The revenue generated from a Cash Cow can be invested in Stars or Question Marks. The desired strategy here is to invest as little as possible and still maintain the market position. These products are already profitable with little growth potential in the market. The ‘Cash Cows’ are a product group with a high market share and a market with hardly any growth. The Apple Smartwatch is an example of a product where Apple has a high market share and the smartwatch market is experiencing strong growth. These products are profitable and it is worthwhile to continue investing in this product group so that they at least maintain their market share and perhaps even continue to grow. The ‘Stars’ are a product group with a high market share and a fast growing market. High market share and high market growth. This is because large companies already have strong differentiation combined with large market budgets. If you introduce a new smartwatch to the market, it will be difficult to gain ground, despite the fact that the market is growing rapidly. It is therefore possible to build a ‘Question Mark’ into a ‘Star’. MUST-READ 📚 → Conversion Rate Optimization (CRO): Ultimate Guide
