Commentary by Dr. Whitesel: “The following charts describe the ‘Innovation Adoption Curve’ developed by Everett Rogers in his book on diffusion of innovations titled, Diffusion of Innovations. In addition Maloney discovered a 16% rule that impacts Roger’s curve. Chris Maloney, Marketing Manager for HSBC Australia delivered his presentation on the 16% rule at Loyalty World Australia in 2011.
Maloney’s 16% rule suggests that an organization begins with a “scarcity” strategy, i.e. when people perceive something is scarce, it will generate demand … to “social proof” where people begin to do things they see others doing. (For more on scarcity and social proof see Influence: The Psychology of Persuasion by Arizona State professor of psychology and marketing Robert Cialdini.
See the charts below to understand both of these important principles of innovation.”