Lifebuoy in India: Product Life Cycle Strategies

1542 Words Oct 22nd, 2011 7 Pages
The PLC concept is very useful to marketers and brand managers for many reasons. First of all, the concept establishes that products follow a life cycle that starts when they are launched, from there they will grow and will, one day, die. However, the most important advantage of this model is that it divides the life of a product in several stages with different characteristics, mostly based on the sales level and growth: introduction, growth, maturity and decline.
This division allows managers to have some insights on which strategies can be taken, according to the behavior of the sales of a product. Also it may help predicting how the competition will act and what will be the future growth tendencies for the product.

Nevertheless, it
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These moved the product through the maturation phase.

The liberalization of the Indian market during the 1990´s changed the market upside down. On one hand the market suffered a rapid growth and was introduced to a huge variety of new products that created much more value to the customer by offering freshness, beauty-care, nature-car and deodorant in soap bars besides the cleaning and health body that was all Lifebuoy was offering. On the other hand the growth of the 3rd economic sector in the Indian economy, promoted the migration from rural to urban areas, shrinking Lifebuoy's market. It also produced higher income levels, which played a big part in changing consumer needs, who started to prefer more expensive soaps and different products. Consumers start asking themselves: "why would I buy Lifebuoy if all soaps clean?" All these factors, lead to a steady decline on lifebuoy's market share, marking the entering on the declining phase of the company's carbolic soap.

4. How do you think brand rejuvenation is helpful? Analyze how it helped Lifebuoy extend its life cycle.

Brand rejuvenation is very helpful when brands enter the declining phase of the brand Life Cycle. Usually brand managers start thinking in strategies to avert the declining of a brand in the life cycle and avoid its death. By doing so

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