Quantification of number of adopters: a study to showcase products-sold and products-in-use

Amid globalization and technological innovations, the service market has witnessed a surge in providers, intensifying competition. Firms introduce new products and services to stay in the competition and generate more revenue, thereby resulting in substantial growth of a business. Successful introduction benefits firms not only in increasing revenues from current users but also in attracting potential customers from competitors. However, inadequate development and non-acceptance of service can lead to customer churning; curbing revenue, and stunting growth. Since customer churn has a detrimental effect on a firm’s revenue it must be monitored regularly. Customer churning shapes customer purchasing patterns and indirectly influences future acquisition through word-of-mouth, imitation, and other social effects. Acknowledging the significance of the customer churn metric, the authors have proposed a methodology that quantifies adopters as innovators, imitators, and churners. Quantifying the product sold and the product in use can help firms to implement targeted post-purchase service strategies for customer retention. The proposed quantification can help in identifying the patterns and trends that can lead to customer churn in the customer base. Further, the quantified churners constitute the users who are not satisfied with the service and their effective word-of-mouth impact on potential customers. For the validation of the proposed framework, the authors have used three real-life data sets of users, yielding satisfactory results.