About Lifecycle Stages

Depending on the category size, lifecycles are determined by the number and the marketshare of brands that sell products that feature an attribute. The more large brands that sell products with an attribute, the closer the lifecycle stage gets to the Mass status. The less large brands that sell products with an attribute, the closer the lifecycle stage gets to the Emerging status.

Emerging: this stage is where a product attribute is emerging and a few brands have products with this feature. It has a small market share because it's just starting to be noticed;

First Mover: in this phase, the product attribute is picked up by a few brands which become the first to market it nationally. These brands gain an early market share advantage by being pioneers;

Fast Follower: here, more brands quickly adopt the attribute after seeing the initial success of the first movers. An attribute's market share grows as national brands try to capitalize on the trend;

Mass: at this stage, the attribute is widely adopted across many brands, becoming standard in the market. The market share is distributed among a large number of major national brands.


Understanding an attribute's lifecycle stage is helpful for CPG new product innovators for several reasons:

Resource Allocation: Knowing the stage helps innovators decide where to allocate resources like time and money. Early stages may require more investment in marketing and education, while later stages might benefit from focusing on cost efficiency and differentiation.

Market Positioning: It informs how to position a product in the market. For example, being a 'First Mover' can be a selling point, while in the 'Mass' stage, the focus might shift to competing on price or quality.

Strategic Planning: It aids in strategic planning. Innovators can plan their long-term strategy based on the stage of the lifecycle to either lead the trend, compete with 'Fast Followers', or innovate beyond the 'Mass' stage.

Risk Management: It helps with risk assessment. Earlier stages carry higher risk due to uncertainty, while the 'Mass' stage might have lower risk but also lower margins due to increased competition.

Innovation Opportunities: Identifying the lifecycle stage can highlight opportunities for innovation. 'Emerging' might offer chances to shape a market, whereas in 'Mass', innovation may focus on revitalization or creating sub-categories.

Understanding these stages allows innovators to make informed decisions about product development, marketing strategies, and competitive tactics.

Updated on: 09/11/2023