I read the blog post by my teammate Konrad called “Despite Decline, LEGO Rebuilds”.
He brings up the fact that how a single company can keep increase sales even their
products are in the decline stage of the industrial product life cycle.
And Lauren discusses in more details on how does LEGO turn the trend in toys industry in
“Light on Lego”. Due to my interest in the topic, I did research,
and found out the commons of most of the companies who are
successfully turn their sale up during a decline product life cycle.
On one hand, differentiating the core benefit of the product can prevent being
substituted by new technology. LEGO is a great example. They claim that Lego
is different from traditional toys, which you can change it into new toy everyday.
What’s more, it is also different from the online games, which you can enjoy the
actual physical experiences by doing it yourself. And probably that why on the
top ten list of “reasons for loving LEGO”, “it makes adults feel like a child again”
ranked number 3.
On the other hand, LEGO was able to adapt their product to new technology.
They wildly visualize the fun of playing with LEGO through video on their website
and commercials. Moreover, LEGO launched new product line and developed
app and video games for kids. Thus, they can play with LEGO in every kind of forms.
