Ice Cream Industry Profile: The ice cream industry in India is in many ways, reflective of the overall population distribution. This has contributed to a highly fragmented industry that by many estimates has over 70, ice cream entities.
The product life-cycle or PLC model is one of the most frequently encountered concepts in marketing management. Professor Theodore Levitt popularized the concept and others like C. Chevalier, DJ Luck, D. Robenson and others furthered the very original concept. It is that recent introduction to the marketing inventory which acts as the key to successful product management right from its introduction to the obsolescence.
What is product life-cycle? The product life-cycle is a conceptual representation. It is a product aging process. Just as human-beings have a typical life-cycle going from childhood, adolescence, youth and old-age, so also products follow a similar route.
Product life-cycle is simply graphic portrayal of the sales history of a product from the time it is introduced to the time when it is withdrawn. To borrow the words of Mr. As a concept, it means three things: Products move through the cycle of Introduction, Growth, Maturity and Decline at different speeds.
Both sales volumes and unit profits rise correspondingly till the growth stage. However, in the period of maturity stage, sales volume rises but profits fall. The successful product management needs dynamic functional approach to meet the unique situations of sales and profitability.
There are some misconceptions regarding this simple concept of product life-cycle. These are dismissed if one has the clear- cut understanding about the implications of this useful concept. First, though most of the literature on product life-cycle states that each and every product follows through this four-phase life-cycle; not all products introduced in the market essentially follow through all these four states.
It is quite possible that a product might cross the first and at the most second stage and die a premature death just as many human beings do. Secondly, one cannot have a definite line of demarcation between one and the subsequent stage.
The succession is one of merging and not of finite calculation. Thirdly, no two products have identical life-cycles. The length of each phase varies from product to product depending on the nature of product, the marketing policies adopted, changes in technology, competition and the laws of the land.
Fourthly, at a given point of time, or moment, the same product might reach different stages in different market segments. In segment one, it might have touched the peak-height of maturity, in segment two it may be in growth stage, in segment three, it may be heading towards the decline.
Stages of Product Life-Cycle: The product aging process has four stages as depicted in the Fig. A detailed analysis of each stage is a must in terms of basic features and implications. It is really interesting and thought provoking exercise of logic to travel through the stages of product life-cycle.
Whenever a new product is introduced, it has only a proved demand and not the effective demand. That is why; sales are low and creeping very slowly.
It may be the case with a product like instant coffee, frozen orange juice or a powdered coffee cream. This first stage of product life-cycle is characterized by: Low and slow sales: The basic reasons for this are: During this period of introduction or the development, the promotional expenses bear the highest proportion of sales.
It is so because; the sales are of smaller volume on one side and high level promotion efforts to create demand on the other. Demand creation is not an easy task as it is a matter of breaking the barriers and breaking new ice which is done by: The prices charged at the beginning are the highest possible because of: Once the market has accepted the product, sales begin to rise.Kotler () say that a product has a life cycle is to assert four things: Products have a limited life; product sales pass through distinct stages with different challenges, opportunities, and problems for the seller; profits rise and fall at different stages of the product life cycle; and products require different marketing, financial, manufacturing, purchasing, and human resource strategies in each stage.
This . Ice cream life cycle November 27, University of Manchester researchers from the EUED CSEF Centre have traced the life cycle of vanilla ice cream produced and consumed in the UK, gaining insights into energy use in food chains. University of Manchester researchers from the EUED CSEF Centre have traced the life cycle of vanilla ice cream produced and consumed in the UK, gaining insights into energy use in food chains.
Industry life cycle analysis:(Product life cycle theory) Documents Similar To Industry Analysis on Ice Cream Industry. Natural Ice Creams- Popularity without promotion.
Uploaded by. Dr Amit Rangnekar. Ice-cream Industry in India. Uploaded by. alamnurshid. Marketing Report of an ice cream industry.4/4(10). Production. U.S. ice cream manufacturers produced billion gallons of ice cream in , which was actually a small decrease from production levels.
PRODUCT LIFE CYCLE Among the four stages of PLC, the ice-cream industry, in our opinion is somewhere in growth stage right now, because according to various market research reports the projected growth is anywhere between % which is much more than the rate at .