Marketing Mix

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Product
09th April ,2010

The product refers to the goods or service offered by an organisation. Goods are physical objects such as sports equipment, sports clothing, home entertainment equipment or food and drink. Services can involve the provision of skills, information or entertainment.

The product life cycle is a concept based on the idea that all products pass through four stages. These are introduction, growth, maturity and decline.

Introduction is when a product is first introduced. Initially demand may be low as people eventually become aware of it.

Growth is when more customers become aware of the product and its image and sales start to rise rapidly.

Maturity is when sales are at their highest and remain stable. Repeat custom will form most of the demand.

Decline is when demand starts to drop. This could be due to competition, change in needs or change in fashion.

A fifth stage can also be identified - that being revamping. This may be achieved by re-branding the product or changing its characteristics. Butlins is an example of an organisation that has revamped itself.

A change in product image or characteristics is sometimes accompanied by an organisation trying to target a different type of customer.