consumer behaviour Schiffman_CB10_PPT_14 by ronak
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Transcript of consumer behaviour Schiffman_CB10_PPT_14 by ronak
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8/12/2019 consumer behaviour Schiffman_CB10_PPT_14 by ronak
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Consumers andthe Diffusion of
Innovations
CHAPTERFOURTEEN
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DiffusionProcess
The process by which theacceptance of an
innovation is spread bycommunication to
members of a socialsystem over a period of
time.
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Elements of the Diffusion Process
The Innovation
The Channels of Communication
The Social System
Time
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1. The Innovation Firm-oriented definitions
Product is new to the company Product-oriented definitions
A continuous innovation tends to be a small change.It does not really change the consumers pattern.
A dynamically continuous innovation is somewhatmore disruptive. You continue to do something youhave done before, but there are often changes in yourmethods and style.
Most extreme is a discontinuous innovation , wherethe consumer adapts to an entirely new way of doingsomething.
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The Innovation
Market-oriented definitions--based on how much consumers see and knowabout the new product. It is new from a market-oriented perspective if it has been purchased byvery few people and has only been on the marketfor a short time.
Consumer-oriented definitions Consumer judges it as new
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The InnovationProduct Characteristics
Degree to which consumers consider itsuperior to existing substitutesRelative Advantage
Degree to which consumers feel it is consistent
with their present needs, values, and practicesCompatibility
The degree to which it is difficult to understandor useComplexity
The degree to which it can be tried on a limitedbasisTrialability
The degree to which its benefits can beobserved, imagined, or describedObservability
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2. Channels of Communication
Channels of communication Marketer to consumer Consumer to consumer Influential impersonal sources
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3. The Social System
Modern social systems accept more innovationdue to their:
Positive attitude toward change Advanced technology and skilled labor force Respect for education and science Emphasis on rational and ordered social
relationships An outreach perspective where members interact
with outsiders A system where members can see themselves in
different roles
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4. Time
Purchase Time Adopter Categories Rate of Adoption
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Adopter Categories
Category 1 -Innovators
First tobuy themininetbook
Category 2 Early adopters
Will buymininetbookshortlyafter itsintroduction
Category 3 Early Majority
Membersof the 1 st of themassmarketwhowouldpurchasethe mininetbook
Category 4 Late Majority
Secondhalf of themassmarketwhowouldpurchasethematuremininetbook
Category 5 Laggards
Very lasttopurchasethe mininetbook,if at all
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Diffusion Curves for Adopter Categories
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AdoptionProcess
The stages throughwhich an individualconsumer passes in
arriving at a decision totry (or not to try), tocontinue using (or
discontinue using) a new product.
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NAME OF STAGE WHAT HAPPENS DURING THISSTAGE
EXAMPLE
Awareness Consumer is first exposed to theproduct innovation.
Eric sees an ad for a 23-inch thin LCDHDTV in a magazine he is reading.
Interest Consumer is interested in theproduct and searches foradditional information.
Eric reads about the HDTV set on themanufacturers Web site and then goesto an electronics store near hisapartment and has a sales person showhim the unit.
Evaluation Consumer decides whether ornot to believe that this productor service will satisfy the need a kind of mental trial.
After talking to a knowledgeable friend,Eric decides that his TV will fit nicely ontop of the chest in his bedroom. He alsocalls his cable company and finds outthat he can exchange his standardcable box at no cost for an HDTV cable
box.
Stages in Adoption Process
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NAME OF STAGE WHAT HAPPENS DURING THISSTAGE
EXAMPLE
Trial Consumer uses the product ona limited basis
Since the HDTV set cannot be triedlike a small tube of toothpaste, Eric buysthe TV at this local electronics store onhis way home from work. The storeoffers a 14-day full refund policy.
Adoption(Rejection)
If trial is favorable, consumerdecides to use the product on a
full, rather than a limited basis if unfavorable, the consumerdecides to reject it.
Eric loves his new HDTV set and expectsmany year of service from it.
Stages in Adoption Process
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The Consumer Innovator
The earliest purchasers of a new product Tend to have higher level of:
Education Social interaction Opinion leadership
Venturesomeness Social Status
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Comparative Profiles of the Consumer Innovator andNoninnovator
Characteristic Innovator Noninnovator
Social Characteristics
Social integration More Less
Social striving More Less
Group memberships More Less
Demographic Characteristics
Age Younger Older
Income Higher Lower
Education More Less
Occupational status Higher Lower
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Are There GeneralizedConsumer Innovators?
Domain-specific vs. global innovativeness Technology and innovators