What year did you get your first smartphone? Your answer likely reveals what sort of innovation adopter you are.
I got mine in 2014, setting me solidly in the “late majority” camp of adopters. But I did indeed adopt the new technology — along with 60% of the world’s population — and I would never go back to a “dumb” phone (although I dearly loved my slide phone in high school).
The rise and spread of the smartphone is a poignant example of E.M. Rogers’ theory of the Diffusion of Innovation. According to this theory, a product‘s success is determined by its acceptance by society or a social group, and that such acceptance follows a predictable pattern. First, a few people buy your product, then a few more, and then one day you’re a household name in your industry.
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In this post, I‘ll explain the components of this theory and the different types of consumers who influence your product’s popularity, as well as how you can apply this theory to your own business.
Table of Contents
- Rogers' Diffusion of Innovation Theory
- Diffusion of Innovation Theory Components
- Diffusion of Innovation Examples
- Implementing the Diffusion of Innovation Theory
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Rogers' Diffusion of Innovation Theory
The Diffusion of Innovation Theory was developed and published by E.M. Rogers in 1962. The theory explains that an idea or product gradually gains traction and diffuses throughout a population or social system. Slowly, the idea is adopted, and people start buying or using it more in their lives.
A population-wide change isn‘t something that happens overnight. It certainly doesn’t affect every member of the population at once. Some individuals will adopt it earlier, others will adopt it later on. This is where the Diffusion of Innovation Theory comes in handy.
Early adopters demonstrate different characteristics than people who adopt later. In fact, five main adopter types can influence your product's launch. Understanding each one and how they behave can help your product team create innovative and successful products.
“Rogers‘ Diffusion of Innovation Theory is more than just an academic concept; it’s a practical tool for strategizing business growth,” says David Alpert, a strategy and transformation consultant. “By understanding and engaging with each adopter segment, businesses can accelerate and smoothen the adoption process, ensuring that new innovations achieve their market potential.”
I’ll break down the adopter types in the section below.
Diffusion of Innovation Theory Components
The Diffusion of Innovation Theory identifies five types of people by how they respond to new technologies, information, ideas, or behaviors:
- Innovators.
- Early adopters.
- Early majority.
- Late majority.
- Laggards.
It also outlines five adoption factors that are relevant to everyone when considering whether or not to adopt something new, regardless of their adopter type.
I believe understanding the components of this theory will help your product team understand its target audience and create products based on the needs of its users. It will also help your sales and marketing teams create the right type of content to reach each segment at the right time.
5 Types of Adopters
1. Innovators
These 2.5% of people are known for being adventurous and curious risk-takers. They love trying something new, are fascinated by technology, and often come up with new ideas of their own. Innovators enjoy the idea of leading a new movement and don't require much convincing to test out something novel.
Pro tip: Since innovators merely need to hear about a new idea to give it a try, I recommend finding volunteers who are up for participating in research and early releases. Alpert recommends, “Engage with this group through cutting-edge technology and exclusive launches. They are key to initial product feedback.”
2. Early Adopters
Making up 13.5% of the population, these people are opinion leaders who make calculated, thoughtful decisions but believe in the need for innovation. They're visionaries and strong leaders who are held in high regard by their peers.
Early adopters need basic information about the product, like an informational guide. They are great for customer interviews as they'll provide detailed feedback on your products.
Pro tip: Leverage influencers to replicate and magnify the role of early adopters, spreading your product to their social media followers. By giving influencers new products to try out and share about honestly, they can spread the information more quickly than traditional means.
3. Early Majority
These people aren‘t trendsetters, but they do adopt products and ideas before the majority. They’re more practical than innovators and early adopters, making up 34%. Before buying, they require proof that the product works and will enhance some aspect of their lives.
The early majority is likely to adopt a product if it‘s referred by a trusted reference, falls within their budget, and isn’t too risky.
Pro tip: These types of customers will be most convinced by social proof, either through word-of-mouth recommendations or reviews from real users. Encourage your early adopters to share their experience with your product on social media, review sites, or direct feedback to your company that you can publish on your website.
4. Late Majority
Another 34% of the population, these people are more conservative when it comes to product adoption. They‘re very wary of change and will only accept a new idea if it’s been used and reviewed by the rest of the population.
They're very cautious of technology and typically will only invest in something new out of necessity. However, with enough proof and peer review, the late majority will eventually adopt it.
Pro tip: In addition to peer reviews, I suggest providing the late majority with helpful content, such as case studies and comparative surveys, to persuade them of the value you offer.
5. Laggards
These people are the most skeptical individuals in a population. Extremely fearful of change, this 16% of people don't see a need to embrace new ideas when things already are working well.
Typically, they believe technology is more harmful than helpful, so laggards will only succumb to adoption if they decide every pre-existing alternative is worse than the innovation. They require a detailed explanation outlining the imminent need for the product.
Pro tip: You can meet this segment of your audience by revealing pain points they might not yet be aware of (because they are comfortable with things as they are) and educating them on the benefits your product or service can provide them.
Takeaway: When you‘re releasing a new product, you must cater to the needs of the five adopter types. You shouldn’t — and, frankly, cannot — try to speed up any group's timeline for adoption. Rather, I recommend you understand the different strategies that are required to persuade each group.
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5 Adoption Factors
In addition to identifying the types of adopters, I’ll share the five adoption factors that influence buying decisions, regardless of the customer's adopter type.
1. Compatibility
This refers to whether your idea is consistent with the needs, values, and beliefs of your target audience. The closer your product aligns with the customer's needs, the more likely they'll be to adopt it.
Pro tip: Conduct market research to see if your innovation will meet a real need and what options are currently out there.
2. Observability
This describes how often your product provides positive results. If your product only has good reviews, customers will be more willing to try it. In fact, studies show that customers are willing to spend 31% more with businesses that have excellent reviews.
Pro tip: If you provide true value with your product or service, you won’t have a problem receiving positive customer reviews. Just be sure you amplify their voices by collecting and posting this positive feedback to persuade more people to buy in.
3. Complexity
Complexity refers to how difficult it is to use your product. According to a Forrester study, customers believe the most important thing a company can do is value their time. If learning your product takes too long, your target audience is going to be dissuaded.
Pro tip: Be sure to provide educational tools for your customers, such as a knowledge base, a course, a user guide, and customer support.
4. Relative Advantage
Relative advantage measures whether your product is better than its competitors. This is where a comparative survey can reveal if your product beats your competition. A comparative survey asks customers to try two or more products, then decide which one they like best and why.
Pro tip: Prominently display study results that reveal the relative benefits of your offering over competitors and promote your unique selling proposition. This is especially crucial in the decision stage of the buyer’s journey.
5. Trialability
This is the length of time that your target audience is given before making an adoption decision. If there's too little time, the customer may feel rushed. However, if they spend too much time, they may have second thoughts about their purchase.
Pro tip: Find the sweet spot in your sales funnel that allows perspectives enough time to feel well-informed about their purchase decision without letting them wander too far away from you.
Diffusion of Innovation Examples
So, how can Rogers’ theory make a difference to your business? Let’s see the theory in action and how businesses can apply it in multiple areas.
Product Development
If you want to take advantage of the adoption factors, you must acquire a deep understanding of your target audience. You need to know the population's values, beliefs, ideas, and perceived needs. I suggest you ask yourself, “How does my innovation specifically address and solve an issue, and how can I make that clear to my customers?”
By knowing who your audience is, you’ll be able to (a) make a product that meets their needs and (b) smooth the path for adoption by anticipating what they need in terms of compatibility, observability, complexity, relative advantage, and trialability.
Product Roll-out
Instead of launching a product out to everyone all at one, you can apply the principle of the diffusion theory and release it strategically to different segments of your audience.
Alpert advises, “Tailor your launch strategy to first capture Innovators and Early Adopters, using their enthusiasm and feedback to refine your offering. This creates momentum that can carry your product into the broader Early and Late Majority, smoothing out potential hurdles in widespread adoption.”
With this approach, I think you accomplish two things: You’ll sell more of your product immediately to those who are interested and enjoy trying new things. Then, you’ll capitalize on their use and enthusiasm to create natural momentum to spread to the other segments.
If you want to find more ways to ensure product success, check out our guide to improving customer acquisition.
Marketing
The Diffusion of Innovation Theory can also be applied to marketing. Deven Vikram Singh, a digital marketer, highlights some key takeaways for marketers who want to apply the insights of the theory to their strategy:
- Segmentation is key. Recognizing the adopter categories helps tailor marketing strategies for maximum impact.
- Timing is everything. Understanding the psychology behind adoption informs when and how to introduce innovations to each group.
- Societal impact matters. The theory provides a lens through which we can understand societal shifts and the acceptance of change.
I think marketing campaigns that take Rogers’ insights into account can be more effective in reaching your audience segments in the right way and at the right time.
Product Improvement
If you’re in the software business, you can tap into your users to improve your offering by asking for their feedback and inviting them to participate in trials. By leveraging the enthusiasm of innovators and early adopters, you gain valuable insight from them to improve your product while also increasing the likelihood that they’ll be brand advocates.
But remember, product improvement entails having the big picture in mind. Bhuvnesh Pratap Malla, creative solutions consultant, advises, “Brands should approach their strategy like a marathon rather than a sprint. While a sprint can be effective for short-term sales, a marathon mindset prioritizes sustainable growth and long-term success.”
Implementing the Diffusion of Innovation Theory
The Diffusion of Innovation Theory has taught me that part of the process is in our hands — and the other part is in the hands of consumers.
As an innovator, you have to initiate the “diffusion” process by introducing a new idea or product, ensuring that it meets people’s needs or wants through compatibility, observability, complexity, relative advantage, and trialability. But, the ripple effect will continue on its own, naturally spreading to more and more users, determined by the type of adopters people naturally are.
I’ve also learned that you can’t force anyone to buy sooner than they want, but you can meet them where they're at and provide the reviews, educational materials, and demos they need to be convinced.
Editor's note: This article was originally published in July 2019 and has since been updated for comprehensiveness.
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