Successful products don’t often stay at the top for long. What usually happens is that they follow a life cycle, from introduction to the point where they are overtaken by newer, better alternatives. If you understand where your product is in its life cycle, you can market it in a way that will maximize sales.
When you introduce a product, for example, you need to invest in promotion to build awareness (such as free samples) and target your marketing at people who influence others to buy.
As the product’s popularity grows, sales will increase and your unit costs will go down. But competitors will emerge to grab a share of the profits to be made. Your marketing objective will now be to maintain and increase your market share – for example, by improving your offer and making it more widely available.| | | Next → |