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Diffusion of InnovationsNPD in PerspectiveSlide 3Slide 4Slide 5Slide 6Slide 7Slide 8Slide 9Slide 10Slide 11Part II: Strategic Issues for NPDThe Pioneering AdvantageSlide 14Slide 15Diffusion of Innovations January 23, 2007NPD in PerspectiveDiffusion of InnovationsRogers (1962, 1983, 1995)NPD in PerspectiveDiffusion of InnovationsRogers (1962, 1983, 1995): Product Factors Influencing Diffusion Speed:Relative Advantage (+)Compatibility (+)Complexity (-)Trialability (+)Observability (+)Risk (Ostlund) (-)NPD in PerspectiveDiffusion of InnovationsRogers (1962, 1983, 1995)People Factors Influencing Diffusion Speed:Crossing the Chasm by Geoffrey MooreNPD in PerspectiveDiffusion of InnovationsRogers (1962, 1983, 1995) Bass (1969)NPD in PerspectiveDiffusion of InnovationsRogers (1962, 1983, 1995) Bass (1969):The Model:P(T) = p + (q/m) Y(T)An Example of the Bass Model: Corn Adoption by Iowa FarmersNPD in PerspectiveAre all new products the same?Continuity Continuum (Robertson ‘71)Commonly accepted categories:New-to-the-WorldNew Category Entries (New Lines for Co.)Additions to Product LinesProduct ImprovementsCost ReductionsRepositioningsNPD in PerspectiveNPD in PerspectiveNew-to-the-world (“Really New”)1. Personal Computer 14. Touch-Tone Phone2. Microwave Oven 15. Laser Surgery3. Photocopier 16. Computer Disk Drive4. Pocket Calculator 17. Organ Transplanting5. Fax Machine 18. Fiber-Optic Systems6. Birth Control Pill 19. Disposable Diaper7. Home VCR 20. MS-DOS8. Communication Satellite 21. MRIs9. Bar Coding 22. Gene-Splicing10. Integrated Circuit 23. Microsurgery11. ATM 24. Camcorder12. Answering Machine 25. Home Smoke Alarm13. Velcro Fastener ** Source: R&D Magazine 1992Part II: Strategic Issues for NPDThe Pioneering Advantage: Myth or Reality?The Pioneering AdvantageReasons Why It Should ExistConsumer-Based ReasonsProducer-Based ReasonsThe Pioneering AdvantageReasons Why It Should NOT ExistThe Pioneering AdvantageMyth or


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CU-Boulder MKTG 4250 - Diffusion of Innovations

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