Definition

According to Raymond Vernon, “every product passes through a life cycle comprising introduction, growth, maturity, and decline stages, with different marketing challenges at each phase.”

Introduction

Products, like living organisms, are born, grow, mature, and fade away. The PLC helps marketers anticipate change and plan strategies accordingly.

Explanation

1️⃣ Introduction – slow sales, high costs, low awareness.
2️⃣ Growth – rising sales, new competitors, expanding profits.
3️⃣ Maturity – saturation, price competition, differentiation needed.
4️⃣ Decline – obsolescence, falling demand, product line pruning.

Key Takeaways

Different stages demand different marketing strategies.

Innovation and reinvention can extend product life.

Early investment pays off in growth phase.

Real-World Case

DVDs vs. Streaming — DVDs peaked in early 2000s (maturity) before declining as Netflix and digital platforms disrupted the format.
Reference: https://www.netflix.com