What is a product life cycle and how does it work! – WAU

(Click on the player to hear the narration of our post! Leave in the comments what you think.) We are already so used to seeing the constant “in and out” of products of all types on the market that we don’t even stop to think about the process that determines all of that. After all, is it for nothing that […]


(Click on the player to hear the narration of our post! Leave your comments in the comments.)

We are already so used to seeing the constant “in and out” of products of all types on the market that we don’t even stop to think about the process that determines all of this.

After all, is it for nothing that companies decide to lower the price of a commodity or take it out of the market instead?

How do you know the right time to start working on new solutions to offer the public?

All of this is defined by product life cycle, which should be closely watched by those who want to remain relevant in the dispute for customers.

Never heard of it? Then see everything you need to know about the subject. Come on!

What is a Product Life Cycle

The product life cycle is a model of decision making that helps companies to know, among other things, how to advertise a product and how long it can be marketed.

According to this concept, all consumer goods go through 4 different stages:

  • Introduction;
  • Growth;
  • Maturity; and
  • Decline.

Upon reaching the last stage, it must be taken out of circulation and replaced with a new solution for the market.

There are different factors that show which phase the product is in, such as the durability of the object, the amount of sales and the technological advancement of the industry.

It is important to remember that the life cycle varies widely from one item to another, depending on these aspects and others.

How important is it to a marketing strategy

Is knowing the life cycle of a product really that important? Certainly!

Especially for the marketing strategy, which needs to convince potential customers, it is essential to know what stage of the cycle the item is at.

We can even highlight some aspects in which marketing benefits from being based on CVP (cost of living of the product).

first steps in digital marketing

When this is done, the company is able to:

Extend the best stages of the cycle

When CVP is taken into account when setting up marketing planning, there is a greater chance of strengthening the product enough so that it gains an “extra breath” in the market.

More important than keeping it on sale longer is to make it stay as long as possible in the best stages of the cycle – growth and maturity -, where the potential for profit is also greater.

The longer the product stays in these two phases, the better your return on investment.

Lead the market segment

Companies that understand CVP better and create digital marketing campaigns based on it, are hardly caught by surprise by the competition.

This is because they are the ones who lead the segment and usually take the lead when it comes to removing line items and launching new solutions.

This leadership is only possible because the marketing strategy tends to be well more efficientin the case of these companies.

By having full knowledge not only of the product’s potential, but also of its stage at CVP, it is possible to change the approach as necessary and keep it interesting for buyers.

Offer what the public really wants and needs

Perhaps the clearest advantage of thinking about the sales cycle when doing marketing is the increased ability to offer potential customers something that is beneficial to them.

Just for you to understand better, think about the following: would it help to promote a product already in the decline phase as if it was at its peak?

Customers, always attentive to news, would not have confidence in such a campaign and would discard the offer on the spot. A good discount would be the best strategy for this case.

What are the stages of CVP

Now that you understand what the product lifecycle is and why it matters for a marketing strategy, it’s time to get to know each of its stages in depth.

In all, there are 4 phases, which must be closely monitored to make the most of the profit potential. See what they are:


The introduction goes from the beginning of sales to the point where steady growth is achieved . At first, everything is smaller: production, clientele, distribution, etc.

If it is a new, little explored market, this phase also involves validation, that is, making sure that it is worth investing in the idea and what is the best way to do well in that niche.

In this case, competition is also less, and the challenge lies in establishing efficient processes and establishing a presence in front of customers.


During the growth phase, the product reaches a growth pattern in which it is already possible to scale production and distribution to meet the demand, and sales increase a lot.

As a result, competition also increases, which starts to make similar offers in price and characteristics, which further forces the creation of a solid marketing strategy.

Reaching maturity before competitors is one of the main goals,that is why dominating the market and investing in brand strength are seen as priorities.


This is usually the longest step in the cycle. In it the market stabilizes and becomes saturated, that is, the number of competitors stops increasing.

At that point, a real war for consumer preference begins, ranging from lowering prices to making marketing and branding efforts.

Because of that, the tendency is that the profit starts to fall gradually.

The important thing is not to let profits fall, and for that it is essential to differentiate yourself, since the market offers several similar options.


The decline phase is when sales start to fall, usually due to changes in the market.

These changes include the launch of new solutions, the evolution of customer tastes and the technological changes that make the current product outdated.

At this stage, with profit margins getting smaller and smaller, it is natural for companies to start investing in new solutions.

Another common practice is to burn the stock and, in some cases, withdraw the product from the line.

How to integrate CVP to digital marketing

Each of the CVP stages has its own characteristics and calls for different marketing approaches.

In this way, the product is able to remain strong until the next solution is presented to the market. See how to take advantage of CVP to build your digital marketing strategy.


The first thing needed for the product to do well from the introduction stage – its launch on the market – is create expectation in customers .

Through a good content marketing and social media marketing strategy, it is possible to make the public eager to find out more about the launch.

Hence, a landing page and a good marketing automation tool will help cultivate that initial interest and ensure that as many people as possible are ready to buy from day one.


After launching the product, which is effectively the introduction phase at CVP, you need to gain traction for it to generate greater demand and jump to the growth stage as soon as possible.

The idea is to get referrals from customers initially won, either through shares on social networks, testimonials to put on your website or other means.

Content continues to play an important role, now to convert readers into customers, and not just generate expectations.

Social Media Marketing Kit


Brand positioning is essential to stand out in CVP’s ​​growth stage, where competition is strong and customers look for differentialswhen making your choices.

What does it mean to have a good brand positioning? Earn customer loyalty because of the trust they have in the brand. And how to do that?

It is clear that there is no isolated action for this. A good positioning is made of several activities and built little by little.

Joining other companies in co-marketing strategies is also a good way to position yourself as an authority in the market in which you operate.


In the maturity phase – the longest at CVP – the market stabilizes, which is still an opportunity for expansion for the best prepared companies.

Market leaders are the ones that benefit and profit the most from the maturity phase, and this is only possible through expanding brand reach .

Rank well in search engines, have a strong presence on social networks and have a consistent content planningare some of the factors that contribute to this.

Understanding and observing the product’s life cycle is essential for those who want to remain competitive in the market and meet public demand. Finally, thinking about what stage of the cycle the product is in when carrying out each marketing action guarantees much better results.

As you can see, one of the most important factors for a product’s strength is the brand behind it, isn’t it? So, see what brand equity is and how to use it in digital marketing!

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