A Multinational Study of the Diffusion of a Discontinuous Innovation

Abstract

There has been a great deal written about the diffusion of discontinuous technical innovations, but very little about diffusion of discontinuous innovations in other areas, such as packaging. Also, little research explores differences in diffusion rates of low-technological discontinuous innovations in different countries or cultures. This project studies the differences in the diffusion process for the screw cap on wine bottles in three countries. We use an internet survey of over 3,600 wine consumers to understand why this discontinuous innovation appears to be slower to diffuse in one country (the US), than in the other two (Australia and New Zealand). Logistic regression is used to model the characteristics of adopters versus non-adopters in each country. Our results show that educating the consumer about the advantages of discontinuous innovations can help to speed diffusion. Education can occur through advertising programs directed at the media and consumers, and also through word-of-mouth campaigns directed at consumers.