Adopter Categories

DEFINITION of 'Adopter Categories'

Classification of individuals based on their willingness to try out a new innovation or new product. There are five adopter categories - innovators, early adopters, early majority, late majority and laggards. Adopter categories were first described by sociologist Everett Rogers in his landmark book "Diffusion of Innovations" published in 1962.

BREAKING DOWN 'Adopter Categories'

Rogers identified key characteristics of each adopter category, such as the fact that early adopters have the highest degree of opinion leadership among the adopter categories, while the laggards are likely to be the oldest and most traditional. The concept of adopter categories is widely used in present-day marketing, especially that of revolutionary new products or services.

RELATED TERMS
  1. Early Majority

    The first sizable segment of a population to adopt an innovative ...
  2. Late Majority

    The last sizable segment of a population to adopt an innovative ...
  3. Qualified Adoption Expenses - QAE

    The necessary costs paid to adopt a child younger than 18 years ...
  4. Diffusion Of Innovations Theory

    A hypothesis outlining how new technological and other advancements ...
  5. Adoption Credit

    A federal tax credit that may be claimed by federal taxpayers ...
  6. Laggard

    A stock or security that is underperforming. A laggard will have lower-than-average ...
Related Articles
  1. Trading

    On This Day In Finance: July 6 - The United States Adopts The Dollar

    The U.S. adopts the dollar as a monetary unit.
  2. Managing Wealth

    John Rogers' Success Story: Net Worth, Education & Top Quotes

    Learn how one of the most successful investment managers, John Rogers, founder of Ariel Investments, has achieved star status in the investment world.
  3. Markets

    Jim Rogers Sees 100% Chance of Recession

    Jim Rogers sees a 100% chance of recession within the next year. Why? And how is he planning for it?
  4. Managing Wealth

    Top 5 Positions in John Rogers' Portfolio

    Discover which stocks hold the top five positions in fund manager John Rogers' portfolio, which has outperformed the Russell Midcap Index for 10 straight years.
  5. ETFs & Mutual Funds

    Trust In Jim Rogers

    Commodities are becoming a more important part of an individual investor’s portfolio. However, given the troubles a prominent ETN issuer is having, individuals should stick to the ETF hard asset ...
  6. Trading

    Which Is Better: Dominance Or Innovation?

    Find out how to assess and evaluate both these values in the market and your portfolio.
  7. Investing

    Tax Deductions Vs. Tax Credits

    Understanding the difference between tax deductions and credits is crucial, as the tax strategies that you adopt now can favor one over the other and yield substantially different tax savings.
  8. Markets

    Tankan Survey Provides Clues To Japanese Economy

    This quarterly survey is crucial for assessing Japan's economic health.
  9. ETFs & Mutual Funds

    Jim Rogers Says To Buy A Farm

    Jim Rogers' latest advice is that agriculture will be the king of the commodity hill over the next few decades.
  10. Investing

    Investor, Know Thyself: Choose A Stock Category Based On Your Risk Tolerance

    Choosing the right investment isn't just about choosing the right investment. It also requires that you intimiately understand your own risk tolerance.
RELATED FAQS
  1. What is the relationship between research and development and innovation?

    Understand what research and development is and why a company or person would want to conduct it. Learn about how it can ... Read Answer >>
  2. Why doesn't England use the euro?

    Understand why the United Kingdom has opted to not join the eurozone in adopting the euro over the pound sterling as its ... Read Answer >>
  3. What types of categories appear on a cash flow statement?

    Learn what types of categories appear on a cash flow statement. Understand the types of items included within each category ... Read Answer >>
  4. Can an employer adopt a different type of retirement plan for each employee?

    Generally, any qualified retirement plan or IRA-based plan adopted by an employer must cover all eligible employees. Failure ... Read Answer >>
  5. I own a small business. Can the SBO-401(k) work for me?

    The SBO-401(k) can only be adopted by businesses in which only the business's owners are eligible participants in the plan. ... Read Answer >>
  6. What are the main products and developments of the chemicals industry?

    Learn about the main products of the chemicals industry and how technological developments and the availability of raw materials ... Read Answer >>
Hot Definitions
  1. Put Option

    An option contract giving the owner the right, but not the obligation, to sell a specified amount of an underlying security ...
  2. Frexit

    Frexit – short for "French exit" – is a French spinoff of the term Brexit, which emerged when the United Kingdom voted to ...
  3. AAA

    The highest possible rating assigned to the bonds of an issuer by credit rating agencies. An issuer that is rated AAA has ...
  4. GBP

    The abbreviation for the British pound sterling, the official currency of the United Kingdom, the British Overseas Territories ...
  5. Diversification

    A risk management technique that mixes a wide variety of investments within a portfolio. The rationale behind this technique ...
  6. European Union - EU

    A group of European countries that participates in the world economy as one economic unit and operates under one official ...
Trading Center