Explain the different stages in a product's life cycle

What will be an ideal response?

ANSWER: A product's stage in its life cycle is a big factor in designing a promotional mix. During the introduction stage, the basic goal of promotion is to inform the target audience that the product is available. Initially, the emphasis is on the general product classâ€"for example, smartphones. This emphasis gradually changes to gaining attention for a particular brand, such as Apple, Nokia, Samsung, Sony Ericsson, or Motorola. Typically, both extensive advertising and public relations inform the target audience of the product class or brand and heighten awareness levels. Sales promotion encourages early trial of the product, and personal selling gets retailers to carry the product.When the product reaches the growth stage of the life cycle, the promotion blend may shift. Often a change is necessary because different types of potential buyers are targeted. Although advertising and public relations continue to be major elements of the promotional mix, sales promotion can be reduced because consumers need fewer incentives to purchase. The promotional strategy is to emphasize the product's differential advantage over the competition. Persuasive promotion is used to build and maintain brand loyalty during the growth stage. By this stage, personal selling has usually succeeded in getting adequate distribution for the product.As the product reaches the maturity stage of its life cycle, competition becomes fiercer, and thus persuasive and reminder advertising are emphasized more strongly. Sales promotion comes back into focus as product sellers try to increase their market share.All promotion, especially advertising, is reduced as the product enters the decline stage. Nevertheless, personal selling and sales promotion efforts may be maintained, particularly at the retail level.