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Product Development
Managing Life Cycle Strategies
Designing Marketing Strategies

Managing Product Lines, Brands & Packaging

 New to the world products

New product lines

Additions to existing product line

Improvements and revisions to
existing products

Cost reductions

Repositionings
New to the world products
New product lines
Additions to existing product line
Improvements and revisions to
existing products
Cost reductions
Repositionings
 New to the world products

New product lines

Additions to existing product line

Improvements and revisions to
existing products

Cost reductions

Repositionings
 Idea Generation
Screening
Concept Development & Testing
Marketing Strategy
Business Analysis
Product Development
Market Testing
Commercialization
 Marketing Strategy Development
• 1st : Ukuran , struktur dan perilaku
target pasar
• 2nd : Harga produk, strategi distribusi dan bujet
pemasaran
• 3rd : penjualan jangka panjang, target keuntungan
dan strategi marketing-mix
MANAGING LIFE CYCLE
Blackberry Sales
Sales & Profit Life Cycles
Introduction
Growth
Maturity
Decline
Maturity Stage of the PLC

Company tries to increase consumption of the

current product.

Changing characteristics such as quality,

features, or styles to attract new users.

Company tries to improve sales by changing

one or more marketing mix elements.
Maturity Stage of the PLC Market
Modification
 Increase the consumption of the current product:
 Sales volume = number of brand users x usage rate per user

 To expand the number of brand users :

 Convert nonusers
 Enter new market segments
 Win competitors’ customers
 To convince current brand users to increase their usage
of the brand:
 Use the product more frequently
 Use more of the product on each occasion
 Discover new product uses
Maturity Stage of the PLC Product
Modification

 To modify the product characteristics through:

 Quality improvement ğ to increase product functional
performance (improve durability, reliability, speed, taste,
etc)
 Expand usefulness, safety, convenience

 Feature improvement ğ to add new features (size, weight,

materials, accessories)
 New features ğ serve to build the company’s image as
an innovator and win the loyalty of market segments
that value these features
 Style improvement ğ to increase the product’s aesthetic
appeal (improve styling and attractiveness)
Maturity Stage of the PLC Marketing Mix
Modification
 Improving sales by changing one or more marketing mix
elements
 Prices: Would a price cut attract new buyers?
Would it be better to raise the price to signal high quality?

 Distribution: Can more outlets be penetrated?

Can the company introduce the product into new distribution
channels?

 Promotion: Should advertising axpenditures be increased?

Should the media mix be changed?
Should the number or quality of salespeople increased?
Decline Stage of the PLC
Summary of Characteristics, Objectives, & Strategies
Sales
Sales Declining
Declining sales
sales
Costs
Costs Low
Low cost
cost per
per customer
customer
Profits
Profits Declining
Declining profits
profits
Reduce
Reduce expenditure
expenditure and
and maintain,
maintain,
Marketing
Marketing Objectives
Objectives reposition,
reposition, harvest
harvest or
or drop
drop the
the product
product
Product
Product Phase
Phase out
out weak
weak items
items
Price
Price Cut
Cut price
price
Go
Go selective:
selective: phase
phase out
out unprofitable
unprofitable
Distribution
Distribution outlets
outlets
Promotion Reduce
Reduce to minimal level
to minimal level needed
needed to
to retain
retain
Promotion loyal
loyal customers
customers
TERIMAKASIH