College students frequently visit KnowThis.com searching for information to be used in marketing assignments. One issue that is regularly assigned in a college-level marketing strategy course is to undertake research that explores different aspects of the product life cycle (PLC). In particular, a typical assignment presented to students is to locate information on specific products and how these fit within the PLC.
Back in September 2013 we looked at this issue when we posted about the PLC and the craft beer market. We now have another example, and this too deals with the beer market. (The fact both blog postings deal with the beer industry is a coincidence, though we are sure many college students find this to be a fascinating market.) While this story from USA Today is a few months old (our fault we missed it earlier!), the data presented is quite interesting.
The report examines nine beers that have experienced a sharp drop in sales over a five year period. The data is presented in terms of the percentage of sales decline between 2007 and 2012. Many of the beers listed are familiar brands including Budweiser, Miller Genuine Draft and Old Milwaukee. In terms of their placement within the PLC, some of these beers are likely sitting in the Maturity stage and may still have growth left if the beer’s manufacturer can devise a strategy to extend the PLC. Other beers, however, are almost certainly in the Decline stage, and likely will not be available in the next few years.
Image by christopher.woo