Potential adopter domain dependent innovation diffusion models

Abstract

In today's fast-paced and competitive marketplace, companies need to differentiate themselves from their rivals. Market segmentation is a crucial practice that enables businesses to identify and target specific customer groups with tailored strategies. Since the potential adopter population is non homogeneous therefore the product is promoted through the different modes. Once the various segments of potential adopters and the Medias to use for promoting the product are identified, a promotional campaign is launched to generate awareness amongst them. The set of segments of potential adopters influenced by the media schedules is called “Potential Adopters Domain”. The isolated domain of potential adopters spreads with increasing the number of media schedules which gradually spreads in the entire population. In this paper, authors have proposed innovation diffusion models based upon this time dependent growth behavior of the isolated potential adopter-domain of the adopter population. The proposed models have been validated on ACER PC and i-Phone sales data sets and their inferences are quite promising.