In our final chapter, we see that the key for ensuring the marketing components work together is to have a full understanding of the marketing planning process. We begin with a discussion of the importance of planning and show why the development of a Marketing Plan is a necessary undertaking for nearly all marketers. As part of this discussion, we distinguish between strategies and tactics, and examine the role these play in the planning process. Next, to aid in our understanding of planning, we explore how the Product Life Cycle (PLC) offers valuable guidance for marketing decisions. We cover in detail the circumstances marketers face as their products move through the PLC and why marketing decisions must be continually fine-tuned to adjust to these changes. Throughout this discussion, we see how the PLC can offer insight into what challenges marketers may face as the market for their product continues to evolve.
- Importance of Planning
- The Marketing Plan
- Planning and Strategy with the PLC
- Development Stage
- Introduction Stage
- Growth Stage
- Maturity Stage
- Decline Stage
Links to Cited References:
- For a detailed tutorial on creating a Marketing Plan see: “How to Write a Marketing Plan Tutorial.” KnowThis.com. https://www.knowthis.com/how-to-write-a-marketing-plan.
- For companies that operate in niche markets see: Thompson. Kalee. “5 Companies Building Big Businesses Out of Small Niches.” Inc., November 7, 2016. https://www.inc.com/magazine/201611/kalee-thompson/ss/niche-winners.html.
- Tilley, Aaron. “Apple, Not Google Or Facebook, Will Define the Future of Augmented Reality.” Forbes, September 12, 2017. https://www.forbes.com/sites/aarontilley/2017/09/12/apple-not-google-or-facebook-will-define-the-future-of-augmented-reality.
- Porter, Michael E. and James E. Heppelmann. “Why Every Organization Needs an Augmented Reality Strategy.” Harvard Business Review, November 2017. https://hbr.org/2017/11/a-managers-guide-to-augmented-reality#why-every-organization-needs-an-augmented-reality-strategy.
- While expanding product options is a viable strategy in the maturity state, those that do this do not see the customer reaction that was predicted. As an example see: Smith, Carey. “Do Your Customers Actually Want a “Smart” Version of Your Product?” Harvard Business Review, August 08, 2017. https://hbr.org/2017/08/do-your-customers-actually-want-a-smart-version-of-your-product.
- For examples of products that are still generating revenue while in the Decline stage of the PLC see: Bond, John-Michael. “2.1 Million People Still Use Dial-Up Internet From AOL, and Other Mind-Boggling Facts.” The Daily Dot, January 8, 2017. https://www.dailydot.com/debug/dvd-rental-windows-3-aol-2017/.
- Some products reaching the Decline stage are there due to the product failing to be accepted by the market. This means these products experienced a very quick trip through the PLC. For examples of products with a short PLC see: “When Corporate Innovation Goes Bad – The 110 Biggest Product Failures Of All Time.” CB Insights, April 13, 2017. https://www.cbinsights.com/research/corporate-innovation-product-fails.
- Passman, Jordan. “Vinyl Sales Aren’t Dead: The ‘New’ Billion Dollar Music Business.” Forbes, Jan 12, 2017. https://www.forbes.com/sites/jordanpassman/2017/01/12/vinyl-is-officially-booming-the-new-billion-dollar-music-business/#d4bdebb4054b.