At some level in a product's life cycle, it reaches a maturity stage, whereby there's a slowdown on the speed of gross sales development. This stage poses challenges to advertising administration to prolong the life cycle of the product and delay the stage of decline. There are many methods that may be carried out to obtain this.
The firm can elect to broaden the marketplace for its mature model by engaged on rising the variety of model customers in addition to the utilization price per person. Increasing the variety of model customers might be achieved by means of:
1. Converting non-users: This technique might be noticed in Cebu Pacific, which clearly targets the center class. Their ridiculously low fares talk the message that basically, “it's time every Juan flies.”
2. Enter new market segments: The firm may additionally choose to introduce the mature product to a new market phase. For instance, child powder may additionally be promoted to pre-teens, youngsters, and even to the adults.
3. Win competitor's prospects: This technique is being carried out within the LPG trade. Non-users are allowed to buy LPG of their model utilizing their present LPG tank.
Likewise, the utilization price per person might be elevated by means of convincing the purchasers to:
1. Use the product on extra events: The promotion of shampoos to be used on a each day foundation is a clear illustration of this technique.
2. Use extra of the product on every event: Bear Brand's marketing campaign to “drink not just one, but two glasses of milk per day” clearly promotes enhance in product utilization.
3. Use the product in new methods: Example of this technique would come with selling vinegar as an agent for family cleansing.
Marketers also can stimulate gross sales by modifying the merchandise traits by means of:
1. Quality enchancment: This technique goals at rising the product's practical efficiency. Launching a “new and improved” model of a product could doubtlessly extend the product's life cycle.
2. Feature enchancment: An organization could take into account including new options to the product. This is illustrated within the cell phone trade, the place new options are added to present merchandise and re-launched (e.g., Nokia's N97 and N97i, amongst others).
3. Style enchancment: This goals at rising the product's aesthetic enchantment. For instance, new automobile fashions with enchancment in model are periodically launched by automobile corporations.
Marketing Program Modification
To prolong a product's life cycle, managers also can select to modify different advertising program components, together with:
1. Price: Companies ought to consider whether or not implementation of worth cuts/worth enhance might stimulate gross sales.
2. Distribution: Current distribution channels could possibly be examined for consideration of probably acquiring extra help from present retailers or penetrating extra retailers.
3. Sales Promotion: Sales promotion methods comparable to commerce offers, low cost coupons, rebates, and many others. may be carried out to stimulate gross sales.
4. Personal Selling: The quantity and high quality of the gross sales drive may be modified as deemed mandatory. Training of salespeople, their specialization, and even compensation ought to be evaluated and altered as properly if wanted.
5. Services: Companies also can present higher companies to set up buyer loyalty. For instance, they will present sooner supply, elevated technical help, or supply extra credit score.