Diffusion of innovations in e-trade

Abstract

In terms of market relations, the effectiveness of marketing systems is a decisive factor in the competitiveness of the enterprise. In today’s world, enterprises cannot exist without the introduction of innovative processes into production or to existing goods or services. The application of innovations in marketing, which increases profitability by 10%, is extremely relevant today, so there is an urgent need to study the spread of innovations in e-trade, taking into account marketing management. The aim of the article is to determine the impact of marketing management on the spread of inno­vations in e-trade. The research was conducted using methods of theoretical generalization and grouping; formalization and synthesis; principles of scientific content analysis. In order to assess the significance of the influence of the components of the marketing complex on the spread of innovations in e-trade, for the reliability of the research results and the justified choice of strategies, the model of F. Bass was chosen, which is characterized by the universality of application and the classification of e-consumers into social groups: innovators, early followers, early majority, late majority and outsiders. Price and promotion (advertising) are found to affect the size of the e-trade market, taking into account the elasticity of demand and the growth dynamics of the e-trade market size. Innovations ensure the further development of successful business and maintaining competitive positions on the market, therefore demand forecasting is a priority area. Marketing mix management affects all key elements of the Bass model, including innovativeness and imitation rates, total e-trade market size, and diffusion rates. It was found that the price is the dominant factor in the diffusion of innovations, and the effect of advertising is cumulative during the life cycle of the innovative product, which positively affects both the size of the market and the speed of diffusion of innovations.