Sale Growth on the Rise

In the Growth Stage of the product life cycle the market is aware of the product you have introduced. Now sales have the potential to significantly increase and profitability will begin to rise. This is the result of economies of scale – the reduction in cost per unit resulting from increased production, realized through operational efficiencies.

Product Life Cycle- Growth

Product Life Cycle- Growth

Your advertising and distribution channels have paid off! More consumers are aware of your product in the market and competition is on the rise. Other manufacturers will think of a product that will compete with yours and this will result in a price decrease.

Lipstick with Sunscreen

Lipstick with Sunscreen

Picture this, say you came up with a lipstick that is both a moisturizer and a sunscreen that changes color when you change body temperature – when you feel hot your lips will turn hot red and if you feel chilly it turns into neutral pink. You gave samples at Target, WalMart and other stores for customers to try. Anita Wantaproduct, editor-in-chief of American Fashion picked your product as the new “IT” thing of the season.

Because of the feature article in American Fashion, people will become aware about the lipstick and everybody (well at least the women) will want to have one or two for each purse. Lancome and Maybelline came out with a similar lipstick but in a different shade. This may prompt you to reduce your price from the original $10 each to $8.95.

What do you think will happen next? Will it continue to rise and be an item in every woman’s purse? Or will it be just another ordinary lipstick?

Grow Your Sales,
Samuel Carrara

p.s. I don’t think they should directly compete with the other products and lower their price, but that can be discussed later.

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Tuesday, July 21st, 2009 Marketing

5 Comments to Sale Growth on the Rise

  1. Thanks for posting about this, I would love to read more about this topic.

  2. How I Lost 30 Pounds in 30 Days Without Diet on July 24th, 2009
  3. […] Carrara presents Sale Growth on the Rise posted at Sam Carrara’s Marketing […]

  4. Developing and Supporting Entrepreneurs on August 1st, 2009
  5. Hi
    Just a quick thank you for contributing to my blog at http://www.arecessionprooflifeblog.com your article was very much appreciated.

    I would like to link to your blog and have a reciprocal link for mine if that is acceptable to you, i also need some instruction on how to do that. i am relatively new to the blog world but thanks to people like you i have started to gain a lot of followers.

    Once again thank you
    Regards
    Michael Jamison
    http://www.arecessionprooflifeblog.com

  6. Michael Jamison on August 3rd, 2009
  7. >Michael
    Glad to help. Keep up your great posts also.

  8. Sam on August 4th, 2009
  9. […] Carrara presents Sale Growth on the Rise posted at Sam Carrara’s Marketing […]

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