Product Lifecycle

The cycle through which every product goes through from introduction to withdrawal or eventual demise.

What is Product Lifecycle?

Product lifecycle refers to the stages a product goes through from its initial development and introduction to its eventual decline and phase-out from the market. The cycle typically includes the introduction stage, where the product is launched and promoted to build awareness and attract customers. This is followed by the growth stage, characterized by increasing sales and market acceptance as the product gains popularity. The maturity stage sees stable sales levels as competition intensifies, leading to the decline stage, where sales decrease due to market saturation or evolving consumer preferences. Throughout the lifecycle, companies may make adjustments to the product, its pricing, distribution, and marketing strategies to maximize profitability and extend its viability in the market. Understanding and managing the product lifecycle is crucial for businesses to make informed decisions about resource allocation, innovation, and marketing efforts. By recognizing where a product stands in its lifecycle, companies can proactively plan for its future, whether that involves investing in updates and improvements, diversifying their product offerings, or discontinuing the product to focus on more profitable options.