Product Life Cycle

Sean King

Introduction

Introduction is when the product is first released.


  • Promotion costs are high
  • Little or no profit.
  • Low competition
  • Low sales


Growth


The product is now a little more well known and here is when profit starts to be made.


  • Lots of advertising
  • Differentiation from competitors
  • Increase in sales and profits


Maturity


During this stage most people already own the product


  • Sales level off
  • Should be the longest stage
  • Aggressive competition
  • Changes can be added to products


Decline

This is the end of the products life.


  • Sales decrease
  • Profits decrease until they are less than the costs.
  • Selling of the product may occur.
  • Discounts