Customer familiarity with new industrial product technology and its influence on adoption : the case of De Beers diamond extraction equipment

Abstract

An investigation was conducted into the influence of industry customers’ familiarity with new technology on their decisions when purchasing discontinuous industrial products. This was done in the context where the supplier and customer organisations are entities in the same company. Even in this favourable context, continuous products remained successful despite a better solution being available. Literature on this close type of relationship is sparse, mostly because information on such internal processes is generally regarded as competitive. The case investigated was the DebTech division of De Beers, and their experience with products that they design and manufacture for the global diamond mining industry. Product developer and customer data from applicable projects was analysed, and interviews and observations were conducted. The results indicate that familiarity with the product technology favourably influences perceptions of newness, safety, and the ease of integration of a product. Familiarity increases customers’ propensity to recommend and purchase new-technology products.Die invloed is ondersoek van vertroudheid met nuwe tegnologie op nywerheidskliënte se aankoopbesluite van diskontinue nywerheidsprodukte. Dit is gedoen in die konteks waar die verskaffer- en kliëntorganisasies entiteite in dieselfde maatskappy is. Selfs in hierdie gunstige opset is ervaar dat kontinue nywerheidsprodukte meer verkoop, al is ’n beter oplossing beskikbaar. Literatuur oor hierdie tipe verhouding is skaars, hoofsaaklik omdat inligting oor sodanige interne prosesse normaalweg as mededingend beskou word. Die geval is ondersoek van die DebTech-afdeling van De Beers se ervaring met produkte wat dit vir die internasionale diamantmynbedryf ontwerp en vervaardig. Produkontwikkelaar- en kliëntdata van toepaslike projekte is ontleed, aangevul met onderhoude en waarnemings. Die resultate toon dat kliënte se vertroudheid met die produktegnologie hulle persepsies van nuutheid, veiligheid, en integreerbaarheid van nuwe-tegnologieprodukte gunstig beïnvloed. Tegnologievertroudheid verhoog hulle geneigdheid om nuwe-tegnologieprodukte aan te beveel en te koop.