Stuck in the Adoption Funnel: The Effect of Interruptions in the Adoption Process on Usage
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Author(s)
Lambrecht, Anja
Seim, Katja
Tucker, Catherine Elizabeth
Date Issued
January 2011
Journal
Marketing Science
Publisher
INFORMS
Citation
Lambrecht, A., K. Seim, and C. Tucker. “Stuck in the Adoption Funnel: The Effect of Interruptions in the Adoption Process on Usage.” Marketing Science 30.2 (2011) : 355-367.
Version
Author's final manuscript
Abstract
Many firms have introduced Internet-based customer self-service applications such as online payments or brokerage services. Despite high initial sign-up rates, not all customers actually shift their dealings online. We investigate whether the multistage nature of the adoption process (an “adoption funnel”) for such technologies can explain this low take-up. We use exogenous variation in events that possibly interrupt adoption, in the form of vacations and public holidays in different German states, to identify the effect on regular usage of being interrupted earlier in the adoption process. We find that interruptions in the early stages of the adoption process reduce a customer's probability of using the technology regularly. Our results suggest significant cost-saving opportunities from eliminating interruptions in the adoption funnel.
MIT Department
Sloan School of Management
Terms of Use
Creative Commons Attribution-Noncommercial-Share Alike 3.0
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DOI of Published Version
https://doi.org/10.1287/mksc.1100.0613
