Product Life Cycle:

This describes the stages in the sales life of a product. The product life cycle (PLC) has four characteristics: (1) that products have a limited life; (2) that product sales go through separate stages, each stage brings a different implication to the seller; (3)  profits from the products differ at different stages in the life cycle; and (4) products require different strategies in the different stages of the life cycle.

 The product life cycle has four stages: 
(I) introduction-the slow sales growth characterized by the introduction of a new product.At the launch of Dettol, Reckitt Benckiser had to use various focused strategies to stress the uniqueness of the new product to the people. Three characteristics at this stage were noted:

1. Initially industry witnessed slow sales growth. 
   
2. Initially industry witnessed slow sales growth.Profits were practically non-existent due to high cost at the time of introduction.
3. There was no competition in the market

(II) growth stage - the rapid sales growth that follows due to product acceptance in the market.
substantial profit improvement is seen in this stage. Also,
1.competitors like Savlon came into the picture. 
2.  As a result,   New marketing campaigns were launched..    
  3. Products showed high growth rate and market share. 
4.  Dettol added to  its product line and went into the bar soaps,handwash liquid line as well etc 
5.  Product efficiency showed improvement during this stage
(III) maturity-the stagnation of sales growth when a product has been accepted by most potential customers.

 

During 1980's Dettol saw plateauing of its sales, the reason behind this was that the brand had its presence in most of the households but was rarely consumed. Therefore, repeat purchases lagged. Dettol, then decided to  expand its usage beyond a first-aid product. Reckitt Benckiser then strategized a new campaign launch to expand the use of the the liquid to an all purpose antiseptic that can be used for multiple personal and household chores - on a daily basis such as, shaving,rinsing, and as a general disinfectant.

       1.  The tagline was then changed to 100% sure, to encompass all the new functions.
2.       New promotions and advertisements were launched. (Discussed later in the blog)
3.       Variations in their soaps & other similar products was launched.
4.       Late entrants like Savlon & Suthol, tried to steal market share in the additional categories.
  

    Dettol is currently is in its maturity stage.It still brings in new products and variates the old ones, though no phenomenal changes. It has never seen sales decrease in a big way. New innovations,innovative marketing campaigns,technological advancements, new digital campaigns (through websites,online purchases etc) and general management efficiency,is what helps Dettol prolong its growth stage.

and (IV) decline-the decline of sales of a product as a result of its replacement (by a substitute) or as it goes into disfavor among its customers. 

 

Industry Lifecycle:

This concept relates to the various stages that an industry will go through, from the first product entry to their eventual decline. There are typically five stages in the industry lifecycle, that follow  the same pattern as the Product Life Cycle i.e
Introduction, Growth, Maturity and Decline. 

Product Vs Industry LifeCycle – Dettol

Dettol belongs to the toiletries segment of the FMCG sector. This industry in India provided for USD $ 44.9 BN in 2013.  It is expected to grow at a high rate for the years’ to come and hence is yet to see the last two stages of the ILC.

The product on the other hand has been stagnant with an approx. dominant 80% of the market share since its introduction as an antiseptic liquid. It is stable and has reached the maturity stage of the PLC. The product however sees no signs of decline yet, due to continuous innovations and the perennial utility of the product, it is expected to stay longer on the shelf!