Question

Oat milk ( introduction), Electric Cars (growth), and Paper Maps (Decline) are three products in different stages of the Product Life Cycle. What marketing strategies would you suggest to companies with each of these products?

Answer 1

As Oat milk is in introduction stage of the product life cycle, the company must focus on improving awareness for the product. This could use promotional campaigning, giving free samples to potential customers, developing distributor partners and so on. Even branding and advertising must be aggressive and the organization has to create demand in the market for the product.

The electric car is in the growth stage of the product life cycle. Thus, demand is created. All it has to do is focus upon supplying as per demand. Alternately, increasing the capacity and making improvements for reducing costs. The organization must focus on creating value for their customers while ensuring the firm earns profits.

The Paper maps are in the decline stage of the product life cycle. The product demand has reduced measurably. Sales are low, profits have declined or losses incurred . There is presence of substitutes and improved products i.e. GPS tracking systems while completely replace the paper maps. The company must decide whether to discontinue the product or diversify. Diversification into other product line which may or may not be of the same product family as of the existing product, but it would be a product that is current and futuristic requirement of target customers.