Product Life Cycle: 4 Key Stages for Growth in 2025

Every product goes through a journey, a product life cycle, from its market introduction to its eventual decline.

Product life cycle stages are generally the same across industries—introduction, growth, maturity, and decline—but how long a product stays in each stage varies. 

In 2025, trends move fast, consumer preferences change overnight, and AI tools make it easier than ever to bring products to market, and retire them just as quickly—meaning your product strategy needs to adapt accordingly.

That’s why understanding the product life cycle is essential for smart resource allocation, efficient management of manufacturing costs, and keeping your store relevant. 

What is the product life cycle?

The product life cycle is a framework that helps you understand how a product performs from launch to retirement. Managing the product life cycle helps you plan your marketing strategies, pricing, and inventory throughout the journey.

It’s made up of four stages:

• Introduction: You launch the product. Awareness is low, so your marketing focuses on building interest and establishing your brand presence.
• Growth: The product gains traction. Sales pick up, and marketing efforts start paying off. Your goal in this phase is to scale successfully.
• Maturity: Growth levels off. You shift your focus toward differentiating your product to stand out in a crowded, saturated market.
• Decline: Sales drop as demand fades. You may need to phase out the product or reposition it to reach a smaller, niche audience.
  

Knowing where your product sits in the cycle helps product teams make smarter decisions, like when to ramp up marketing, adjust pricing, or start planning their next launch. 

It’s a practical way to align your product life cycle strategy with exactly what your customers want.

The product life cycle in 2025: an overview

Global retail ecommerce is projected to surpass $6.4 trillion this year, according to eMarketer. Consumer preferences are also changing faster than ever. One 2025 McKinsey report shows that 19% of shoppers plan to cut back on necessities—but still splurge on discretionary items.

On top of that, AI advancements are moving fast. More than three-quarters of surveyed companies are using AI for one business function, and almost half call it a core staple of their strategy. This compresses the traditional PLC pipelines, and retailers need a flexible product vision. Fast fashion retailers like Shein can reportedly move from design to concept to checkout in just a week or two, adding 6,000 SKUs daily. 

In this environment, the PLC framework can help teams decide when to invest, optimize, pivot, or sunset a product—before market conditions make the decision for them. 

The 4 product life cycle stages

Each product moves through four key phases, each with unique challenges, opportunities, and strategies. 

Understanding these stages can help you market more effectively, manage inventory wisely, and stay ahead of shifting demand.

Let’s take a closer look:

1. Introduction stage

At the introduction phase, also known as the development stage, the product enters the market, and the business looks to get a foothold by:

• Establishing brand presence and establishing trust in the quality of the new product.
• Setting initial pricing, sometimes high to recoup product marketing and production costs, or low to encourage early adoption.
• Selecting a distribution model to reach the right target market efficiently.
• Promoting the product to a specific target audience.

Strategies for 2025

Getting a new product off the ground in 2025 means being smart, fast, and flexible. Here are a few ways to set yourself up for a strong launch:

• Validate demand before you launch. Use pre-orders, waitlists, or limited drops to gauge interest before investing heavily in inventory. It’s a low-risk way to validate product-market fit. This iterative process of launching, listening, and evolving was key for Michelle Razavi, cofounder of Elavi. She says, “It wasn’t until we started to sample out and get feedback in the field that consumers really wanted to indulge.”
• Use AI to build early buzz. AI tools can help you create product descriptions, ad copy, and personalized email campaigns quickly, so you can raise awareness without delaying your product launch timeline.
• Start with a niche audience. Instead of going broad, focus your messaging and targeting on a specific customer segment. Building traction with a tight-knit group early on can drive word of mouth and help you scale more sustainably. You can also refine your messaging based on real customer engagement.

2. Growth stage

After a successful introduction, the growth phase kicks in. Momentum builds, and the focus shifts to scaling. This requires a disciplined strategy for expanding marketing reach. 

“We ensured that existing channels were promoted without discounting them, and we allocated a certain budget for testing a new marketing channel,” explains Vivian Davis of XRS Beauty. “Once a new channel was proven effective, we replicated and scaled the strategy. It was also beneficial to have skilled operators for each channel.”

Businesses typically respond during the growth stage by:

• Maintaining the quality of the product and adding support or services identified during the introduction and development process
• Keeping pricing steady to drive market growth without losing margins
• Increasing distribution and sourcing faster, more efficient ways of getting the product onto shelves
• Expanding marketing campaigns to reach broader audiences and increase market share

Strategies for 2025

Once your product starts gaining traction, it’s time to build momentum. 

Here’s how to fuel growth:

• Refine your product mix. Once traction hits, founders and PMs need to think beyond individual product features to find the best product combination that increases customer value without overextending resources.
• Use influencer marketing to expand your reach. Partner with creators who align with your brand to drive awareness and credibility. In 2025, even micro-influencers with niche audiences can deliver high ROI when paired with smart affiliate links or discount codes.
• Use AI to personalize your campaigns. AI-powered tools can help tailor email, SMS, and ad content based on customer behavior. Tailor your content across email, SMS, and paid ads based on user behavior and preferences to increase customer loyalty and conversions.
• Scale your fulfillment smartly. Optimize logistics as demand increases. Consider local warehousing or 3PL partners to speed up delivery and cut costs—a smart move as you grow and manage both marketing and production costs.

3. Maturity stage

In the maturity stage, your product is well-established. Sales are steady, but growth slows as the market becomes more competitive and often enters the saturation stage.

Business typically respond by:

• Adding new features or variations to stand out in a crowded market
• Adjusting pricing strategies to maintain share and profitability
• Revising distribution channels and offering incentives to retailers or partners
• Launching new campaigns that highlight your product’s unique advantages to your target audience

This is often the point where a “hero” product—the item your brand is famous for—can feel like it’s hitting a plateau. However, your customers often hold the clues for your next moves. 

“It is hard to be known for something other than your hero,” says Kara Brothers, president of Starface. “But we’re finding what resonates, and we’re finding why people come to us for our face wash, for example, which is so popular. They love that it’s non-irritating. They love that it’s gentle. People use it in the shower. So we really pull on that thread and hear from our customers what’s resonating with them outside of the patch and run with that.”

Strategies for 2025

At the maturity stage, the focus shifts to staying competitive and keeping customers engaged. Here’s how to do that in 2025:

• Refresh your product positioning. Update your branding, packaging, or messaging to better reflect what customers care about now. Whether it’s sustainability, exclusivity, or convenience, even small tweaks can make your product feel new again. These updates can boost customer engagement without changing the core product.
• Prioritize retention. A smart loyalty or subscription program can deepen customer loyalty and keep your most valuable buyers coming back, which is especially important as acquisition costs rise.
• Experiment with bundling and limited editions. Create product bundles or exclusive versions to increase perceived value and create urgency, especially during key sales seasons or promotional pushes.

4. Decline stage

When a product enters the decline phase, demand starts to drop. This can happen for several reasons, including evolving customer preferences, better alternatives, or broader market shifts like demographic changes or economic trends. 

Businesses typically respond by:

• Keeping the product on the market, but refreshing features or finding new uses for it
• Reducing costs and scaling back production to serve a niche segment
• Discontinuing the product or selling production rights to another company

Strategies for 2025

When a product hits the decline stage, it doesn’t always mean it’s time to pull the plug. 

Here’s how to handle it strategically:

• Explore niche positioning. Instead of shelving the product completely, reposition it to appeal to a smaller, more specific audience. Tailor the messaging and target it through low-cost channels like email or organic social.
• Use AI to identify sunset opportunities. AI-powered analytics tools can help identify who’s still buying the product and where you’re losing traction, so you can make data-driven decisions on whether to retire, repurpose, or repackage it.
• Run end-of-life promotions. Clear out remaining inventory with limited-time offers or bundle deals. It’s a great way to boost cash flow and make room for your next big product launch.

Product life cycle examples

To better understand how the product life cycle works, here are real-world examples illustrating each stage—from emerging technology to familiar products nearing retirement.

Introduction: AI-powered shopping assistants

New AI tools that help shoppers find products or answer questions in real time are just starting to enter the market. Adoption is still low, but interest is growing, and early adopters are using them as a competitive advantage.

Launched on Shopify in late 2022, Blackstone Road used a minimum‑viable‑product approach to test the market, offering a curated coffee subscription with eco-conscious branding. It’s still building awareness and refining its messaging to reach niche subscribers.

Growth: Smart home gym equipment

Products like connected fitness mirrors and app-enabled resistance machines have moved beyond novelty. As more consumers invest in at-home wellness, these products are scaling fast with broader marketing efforts, increased distribution, and rising demand.

Jamie Haller, a Los Angeles–based women’s brand launched with a signature loafer and quickly expanded, posting a 450 % increase in direct‑to‑consumer sales from 2023 to 2024. It’s scaling by introducing new styles, wholesale accounts, and high-impact storytelling.

Maturity: Wearable fitness trackers

Smartwatches and fitness bands have hit mainstream adoption. Most major players offer similar features, so brands are focused on differentiation, like premium design, exclusive subscription content, or enhanced data privacy.

Decline: DVD players

Once a household staple, DVD sales have shrunk by 92% since their 2006 peak, as reported by Variety. Most consumers have shifted to streaming, and retailers have reduced shelf space or dropped DVD players entirely. Although some niche users remain, the product is largely in decline.

How to extend a product life cycle in 2025

Not every product needs to hit the decline phase quickly. With the right tactics, you can stretch out the most profitable stages of the product lifecycle and keep bestsellers going strong.

Here’s how to do it in today’s fast-moving ecommerce world:

• Innovate based on customer feedback. Use reviews, surveys, and support tickets to spot what your customers want more (or less) of. Small updates like a new scent, different size, or design tweak can breathe new life into an existing product.
• Find new uses or audiences. Reframe how your product fits into customers’ lives. A skin care brand might position a face mist as a desk essential for remote workers, or a kitchen tool as the perfect holiday gift.
• Diversify your marketing channels. Reach new customers by testing platforms you haven’t used yet, like TikTok, YouTube Shorts, or niche creator partnerships. Expanding your audience can extend demand well beyond your original customer base.
• Bundle or repackage it. Pair your product with complementary items or create limited-edition packaging to renew interest. It’s a great way to generate urgency without overhauling your offer.

Ultimately, extending the life cycle of your product doesn’t mean avoiding decline forever. Instead, it helps you know when and how to refresh a product, so you can maximize revenue before moving on.