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izvor podataka: crosbi

Product lifecycle strategies in digital world (CROSBI ID 253955)

Prilog u časopisu | pregledni rad (znanstveni) | međunarodna recenzija

Drašković, Nikola ; Marković, Milivoj ; Žnidar, Krešimir Product lifecycle strategies in digital world // International journal of management cases, 20 (2018), 3; 29-43

Podaci o odgovornosti

Drašković, Nikola ; Marković, Milivoj ; Žnidar, Krešimir

engleski

Product lifecycle strategies in digital world

The product lifecycle (PLC) is a well-known marketing concept initially developed in 1960s that describes four main stages in the sales of a product. Following the market launch, introduction stage represents initial sales of a product in the context of a limited and underdeveloped market. If the market accepts a product, the growth stage will follow. At this stage, benefits from economies of scale should be expected, together with the growth of profit margin. With the slowing of growth rate, the maturity stage kicks in. At this stage, product requires modification or improvement to re- establish growth. Otherwise, the sales will start to decline, which can result with the commercial death of a product. Contemporary research studies slightly departed from the one-of-a-kind classical PLC model with strictly defined four stages and inevitable product death at the end. In some cases, a product may never reach maturity due to sudden sales decline at some point of the growth stage. Additionally, PLC has to take into account the related value chain support and activities aimed at its regeneration. The aim of this paper is to analyse PLC strategies in the context of mobile applications, especially mobile games. The hyper production of apps created very competitive environment in which various apps are fighting for consumer acquisition and retention. Nevertheless, oversupply of apps reduced the length of their lifecycle. The paper presents an analysis of two popular mobile games PLC related strategies and corresponding marketing mix modifications in different stages of PLC. Apparently, besides adaptation of the marketing mix elements, numerous apps changed their business models, switching from micro-transaction based models to hybrid business models.

product lifecycle, business model, mobile devices, mobile apps, mobile gaming

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Podaci o izdanju

20 (3)

2018.

29-43

objavljeno

1741-6264

Povezanost rada

Ekonomija

Poveznice