1. INNOVATION DIFFUSION
Rogers Five Factors
By- Group 11
Business Innovation & Growth

2. INTRODUCTION
 Categorization of innovators
 There is a smooth transition between the groups

3.  The better understanding of the factors can result in
o Better anticipate the likelihood to accept and
innovation
o Proactively develop a new product so as to increase
the likelihood of adoption
o Tailor one’s marketing strategy to leverage those
factors on which innovation does well and overcome
them

4. ROGERS’ FIVE FACTORS
 According to many technologists innovations sell
themselves.
 The five factors given by rogers in 1960s, these largely
governed the rate of diffusion
 Relative Advantage
 Compatibility
 Complexity
 Trialability
 Observability

5. RELATIVE ADVANTAGE
 The degree to which an innovation is perceived as
better than the idea precedes(Rogers 1995).
 Mostly is viewed as an economic benefit of an
innovation to thee alternative it seeks to replace.
 Regardless the economic benefit, as the relative
advantage of the innovation increases, the rate of
adoption should also increase.

6. COMPATIBILITY
 An innovation is perceived as consistent in existing
values and experiences of the potential
adopter(rogers 1955)
 This could be with the existent ideas, values and
beliefs, or with one’s needs.
 In spite of exceptions, it is generally accepted that
the compatibility of an innovation with existing
concepts, habits, and experience increases, the
rate adoption also increases

7. COMPLEXITY
 An innovation is perceived as relatively difficult to
understand and use.
 According to the relationship between complexity
and adoption, as the complexity of an innovation in
creases, the rate of adoption decreases.

8. TRIALABILITY
 An innovation may be experimented with on a
limited basis
 Also, as the trialability of an innovation increases,
the rate of adoption increases.

9. OBSERVABILITY
 The results of the innovation are visible to others
 As a result the more visible or observable the
usage and outcome of an innovation, the greater
the rate of adoption

10. PRODUCT BASED AND PEOPLE BASED
APPROACH TO UNDERSTANDING
DIFFUSION
 In reality, both the approached offer valuable tools
for managing the diffusion of any innovation.
 By following Rogers’ five factors a manager can
better understand and possible enhance the
product itself.