Product Life Cycle

Question 1

What are the 4 stages of product life

Answer 1

Introduction, Growth, Maturity, Decline (and replacement)

Question 2

What is the introduction stage?

Answer 2

The early stages of the product’s life (and new versions of)

Question 3

What is the growth stage?

Answer 3

This is when the popularity of the products starts to rise and the sales build.

Question 4

What is the maturity stage?

Answer 4

When the sales peak and the product finds its place in the market.

Question 5

What is the decline stage?

Answer 5

This is when the product achieves fewer sales and the popularity recedes.

Question 6

What happens before product launch?

Answer 6

Designers and manufacturers have to spend a lot of time and money on research and development (R&D)

Question 7

What happens during research and development?

Answer 7

This includes covering machinery, tooling, materials and staffing costs before any money is recouped.

It can take a long time for products to break even (if at all).

Factoring in built in or planned obsolescence is also part of pre-launch planning

Question 8

What is the maturity phase and why should it be maintained?

Answer 8

• This is where the most profit is made
• The maturity phase as long as possible is the goal, therefore this needs to be planned before launch

Question 9

Why is the built in obsolescence important?

Answer 9

Designers must consider the expected product life length.

Question 10

Why is built in obsolescence used?

Answer 10

• Most packaging items require only a short life span
• If you pay for a quality product you would expect it to last

Question 11

What causes obsolescence?

Answer 11

Changing trends

Question 12

What are some products required to do?

Answer 12

Some products are required to decompose or fail during use

Question 13

What should be enabled for products to be successful.

Answer 13

Older products will need to be replaced

Question 14

What is the introduction of a product?

Answer 14

A product’s launch needs to be timely to avoid external factors diminishing the impact.

Question 15

What could reduce early sales?

Answer 15

Competition from similar bonds

Question 16

What is important for seasonal products?

Answer 16

Selecting the correct time of year can be very important for some seasonal products.

Question 17

What is evolution in terms of a product?

Answer 17

Once a product is introduced to the market there is a settling-in period where early issues may appear.

Question 18

What can initial success be influenced by?

Answer 18

Marketing, targeting user groups and consumer satisfaction.

Question 19

What should we do to the price to drive sales?

Answer 19

The price point might need adjusting early on to drive sales.

Question 20

What can poor performance and returns happen because of?

Answer 20

This can happen due to faulty products.

Question 21

Why is customer service important important?

Answer 21

To keep faith in faulty products

Question 22

How can you improve a product

Answer 22

Make design changes

Question 23

How would an initial user group expand?

Answer 23

It will expand if the product is successful

Question 24

How can you ‘evolve’ a product’s life?

Answer 24

Have updated versions

Question 25

What is growth?

Answer 25

If the growth of a product has been successfully introduced to the market, the sales and profits should increase.

Question 26

How can a company benefit from growth?

Answer 26

The company will benefit from economies of scale

Question 27

How to keep sales buoyant and help product recognition?

Answer 27

Continued advertising and promotion is important to keep sales buyout and help product recognition

Question 28

What is vital for product growth from customers?

Answer 28

Word of mouth recommendations and continued use of testimonials and good reviews from satisfied users is vital.

Question 29

What is vital for product growth from customers?

Answer 29

Word of mouth recommendations and continued use of testimonials and good reviews from satisfied users is vital.

Question 30

What can help a product's profile and further drive sales?

Answer 30

Entering trade awards and competitions can help raise a product's profile and further drive sales.

Question 31

What is maturity?

Answer 31

A product that has been successful in the market and is selling well before it reaches a peak in sales.

Question 32

What is a facelift?

Answer 32

It is when the product may evolve further or be superseded by a newer model or version often called a 'facelift' to keep it fresh and in fashion.

Question 33

What happens to the market competition and the slow sales during maturity?

Answer 33

Market competition may increase and slow sales growth

Question 34

What does advertising need to focus on?

Answer 34

Advertising needs to focus on brand identity, the benefits it has over the competition and promotional offers.

Question 35

What happens when a product declines?

Answer 35

The product's success reduces and sales decline as the market eventually shrinks.

Question 36

What could happen in the decline stage of a product?

Answer 36

- This leads to less investment in further developments - The market may be saturated with similar products - The competition may supersede the original product - The product may not be as successful in consumer opinions. - Products may fall out of fashion or become redundant due to newer technologies or materials becoming available

Question 37

What factors can occur in the decline stage of a product?

Answer 37

External events may trigger decline, such as government rulings, environmental issues or changes in cultural, moral or environment opinion.

Question 38

What happens in the replacement stage of a product?

Answer 38

Usually, before a product is taken off its market, its successor has been launched and is in growth stage so the evolution of the product continues.

Question 39

What could happen when a product is withdrawn from sales?

Answer 39

When a product is withdrawn from sale it may still have a decent repair and maintenance market, therefore making spare parts available may be an option.