The document discusses the product life cycle model, which describes the stages through which products typically pass from introduction to decline. It outlines the four main stages: introduction, growth, maturity, and decline. Each stage presents different challenges and opportunities for product marketing, pricing, distribution, and finances. The introduction stage focuses on promotion to raise awareness. Growth involves expanding market share. Maturity sees increasing competition and price wars. Decline requires cost control and withdrawing weak variations. The concept helps understand competition dynamics over a product's lifetime.

1. Product
Life
Cycle
BY:
LENY VASIDATUR ROCHMAH
145030207121008
BUSINESS ADMINISTRATION UB
2014

2. Product Life Cycle
Product Life Cycle is a normative
and descriptive model for the life
of products in general.

3. Product Life Cycle
Individual product will experience their own
variation.
It is important concept that can gives
understanding about competition dynamic
of a product.

4. Product Life Cycle Requirements
Product has limited life time
Product selling through different phase for which phases gives different
challenges, chances, and different probles for it sellers
Profits can be ups and downs depend on various product life cycle
Product needs different marketing Strategies, Financial, Manufactur, Purchase
and Human Resources in every stages in product life cycle

5. Developing Product
The company find and found a product by enforcing
their internal and external factor to forge an ideas.
The ideas then through several process, baked and
tested and if they good enough, they got approved

6. 4 Stages of Product Life Cycle
Introduction Stage
Growth Stage
Maturiy Stage
Decline Stage

7. Introduction Stage
When the idea of a product is already approved by the
company to be released in public, its initially entering
the Introduction stage.
In this stage promoting the product is a crucial factor,
the company needs to promote their product in such a
way so that it will have maximum impact at the
moment of sale

8. Introduction Stage
Pricing is something else for the company
to consider during this phase. Product
pricing usually follows one or two well-
structured strategies. Pricing might help to
minimize the promotion expenditures.

9. Growth Stage
In the growth or market-acceptance stage, both sales
and profits increases. Competitors enter in the market
in large numbers if the profit outlook is particularly
attractive. Sellers shift into secondary demand rather
than a primary demand promotional strategy.

10. Growth Stage
The growth stage offers the satisfaction of
seeing the product take-off in the marketplace.
This is the appropriate timing to focus on
increasing the market share. If the product has
been introduced first into the market then it is
in a position to gain market share relatively
easily.

11. Maturity Stage
During the first part of this period, sales
continues to increase, but at a decreasing
rate. While sales are leveling off, the
profits of both the producer and the
retailers are declining. Marginal producers
are forced to drop out the market. Price
competition intensified.

12. Maturity Stage
During this period new brands are introduced even
when they compete with its own company’s existing
product and model. This is the time to extend the
product’s life. Pricing and discount policies are often
changed in relation to the competition policies.

13. Promotion and advertising relocates from the scope of
getting new customers, to the scope of product
differentiation in terms of quality and reliability. The
battel of distribution continues using the multi
distribution channels.
Maturity Stage

14. Maturity Stage
A successful product in maturity phase is
when the product life time extended
beyond anyone’s timely expectation

15. Decline Stage
In this phase, the selling rate of the
product is decreases, and the demand is
dropping significantly.
Cost control becomes increasingly critical,
advertising declines, and number of
competitors whitdraw from the market

16. Decline Stage
This is the time to start withdrawing variations od the
products from the market that are weak in their
market position. This is must be done carefully since it
is often apparent which product variations bring the
revenues.

17. Decline Stage
The price must be kept competitive and promotion
should be pulled back at a level that will make the
product presence visible and at the same time retain
the “loyal” customer.
Distribution is narrowed. The basic channel is should be
kept efficient but alternative channel should be
abandoned.

18. Ten Ways to Dream Up New
Products and Revitalize Older
Ones:
Take something out of the product
Add something to the product
Listen to consumer’s complaints
Transfer success from one product category to another
Make the task easier
Dream up new uses
Add new distribution channels
Add a dramatic guarantee
Don’t stymie creativity
Look overseas for inspiration

19. THANK YOU 