements in mobile phones and there wont be any drastic advances
like there have been since 2010. The market is saturated with apple and
Samsung phones, they have established themselves and created a
demand for their products. Major brands like apple and Samsung have
also attempted to differentiate their products which is advised in the
maturity stage. Apple differentiates its products by designing products to
be ahead of its time and creating hype around the launch of its products.
Samsung brings new technologies into the market like foldable phones,
curved displays and high performance processors in an attempt to
differentiate itself. Mobile brands like Samsung are now introducing
reusable packaging which is designed to be upcycled into various
household items. Apple is introducing a cheap programme , AppleCare+
which provides extended warranty for its products.

Investopedia