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hi welcome to education leaves in this video i am going to discuss what is product life cycle stages of the product life cycle and example of the product life cycle let's start the video if you look at any new or old appliance in your home you will notice that the product is still in the market or it has discontinued by the manufacturer that means you are experiencing different stages of the product life cycle this process happens continuously to every product into the market from the launching the product all the way through decline stages and eventual discontinuation so what is product life cycle the term product life cycle refers to the time period a product is introduced to consumers until it's removed from the market some of the products may stay in a long maturity state all products eventually phase out of the market due to several factors including saturation increased competition decreased demand and dropping sales this concept is used by the management and marketing department of companies as a factor in deciding when it is an appropriate time to increase advertising reduce prices expand to new markets or redesign the packaging stages of the product life cycle now look at the product life cycle diagram y-axis represents sales volume and the x-axis represents time there are four stages that are generally accepted in a product life cycle one introduction stage two growth stage 3 maturity stage 4. decline stage let's understand each stage separately introduction stage after successfully developing a product first stage is the introduction where the product is being launched into the market this stage basically includes a substantial investment in advertising and marketing focused on making consumers aware of the products features and its benefits in the introduction stage the company is first able to get a sense of how consumers respond to the product if they like it or not and how successful it may be growth stage after successfully introducing the new product a gradual rise in its sales curve can be seen at some point in this rise a significant increase in consumer demand occurs and sales started to take off if competition for the product becomes high the company have to heavily invest in advertising and promotion to beat out competitors as a result of the product sales growth the market itself tends to expand more new customers are becoming aware of the product and trying it if the customers are get satisfied with the product they will buy it again and again maturity stage this is the most profitable stage of the product life cycle as the production volume increasing the costs of producing and marketing decline also its sales tend to slow that indicating a largely saturated market companies will reduce the marketing and starts to develop new or alternative products to reach different market segments longer or shorter maturity stage depending on the product for some brands the maturity stage is very drawn out an example of that coca-cola decline stage although companies will hardly try to keep the product alive in the maturity stage as long as possible the decline stage for every product is unavoidable because of the deletion of the product from the market in this stage of the product life cycle product sales drop rapidly and consumer behavior changes as there is decreasing demand for the product eventually the product will be discontinued from the market let's see an example of the product life cycle when the typewriter first introduced in the late 19th century typewriters grew in popularity there's a technology that improved ease and writing accuracy however new electronic technology like computers laptops and even mobile has quickly replaced typewriters causing their revenues and demand to drop off if you want to read in details or download the pdf go through the link in the description like the video and don't forget to subscribe to my channel