From Misfits to mHealth wearable devices: Understanding the psychology of new-product adoption

Background: Toften and Hammervoll (2009) emphasize that central aspects of marketing strategy require companies to identify and select who the desired customers will be and how to attract them to buy the companies products. However, some consumers would not to buy innovative products even when they offer distinct improvements over existing ones. It seems that companies always have more faith in new products. Few would question the objective advantages of many innovations over existing alternatives, but that’s often not enough for them to succeed. Objectives: This paper uses a behavioral framework that explains why so many products fail to explains the recent success of wearable devices such as Misfits and FitBit wristband. It also outlines some actions that mobile health (mHealth) companies can take to improve their chances of success. Materials/Patients and Methods: Using qualitative research method, this study explores the consumer perspective related to recent development of the wearable device market. Results: The rapid consumer adoption of wearable devices for the collection of health data is laying the foundation for the next revolution of mHealth industry. The integration of wearable health monitors with smartphones offers capabilities to collect continuous, accurate health data in real time. Broad consumer use of such devices is building familiarity and will facilitate the implementation of similar medical grade wearable devices. However, it would take more than just familiarity to fully incorporate mHealth wearable devices into the current market. Conclusion: Consumers irrationally overvalue benefits they currently possess relative to those they don’t. The bias leads consumers to value the advantages of products they own more than the benefits of new ones. It also leads executives to value the benefits of innovations they’ve developed over the advantages of incumbent products.