Tuesday, December 16, 2014

Download: Product Lifecycle

Source: Flevy

This is a partial preview. Full document download at Flevy: http://flevy.com/browse/business-document/product-lifecycle-227/ref=rodsilva123

Product Lifecycle Analysis is an invaluable tool for developing a robust product marketing strategy. Marketers and strategists can use this analysis to predict sales growth, associated customer and competitor behaviors, and, in turn, devise the appropriate product marketing strategy.

The Product Lifecycle itself it divided into 4 stages of development:
* Introduction
* Growth
* Maturity (and Saturation)
* Decline (and Termination)

The length of each period varies tremendously. Some products have very short cycles, whereas others can take decades or even centuries to go through the cycle. The lifecycle can be mapped against the consumer adoption curve, where the peak of the curve generally occurs in the Maturity stage of the Product Lifecycle.

This document details a 5-phase approach to proper Product Lifecycle Analysis and draws out key strategic insights at each stage of the lifecycle. Additional concepts discussed include:
* Consumer Adoption Curve
* Bass Diffusion Model
* Lifecycle-Performance Factor Matrix
* Strategic Positioning
* Substitution Analysis