TECHNOLOGY

ACCEPTANCE

TECHNOLOGY
ADOPTION

TECHNOLOGY
INNOVATION
 Technology Acceptance Model
 Information Systems theory that models how users come to accept a
technology and how they use that technology

 Of all the theories, the Technology Acceptance Model (TAM) is

considered the most influential and commonly employed theory for
describing an individual’s acceptance of IS
 TAM has been validated over a wide range of system and routinely
explains up to 40% of usage intentions and 30% of systems usage
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Determinants – Perceived Ease of Use

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Determinants – Perceived Usefulness

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 Technology Adoption Lifecycle (TALC)
 First introduced by Everett Rogers in 1962 as part of his
diffusion research..
 Sociological model that describes the adoption or acceptance of
a new product or innovation, according to the demographic and
psychological characteristics of defined adopter groups
 Divides potential new technology adopters into five adopter
categories or segments, according to the degree to which a person
is ready to adopt innovative products or services as compared to
the rest of society.
 This is the cycle in which your market will begin using your new
technology - Whether you are building an eCommerce store, a web
application, a communication portal for your customers, or some other
grand vision

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Technology Adoption Lifecycle (TALC)

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 Technology Adoption Lifecycle (TALC)
 Innovators (Technology enthusiasts) - First to commit to new technology
 first individuals to adopt an innovation
 Their role is one of gatekeeper, providing access to the next segment of buyers.
 Catch phrase: This is cool technology.
 Early adopters (Visionaries) - Relying on intuition and vision, these individuals
appreciate the benefits of a new technology.
 Driven to embrace the new technology to gain a competitive advantage.
 Willing to accept a solution that is not entirely complete, and they are prepared to
commit the required resources and effort to make the technology work.
 Catch phrase: I can see the impact.
 Early majority (Pragmatists) - Methodical and pragmatic in their approach to
solving problems
 Rely on hard, proven data and facts
 Tend to buy from the market leader.
 look for a safe purchase and adopt an innovation after a varying degree of time.
 Catch phrase: Show me or Prove me
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 Technology Adoption Lifecycle (TALC)
 Late majority (Conservatives) - Price-sensitive and demanding,
 Approaches with high degree of skepticism
 Adopt a new technology so that they are not left behind.
 Like the pragmatists, they require facts and a proven track record, but this
information needs to be extremely thorough and proven to be reliable.
 Catch phrase : Everyone else is doing it, so I guess we have to.
 Laggards (Skeptics) - Never adopting new technology & majorly in
criticism mode.
 Uses established legacy systems until the option is no longer available.
 Catch phrase: That will never work. The old way is the best way.
 Split of market groups in adopting a technology
 68% of between Pragmatists and Conservatives
 16% of represented by Innovators and Visionaries
 16% are still laggards
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 Valley of Death (VoD)
 The chasm represents the gulf between two distinct marketplaces -
early market dominated by early adopters (Visionaries) and the
conservative mainstream market where the financial returns can be
delivered (Pragmatists)
 In the chasm the product category encounters a pause in market
development.
 The length of the pause depends on how radical is the disruptive
innovation
 The pause occurs often due to weak or incomplete value chains and
because pragmatists do not trust visionaries as a reference.
 Members of the pragmatic Early Majority, value their peers’ opinions
and experiences far more than their own desire to remain on the cutting
edge of technology
 Pagers, Blu Ray technology, Disc Man, MP3 players did not make it
to the early majority stage
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Phases of Hype Cycle
Hype Cycle for ICT in India, 2019
 Effective IT Adoption process

Ghobakhloo, M., Hong, T. S., Sabouri, M. S., & Zulkifli, N. (2012). Strategies for successful information technology adoption in
small and medium-sized enterprises

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Reasons for Failure of IT Adoption

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