Core products can be defined as the benefit of a certain good or service which makes it useful for the buyer. This could be an idea or concept connected with comfort, status or ability to complete a certain task quickly. For example, on the iPhone 5s Apple introduced a finger print scanner on the Home button of the phone which unlocks the phone and allows easy and quick access to the device, this futuristic invention has been very popular and Apple consumers enjoy it very much. Such benefits increase the product value and meet the needs of the consumers.
The Product Life Cycle describes the stages a product goes by from when it was first introduced to a market until it finally is withdrawn. A large amount of products do not reach the final stage of the product life cycle, some continue to grow and others rise and fall. The product life cycle goes through four clearly defined stages, Introduction, Growth, Maturity and Decline, each with its individual characteristics that affect businesses in different ways.
Introduction Stage – This stage of the product life cycle is the first stage new products go through, and it is usually the most expensive for companies like apple. However, as apple have already created their own smartphone market it is easier for them to have a high amount of sales once their products hit the market. This is because of their loyal customers upgrading to get the latest apple device, as well as new customers who are very familiar with Apple and their reliable and luxury products. For example, when the iPhone 5s was launched apple has sold a record breaking 2,750,000 units within the first 24 hours of which 86% of sales were made from customers who have upgraded from a previous iPhone. This shows us that Apple find it very easy to introduce a new product. (Statisticbrain.com)
Growth Stage – The growth stage is simply identified by a strong increase in sales and profits. Once Apple’s products like the iPhone 5s hit the growth stage the company starts to benefit from increasing economies of scale in production, profit margins and overall amount of profit. This makes it possible for Apple to invest more money into their promotional activity to maximize the potential of the iPhone 5s in the growth stage.
Maturity Stage – During the maturity stage, the product is established and the aim for the manufacturer, in this case Apple, is now forced to maintain the market share they have built up. This stage is usually the most competitive for Apple and the iPhone 5s as by then new and better smartphones would have hit the market, which is why Apple would need to invest wisely in any marketing they undertake. Apple would also need to consider any product modifications or improvements to the production progress which might give them a competitive advantage.
Decline Stage – Eventually, the market for Apple’s iPhone 5s will start to shrink which may be caused due to Apple or any other smartphone manufacturers introducing a better and more efficient device. Another reason why the iPhone 5s might hit the decline stage may be because all the customers who wanted an iPhone 5s have purchased it, and there is no more demand for them or because the consumers are switching to a different type of product.
Branding is the process involved in creating a unique name, term, symbol, design or a combination of them which are intended in order to create an image for a product in the…