How is understanding of Product Life Cycle (PLC) useful to a marketer?
The complete understanding of the Product Life Cycle (PLC) is very useful to a market as it primarily helps in forecasting the success of a product.
Understanding of PLC is necessary because:
(i) It is a useful framework for describing the typical evolution of marketing strategies over the stages of PLC.
(ii) This allows a marketer to take sound decisions at different stages of the PLC.
(iii) It helps in taking preventive and corrective steps whenever required during the whole life of a product.
(iv) It facilitates the preparation of effective product plans.
(v) It allows carrying out expansion drives.
(vi) It helps in adoption of latest technological changes to improve the products.
(vii) It helps in timely abandoning of failing products.
Yes, PLC to a large extent is universal in its application but it also has certain exceptions. It is generally noted that all products do not pass through each and every stage. Some meet failure in the initial stages while others are able to reach the maturity stage only and a few go beyond the growth stage. Therefore, it depends upon nature of the product being offered.
