top of page
Cannibalization
Takes place when a new product gains a portion of its sales at the expense of an existing product sold by the same company.
Implications
The negative impact on a company�s existing products when a new product is introduced, leading to reduced sales of the existing product as customers switch to the new offering.
Example
Example: Apple experienced product cannibalization when the iPad Mini sales impacted the sales of its larger iPad models, as customers opted for the smaller version.
Related Terms
Different from market expansion, where new products attract new customers, cannibalization involves shifting existing customers from one product to another.
Get INSTANT comprehensive market research of any industry
Chat with AII Consultant Now!
bottom of page