ADOPTION PROCESS:

This website has discussed consumer innovators numerous times, due to their
importance in generating product adoption and kick-starting the introduction
phase of the product life cycle. While innovators are the initial type of consumer,
there are other consumer mindsets that are typically discussed in marketing
textbooks.

The standard consumer adoption categories include:

 Innovators
 Early adopters
 Early majority
 Late majority
 Laggards

Typically these are presented using a standard bell curve concept. Innovators,
early adopters and the early majority represent the first 50% of consumers to
adopt a new product, whereas the late majority laggards represent the final 50%.
Obviously, keep in mind that not all consumers will adopt the product. For
example, not everybody has a smart phone, although they are widely utilized in
many markets and countries.

This classification of consumers relates to their willingness to take risks and to

switch purchase behaviors relative to particular product categories. For example,
a consumer may be an innovator or early adopter of technology products, but
perhaps be in the late majority for household furniture. Therefore, these
categories are relevant to particular products, not necessarily the consumer
themselves – but obviously some people are more risk takers whereas others are
more conservative, so there would be some correlation of behaviors across related
product categories.

INNOVATORS

Keep in mind that these adopter categories primarily relate to a mindset, as well
as the consumer’s lifestyle and product interest level. Consumers who are
classified as innovators are less reliant upon the word of mouthpersuasion of
others. They are generally more adventurous and more willing to take risks.
Relative to the particular the product category, they would tend to have a higher
level of knowledge, confidence and interest in the product.

EARLY ADOPTERS

Early adopters also have some of the similar characteristics to innovators.

However, they are more reliant upon word-of-mouth and the reassurance of other
people’s purchase – which helps reduce their purchase risk. This means that they
would be somewhat influenced by the innovator (who has already made a
purchase). They will also conduct their own research in addition to word-of-
mouth discussion, and also like innovator, they will have a high level of interest
in the product category.

Opinion leaders – those consumers viewed as experts by other consumers – are

typically found among early adopters, as they tend to have better social networks
and connections than innovators (as innovators tend to make their purchase
decisions irrespective of others).

Therefore, early adopters, as opinion leaders, are a foundation to gaining

widespread adoption of the new product. Usually the shift of the product life cycle
from the introduction to the growth phase is driven by the transition from
purchases by innovators to purchases by the early adopters.

Innovators and early adopters account for 16% of all consumers. As early
adopters make their initial and then their repeat purchases, there is a significant
impact on broad word-of-mouth (including face-to-face and digital/Internet),
which provides a broader reach to the balance of the population. At this point,
there is a compounding effect of word-of-mouth, and the growth phase of the
PLC ramps up essentially, creating that roller coaster look of the PLC chart.

E A R L Y M A J O RI T Y

Early adopters then substantially influence the early majority – which essentially
moves the new product to the mainstream consumer. The early majority relies
heavily upon positive word-of-mouth, as they tend to be more cautious
purchasers and will look to rely upon social influence to help “justify” their
decision – both for the product itself and for the particular brand selected.

Therefore, at this stage of the market’s development, we have a shift towards

market share stabilization as the word-of-mouth impact is now
suggesting/recommending certain brand preferences for this particular new
product category.

LATE MAJORITY

The late majority are those consumers that are generally reluctant to change their
purchase behaviors, but tend to do so if they feel that they are out of step with
what everybody else is doing (that is, outside social norms). It is not until they
see the product widespread – in retailers and in people’s homes/possession – that
they eventually decide to start buying the product.

Typically, the late majority will support the purchases in the decline phase of an
alternative/substitute product life cycle, while providing the final growth in the
late stage of the growth phase of the PLC. Because of this behavior, some of these
consumers are “forced” to adopt the new product, as the existing product
solutions are being withdrawn from the market (as it is in the decline stage of the
PLC).

LAGGARDS

Final mindset is laggards – which are consumers that may not even adopt the
product at all. They are very conservative in their actions (or are quite elderly
people) who prefer not to change purchase behavior. For example, some of these
consumers may still have a VCR/video player that they have maintained for many
years.

Connecting the Product Adoption Process and the PLC

There is a strong relationship between the product adoption process and the
product life cycle. Both consider new to the world products – the
product adoption process considers the “stage” that the consumer is in relative to
the product – whereas the product life cycle model will track sales (and indicate
distinct market conditions), depending upon the particular PLC stage.

Sales do not occur in the product adoption process until trials occur. This would,
in the initial stages, connect directly to the introduction stage of the product life
cycle. In this stage, firms are primarily depended upon consumers known
as innovators. Innovators of those consumers who purchase products based upon
their own thoughts and research and are less dependent upon word-of-mouth and
related people pressure.

In the trial phase of the product adoption process, sales will tend to be quite
limited, as there are less consumers and they are usually buying in smaller
quantities initially – as it is often just a trial/test for them to assist in a more formal
product evaluation.

As more consumers shift into the adoption phase itself, the market will shift into
the growth phase of the PLC. This occurs because you have a base of core
customers who are repeat buyers, plus you have the added benefit of growing
word-of-mouth which is compounding progressively as more and more
consumers have direct experience with the product.

Please keep in mind that not all products will shift through the product adoption
process and there are many new products and inventors in the market, with most
products failing to gain traction.

From a marketing strategy perspective, there needs to be a recognition of this

process and the steps that the brand needs to leave the market through in order to
achieve long-term success.

Therefore, in the early part of a new product launch, simple awareness measures
(media, PR, advertising, bloggers, influences, and so on) are critical. In terms of
generating interest in evaluation, it is important to highlight the competitive
advantages of the new product, particularly relative to the existing product
offering (that is, substitute/alternative products).
The firm really needs to progress to trial as soon as possible. For low
involvement/low-cost products, this could be as simple as free samples and
substantial upfront discounting. However, for more involved purchases, strong
retailer relationships may be necessary to provide the facility for firms to access
and engage with the product.