Essay Summary of Dunkin Donuts

What are the stages in a product life cycle? What are the marketing implications of each stage? From my studies it has been provine that the product life cycle is a great marketing concept that focus on the revenues from the sales of a product. The product life cycle is drawn like a bell curve. The life cycle is divided into four stages they are introduction, growth, maturity, and decline. Introduction-It takes time of a new product to begin selling in volume. There may be manufacturing or logistics issues to contend with.
The marketplace may be unfamiliar with th product and creating awareness takes time. Consequently product sales show a slow growth during the introduction phase. Growth- The growth space is characterized by a rapid increase in sales volume. This is created by increased product demand when customers are buying. Manufacturing and logistics issues are likely resolved and the market is far more aware of the product. Maturity-The maturity phase is established by sales volumes leveling off.
At this point competition is strong and margins may begin to suffer. Signs of getting to this stage are that competitors may start advertising more strongly or using other promotional means to increase sales. Decline-Is when a product sales begin to decrease and it is at this point that some serious marketing decisions need to be made. It is sometimes possible to extend the life of a product by changing some of its product attributes, repositioning it or by packaging it with other products.

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