Modeling the impact of social media on the adoption of a new product by customers

Abstract

Marketers and entrepreneurs need to keep up with the fast-paced changes that are happening in the business environment, or they might face the risk of becoming obsolete in the rapidly changing business environment. It is long gone the days when a conventional business model used to help grow fast and get success. With the emergence of social media, the role of consumer-to-consumer communication about the new products and the firms that produce them has been highly magnified in the marketplace. Social media advertisements are promising tools that affect the adoption of a new product. In this paper, a non-linear mathematical model is introduced for this study. To perceive the impact of social media advertisements on the adoption of a new product, we have considered three dynamic variables; namely, (i) non-adopting population, (ii) adopting population, and (iii) social media advertisements. The stability theory of differential equations has been used to study the model analytically. The computer generated figures are drawn in support of derived analytical results for a particular set of parameter values.•We have proposed and analyzed an nonlinear mathematical model to study the impact of social media advertisements on adoption of new product.•We have considered three dynamical variables; namely, non-adopting population, adopting population, and social media advertisements.•The stability theory of differential equations has been used to study the model analytically.