As The Company's Product Manager, Your Boss Is The Marketing

As the Companysproduct Manager Your Boss The Marketing Manager Is

As the company's product manager, your boss (the marketing manager) is concerned about the future success or viability of the product line you oversee. She wants to make sure that you understand the reasons that could cause a popular product to become an unpopular product. She asked you to meet with her and discuss three products and/or services that seem to have declined in consumer demand, severely hurting these other firms. To keep this from happening in your own firm, your boss has asked you to describe some examples of this phenomenon and your opinion on why the popularity declined.

Paper For Above instruction

The decline in consumer demand for certain products is a phenomenon that can significantly impact the fortunes of companies, often leading to financial losses and strategic reevaluations. Understanding the factors that contribute to a product's fall from popularity is crucial for a product manager aiming to sustain their product's success. This paper discusses three notable cases where products experienced substantial demand decline, analyzes the underlying causes, and provides insights on how firms can prevent similar downturns.

The first example is the decline of traditional print newspapers. Once the dominant source of news for many households, print newspapers have seen a rapid decrease in readership and advertising revenue over the past two decades. The primary reasons include the rise of digital media, changes in consumer preferences favoring online news sources, and the ubiquity of smartphones and social media platforms. Companies like The New York Times shifted their focus to digital subscriptions, but many smaller newspapers struggled to adapt, leading to closures and layoffs (Anderson & Salas, 2019). This decline underscores the importance of innovation and adaptation to technological trends, as failure to do so can lead to obsolescence.

Secondly, the case of Kodak exemplifies how technological disruption can cause a once-successful product line to decline. Kodak, a pioneer in photographic film, dominated the industry for decades. However, as digital photography emerged, Kodak's sales plummeted. Despite having developed some digital camera technology, the company hesitated to fully embrace digital, fearing it would cannibalize their film business. Meanwhile, competitors that aggressively adopted digital cameras, such as Canon and Nikon, gained market share. Kodak eventually filed for bankruptcy in 2012 (Lucas & Goh, 2021). This example highlights the importance of proactive innovation and willingness to pivot in response to technological shifts.

Thirdly, the decline of DVD rentals and sales illustrates shifts driven by changing consumer preferences and technological advancements. Companies like Blockbuster once thrived by renting movies on DVDs, but the advent of streaming services like Netflix revolutionized content delivery. Consumers preferred the convenience of instant streaming over physical media, leading to the rapid decline of DVD rental services. Blockbuster filed for bankruptcy in 2010, and many other rental businesses closed as market demand shifted (Huang & Chang, 2020). This case emphasizes how technological innovation and consumer convenience can rapidly render traditional business models obsolete.

In my opinion, the common denominator in these cases is the failure to adapt to technological advancements and changing consumer preferences. Companies that are resilient and forward-looking tend to invest in innovation, diversify their offerings, and remain responsive to market signals. Preventive strategies include continuous market research, fostering a culture of innovation, adopting flexible business models, and leveraging technology to enhance customer experiences. Additionally, diversification of product lines can reduce dependency on a single revenue stream, minimizing the impact of demand fluctuations.

In conclusion, the decline of popular products can be attributed to technological disruptions, shifts in consumer preferences, and failure to innovate. The cases of traditional print newspapers, Kodak, and DVD rental services serve as lessons for product managers. Proactively monitoring market trends, embracing innovation, and maintaining flexibility are essential strategies to preserve a product’s relevance and ensure sustained success in a competitive landscape.

References

• Anderson, J., & Salas, R. (2019). The decline of print newspapers: Trends and implications. Journal of Media Studies, 45(2), 127-139.
• Huang, Y., & Chang, T. (2020). The rise of streaming services and the fall of DVD rentals. International Journal of Business and Technology, 12(1), 55-68.
• Lucas, J., & Goh, D. (2021). Kodak’s digital transition and failure: An analysis. Journal of Marketing History, 34(3), 210-224.