Paper
Diffusion of new products: empirical generalizations and managerial uses
Mahajan, V., Muller, E., Bass, F.M. (1995)
Marketing Science; vol 14; Issue 3; part 2 of 2
The diffusion model developed by Bass (1969) constitutes an empirical generalization. It represents a pattern or regularity that has been shown to repeat over many new products and services in many countries and over a variety circumstances. Numerous and various applications of the model have lead to further generalizations. Modifications and extensions of the model have lead to further generalizations. In addition to the empirical generalizations that stem from the model, we discuss here some of the managerial applications of the model.
Summarises research into coefficients p and q in Bass’ model and gives average, min and max observed values.
Takes Rogers’ standard decision based adopter categories and reapplied with this model and practice. Percentages are remarkably close, but there are differences. Especially in innovators: 0.2-2.8% compared to Rogers fixed 2.5%. And in early adopters: 9.5-20% compared to Rogers 13.5%.
For multi generation model, it is going that values of p and q rarely change over generations.