Describes different stages of the Product Life Cycles and the different groups of Consumer Adopters. Also shows the relation between these two theories while marketing products and services

1. PRODUCT LIFE CYCLE &
CONSUMER ADOPTER GROUPS
Group 15
Garima Agarwal (1711015)
Kanak Kumar (1711030)
Pavithra Sesahdri (1711045)
Ujjwal Sen (1711060)

2. OUTLINE
Product & Its
Lifecycle
Marketer
Actions
Consumer
Adopter
Groups

3. PRODUCT LIFE CYCLE
Products have a limited life. They pass through different stages, each
with different competition, challenges and opportunities.

4. Introduction
Low sales
High Costs
No Profits
Time
Sales($)
PRODUCT CATEGORY
ENTERTAINMENT
SERVICES
BELL-SHAPE CURVE

5. Time
Sales($) Introduction
Low sales
High Costs
No Profits
Growth
Increasing sales
Reducing Costs
Some Profits
PRODUCT CATEGORY
ENTERTAINMENT
SERVICES
BELL-SHAPE CURVE

6. Time
Sales($) Introduction
Low sales
High Costs
No Profits
Growth
Increasing sales
Reducing Costs
Some Profits
Maturity
Constant sales
Reducing Costs
Increasing Profits
PRODUCT CATEGORY
ENTERTAINMENT
SERVICES
BELL-SHAPE CURVE

7. Time
Sales($) Introduction
Low sales
High Costs
No Profits
Growth
Increasing sales
Reducing Costs
Some Profits
Maturity
Constant sales
Reducing Costs
Increasing Profits
Decline
Reducing sales
Constant Costs
Reducing Profits
PRODUCT CATEGORY
ENTERTAINMENT
SERVICES
BELL-SHAPE CURVE

8. SPECIAL CASES
Time
SalesVolume
Mobile Games: Zynga Portfolio Airlines: SpiceJet
Time
SalesVolume
Time
SalesVolume
Aluminium Product
SCALLOPEDCYCLE-RECYCLE
GROWTH-SLUMP-
MATURITY

9. SPECIAL CASES
Time
Sales
Time
Sales
Time
Sales
FADFASHIONSTYLE
CLOTHING

10. QUIZ
Time
Sales($)
Introduction Growth Maturity Decline

11. CONSUMER ADOPTER GROUPS
Adoption is the individual’s decision to become a Regular User of the
product & is followed by Consumer Loyalty Process.

12. CONSUMER ADOPTION PROCESS
Awareness Interest Evaluation Trial Adoption

13. CONSUMER ADOPTION PROCESS
Awareness Interest Evaluation Trial Adoption
Online Advertisements and Bill-boards

14. CONSUMER ADOPTION PROCESS
In-app informative notifications Online Advertisements and Bill-boards
Awareness Interest Evaluation Trial Adoption

15. CONSUMER ADOPTION PROCESS
In-app Push notifications & Stimulus
Awareness Interest Evaluation Trial Adoption

16. CONSUMER ADOPTION PROCESS
Awareness Interest Evaluation Trial Adoption
Discounts & Offers

17. CONSUMER ADOPTION PROCESS
Awareness Interest Evaluation Trial Adoption
Campaigns to achieve buy-in of the consumer
#DoYourShare

18. INNOVATION DIFFUSION
Time of Adoption of Innovation
2.5%
Innovators
13.5%
Early Adopters
34%
Early Majority
34%
Late Majority
16%
Laggards
Value Orientations
CONSUMER ADOPTER
GROUPS
Motives
Effect of Personal
Influence
Tech
Enthusiasts
Opinion
Leaders
Pragmatists
Skeptical
Conservatives,
Price Sensitive
Tradition-
bound

19. MARKETER ACTION
Introduction Growth Maturity Decline
Product
Lifecycle
Innovation
Diffusion Curve

20. INTRODUCTION STAGE
Product
Lifecycle
Product Awareness
• Product trials
• Iterate on feedback
Capture Innovators
• Selective distribution
• Pioneer advantage
MSFT Strategy
• Get feedback from real
users

21. GROWTH STAGE
Product
Lifecycle
Innovation
Diffusion
Curve
Maximise Mkt. Share
•Add Product Extensions
•Build distribution
Capture Early Adopters
•Product service, warranty
•Begin promotions
MSFT Strategy
•Product Launch events
•Capture mindshare of opinion leaders

22. MATURITY STAGE
Product
Lifecycle
Maximise Profits
• Diversify brands
• Introduce product variants
Defend mkt. share
• Poach buyers from rival
brands
MSFT Strategy
• Whitepapers
• Spec sheets

23. DECLINE STAGE
Product
Lifecycle
Innovation
Diffusion
Curve
Milk the brand
• Only Laggards
• Harvest, Divest
Reduce expenditure
• Reduce distribution,
promotion expenses
MSFT Strategy
• XP Custom Support Program

24. OPPO SMARTPHONES
Product Lifecycle, Consumer Adopter Groups, Marketing Strategy

25. PRODUCT LIFECYCLE
Time
Sales($)
Introduction Growth Maturity DeclineIntroduction Growth

26. INTRODUCTION STAGE
PRODUCT
PRICE
PLACE
PROMOTION
 Entered India in August 2014
 Launched Oppo N1
 Swivel Camera Module Design
 High end price segment
 Priced at 39990

27. INTRODUCTION STAGE
PRODUCT
PRICE
PLACE
PROMOTION
OFFLINE MARKETING FOCUS
 Targeted 12 Tier-II and Tier-III cities
 Aggressive expansion of points of sale and
service centers
 Taking up all outdoor advertising space
 Offering 5-10% more margin to retailers and
shop floor sales promoters

28. INTRODUCTION STAGE
PRODUCT
PRICE
PLACE
PROMOTION
HIGH PROMOTIONAL COSTS
 Youth Icons as Brand Ambassadors
 Official global partner of ICC for T20 World Cup
 OPPO F1 ICC WT20 Limited Edition phone
 Online selfie campaign, #WT20SelfieExpert
 Launched the Game On, Selfie On Charity
Campaign for Cancer Awareness in Partnership
with Yuvraj Singh
 Associated with popular daily shows

29. GROWTH STAGE
PRODUCT
PRICE
PLACE
PROMOTION
 Wide range of products (29
Smartphones)
 Positioned itself as ‘Selfie Expert’
 High quality camera phones with
strong focus on front camera
 Mid Range Positioning
 5990 - 30990

30. GROWTH STAGE
PRODUCT
PRICE
PLACE
PROMOTION
 Moved towards Online Distribution
Model: Partnered with Flipkart to
launch exclusive online models
 Last Mile Distributors
ONLINE DISTRIBUTION FOCUS

31. GROWTH STAGE
PRODUCT
PRICE
PLACE
PROMOTION
 Extensive use of celebrities in
endorsements
 Sponsor of the Indian Cricket team
 Brand new SMT (Surface Mount
technology) facility in Greater Noida,
to reduce cost
 Investment plans of 2200 Crore for
marketing in 2017
COST REDUCTION

32. OPPO’S RATE OF ADOPTION
Relative Advantage
Compatibility
ComplexityDivisibility
Communicability
Motorized Rotating camera,
5MP and 16MP front cameras
Selfie trend, Selfie expert
positioning, focused on
women
Simple to Use
Offline distribution,
Retail Trial
Opportunity
Celebrities, Simple
communication
messages, clear
benefits

33. Thank You