Pasta Hut and Pizza Hut: product life cycle Essay

On April 2008, pizza hut announced the introduction of a modern proceeds line called the Tus cigareti pasta. Like any product, this product has a life cycle. several(predicate) strategies should be maintained through each(prenominal) stage of the cycle in order to move the product passim the cycle.1.Introduction academic degreeThe main purpose of this stage is to introduce the in the raw product to the market. The order must be aware of the tremendous amount of clipping and money which will be spent at this stage in order to root for consumers, grab their attention to this parvenu(a) product, and make them campaign it.In this stage, there are several strategies for the caller-out to followThe connection must well advertise their new product and obtain a trademark for it so customers will be aware ab prohibited this product. pizza pie sea chantey had spread numerous of announcements round their new product pasta Hut. They alerted the customers by several wayspi zza Huts web site was redesigned and many attractive pictures of the new pasta were added in their homepage. They overly created a new URL to market the Tus smokei alimentary paste. In addition, they gave out coupons and they advertized the new product everywhere in the newspaper, magazines, and TV.At this stage, sale growth magnate be slow. So, it is recommended to keep the price relatively higher(prenominal) in order to overcome the high costs associated with introducing the new product. Therefore, the revenue whitethorn be low, too.At the beginning, the dispersion must be limited until large number become more(prenominal) familiar with the product. Pasta Hut has followed this pattern by introducing this new product in main cities that are known with their multi-cultural population.A company should also start first with one or nigh products in order to test the customers reaction. As in Pasta Hut, they produced only two types creamy Chicken Alfredo and Meaty Marinara.2.Gro wth StageIn the growth stage, the highest rate of sales for the company is maintained. The raise in the number of customers who are aware of theproduct will lead to fast growth in revenue. During this stage, competitors have just started to arise and they are allay in the introduction stage.This stage is the best eon of every new product where the costs are less and the revenue is high and strategies can includeIncrease the amount of advertisements to build brand preferences and to attract new target market. For instance, Past Hut made more ads and added new slogans to the ads to attract more customers. They gave it an Italian name (Tuscani Pastas) to give it a classy Italian atmosphere and to attract different ethnic groups. They also put or so ads, which shows the pastas as a luxuries meal and not a fast food. footing can be maintained at the same level if the company noticed the demand is increasing. In some situations, the company can keep down the price as a strategy to a ttract new customers who cares about the price. In the case of Tuscani Pasta, a reduction in the price can be a clever idea to attract students and labors.It is the best time to expand the distribution of the product to draw as many customers as the company can before competitors can reach them. Pasta Hut started at this stage to shell out their pastas in almost all Pizza Huts stores in all most all the cities.This stage is the perfect time to adjust the product and to add some additional features on it. Different packaging options, and different portions are now avail satisfactory in the pastas of the Pasta Hut.3.Maturity StageThis is the longest and the most challenging stage where a company wants to maintain its success, increase the market share, and extend the products life cycle with the founding of high and tough Competitors who offer similar products with competing futures and prices.In order to affect this success for the longest periodThe company must put more effort on advertising to establish loyal customers. These ads must allow the product seem more unique and improved. For example Pasta Huts new logomay contain the words bigger, better, or more flavor. They also can offer promotions on their Pastas.Price should be lowered because the challenger is higher and it is a great way to attract the consumer.New distribution channels must be added and different incentives can be introduced. In this case Pasta Hut can give offers to students or opposite target customers so they keep their loyalty.A good step is to bear in a new line in the product, apply some modifications, or add some other features to the product be able to differentiate it from other competitors products. In this case, Pizza Hut can introduce additional types of pastas with different flavors and additional contents.4.Decline StageDuring the autumn stage, or sometimes referred to the aging stage, the public taste will change, new technologies will enter the market, and the marke t will be full of competitors and many other similar products. In this case, the competition is high and demand on the product probably will be low. Therefore, cost for producing this product might increase and revenues will decrease.The only factor that makes the product continue its toil is the loyal customers. For that reasonMarketers should study their product lines to know which is the most general one and decide whether to keep producing it or no. For instance Pasta Hut can only keep the two most normal pastas in their lines.Distribution must be more selective in places where the demand on the product is high. For example, Pasta Hut can sell its product only in universities food court if they found high demand of this pasta in universities food court.This is the last stage in the product life cycle. After that, if the companynoticed that this product is not beneficial anymore (the cost is increasing and revenues are not coating this cost), they should stop producing this p roduct and think of another product line.1 QuickMBA, The intersection Life Cycle, 2 MSNmoney, Pasta Hut Millions and Millions Sold, 3 Pizzahut, 4 USAtoday, Pizza Hut preparing pans of pasta for delivery, 5 PRweek, Pizza Hut scores big with Tuscani Pastas,