Product and Services Life Cycle

Product And Services Life Cycle

There are 4 stages of a products Life Cycle. It starts of course with Genesis, the introduction of your product. For small business, this has to happen on a small scale, which makes it difficult to get the news out about your product. This is why you should come in contact with an Intermediary, a middle man who is there to help get your product out to the customers that have the need for it.

Next comes growth. This is when the audience for your product, well, grows. You may not become a household name, but the people who buy your product tell their friends and soon through word of mouth you have more customers than you started out with, this means prices will drop as production becomes more effective.

Third comes Maturity. This is when your product's need levels out. The hype of your 'cool new product' is gone and your customer base begins to steady. This is also the point where you need to begin to remind people you exist. Never stop advertising your product.

Last and least, is the decline. This is when the people who bought your product have it, your competition is serve and though everyone knows you exist, new customers simply aren't as interested anymore.

There is a difference however if you look at a Services Life Cycle. Because I want to open my own studio, this section of the reading was particularly interesting to me. The major difference between the life of a service and the life of a product is that the life of a service doesn't need to decline.

Generally, the life cycle consist of 4 stages; introduction, growth, maturity and decline. The good thing about a service is, it's life is renewed every time you tweak something about your service. You can add things to it, get rid of things, make the service itself better in any way and thus have it's life start anew again.

Terms

Elasticity- From economics, the idea that the market's demand for a product of service is sensitive to chances in its price....