Philip Kotler has defined a product as “anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need”. Products have a personality which include the core features, associated features, Brand name and logo case, package and label (example SB account of a Bank)
It is crucial to understand the complete product life cycle before introducing a new product or service in the market. One needs to understand that every product goes through certain stages starting from inception to its manufacturing, marketing, branding and finally losing popularity in the market.
PRODUCT LIFE CYCLE :
Just as a biological life cycle is defined, a concept of life cycle has been given to the products also. This concept is based on the opinion that a product undergoes a cycle of
launch and decline. A product is designed and launched after a meticulous research and
The Process of Product Development
- Idea screening: Ideas enable firms to develop newproducts. Customers, Tebhnical experts, employees, competitors, advertising agencies, .consultants are source fromwhere ideas can be obtained.
- Concept Development & Testing: Selected idea can be used to develop a testable product. Before a new product is developed based on the new concept the product is required to be tested in the market for obtaining consumer views, Opinion, marketability etc
- Product Development: Prototype of the product is made with all the attributes as possible which will be there in the final product. Packaging is also developed at this stage.
- Test Marketing: Introducing the product to the market to know the customer reactions, learn the size of the market to assess consumers and dealers reactions in using handling and repurchasing the actual product.
- Launching: The final stage of launching of the product in the market by taking appropriate decision on timing of the launch, prospect consumer group, geographical reach and market strategy.
- Product Modification: When the sale of product declines the effective and corrective measures to stimulate growth and sale, characteristics of the products needmodification. This can be achieved by Quality improvement, feature improvement and style improvement.
One needs to understand that every product goes through certain stages starting from inception to its manufacturing, marketing, branding and finally losing popularity in the market. It is essential for the organizations to manage the product life cycle well as it ensures the product is launched successfully in the market and also gain popularity in no time eventually leading to increased sales and profitability of the organization.