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--PRODUCT LIFE CYCLE--

A PRODUCT LIFE CYCLE outlines how the SALES OF A PRODUCT CHANGES OVER TIME, from when it’s initial development phase, with zero sales, to its first introduction into the market to when it declines. Altogether there are generally 4 main phases, INTRODUCTION, GROWTH, MATURITY and DECLINE, when sales are above zero, but as mentioned life begins at development so we can add an extra phase called DEVELOPMENT.
If we were to plot sales (on the x-axis) over time (on the y-axis) we would usually see a pattern like the one depicted below.

...and THE MARKETING MIX

One of the key applications of the product life cycle concept is to guide decsions related to the marketing mix. Below we can see how depending on the stage the marketing mix changes.

⬇️DOWNLOAD⬇️

--TASK--

Download the i-Phone presentation using the link above and make your own example of the product life cycle for a product of your choice.

At each stage of the life cycle marketing-mix decisions can be influenced through knowledge of the product life cycle.

...and PRODUCT PORTFOLIO

As the life cycle varies from product to product most firms market more than one type of product, and this means that they have a PRODUCT PORTFOLIO.
There are several advantages to a business having a range of products in its portfolio. They include:-
- - - - It REDUCES BUSINESS RISK of consumer tastes or demand trends moving against a single product, such as the move away from DVDs to downloads
        it allows a balanced product portfolio to be developed, which provides for some DIVERSIFICATION.
        CASH FLOW and PROFIT PEAKS and TROUGHS are likely to be SMOOTHED OUT over long periods of time.

...BCG, and THE MARKETING MIX

...and INVESTMENT, PROFIT, and CASHFLOW

--EXTENSION STRATEGIES--

EXTENSION STRATEGIES are employed to stop sales from falling by EXTENDING A PRODUCT'S LIFE CYCLE, usually applied during the maturity stage of a product’s life cycle. Common strategies used by businesses include:
- - - Market development by selling existing products to new markets
    - Rebranding/repositioning and target a different market segment
    - Devise new uses for existing products, (e.g. DLC for video games)
    - Reduce prices to increase demand and sell off excess stock
    - Bundling less popular products together with more popular ones in a promotion bundle.

-REBRAND/REPOSITION/TARGET NEW SEGMENT-

-SELL EXISTING PRODUCTS IN NEW MARKETS-

-FINDING NEW USES FOR EXISTING PRODUCTS-

-REDUCING PRICES TO SELL-OFF STOCK-

-BUNDLING DECLINE WITH GROWTH PRODUCTS-

--ASPECTS OF BRANDING--

--BRAND AWARENESS--

BRAND AWARENESS refers to the EXTENT TO WHICH CONSUMERS ARE FAMILIAR (AWARE) WITH THE DISTINCTIVE QUALITIES/IMAGE OF A PARTICULAR BRAND of goods or services. It measures HOW WELL CONSUMERS CAN RECOGNISE/RECALL A BRAND.
For example, Samsung's extensive marketing campaigns and sponsorships of major events (like the Olympics) as well as sports teams have made it one of the most recognised technology brands in the world.
TEST YOURSELF: KAHOOT TIME!!!!

--BRAND DEVELOPMENT--

BRAND DEVELOPMENT involves the strategic process of CREATING and STRENGTHENING a brand. It includes DEVELOPING A BRAND IDENTITY, positioning it in the market, and EXPANDING ITS PRESENCE TO NEW MARKETS and PRODUCTS.
For example, Samsung has continuously developed its brand by expanding its product range from consumer electronics like smartphones and televisions to home appliances and even semiconductor solutions. By constantly innovating and entering new markets, Samsung strengthens and grows its brand.

--BRAND LOYALTY--

BRAND LOYALTY occurs when CONSUMERS REPEATEDLY PURCHASE THE SAME BRAND OVER TIME rather than switching to competitors. This loyalty is often due to positive experiences, satisfaction with the product, and trust in the brand.
For example, many Samsung smartphone users consistently upgrade to the latest Galaxy models whenever they are released. This repeat purchase behavior indicates strong brand loyalty, where customers prefer sticking with Samsung instead of switching to other brands like Apple or Huawei.

--BRAND VALUE--

BRAND VALUE, or brand equity, refers to the FINANCIAL WORTH ATTRIBUTED TO A BRAND, based on the recognition, perception, and loyalty it commands among consumers. This value can impact the company's market share and profitability.

--BENEFITS OF BRANDING--

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