product life Flashcards
what product lasted a year?
loom bands
what product lasted a decade?
car
what product lasted centuries?
pencil
whats the introduction of a product?
the early stages of a products life
whats the growth of a product?
growth of sales
what is maturity of a product?
peak sales and product is secure in market
what is decline of a product?
fewer sales and popularity recedes
what is R&D?
covering machinery, materials and staffing costs
how long the product will last
to make sure money is made in the maturity phase
to stay in the maturity phase as long as possible
factoring built in or planned obsolescence
what is built in obsolescence?
expected product length
packaging require a short life san
quality products should last
changing trends cause obsolescence
some products must decompose or fail during use
to enable updated products to be successful to replace older ones
what makes good introduction?
low competition from other brands
correct time of year for seasonal products
start with small quantities to test success
why is evolution needed?
good marketing
good pricing
check for faults
customer service for customer faith in product
make sure best design is used
initial user may expand if successful
updated versions ‘evolve’ the product life
why is growth important?
the company will benefit economically
continued advertising and promotion is important for consistent sales
word of mouth recommendations and good reviews is important
entering trade awards and competitions will raise a products profile and further drive sales
why is maturity important?
it is when the product is successful in the market before the peak
product may develop or a new version may come out. this is known as a ‘facelift’
increase in competition slowing sale growth
advertising focuses on brand identity and the benefit it has over the competition and promotional offers
what is the decline?
success reduces and sales decline
less investment in development
makes may have too many similar products
competition may be better than the original
the product may not be as good in consumer opinion
product may fall out of fashion or become redundant due to new materials or tech becoming available
