Your product has 5 possible stages but product behaves differently in the market depending on if it’s old or new.
Stage 1, Introduction.
Focus on your product. Make it great. Then you can focus on branding. Lowering your price is tricky. Set a price that’s okay. Distribute your product ONLY where the market accepts you. Marketing here is by educating potential consumers about the product. Stop trying to sell, teach! Don’t command ants, drop sugar. And remember, if you serve hype, the market will beat you.
Stage 2, Growth.
The goal here is to increase your market share and brand reference. What do people to know your brand for? Associate your brand with something great and memorable. Maintain product quality. Choose a price and stay there. You can maintain price if you increase services. As customers demand and accept your product more, increase your distribution channels. Now you can market to a wider audience. Hmmn nice, you’re making good cash here.
Stage 3, Maturity.
Attention, this is where sales could start to drop. Differentiate your product. You have to be the only offering what you offer or offering it the way you do. You may lower price because of competition while launching new (higher priced) premium product or service. Marketing and promotion here is all about: cue rap song – “I’m different yea, I’m different!”
Stage 4, Decline.
Ah! Something Just Happened Right Now! Yes, that’s how many people feel at this stage…because they didn’t plan for it. At some point due to market saturation or competitive pressure, the profits will drop. Don’t panic. First, reduce costs. Offer to only loyal customers of your niche. What do you do next?
Stage 5, Product extension.
Add new features: Same brand, new category. Find or create new users for the product. Or find new uses for the product. Continuous development of new uses for the basic product constantly produces new waves of sales. The same way you turn your old stew to jollof rice. You can also discontinue the product – e.g.1, Where’s diamond bank today? e.g 2, Opay is currently selling off their inventory.
Product Development Specialist