INNOVATION DIFFUSIONRogers Five Factors

By- Group 11

Business Innovation & Growth

INTRODUCTION

Categorization of innovators

There is a smooth transition between the

groups

The better understanding of the factors can result

in

o Better anticipate the likelihood to accept and

innovation

o Proactively develop a new product so as to

increase the likelihood of adoption

o Tailor one’s marketing strategy to leverage

those factors on which innovation does well and

overcome them

ROGERS’ FIVE FACTORS

According to many technologists innovations sell

themselves.

The five factors given by rogers in 1960s, these

largely governed the rate of diffusion

Relative Advantage

Compatibility

Complexity

Trialability

Observability

RELATIVE ADVANTAGE

The degree to which an innovation is perceived

as better than the idea precedes(Rogers 1995).

Mostly is viewed as an economic benefit of an

innovation to thee alternative it seeks to replace.

Regardless the economic benefit, as the relative

advantage of the innovation increases, the rate

of adoption should also increase.

COMPATIBILITY

An innovation is perceived as consistent in

existing values and experiences of the

potential adopter(rogers 1955)

This could be with the existent ideas, values

and beliefs, or with one’s needs.

In spite of exceptions, it is generally

accepted that the compatibility of an

innovation with existing concepts, habits,

and experience increases, the rate adoption

also increases

COMPLEXITY

An innovation is perceived as relatively

difficult to understand and use.

According to the relationship between

complexity and adoption, as the complexity

of an innovation in creases, the rate of

adoption decreases.

TRIALABILITY

An innovation may be experimented with on

a limited basis

Also, as the trialability of an innovation

increases, the rate of adoption increases.

OBSERVABILITY

The results of the innovation are visible to

others

As a result the more visible or observable the

usage and outcome of an innovation, the

greater the rate of adoption

PRODUCT BASED AND PEOPLE BASED APPROACH TO UNDERSTANDING DIFFUSION

In reality, both the approached offer valuable

tools for managing the diffusion of any

innovation.

By following Rogers’ five factors a manager

can better understand and possible enhance

the product itself.