Discuss the AIETA model introduced by Everett Rogers in 1962 in his book “Diffusion of innovation”

The biggest nightmare of any advertiser or firm is the introduction of a new product or service and the systematic approach to ensure that the said product or service is accepted by the generality of consumers over the course of time.

Models have been propounded over the years to explain the processes a new service or product is likely to go through before gaining acceptability.

One of the commonly accepted models is the AIETA Model which was propounded by Everett Rogers in in his book “Diffusion of Innovation” in 1962.

According to Everret Rogers, diffusion is the process by which an innovation is communicated through certain channels over time among the members of a social system.  Given that decisions are not authoritative or collective, each member of the social system faces his/her own innovation-decision that follows a 5-step process.

1)      Knowledge – person becomes aware of an innovation and has some idea of how it functions,

2)      Persuasion – person forms a favorable or unfavorable attitude toward the innovation,

3)      Decision – person engages in activities that lead to a choice to adopt or reject the innovation,

4)      Implementation – person puts an innovation into use,

5)      Confirmation – person evaluates the results of an innovation-decision already made.

Modifications have been made to this process of acceptance in subsequent editions of Everret’s books and that of others but the above is widely accepted as standard.

The AIETA Model is an acronym which states that before a new product or service is accepted by consumers it must go through the process below.

A-    Awareness: This is the stage where consumers or potential consumers become aware of the existence of the product or service and how it generally works. Companies often use advertising tools such as teasers, jingles or slogans and pioneering ads to announce the arrival of the new product or service.

I-    Interest: This is the stage where the potential consumer or the consumer starts developing an interest in the product or service after discovering its existence. At this point the consumer has started forming some favourable or unfovourable opinions about the product. It is also at this stage that the decision to accept or reject a product or service begins for the prospective consumer.

E- Evaluation: It is at the evaluation stage that the prospective consumer   compares       and contrast the new product with similar products already on the market. According to Everette Rogers, the innovation-decision is also made through a cost-benefit analysis where the major obstacle is uncertainty.  People will adopt an innovation if they believe that it will, all things considered, enhance their utility.  So they must believe that the innovation may yield some relative advantage to the idea it supersedes.  How can they know for sure that there are benefits?  Also, in consideration of costs, people determine to what degree the innovation would disrupt other functioning facets of their daily life.  Is it compatible with existing habits and values?  Is it hard to use?  The newness and unfamiliarity of an innovation infuse the cost-benefit analysis with a large dose of uncertainty.  It sounds good, but does it work?  Will it break?  If I adopt it, will people think I’m weird?

Since people are on average risk-averse, the uncertainty will often result in a postponement of the decision until further evidence can be gathered.

T- Trail: The T in the AIETA Model propounded by Everette Rogers is the Trial Stage.

At this stage, the individual tries the product to ascertain whether it matches his or her prospects. The individual is also likely to seek more information concerning the product.

The final stage in the diffusion process as propounded by Rogers is Adoption. According to him, at this the individual is able to identify him or herself with the product and therefore adopts or accepts it. Therefore, he or she reaches a decision point to continue using the innovation and the individual may end up using it to its fullest potential.

One criticism which has been raised against the Diffusion of Innovation model which takes into consideration the AIETA model of communication, has been that, communication flow in this model is one-way.

Therefore, the sender of the message has a goal to persuade the receiver, and there is little to no dialogue.

It is therefore important for managers when embarking on a campaign to carefully analyze the campaign message and make possible channels for feedback. This will by far, help managers to evaluate the effectiveness of their campaign and know if the desired attitude or change was achieved.

A- Adoption: This according to Everret Rogers is the last stage the consumer or would be consumer arrives at before finally making a purchasing decision. Based on the trail one may decide to stick to the product or not. That is the consumer may either adopt the product and use it more or forget about it.

      Depending upon the product, these steps in the adoption model can progress rapidly or slowly. For example, you might see a new brand of potato chips and immediately buy a small bag going from step 1 to step 4 in a matter of seconds. For technical and scientific products, the product is normally drawn-out involving weeks, months and even sometime years of investigation and education.

      

      References

Rogers, Everett M. (1962). Diffusion of Innovation Glencoe: Free Press

Rogers, Everett M. (1983). Diffusion of Innovations. New York: Free Press.

Why should a company like Coca Cola continue to advertise?

Why should a company like Coca Cola continue to advertise?

Advertising is defined differently by different authorities and the institutions dealing with the subject of advertising. The American Marketing Association defines advertising as "any paid form of non-personal presentation and promotion of ideas, goods or services by an identified sponsor." This definition suggests the following features of advertising. Firstly, advertisement is paid for by the sponsor/advertiser.

Secondly, advertising is non-personal selling. It is a medium of mass communication for large scale selling. Thirdly, advertising acts as important marketing tool for presentation and promotion of ideas, goods and services. Finally, advertising needs the sponsor of the message known. Advertising will be meaningless if the advertiser is not clearly identified.

The term 'Advertising' originates from the Latin word 'advertere' which means "to turn the mind towards". The dictionary meaning of the term advertising is "to give public notice or to announce publicity". This suggests that advertising acts as a marketing vehicle and is useful for drawing the attention of people towards a specific product/service/manufacturer.

It is easy to assume that once a company has become a household name then it should minimize or stop advertising completely. But a company and brand like Coca Cola has demonstrated that irrespective of how recognizable your brand is, you don’t have to stop advertising.

Coke must keep advertising to remind you why you need to keep on buying their product and not some other beverage.

During World War II when a number of companies could not sell their products to the public because their materials and manufacturing capacity were needed for the war effort, they continued to advertise their brand names to consumers, so when the war ended, people would resume buying those advertised brands.

Studies have also found that companies that continue their previous levels of advertising during economic depressions recover better and grow more when the economy turns back up than companies that cut their advertising.
If people temporarily cannot buy your product, don't stop advertising. If virtually everybody is buying your product at the moment, don't stop advertising.
It is said that is that the single most important part of staying in business is advertising.

Coca Cola is an extremely recognizable company. Popularity is one of its superior strengths that is virtually incomparable.

For a company like coca cola they must keep on advertising because that is by far the most effective way to inform people about different products and services, and help consumers  in making better purchases.

Continuous advertisement is essential for coca cola because it can help in attracting huge number of potential customers and make positive impact about their products and services.

Advertisements create a brand name for the product being promoted. People can recognize the products from the catchy advertisements they see and thus sales are also improved.

Advertising can lead to direct feedback from customers. It has been seen that a lot of opinions are received by advertisers on their product/service, which helps in improving the product/service.

Coca Cola must continue to advertise because it helps in introducing new products. Due to advertising, information about new products is given to the prospects. This creates demand and the manufacturer is able to sell new products along with the existing ones.

Coca cola must continue advertising because it helps them to create new demand. Advertising spreads information and encourages consumers to purchase new products. Such advertising leads to the creation of new demand. Various concessions are offered to consumers in the initial period. This gives positive response from the consumers. Thus, advertising creates new demand from non-users.

Coca cola must continue advertising because it helps to build brand image. Manufacturers introduce branding for making their products popular with distinct personality. The brands are made popular through advertising. As a result, consumers develop loyalty towards a specific brand. Advertising builds brand image and this develops consumer loyalty towards a specific brand.