What you learnt about Product Adoption Life cycle is wrong?

 

Music industry- Product adoption life cycle

A decade back, the Smartphone revolution came into India, but lack of infrastructure, telecommunication system stalls the growth of smartphone penetration and availability of apps related to music in the web or mobile is less, can say 

No apps. From the year 2013 onwards, Consumer behavior changing drastically in the adoption and usage of technology. That changes the whole picture of mobile and satellite communication industry along with supplementary industries like logistics, Enterprise solutions and Music availability over a cloud to save the memory in the phones and reduce the storage costs. 

 

Once upon a time, for music, most of the population depended upon radio or FM or Storing the music in memory cards or sticks. Now the entire

industry's landscape changed from physical storage to cloud storage, and an Increase in the subscription-based services in the music industry makes users so enjoyable. If you see the statistics of the Music Industry, so lucrative.

 

·   Revenue in the Music Streaming segment is projected to reach US$663m 2021.

·   Revenue is expected to show an annual growth rate (CAGR 2021-2025) of 14.18%, resulting in a projected market volume of US$1,127m from 2025.

·   User penetration will be 4.3% in 2021 and is expected to hit 6.0% by 2025.

·   The average revenue per user (ARPU) is expected to amount to US$11.16.

·   In global comparison, most revenue will be generated in the United States (US$8,669m in 2021).

Product Adoption life cycle:

 Innovators (Tech Enthusiasts)- With 2.5% of the total portion of Product Adoption, Adopt, and try the changes so quickly they are interested in driving the wave until early adopters. They have some unique traits like tech-savvy and status symbols. And have the constant& stable income to spend few bucks on the new things to try and very socializing capability.

Try new apps which came into market and sometimes do the activities like beta users to give feedback in the product development process.

Early Adaptors (Visionaries)-Early adaptors want to try after release into the market based on the promotions and marketing campaigns. These are the major reasons to drive the wave with 13.5 %. They have a good and advanced education in technology or management fields. They love to publicize the features that come up with the Music apps by thorough study and by creating the content to

Early Majority (Pragmatist):  They carry 34% of total adopters. Early The majority wants to try the new product after getting feedback from early adaptors, but some gap would appear between Early adaptors and the Early Majority because delay in getting the feedback and market news about the product like adding few features to the existing products, so they purchase or utilize the services based on the real-world feedback and discount offers along with Freemium services provided by the app providers.

The late majority (Conservatives): With 34%, the Late majority don’t want to adapt to the changes so quickly they purchase the service by testing the product or service from the existing customer like contextual interview & took opinions from closest ones before deciding to know the worth of service or product. Then they decide whether to purchase or not. They have the lowest social symbol, low-income levels and late to adopt the technology

Laggards (Skeptics): Lost to adopt the services. Laggards are having a rigid mindset. They do not welcome change and want to follow only traditional methods. They love to stay with old Radios & Tap recorders.

 

Chasm: In the product adoption cycle, there is a huge gap between early adopters & Early Majority. The chasm is the phase where user adoption activity is very lethargic, and conversion takes some time, and the provider need to put constant effort to push and came out of Chasm phase.

Skimming the prices and increase the promotions by celebrities would be helpful to come out of this phase ASAP.

In the Indian Music online Industry, there is a lot of scopes for the new entrants to capture a significant share only who came up with native ideas.