Have you ever thought why in 1960s people were not accepting Government jobs and were more biased towards farming? Why fewer people were investing in marketing in the 2000s than nowadays. Why adopting new technologies take time? Why did Nokia fail? All these incidents follow a standard model, the adoption curve. Let’s understand about adoption curve and how network marketing is following it.
If you always do what you have always done,
You’ll always get what you have always got.
– Henry Ford
What is the adoption curve?
Adoption curve is a theory which explains the acceptance of a new industry or innovation, the adoption of a new product or a technology.
Adoption curve follows a bell-shaped curve viz. bell curve. The curve shows the adoption of new ideas, innovation or industry by society through five stages.
Innovators prefer to take risks and have a strong desire to be the first person to start with new ideas, innovation and industry. To cope with the risks of failures, they generally have higher income and more financial liquidity. Innovators have high social impact and have contacts with resources and other innovators who help each other in a new venture. The innovators happily face the occasional setbacks when new ideas fail. Innovators are only 2.5% of the population.
2. Early Adopters
Early adopters are the visionaries who consists of 13.5% of the population. They are young, educated and tend to be more community leader. Early adopters are also risk takers and they are called the shakers and movers because of their influence over the community. They provide advice and information sought by other adopters about an innovation.
3. Early Majority
Individuals in this category take slightly longer in the adoption, but the percentage is higher than early innovators and early adopters. They are the curious individuals who weigh the pros and cons. They are cautious with their time and money before investing in the product. Early majorities are open-minded and they listen to opinions of early adopters instead of forming them. These individuals are not afraid of risk or change but don’t go out there searching for it either.
4. Late Majority
The fourth category is the late majority who consist of 34%. Late majorities embrace the change after seeing the majority of people adopted to the innovation. They got influenced by the education system because by this time those innovations are included in education. These individuals avoid the change as long as they can. Individuals in this group are mostly close-minded, and they form a perception without understanding the product or innovation. Typically, they are only convinced by trusted family and friends.
They consist of a total of 34%. Laggards are the ones who started using feature phones because rotary phones are no longer available. Laggards are the ones who are stuck to traditions and the last to adopt an innovation. These group of individuals don’t think big and are very satisfied with their lives. They adopt the change when it becomes obsolete. They invest in the change to face loss. They are not only close-minded but also are of suspicious nature. They are suspicious not only of innovations but of innovators and adopters.
Which one are you? Let us know in the comments section.
Let’s see how the Network Marketing industry in India is following the adoption curve.
Though there is no documented history of the origin of MLM in the world and in India. It is believed that MLM was started by Amway in the 1950s. More than 100 million people are involved in Network Marketing business worldwide. And every year 600K people are getting associated worldwide.
In India, Network Marketing was originated in the 1980s. More than 10 million people chosen Network Marketing as a passive income source for them and it is increasing rapidly now.
MLM took almost 30 years to enter the early majority stage in India. So what took so long?
Network Marketing industry was the dangling industry between the legality and illegality till 2016. On 9th September 2016, the Indian Government issued the guidelines to regulate the MLM companies in India. As per the report released by KPMG and FICCI, the growth of network marketing in India will reach 64,500 crores (645 billion) INR by 2025.
If you closely analyze this data, you will understand that the MLM industry is at early majority stage in India. And by 2025, most of the early majorities individuals will get associated. Also, direct selling(network marketing) is introduced in many prestigious universities like Delhi University. So, it will take no time when this industry will reach on the stage of late majorities.
Still, it’s not too late to join with the early majority and claim a major stake from the whooping pool of 645 billion INR. Are you still confused about choosing Network Marketing as a passive income source for you? If yes, have a quick read of Why Network Marketing is a good second source of income.
Your life doesn’t get better by chance,
It gets better by the change.
– Jim Rohn
- Adoption curve is a theory which explains the acceptance of a new industry or innovation, the adoption of a new product or a technology.
- There are five stages – Innovators(2.5%), Early Adopters(13.5%), Early Majorities(34%), Late Majorities(34%) and Laggards(16%).
- Don’t fear the change, embrace it. Try to become the innovators or the early adopters. Always be open-minded, don’t make perceptions before analyzing the data.
- Network marketing is at the stage of early majorities in India, which will grow to a whopping 645 billion INR industry by 2025. If you are not associated with any Network Marketing company, go through the guide of choosing the best MLM company
Let us know your thoughts in the comments section below. If you loved the post, please like, share and subscribe.