Academic level – Undergraduate 1-2
Type of paper – Analysis
Topic Title: Product Life Cycle
Once a product is introduced, there are four stages in the Product Life Cycle.
Think of a product currently at each stage of the life cycle and describe why you think it is at that life cycle stage.
Introduction Phase: Tesla Cybertruck
Cybertruck from Tesla company is an electric pickup launched in November 2019, which is in the introduction marketing phase now. The introduction (or development) stage, entails putting the new product to market, according to Levitt (2022). The Cybertruck is an innovative car that appeals to those interested in electric vehicles and pickup trucks. The truck’s form is distinctive and is made of ultra-hard 30X cold-rolled stainless steel, which makes it strong and long-lasting. Tesla’s Cybertruck was announced in 2019, but total production will not begin until the end of 2023 owing to the adjustments necessary due to shattered, “unbreakable” armor glass windows (Reuters, 2022). The organization also develops new characteristics for the current Cybertruck and makes up new technological decisions, they include the autopilot system and an enhanced battery. Tesla also wants to enter new areas of production and form partnerships and expand the reach of their Cybertruck.
Growth Phase: Netflix
Netflix’s streaming service is a platform where people can watch various movies and cartoons, and it gains popularity each year. Increased customer demand and vast numbers of production reveal the growth stage of a product’s lifecycle, as Levitt defines (2022). Netflix’s streaming service grows its subscriber base and expands the production of films and episodes, highlighting the current stage. Statistics show that Netflix’s consumer base increases from the 1Q of 2013 to the 2Q of 2023 (Stoll, 2023). Strategic investments in unique content, technical advances, and successful marketing initiatives drive customer acquisition. As Netflix’s dominance expands, economies of scale lead to increasing profitability, and the competition acknowledges the company’s might. The service’s consistent growth is fueled by its capacity to attract new audiences while preserving loyal customers, demonstrating that it is a product in the growth stage.
Maturity Phase: Apple’s iPhone
The iPhone is Apple Inc.’s most successful product and one of the most popular cell phones in the world. Market saturation defines the maturity phase, which occurs when the majority of clients possess or use the product or equipment (Levitt, 2022). Because of its endurance and high-quality features, the iPhone has become a smartphone industry standard. Numerous data and figures show that the iPhone has been one of the most popularly purchased phones with a loyal client base for many years. Apple develops and produces new iPhone models on a regular basis in order to stay competitive. The corporation looks into new markets and partnerships, like as its recent collaboration with Amazon to offer Apple Music through Amazon Echo devices. Apple also explores new iPhone features and technology, including 5G connection and enhanced camera systems. Such market dominance, development strategies, and a devoted consumer base prove that the iPhone is in its maturity, despite little crises.
Decline: Blackberry Phone
Blackberry, a famous phone brand, especially among business professionals, is in downfall. The gadget was introduced towards the end of the twentieth century and was notable for its security measures as well as its email capabilities. The product enters the decline phase when it begins to lose market share and cannot compete (Levitt, 2022). With the introduction of smartphones such as the iPhone and Android, Blackberry’s market share and sales declined. BlackBerry’s global sales dropped significantly in Q4 2016, with only 210,000 smartphones shipped, compared to 907,000 handsets sold and a 0.2% market share in Q4 2015 (Maiorca, 2021). Therefore, Blackberry is presently in the decline stage of its product life cycle and is being promoted to a decreasing user base. The company develops new products and technology to regain market supremacy, such as its recent cooperation with Amazon Web Services to create a secure platform for connected autos.
Levitt, T. (2022, December 8). Exploit the product life cycle. Harvard Business Review. https://hbr.org/1965/11/exploit-the-product-life-cycle
Maiorca, D. (2021, August 18). The three reasons BlackBerry failed spectacularly and why they might rise again. MUO. https://www.makeuseof.com/the-reasons-blackberry-failed-spectacularlyand-why-they-might-rise-again/#:~:text=Worldwide%2C%20BlackBerry’s%20decline%20has%20been,and%20a%200.2%25%20market%20share.
Reuters. (2022, November 1). Exclusive: Tesla’s cybertruck to start mass production at end of 2023. Reuters. https://www.reuters.com/business/autos-transportation/exclusive-tesla-plans-mass-production-start-cybertruck-end-2023-sources-2022-11-01/
Stoll, J. (2023, July 20). Netflix: Number of subscribers worldwide 2023. Statista. https://www.statista.com/statistics/250934/quarterly-number-of-netflix-streaming-subscribers-worldwide/