idw benefits to dynamic product life cycle; dirk heartman, epicor

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IDW Benefits to Dynamic Product Life Cycle

Dirk Heartman Tom Brown


Product Life Cycle (PLC) Overview 1.  What? PLC Stages 2.  Why? Sales & profit impact 3.  Trends & Examples 4.  How? IDW

•  Instant updates •  Accelerate introducOons •  Extend peaks •  Pull products via eStores •  IDW fields: Status code, etc. •  How and why?


•  Concepts apply to electrical industry •  Examples used from familiar non-‐electrical products •  Reason 1—Protect sensiOve informaOon •  Reason 2– Everyone can understand it

Disclaimer


PLC Stages


PLC: Why? Sales and profits impact

•  CompeOtors •  Taller, faster peaks •  Shorter unprofitable declines •  Replacement products •  Right product at right Ome


Extending Peak


•  More PLC opOons •  From mass producOon to flexible mfr. •  Growing eStore sales & a[ributes •  eCommerce product updates criOcal!

Trends


Apple PLC-‐Taller Peak & Faster Sony Walkman

•  10 year to peak •  Never reached 30M units/year

Apple Products •  iPod—5 years to 30M units/year •  iPhone-‐4 years to 30M units/year •  iPad—2 years to 30M units/year

Palm—Smart Phone launched too late


Apple PLC-‐Closer Look PLC Strategy •  New release every year •  Price strategy—older is less $ •  Main channel—iPhone 4 to 6 •  Secondary markets (eBay)-‐ all iPhones •  Internet can extend PLCs 1: June 29, 2007, 3G: July 11, 2008 3GS: June 19, 2009 4: June 24, 2010 4S: October 14, 2011 5: September 21, 2012 5C,5S: September 20, 2013 6 Plus: September 19, 2014


eStore Trends


Product Life Cycle (PLC) & IDW 1.  What? PLC Stages 2.  Why? Sales & profit impact 3.  Trends & Examples 4.  How? IDW



•  Main product vs part •  Stock vs non-‐stock •  Pricing strategy •  Part a[ribute

PLC &IDW ConsideraOons


IDW Status Codes & Usages A AcOve Item C Change of UPC or EAN D Delete J Repair/Replacement Part K Non-‐price Maintained Item O Obsolete Item P Planned Obsolescence R Replacement Item for changed UPC or EAN T Item Unavailable U Unlisted W Withdrawn from IDW


IDW Status Codes & Main Products Status Codes on main products

A AcOve Item P Planned Obsolescence O Obsolete Item D Delete

Example: main products vs repair products •  Ford Probe-‐disconOnued 1997 (D) •  PLM on every screw, sparkplug, etc.? •  PLC on main products (Car, engine, etc.)


IDW Status Codes & Repair Parts Status Codes (non-‐main products)

J Repair/Replacement Part K Non-‐price Maintained Item T Item Unavailable

Example •  Old sparkplug xxx & new sparkplug yyy


Stock Indicator •  N Non-‐stock •  Q Quick Ship •  S Shelf Stock

Stock vs Non-‐Stock


•  Increase price on old item (shorten decline stage)

•  Decrease price on old item (Extend PLC)

•  Price Group Codes

PLC &Pricing


Product Life Cycle (PLC) Summary 1.  What? PLC Stages 2.  Why? Sales & profit impact 3.  Trends & Examples 4.  How? IDW


idw benefits to dynamic product life cycle; dirk heartman, epicor

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