FACTORS AFFECTINGCONSUMER ADOPTION PROCESS

INNOVATION DIFFUSION PROCESSSpread of idea from source of invention to ultimate users

STAGES OF ADOPTION• Awareness• Interest• Evaluation• Trial• Adoption

Factors AffectingADOPTION PROCESS

• Personal Influence• Innovation Characteristics• Readiness To Try New Products• Organizations’ Readiness To Adopt Innovations

READINESS TO TRY NEW PRODUCTS

Adopter Groups :5• Innovators (technology enthusiasts)• Early Adopters (opinion leaders-competitive advantage)• Early Majority (pragmatists-adopt proven benefits)• Late Majority (conservatives)• Laggards (resist innovation)

PERSONAL INFLUENCE

Effect one person has on other’s attitude or purchase probability

CHARACTERISTICS OF INNOVATION

• Relative Advantage – Superior to existing products

• Compatibility – Matches values & experiences

• Complexity – Difficult to understand / use

• Divisibility – Trial on limited basis

• Communicability – Observable / describable results

ORGANIZATIONS’ READINESS TO ADOPT INNOVATIION

• Organization’s environment (Community progressiveness & income)

• Organization itself (Size, profits, pressure to change)

• Administrative (Education level, age, sophistication)

Depends on,