Phases of the product life cycle
Once it has been designed and is ready to launch, a product will typically go through four different phases during its life. These phases are referred to as the The four stages a product goes through in a market - launch, growth, maturity and decline..
| Phases of the product life cycle | Explanation |
| Introduction | The product is launched, so sales may be low because only a small number of customers are aware that the product exists. |
| Growth | As more customers become aware of the product, sales increase rapidly, especially if customers like it. |
| Maturity | Sales reach their peak during this phase, as the product becomes established. It may become a regular purchase for customers who like it. |
| Decline | Sales fall during this phase as the product loses popularity and customers look for alternatives. It is withdrawn when it becomes unprofitable. |
| Phases of the product life cycle | Introduction |
|---|---|
| Explanation | The product is launched, so sales may be low because only a small number of customers are aware that the product exists. |
| Phases of the product life cycle | Growth |
|---|---|
| Explanation | As more customers become aware of the product, sales increase rapidly, especially if customers like it. |
| Phases of the product life cycle | Maturity |
|---|---|
| Explanation | Sales reach their peak during this phase, as the product becomes established. It may become a regular purchase for customers who like it. |
| Phases of the product life cycle | Decline |
|---|---|
| Explanation | Sales fall during this phase as the product loses popularity and customers look for alternatives. It is withdrawn when it becomes unprofitable. |
The level of sales determines where a product is in its life cycle. This can be illustrated visually on a graph:
The life cycle, and how long it takes a product to go through its life cycle, can vary enormously from one product to another. Some products will exist for years before entering a decline, while other less successful products may go through their life cycle very quickly. How long a product lasts will depend upon:
- how The rate of change, eg a dynamic market is one that changes rapidly. the market is – eg, technological products (such as tablets and laptops) have short life cycles as they quickly become out of date as new technology emerges
- how strong the How a business or product is perceived by others, including consumers. behind the product is – eg, a new sports shoe from a well-known brand is likely to have a longer life cycle than a new sports shoe from an unknown brand
