Home Learning The Diffusion of Innovation | Product Adoption | Decision-Making & Influencing Factors

The Diffusion of Innovation | Product Adoption | Decision-Making & Influencing Factors

The process of diffusion begins as soon as early adopters influence their reference group members as well as other associates. For that reason, it is realistic to look at adoption as the initial step in the diffusion process.

The Diffusion of Innovation: Product Adoption Decision-Making Process & Influencing Factors diffusion The Diffusion of Innovation | Product Adoption | Decision-Making & Influencing Factors The Diffusion of Innovation Product Adoption Decision Making Process and Influencing Factors
The Diffusion of Innovation: Product Adoption Decision-Making Process & Influencing Factors

The diffusion practice is the method in which innovations spread over period to other prospective buyers through communication all over a market. Diffusion study tracks the penetration and acceptance of an innovation throughout its life cycle.

Product Diffusion Curve: Concept, Model & Determined Factors

Product Adoption Decision-Making

The process of diffusion begins as soon as early adopters influence their reference group members as well as other associates. For that reason, it is realistic to look at adoption as the initial step in the diffusion process.

The adoption process is fundamentally a phrase used to illustrate extended decision-making by consumers when a brand new product or service is involved. Excessive involvement in product or purchase situation is most likely for discontinuous innovations. As an example, the decision to have laser eye surgery will most likely be described as a high-involvement decision.

The majority of constant innovations most likely result in limited decision-making. In situation of low-cost, low-risk innovations, consumers’ involvement levels will tend to be modest.

Definition, Concept & Justification of marketing ?
marketing Plan: Key Elements & Action Plan
Marketing Plan: A Clear Structure/ Criteria/ Outline

Factors Influencing The Diffusion of Innovation

The possibilities of a product’s adoption and succeeding diffusion tend to be primarily determined by its nature.

Accounting & Finance

Entrepreneurship

Human Resources

Leadership

Operations

Strategy

The rate at which the diffusion of an innovation occurs is usually a function of the following factors:

  • Category of Target Group: The preferred niche for the new product is a key factor in having an influence on the rate of diffusion. A certain amount of groups tend to be more prepared to settle for change than others. For the most part, prosperous,  and highly qualified groups have a tendency to make an attempt to accept new products easily.
  • Amount of people Engaged in Decision- making: This describes whether or not the final decision is made by an individual or a team. In case fewer individuals are associated with making the purchase decision, the innovation is probably going to spread a lot quicker. In cases where a number of people are engaged in making the purchase decision, the diffusion will probably be slower compared to innovations in which for the most part influence one individual.
  • Scope of Marketing Focus Engaged: The diffusion connected with innovation is rather substantially affected by the level of marketing initiatives carried out. Regardless of how fantastic an innovation, except in cases where a satisfactory amount of quantities are well informed and persuaded of what it can actually do for them, the diffusion would prove to be negatively influenced. As a result, the rate of diffusion is considered to be not fully in the vicinity of the control of the marketing experts.
  • Need fulfilment and Compatibility: This describes the level in which the innovation is reliable with the individual’s as well as group’s needs, thought patterns and  values. The greater its reliability, the quicker its diffusion.
  • Comparable Advantages: If consumers believe an innovation as more suitable in satisfying their  need compared to current ones, the diffusion is often more rapid. While checking out the relative product benefits, consumers look at the cost along with the overall performance. In order to end up being successful, an innovation ought to possess  the overall performance and also the cost edge over established alternative options. As an example, most recent editions of computer processor chips possess performance edge over previous versions and for this reason their diffusion has been rapid.
  • Complexness: In cases where an innovation is diffusion to comprehend and in addition hard to use, its diffusion would be slower. Product ease-of-use and convenience are essential elements in accelerating the course of action of diffusion. Personal computer makers, such as Apple, Sony and Dell, have made an effort to get over the preliminary complexity of using personal computers simply by interacting with consumers that experts claim their personal computers are user-friendly.
  • Triability and Observability: This signifies the convenience with which consumers can look at the favourable benefits of adopting an innovation. The diffusion is often more fast in case the positive benefits are easily visible. Products, including  electronic products,  fashion products, automobiles and so on are highly visible.
 Marketing Mix: Background, Definition & Objectives of 4 P’s
The Marketing Mix: 4 P’s Policy
The Life Stages Of A Product:  Concept, Features, Phases & Choices
Product Life Cycle Extension Strategies
Product Diffusion Curve: Concept, Model & Determined Factors
The Diffusion of Innovation: Product Adoption Decision-Making Process & Influencing Factors
Market segmentation: Overview & Key Elements
Market Segmentation: Consumer & Business Markets
Segmentation, Targeting and Positioning (STP): Definitions, Nature & Stages