What is the Service product life cycle: The product life cycle concept provides a way to track the phase of a product’s introduction to its fall. The product life cycle concept does not accept the message length of the life cycle of a product or its duration at a particular stage.
The length of a product save period is not known in advance. It is a simple and analytical tool. This helps the marketing managers to predict possible future events.
The product life cycle is one of the most familiar concepts in the manufactured good. It is a very new idea for service products. Although it is much more important to service products.
Because of its core nature, it is advisable to understand the service product life cycle from different perspectives due to the core nature of the service. The five steps for the purpose of service and hospitality have been done twice as follows.
Product development stage
This is the stage when a company develops the service concept. The new idea concept develops the activities. It is the period for planning the training and recruitment of employees.
Which motivates the supporting agencies to create a positive environment and network. It’s time for internal marketing. Because development is service supply oriented.
The service point of sale at this stage determines the service. and participate in the promotion.
What is the Service product life cycle
1. Introduction stage
If the development stage satisfies. That the service product has been designed .and made available for purchase. So the introduction of the service product is to abstract the promotional program into the abstract and the product id.
When consumers are ready to receive promotional events. The announcer exits the organization. and declares it ready. Profits are usually negative due to heavy publicity and overhead expenses to serve in this introductory phase.
This is the most difficult phase in the service business to promote sales. Various points of sales and pro sales make the marketing manager very Must be aware.
The marketing company will have high acceptance and difficulty to satisfy customers if they make marketing. This can create more demand and skills. Image service becomes community upon promotion.
Competitive advertising is concerned with educating the customers and training the middlemen during this time and orienting the middleman to the sales and building trust among them.
The advertising committee must be supported by the organization’s public relations publicity. And image marketing is also important.
2. Growth stage
If the product satisfies the market. So it will enter the stage of development. The growth and profit of the industry will attract quality employees.
Now the employees are trained. More skilled profit is increasing. Because of increasing costs, sales are increasing as the business volume decreases. And profits are increasing.
3. Maturity stage
It is the most desirable state of business. When everything is in the best condition. The staff is fully trained. And will be motivated and they are providing the best service at their level.
The market is fully mature. . And the customers are ready to pay the price. So Mark company is making the best profit from the business.
4. Fall stage
A prolonged decline in sales is the phase of decline. The rate of decline is the governor. Compared to manufactured goods, service products lose their market overnight due to changes in the environment.
It does not take time to dry as stockists and retailers do not have stroke and liability. Responsibility and your web net are closed Luzern is closed and your network cannot be refreshed. Your web becomes a simple opportunity. Start flying over your head.
Strategy for Promotional mix
The promotion mix varies by type of service. And for one type of company the other nominee is the advertising and promotional mix as a primary tool. Which is supported by sales promotion.
And advertising is related to an activity at that time a service. But public relations helps to develop a positive. Image of company service staff and hotel service line.
The type of service and its specific nature influence the promotional mix.
1. Type of service
High participation luxury service requires heavy advertising in the need of more trust to consumers than low involvement service. But sales promotion is minimal.
2. Cost and risk perceived by the consumer
As a general rule, when consumers receive heavy exposure and high-cost public relations backed by personal selling. So the more important sales promotion is a more effective short service element.
3. Stages in the Service Lifecycle
Determining the promotional mix during the introduction phase The advertising supported by PR is very useful during the development phase. It should be supported by sales promotion in the final stage to cut the advertising cost. The PR continues.
4. Complexity of service
Advertising is enough to compel simple services. But complex service requires PR backed by personal selling.
Another determining factor of the promotional mix is the market itself.
1. Market type
Advertising on the other hand will be beneficial if the market and potential customers are widely dispersed. There is a need for educated high-level public relations backed by personal selling if the customers will inform.
2. Type of purchase decision
Advertising supported by sales support will be effective for a simple consumer purchase decision, on the other hand.
A complex purchase decision requires a more extensive sharing of information. So personal selling backed by public relations will be more effective.
3. Organization related factors
Management strategy is to choose the right motivational mix.
4. Available to fund
A small enterprise will believe in publicity and personal relationships on a low budget.
5. Pull and push strategy pull strategy
Aggregation promotion is to use of sales and merchandise advertising to influence a seller or retailer. Travels of Pull’s strategy is to encourage tumors to solicit service so that they sell their service to the end consumer airline and hotel travel agency. So that the concerned retailers and wholesalers will be involved in selling business.