A Logit Model to Predict Innovativeness among Mobile Telecom Service Users

Abstract

Innovativeness in consumers accelerates the innovative behaviour resulting into successful adoption and diffusion of innovation. Despite extensive literature available on consumer innovativeness (CI), the present study identifies a research gap on the relationship between demographics and innovativeness for telecom services as a specific domain. The research draws on investigating the impact of demographic antecedents on CI aiming to differentiate the customers in two distinct categories, namely, low and high innovativeness for effective target marketing. A logit model has been applied in this research indicating the effect of overall contribution of multi-category variables as well as contribution of each parameter by considering age, gender, income and family life cycle as explanatory variables. The results of binary logistic regression indicate age as the better predictor of innovativeness followed by gender and family life cycle, whereas income is considered as an insignificant variable. The study offers implications for designing effective marketing mix and using consumers’ innovativeness for successful diffusion and adoption in mobile telecom services.