SlideShare a Scribd company logo
A Services Landscape Transformed by Technology:
Findings from the 2014 National Technology
Readiness Survey
Presented to Frontiers in Services 2014
Charles L. Colby,
Chief Methodologist & Founder,
Rockbridge Associates, Inc.
For info, contact:
Charles Colby
ccolby@rockresearch.com
A. Parasuraman,
Professor, Marketing
University of Miami
For info, contact:
Dr. A. “Parsu” Parasuraman
parsu@miami.edu
Foreshadowing… the last slide
Photo source: www.buzzaboutbees.net
Topics Covered Today
Technology Readiness
Fastest growing e-services
TR beliefs behind their growth
Foundational technologies behind their growth
Omni-channel behavior and “Channel Foraging”
Implications for management
Our Research Program and The TR
Construct
Our Research Program
National Technology Readiness Survey
– Authored by Parasuraman and Rockbridge
– Replicated in 1999, 2000, 2001, 2002, 2004, 2005/6, 2007, 2009,
2012, 2014
TRI Scale licensed to over 120 scholars in 30 countries,
including Germany, Turkey, China, UK, Brazil, India,
Malaysia, Philippines, Canada, South Africa
– Contexts include financial services, retailing, communications,
travel, e-government, healthcare
Co-sponsored by the Center for Excellence in Service
What is Technology Readiness? (TR)
 TR refers to people’s propensity to embrace
and use new technologies for accomplishing
goals in home life and at work
 TR reflects an overall state-of-mind; it is not a
measure of competence
 It describes the person, not the technology
 Measured by the Technology Readiness
Index (TRI)
Inhibitors
Contributors
Components of Technology Readiness
Optimism
Innovativeness
Discomfort
Insecurity
Technology
Readiness
TRI 2.0: A Multi-Item Measure
The Technology Readiness Index was first
published in the JSR in 2000
TRI 2.0 will be published in JSR this year*
The latest scale version:
– 16 agreement scaled attributes
– 4 sub-scales for measuring individual dimensions
of TR
– A segmentation scheme classifies individuals into
five distinct types
*“An Updated and Streamlined Technology Readiness Index: TRI 2.0”,
A. Parasuraman and Charles L, Colby, Journal of Services Research,
published online June 22, 2014
TRI 2.0 (16 item index)
• Give advice
• First to adopt
• Self reliant
• Keeps informed
• People too dependent on
tech
• Technology distracts
• Tech lowers relationship
quality
• Distrust of virtual venues
• Distrusts tech support
• Tech support unhelpful
• Tech not designed for us
• Manuals are too
technical
• Better quality life
• Freedom of mobility
• Control
• Personally productive
Optimism Discomfort
InnovativenessInsecurity
Technology
Readiness
Distribution of TRI 2.0 (2014 Study)
TRI 2.0 Includes a Segmentation
% of
population
Motivators Inhibitors
TRI
Optimism Innovative Discomfort Insecurity
Explorers 27% 4.6 4.1 2.3 2.6 3.9
Pioneers 20% 4.3 4.0 3.7 4.1 3.1
Skeptics 27% 3.7 3.1 2.8 3.4 3.1
Hesitators 14% 4.1 2.1 3.2 3.6 2.8
Avoiders 13% 2.6 1.8 3.8 4.2 2.1
Total 3.9 3.2 3.0 3.5 3.2
Profile of TR Segments (2014 Data)
Owns
smart
phone
#
gadgets
#
eServices
Demographic
Correlates
Explorers 79% 8.1 18.1 Younger, Male, Tech jobs
Pioneers 77% 8.1 16.2
Younger, Male, Ethnically
diverse, Foreign born, Tech jobs
Skeptics 62% 6.6 14.5 Mirrors General Population
Hesitators 52% 5.9 13.2 Older, Female, Retired
Avoiders 33% 4.9 8.8
Older, Female, not Diverse,
Less educated, Retired
Total 64% 7.0 14.9
2014 Technology Readiness Survey
Methodology
Nationally representative survey of 1230 U.S.
adults
Frame: online panel from 2 reputable
providers
Weighted to match U.S. Census
Margin of Error +/- 3%
Limitations:
– Excludes “offline” population
– Uses an online panel
Fastest Growing e-Services
2009 to 2014
Fastest Growing e-Services
www.rockresearch.com
Low Penetration, High Growth High Penetration, High Growth
Low Penetration, Low Growth High Penetration, Low Growth
Medical tests
E-Service Categories (Based on Factor Analysis)
Category Growth* Services
Health 155% Checked tests online, communicated with professional
Small Purchases 46% Purchased items <$10, $10 to $100
Entertainment 37%
Download movies, download songs, streaming music, live TV,
download books, live TV, live radio, video call, watch video
C2C 20% Sold to another consumer, bought from another
Big Purchases 16% Travel, investments, items >$100
Financial 15%
Online banking, moved funds online, checked utility account,
managed credit card, bill paying, paid bill at provider website
Government 0%
Visited federal site, did federal business, visited state/local site,
did state/local business
News/research 0% Read news/mag online, researched health info
Learning -5% Online course, visited membership org site
*Growth from 2009 to 2014; not all items tracked in 2009.
Technology Readiness Beliefs behind Adoption
Correlation of TR Dimension with # of Activities
Category Opt Inn Dis Ins TRI Influencers
Health .06 .09 0.03 ns 0.03 ns 0.04 ns Not important
Small Purch .22 .21 -.15 -.15 .25 All 4 beliefs
Entertainment .35 .46 -.20 -.19 .42 All 4 beliefs
C2C .20 .23 -0.05 ns -.08 .20 Motivators
Big Purchases .24 .25 -.09 -.10 .24 Motivators
Financial .25 .26 -.17 -.10 .27 Motivators & Disc
Government .20 .20 -.07 -0.05 ns .18 Motivators
News/research .18 .13 -.18 -0.04 ns .18 Opt & Disc
Learning .16 .20 -.08 -.10 .19 Motivators
Foundational Technologies behind
Services Growth
18%
29%
36% 36% 37% 40%
46%
51%
60%
66%
71%
78%
96%
Key Technology Growth and
Projected Penetration in 2016
2012
2014
2016 projected
Foundational Technologies
Portable GPS
Portable video player
Portable music player (MP3)
Digital video camera
Digital point and shoot
camera
eBook reader
Usage of Applications on Single Function
And Multiuse Devices
Multi-function device Both Standalone device
The Ubiquitous Do-it-all Device
14%
22%
18%
16%
13%
20%
Omni-Channel Service Behavior
2010200820062004200220001998
The Not-So Old Days
The Changing Consumer Journey
20142012
Types of Shopping Journeys ($50 or more)
In-person
Only
Shoppers,
29%
Superficial
In-person
Shoppers,
17%
Methodical
High Touch
Shoppers,
16%
Simple
Digital
Shoppers,
20%
Analytical
Digital
Shoppers,
16%
Phone
Orderers, 3%
Store
checkout:
62%Online
checkout:
36%2%
6%
Checked out with smartphone
SHOP NOW
25 %
OFF
Half of Purchases are Complex
Uni-Channel (52%)
In-person Only (29%): Offline
channels, store visit, store
purchase
Simple Digital (20%):
Research & order online,
ship to home or work
Phone Orderers (3%):
Completely by phone or
smartphone
Omni-Channel (48%)
Superficially In-Person (17%):
research online and offline,
store purchase
Methodical High-Touch (16%):
intense info search in multi-
ple venues, store purchase
Analytical Digital (16%):
intense info search, store
visits, online purchase
Technology Readiness Correlates
Pioneers [high on motivators + high on
inhibitors] are more likely to engage in
methodical high touch and analytical digital
purchase processes
Avoiders [least techno-ready] and Hesitators
[optimistic + high on inhibitors] are more likely
to engage in in-person only purchases
Explorers [most techno-ready] tend to prefer
online channels
Bank Channel Convergence
Branch
Mobile
Call Center
Online
1 2 3+
Market 21% 33% 46%
Explorers 16% 26% 58%
Pioneers 18% 25% 57%
Skeptics 19% 40% 42%
Hesitators 23% 47% 30%
Avoiders 41% 31% 28%
Number of Channels
Used
(Self-reported)
Implications
Service Transaction of the Future?
Channel Foraging:
“To search about; seek; rummage; hunt”
Questions for Service Managers
How techno-ready are our customers?
How do we provide information, purchase capability
and servicing across multiple platforms?
Do channels meet the needs of all TR segments?
Do we offer maximum flexibility for fulfillment? (Ship
anywhere, pick-up anywhere?)
How do physical locations fit into our service model?
How do we prevent customers from taking advantage
of expensive bricks & mortar channels (look but not
buy)?
How do we get our message in front of consumers who
use a wide variety of info sources in small doses?
Questions for Researchers
When does TR matter for a technology-based service?
When do different TR components matter?
Can we forecast demand using TR as a proxy of
innovation?
How is the service purchase and usage process
changing? Is “channel foraging” truly the future?
What is an optimal “show rooming” solution (that
charges customers for using physical channels)?
What will be the impact of emerging technologies (e.g.,
robotics) on services behavior?
Is the management and operation of services
businesses taking on the same complexity as customer
behavior, augmented by technology? Should it?
www.rockresearch.com
Thanks!

More Related Content

What's hot

Jeff greene presentation_naed
Jeff greene presentation_naedJeff greene presentation_naed
Jeff greene presentation_naed
TechnologyCurve
 
Breez Project Presentation
Breez Project PresentationBreez Project Presentation
Breez Project Presentation
Brooke Blann
 
Electronics - From A Women's Perspective
Electronics - From A Women's PerspectiveElectronics - From A Women's Perspective
Electronics - From A Women's Perspective
TW Integrated Marketing
 

What's hot (16)

Young people's policy recommendations on algorithm fairness web sci17
Young people's policy recommendations on algorithm fairness web sci17Young people's policy recommendations on algorithm fairness web sci17
Young people's policy recommendations on algorithm fairness web sci17
 
Digital is the New Traditional - Senior Living
Digital is the New Traditional - Senior LivingDigital is the New Traditional - Senior Living
Digital is the New Traditional - Senior Living
 
The Top 11 PR Research Insights of 2017
The Top 11 PR Research Insights of 2017The Top 11 PR Research Insights of 2017
The Top 11 PR Research Insights of 2017
 
Top 10-booklet
Top 10-bookletTop 10-booklet
Top 10-booklet
 
University Reputations and the Public
University Reputations and the PublicUniversity Reputations and the Public
University Reputations and the Public
 
Measuring Stakeholder Perceptions of the "Social Impact" in ESG
Measuring Stakeholder Perceptions of the "Social Impact" in ESGMeasuring Stakeholder Perceptions of the "Social Impact" in ESG
Measuring Stakeholder Perceptions of the "Social Impact" in ESG
 
Cls greenwashing master slides final part one 1
Cls greenwashing master slides final part one 1Cls greenwashing master slides final part one 1
Cls greenwashing master slides final part one 1
 
Fr griffin sample_largeco_safety_communication_plan
Fr griffin sample_largeco_safety_communication_planFr griffin sample_largeco_safety_communication_plan
Fr griffin sample_largeco_safety_communication_plan
 
Consumers and the Digital Health Information Journey
Consumers and the Digital Health Information JourneyConsumers and the Digital Health Information Journey
Consumers and the Digital Health Information Journey
 
Social Bridge to the IT Committee
Social Bridge to the IT CommitteeSocial Bridge to the IT Committee
Social Bridge to the IT Committee
 
Digital Divide, Social Exclusion, and inclusion policy and new harms
Digital Divide, Social Exclusion, and inclusion policy and new harmsDigital Divide, Social Exclusion, and inclusion policy and new harms
Digital Divide, Social Exclusion, and inclusion policy and new harms
 
Gauging Long Term Impact in the Social Sector
Gauging Long Term Impact in the Social SectorGauging Long Term Impact in the Social Sector
Gauging Long Term Impact in the Social Sector
 
Jeff greene presentation_naed
Jeff greene presentation_naedJeff greene presentation_naed
Jeff greene presentation_naed
 
The Top 17 PR Insights of 2021
The Top 17 PR Insights of 2021The Top 17 PR Insights of 2021
The Top 17 PR Insights of 2021
 
Breez Project Presentation
Breez Project PresentationBreez Project Presentation
Breez Project Presentation
 
Electronics - From A Women's Perspective
Electronics - From A Women's PerspectiveElectronics - From A Women's Perspective
Electronics - From A Women's Perspective
 

Viewers also liked

Technology acceptance
Technology acceptanceTechnology acceptance
Technology acceptance
irdina8795
 

Viewers also liked (13)

Technology acceptance
Technology acceptanceTechnology acceptance
Technology acceptance
 
Review artikel mengukur kesediaan pgajaran e learning guru efl
Review artikel mengukur kesediaan pgajaran e learning guru efl Review artikel mengukur kesediaan pgajaran e learning guru efl
Review artikel mengukur kesediaan pgajaran e learning guru efl
 
Analisis penerimaan pengguna smile di unit planning deployment pt. telkom den...
Analisis penerimaan pengguna smile di unit planning deployment pt. telkom den...Analisis penerimaan pengguna smile di unit planning deployment pt. telkom den...
Analisis penerimaan pengguna smile di unit planning deployment pt. telkom den...
 
Parsu lab2002pp
Parsu lab2002ppParsu lab2002pp
Parsu lab2002pp
 
Quick Tour of Text Mining
Quick Tour of Text MiningQuick Tour of Text Mining
Quick Tour of Text Mining
 
TAAI 2016 Keynote Talk: Intercultural Collaboration as a Multi‐Agent System
TAAI 2016 Keynote Talk: Intercultural Collaboration as a Multi‐Agent SystemTAAI 2016 Keynote Talk: Intercultural Collaboration as a Multi‐Agent System
TAAI 2016 Keynote Talk: Intercultural Collaboration as a Multi‐Agent System
 
照海華德福教育簡介
照海華德福教育簡介照海華德福教育簡介
照海華德福教育簡介
 
大數據下的情緒分析
大數據下的情緒分析大數據下的情緒分析
大數據下的情緒分析
 
TAAI 2016 Keynote Talk: Contention and Disruption
TAAI 2016 Keynote Talk: Contention and DisruptionTAAI 2016 Keynote Talk: Contention and Disruption
TAAI 2016 Keynote Talk: Contention and Disruption
 
Research and life
Research and lifeResearch and life
Research and life
 
TAAI 2016 Keynote Talk: It is all about AI
TAAI 2016 Keynote Talk: It is all about AITAAI 2016 Keynote Talk: It is all about AI
TAAI 2016 Keynote Talk: It is all about AI
 
2016 datascience emotion analysis - english version
2016 datascience emotion analysis - english version2016 datascience emotion analysis - english version
2016 datascience emotion analysis - english version
 
Quick tour all handout
Quick tour all handoutQuick tour all handout
Quick tour all handout
 

Similar to A Services Landscape Transformed by Technology: Findings from the 2014 National Technology Readiness Survey, Colby and Parasuram

Tim Ellis - Programme Manager, Digital Technology, NHS England
Tim Ellis - Programme Manager, Digital Technology, NHS EnglandTim Ellis - Programme Manager, Digital Technology, NHS England
Tim Ellis - Programme Manager, Digital Technology, NHS England
HIMSS UK
 
Digital Marketing Program Evaluation, Maturation and Evolution - A Digital Ma...
Digital Marketing Program Evaluation, Maturation and Evolution - A Digital Ma...Digital Marketing Program Evaluation, Maturation and Evolution - A Digital Ma...
Digital Marketing Program Evaluation, Maturation and Evolution - A Digital Ma...
Mike Corak
 
Neil Calland - Senior Programme Manager, Digital Technology NHS England
Neil Calland - Senior Programme Manager, Digital Technology NHS EnglandNeil Calland - Senior Programme Manager, Digital Technology NHS England
Neil Calland - Senior Programme Manager, Digital Technology NHS England
HIMSS UK
 

Similar to A Services Landscape Transformed by Technology: Findings from the 2014 National Technology Readiness Survey, Colby and Parasuram (20)

The Next Marketing Era: Marketing's Digital Command Center
The Next Marketing Era: Marketing's Digital Command CenterThe Next Marketing Era: Marketing's Digital Command Center
The Next Marketing Era: Marketing's Digital Command Center
 
Tim Ellis - Programme Manager, Digital Technology, NHS England
Tim Ellis - Programme Manager, Digital Technology, NHS EnglandTim Ellis - Programme Manager, Digital Technology, NHS England
Tim Ellis - Programme Manager, Digital Technology, NHS England
 
"Ready or Not, Here Comes 2015: Marketing Trends to Master" TrendLab Webinar
"Ready or Not, Here Comes 2015: Marketing Trends to Master" TrendLab Webinar"Ready or Not, Here Comes 2015: Marketing Trends to Master" TrendLab Webinar
"Ready or Not, Here Comes 2015: Marketing Trends to Master" TrendLab Webinar
 
Digital Marketing Program Evaluation, Maturation and Evolution - A Digital Ma...
Digital Marketing Program Evaluation, Maturation and Evolution - A Digital Ma...Digital Marketing Program Evaluation, Maturation and Evolution - A Digital Ma...
Digital Marketing Program Evaluation, Maturation and Evolution - A Digital Ma...
 
Digital thinking to transform insurance in Asia by Hugh Terry
Digital thinking to transform insurance in Asia by Hugh TerryDigital thinking to transform insurance in Asia by Hugh Terry
Digital thinking to transform insurance in Asia by Hugh Terry
 
Strategies for product improvement: Tracing the attitude of real estate mobil...
Strategies for product improvement: Tracing the attitude of real estate mobil...Strategies for product improvement: Tracing the attitude of real estate mobil...
Strategies for product improvement: Tracing the attitude of real estate mobil...
 
Challenges and Risks for the CIO from Outsourcing in the digital era
Challenges and Risks for the CIO from Outsourcing in the digital eraChallenges and Risks for the CIO from Outsourcing in the digital era
Challenges and Risks for the CIO from Outsourcing in the digital era
 
ANTS | Indonesia Digital Landscape - TechInAsia 2015
ANTS | Indonesia Digital Landscape - TechInAsia 2015ANTS | Indonesia Digital Landscape - TechInAsia 2015
ANTS | Indonesia Digital Landscape - TechInAsia 2015
 
Cloud-Based Contact Center Study - Connect First
Cloud-Based Contact Center Study - Connect FirstCloud-Based Contact Center Study - Connect First
Cloud-Based Contact Center Study - Connect First
 
OCASI - social media and technology use in settlement services
OCASI -  social media and technology use in settlement servicesOCASI -  social media and technology use in settlement services
OCASI - social media and technology use in settlement services
 
Digitisation in LI
Digitisation in LIDigitisation in LI
Digitisation in LI
 
Enhancing the Retail Omnichannel Customer Experience
Enhancing the Retail Omnichannel Customer ExperienceEnhancing the Retail Omnichannel Customer Experience
Enhancing the Retail Omnichannel Customer Experience
 
Neil Calland - Senior Programme Manager, Digital Technology NHS England
Neil Calland - Senior Programme Manager, Digital Technology NHS EnglandNeil Calland - Senior Programme Manager, Digital Technology NHS England
Neil Calland - Senior Programme Manager, Digital Technology NHS England
 
Venkatesh TAPMI
Venkatesh TAPMIVenkatesh TAPMI
Venkatesh TAPMI
 
Digital thinking to transform face-to-face insurance in Asia by Hugh Terry
Digital thinking to transform face-to-face insurance in Asia by Hugh TerryDigital thinking to transform face-to-face insurance in Asia by Hugh Terry
Digital thinking to transform face-to-face insurance in Asia by Hugh Terry
 
The State of Office Connectivity in the United States
The State of Office Connectivity in the United StatesThe State of Office Connectivity in the United States
The State of Office Connectivity in the United States
 
THE FUTURE OF MOBILE TECH
THE FUTURE OF MOBILE TECHTHE FUTURE OF MOBILE TECH
THE FUTURE OF MOBILE TECH
 
AIST Presentation: Platforms for Growth: Technology Innovations in the Insura...
AIST Presentation: Platforms for Growth: Technology Innovations in the Insura...AIST Presentation: Platforms for Growth: Technology Innovations in the Insura...
AIST Presentation: Platforms for Growth: Technology Innovations in the Insura...
 
New LSA Research, LSA|15 Preview
New LSA Research, LSA|15 PreviewNew LSA Research, LSA|15 Preview
New LSA Research, LSA|15 Preview
 
Working Online Effectively and Securely - CIN workshop 2015
Working Online Effectively and Securely - CIN workshop 2015Working Online Effectively and Securely - CIN workshop 2015
Working Online Effectively and Securely - CIN workshop 2015
 

More from Rockbridge Associates, Inc.

Frontiers 2018 Aii™ Award Winning Presentation
Frontiers 2018 Aii™ Award Winning PresentationFrontiers 2018 Aii™ Award Winning Presentation
Frontiers 2018 Aii™ Award Winning Presentation
Rockbridge Associates, Inc.
 
Showrooming vs. Webrooming: The Effect of Multichannel Information Search on ...
Showrooming vs. Webrooming: The Effect of Multichannel Information Search on ...Showrooming vs. Webrooming: The Effect of Multichannel Information Search on ...
Showrooming vs. Webrooming: The Effect of Multichannel Information Search on ...
Rockbridge Associates, Inc.
 
How Strategy and Governance Choices Influence Innovation Success in Software ...
How Strategy and Governance Choices Influence Innovation Success in Software ...How Strategy and Governance Choices Influence Innovation Success in Software ...
How Strategy and Governance Choices Influence Innovation Success in Software ...
Rockbridge Associates, Inc.
 
Service Robotics: How Ready are Consumers to Adopt and What Drives Acceptance?
Service Robotics: How Ready are Consumers to Adopt and What Drives Acceptance?Service Robotics: How Ready are Consumers to Adopt and What Drives Acceptance?
Service Robotics: How Ready are Consumers to Adopt and What Drives Acceptance?
Rockbridge Associates, Inc.
 
5 technology consumers to watch, frontiers 2008, colby & molina
5 technology consumers to watch, frontiers 2008, colby & molina5 technology consumers to watch, frontiers 2008, colby & molina
5 technology consumers to watch, frontiers 2008, colby & molina
Rockbridge Associates, Inc.
 

More from Rockbridge Associates, Inc. (12)

Meeting Customer Needs in A Rapidly Changing World: Lessons From The American...
Meeting Customer Needs in A Rapidly Changing World: Lessons From The American...Meeting Customer Needs in A Rapidly Changing World: Lessons From The American...
Meeting Customer Needs in A Rapidly Changing World: Lessons From The American...
 
The On-Demand Economy: How Big is it (and How do we Accurately Measure its Si...
The On-Demand Economy: How Big is it (and How do we Accurately Measure its Si...The On-Demand Economy: How Big is it (and How do we Accurately Measure its Si...
The On-Demand Economy: How Big is it (and How do we Accurately Measure its Si...
 
Frontiers 2018 Aii™ Award Winning Presentation
Frontiers 2018 Aii™ Award Winning PresentationFrontiers 2018 Aii™ Award Winning Presentation
Frontiers 2018 Aii™ Award Winning Presentation
 
Max share for financial institutions
Max share for financial institutionsMax share for financial institutions
Max share for financial institutions
 
Strategically Evaluating your Association's Global Readiness, Intro
Strategically Evaluating your Association's Global Readiness, IntroStrategically Evaluating your Association's Global Readiness, Intro
Strategically Evaluating your Association's Global Readiness, Intro
 
MaxShare
MaxShareMaxShare
MaxShare
 
Advancing Technology Success in the Association Sector
Advancing Technology Success in the Association SectorAdvancing Technology Success in the Association Sector
Advancing Technology Success in the Association Sector
 
Showrooming vs. Webrooming: The Effect of Multichannel Information Search on ...
Showrooming vs. Webrooming: The Effect of Multichannel Information Search on ...Showrooming vs. Webrooming: The Effect of Multichannel Information Search on ...
Showrooming vs. Webrooming: The Effect of Multichannel Information Search on ...
 
How Strategy and Governance Choices Influence Innovation Success in Software ...
How Strategy and Governance Choices Influence Innovation Success in Software ...How Strategy and Governance Choices Influence Innovation Success in Software ...
How Strategy and Governance Choices Influence Innovation Success in Software ...
 
Service Robotics: How Ready are Consumers to Adopt and What Drives Acceptance?
Service Robotics: How Ready are Consumers to Adopt and What Drives Acceptance?Service Robotics: How Ready are Consumers to Adopt and What Drives Acceptance?
Service Robotics: How Ready are Consumers to Adopt and What Drives Acceptance?
 
Frontiers 2015, by 3 Pillar, CES, Rockbridge
Frontiers 2015, by 3 Pillar, CES, RockbridgeFrontiers 2015, by 3 Pillar, CES, Rockbridge
Frontiers 2015, by 3 Pillar, CES, Rockbridge
 
5 technology consumers to watch, frontiers 2008, colby & molina
5 technology consumers to watch, frontiers 2008, colby & molina5 technology consumers to watch, frontiers 2008, colby & molina
5 technology consumers to watch, frontiers 2008, colby & molina
 

Recently uploaded

Jet reorientation in central galaxies of clusters and groups: insights from V...
Jet reorientation in central galaxies of clusters and groups: insights from V...Jet reorientation in central galaxies of clusters and groups: insights from V...
Jet reorientation in central galaxies of clusters and groups: insights from V...
Sérgio Sacani
 
Pests of Green Manures_Bionomics_IPM_Dr.UPR.pdf
Pests of Green Manures_Bionomics_IPM_Dr.UPR.pdfPests of Green Manures_Bionomics_IPM_Dr.UPR.pdf
Pests of Green Manures_Bionomics_IPM_Dr.UPR.pdf
PirithiRaju
 
Isolation of AMF by wet sieving and decantation method pptx
Isolation of AMF by wet sieving and decantation method pptxIsolation of AMF by wet sieving and decantation method pptx
Isolation of AMF by wet sieving and decantation method pptx
GOWTHAMIM22
 
Mitosis...............................pptx
Mitosis...............................pptxMitosis...............................pptx
Mitosis...............................pptx
Cherry
 
The importance of continents, oceans and plate tectonics for the evolution of...
The importance of continents, oceans and plate tectonics for the evolution of...The importance of continents, oceans and plate tectonics for the evolution of...
The importance of continents, oceans and plate tectonics for the evolution of...
Sérgio Sacani
 

Recently uploaded (20)

Topography and sediments of the floor of the Bay of Bengal
Topography and sediments of the floor of the Bay of BengalTopography and sediments of the floor of the Bay of Bengal
Topography and sediments of the floor of the Bay of Bengal
 
Jet reorientation in central galaxies of clusters and groups: insights from V...
Jet reorientation in central galaxies of clusters and groups: insights from V...Jet reorientation in central galaxies of clusters and groups: insights from V...
Jet reorientation in central galaxies of clusters and groups: insights from V...
 
In vitro androgenesis ...............pptx
In vitro androgenesis ...............pptxIn vitro androgenesis ...............pptx
In vitro androgenesis ...............pptx
 
METHODS OF TRANSCRIPTOME ANALYSIS....pptx
METHODS OF TRANSCRIPTOME ANALYSIS....pptxMETHODS OF TRANSCRIPTOME ANALYSIS....pptx
METHODS OF TRANSCRIPTOME ANALYSIS....pptx
 
Pests of Green Manures_Bionomics_IPM_Dr.UPR.pdf
Pests of Green Manures_Bionomics_IPM_Dr.UPR.pdfPests of Green Manures_Bionomics_IPM_Dr.UPR.pdf
Pests of Green Manures_Bionomics_IPM_Dr.UPR.pdf
 
Triploidy ...............................pptx
Triploidy ...............................pptxTriploidy ...............................pptx
Triploidy ...............................pptx
 
Structures and textures of metamorphic rocks
Structures and textures of metamorphic rocksStructures and textures of metamorphic rocks
Structures and textures of metamorphic rocks
 
mixotrophy in cyanobacteria: a dual nutritional strategy
mixotrophy in cyanobacteria: a dual nutritional strategymixotrophy in cyanobacteria: a dual nutritional strategy
mixotrophy in cyanobacteria: a dual nutritional strategy
 
GBSN - Biochemistry (Unit 4) Chemistry of Carbohydrates
GBSN - Biochemistry (Unit 4) Chemistry of CarbohydratesGBSN - Biochemistry (Unit 4) Chemistry of Carbohydrates
GBSN - Biochemistry (Unit 4) Chemistry of Carbohydrates
 
Isolation of AMF by wet sieving and decantation method pptx
Isolation of AMF by wet sieving and decantation method pptxIsolation of AMF by wet sieving and decantation method pptx
Isolation of AMF by wet sieving and decantation method pptx
 
Phytogeography........................pptx
Phytogeography........................pptxPhytogeography........................pptx
Phytogeography........................pptx
 
Richard's entangled aventures in wonderland
Richard's entangled aventures in wonderlandRichard's entangled aventures in wonderland
Richard's entangled aventures in wonderland
 
NuGOweek 2024 Ghent - programme - final version
NuGOweek 2024 Ghent - programme - final versionNuGOweek 2024 Ghent - programme - final version
NuGOweek 2024 Ghent - programme - final version
 
word2vec, node2vec, graph2vec, X2vec: Towards a Theory of Vector Embeddings o...
word2vec, node2vec, graph2vec, X2vec: Towards a Theory of Vector Embeddings o...word2vec, node2vec, graph2vec, X2vec: Towards a Theory of Vector Embeddings o...
word2vec, node2vec, graph2vec, X2vec: Towards a Theory of Vector Embeddings o...
 
Constraints on Neutrino Natal Kicks from Black-Hole Binary VFTS 243
Constraints on Neutrino Natal Kicks from Black-Hole Binary VFTS 243Constraints on Neutrino Natal Kicks from Black-Hole Binary VFTS 243
Constraints on Neutrino Natal Kicks from Black-Hole Binary VFTS 243
 
Tissue engineering......................pptx
Tissue engineering......................pptxTissue engineering......................pptx
Tissue engineering......................pptx
 
Mitosis...............................pptx
Mitosis...............................pptxMitosis...............................pptx
Mitosis...............................pptx
 
THE IMPORTANCE OF MARTIAN ATMOSPHERE SAMPLE RETURN.
THE IMPORTANCE OF MARTIAN ATMOSPHERE SAMPLE RETURN.THE IMPORTANCE OF MARTIAN ATMOSPHERE SAMPLE RETURN.
THE IMPORTANCE OF MARTIAN ATMOSPHERE SAMPLE RETURN.
 
The importance of continents, oceans and plate tectonics for the evolution of...
The importance of continents, oceans and plate tectonics for the evolution of...The importance of continents, oceans and plate tectonics for the evolution of...
The importance of continents, oceans and plate tectonics for the evolution of...
 
Structural annotation................pptx
Structural annotation................pptxStructural annotation................pptx
Structural annotation................pptx
 

A Services Landscape Transformed by Technology: Findings from the 2014 National Technology Readiness Survey, Colby and Parasuram

  • 1. A Services Landscape Transformed by Technology: Findings from the 2014 National Technology Readiness Survey Presented to Frontiers in Services 2014 Charles L. Colby, Chief Methodologist & Founder, Rockbridge Associates, Inc. For info, contact: Charles Colby ccolby@rockresearch.com A. Parasuraman, Professor, Marketing University of Miami For info, contact: Dr. A. “Parsu” Parasuraman parsu@miami.edu
  • 2. Foreshadowing… the last slide Photo source: www.buzzaboutbees.net
  • 3. Topics Covered Today Technology Readiness Fastest growing e-services TR beliefs behind their growth Foundational technologies behind their growth Omni-channel behavior and “Channel Foraging” Implications for management
  • 4. Our Research Program and The TR Construct
  • 5. Our Research Program National Technology Readiness Survey – Authored by Parasuraman and Rockbridge – Replicated in 1999, 2000, 2001, 2002, 2004, 2005/6, 2007, 2009, 2012, 2014 TRI Scale licensed to over 120 scholars in 30 countries, including Germany, Turkey, China, UK, Brazil, India, Malaysia, Philippines, Canada, South Africa – Contexts include financial services, retailing, communications, travel, e-government, healthcare Co-sponsored by the Center for Excellence in Service
  • 6. What is Technology Readiness? (TR)  TR refers to people’s propensity to embrace and use new technologies for accomplishing goals in home life and at work  TR reflects an overall state-of-mind; it is not a measure of competence  It describes the person, not the technology  Measured by the Technology Readiness Index (TRI)
  • 7. Inhibitors Contributors Components of Technology Readiness Optimism Innovativeness Discomfort Insecurity Technology Readiness
  • 8. TRI 2.0: A Multi-Item Measure The Technology Readiness Index was first published in the JSR in 2000 TRI 2.0 will be published in JSR this year* The latest scale version: – 16 agreement scaled attributes – 4 sub-scales for measuring individual dimensions of TR – A segmentation scheme classifies individuals into five distinct types *“An Updated and Streamlined Technology Readiness Index: TRI 2.0”, A. Parasuraman and Charles L, Colby, Journal of Services Research, published online June 22, 2014
  • 9. TRI 2.0 (16 item index) • Give advice • First to adopt • Self reliant • Keeps informed • People too dependent on tech • Technology distracts • Tech lowers relationship quality • Distrust of virtual venues • Distrusts tech support • Tech support unhelpful • Tech not designed for us • Manuals are too technical • Better quality life • Freedom of mobility • Control • Personally productive Optimism Discomfort InnovativenessInsecurity Technology Readiness
  • 10. Distribution of TRI 2.0 (2014 Study)
  • 11. TRI 2.0 Includes a Segmentation % of population Motivators Inhibitors TRI Optimism Innovative Discomfort Insecurity Explorers 27% 4.6 4.1 2.3 2.6 3.9 Pioneers 20% 4.3 4.0 3.7 4.1 3.1 Skeptics 27% 3.7 3.1 2.8 3.4 3.1 Hesitators 14% 4.1 2.1 3.2 3.6 2.8 Avoiders 13% 2.6 1.8 3.8 4.2 2.1 Total 3.9 3.2 3.0 3.5 3.2
  • 12. Profile of TR Segments (2014 Data) Owns smart phone # gadgets # eServices Demographic Correlates Explorers 79% 8.1 18.1 Younger, Male, Tech jobs Pioneers 77% 8.1 16.2 Younger, Male, Ethnically diverse, Foreign born, Tech jobs Skeptics 62% 6.6 14.5 Mirrors General Population Hesitators 52% 5.9 13.2 Older, Female, Retired Avoiders 33% 4.9 8.8 Older, Female, not Diverse, Less educated, Retired Total 64% 7.0 14.9
  • 14. Methodology Nationally representative survey of 1230 U.S. adults Frame: online panel from 2 reputable providers Weighted to match U.S. Census Margin of Error +/- 3% Limitations: – Excludes “offline” population – Uses an online panel
  • 16. Fastest Growing e-Services www.rockresearch.com Low Penetration, High Growth High Penetration, High Growth Low Penetration, Low Growth High Penetration, Low Growth Medical tests
  • 17. E-Service Categories (Based on Factor Analysis) Category Growth* Services Health 155% Checked tests online, communicated with professional Small Purchases 46% Purchased items <$10, $10 to $100 Entertainment 37% Download movies, download songs, streaming music, live TV, download books, live TV, live radio, video call, watch video C2C 20% Sold to another consumer, bought from another Big Purchases 16% Travel, investments, items >$100 Financial 15% Online banking, moved funds online, checked utility account, managed credit card, bill paying, paid bill at provider website Government 0% Visited federal site, did federal business, visited state/local site, did state/local business News/research 0% Read news/mag online, researched health info Learning -5% Online course, visited membership org site *Growth from 2009 to 2014; not all items tracked in 2009.
  • 18. Technology Readiness Beliefs behind Adoption Correlation of TR Dimension with # of Activities Category Opt Inn Dis Ins TRI Influencers Health .06 .09 0.03 ns 0.03 ns 0.04 ns Not important Small Purch .22 .21 -.15 -.15 .25 All 4 beliefs Entertainment .35 .46 -.20 -.19 .42 All 4 beliefs C2C .20 .23 -0.05 ns -.08 .20 Motivators Big Purchases .24 .25 -.09 -.10 .24 Motivators Financial .25 .26 -.17 -.10 .27 Motivators & Disc Government .20 .20 -.07 -0.05 ns .18 Motivators News/research .18 .13 -.18 -0.04 ns .18 Opt & Disc Learning .16 .20 -.08 -.10 .19 Motivators
  • 20. 18% 29% 36% 36% 37% 40% 46% 51% 60% 66% 71% 78% 96% Key Technology Growth and Projected Penetration in 2016 2012 2014 2016 projected Foundational Technologies
  • 21. Portable GPS Portable video player Portable music player (MP3) Digital video camera Digital point and shoot camera eBook reader Usage of Applications on Single Function And Multiuse Devices Multi-function device Both Standalone device The Ubiquitous Do-it-all Device 14% 22% 18% 16% 13% 20%
  • 24. The Changing Consumer Journey 20142012
  • 25. Types of Shopping Journeys ($50 or more) In-person Only Shoppers, 29% Superficial In-person Shoppers, 17% Methodical High Touch Shoppers, 16% Simple Digital Shoppers, 20% Analytical Digital Shoppers, 16% Phone Orderers, 3% Store checkout: 62%Online checkout: 36%2% 6% Checked out with smartphone SHOP NOW 25 % OFF
  • 26. Half of Purchases are Complex Uni-Channel (52%) In-person Only (29%): Offline channels, store visit, store purchase Simple Digital (20%): Research & order online, ship to home or work Phone Orderers (3%): Completely by phone or smartphone Omni-Channel (48%) Superficially In-Person (17%): research online and offline, store purchase Methodical High-Touch (16%): intense info search in multi- ple venues, store purchase Analytical Digital (16%): intense info search, store visits, online purchase
  • 27. Technology Readiness Correlates Pioneers [high on motivators + high on inhibitors] are more likely to engage in methodical high touch and analytical digital purchase processes Avoiders [least techno-ready] and Hesitators [optimistic + high on inhibitors] are more likely to engage in in-person only purchases Explorers [most techno-ready] tend to prefer online channels
  • 28. Bank Channel Convergence Branch Mobile Call Center Online 1 2 3+ Market 21% 33% 46% Explorers 16% 26% 58% Pioneers 18% 25% 57% Skeptics 19% 40% 42% Hesitators 23% 47% 30% Avoiders 41% 31% 28% Number of Channels Used (Self-reported)
  • 30. Service Transaction of the Future? Channel Foraging: “To search about; seek; rummage; hunt”
  • 31. Questions for Service Managers How techno-ready are our customers? How do we provide information, purchase capability and servicing across multiple platforms? Do channels meet the needs of all TR segments? Do we offer maximum flexibility for fulfillment? (Ship anywhere, pick-up anywhere?) How do physical locations fit into our service model? How do we prevent customers from taking advantage of expensive bricks & mortar channels (look but not buy)? How do we get our message in front of consumers who use a wide variety of info sources in small doses?
  • 32. Questions for Researchers When does TR matter for a technology-based service? When do different TR components matter? Can we forecast demand using TR as a proxy of innovation? How is the service purchase and usage process changing? Is “channel foraging” truly the future? What is an optimal “show rooming” solution (that charges customers for using physical channels)? What will be the impact of emerging technologies (e.g., robotics) on services behavior? Is the management and operation of services businesses taking on the same complexity as customer behavior, augmented by technology? Should it?