Digital service innovation, customer engagement, and customer equity in AR marketing

2021 ◽  
Vol 31 (3) ◽  
pp. 453-466
Author(s):  
Kyung Hoon Kim ◽  
Eunju Ko ◽  
Sang Jin Kim ◽  
Qi Jiang
2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Marco Opazo-Basáez ◽  
Ferran Vendrell-Herrero ◽  
Oscar F. Bustinza

PurposeExisting innovation frameworks suggest that manufacturing firms have traditionally developed a complementary model of technological innovations comprising process and product innovations (e.g. Oslo Manual). This article presents digital service innovation as a novel form of technological innovation that is capable of enhancing the performance of firms in certain manufacturing industries.Design/methodology/approachDrawing on technological innovation and digital servitization fields of research, this study argues that digital service innovation, in manufacturing contexts, complements traditional sources of technological innovation, so increasing the profit margins of firms. This effect is significant in industries characterized by business-to-business contexts, high presence of link channels and long product life spans (e.g. manufacturing and computer-based industries). Predictions are tested on a unique sample of 423 Spanish manufacturing firms using parametric (t-test) and nonparametric (fuzzy-set qualitative comparative analysis, fsQCA) approaches.FindingsThe results of this analysis show that a necessary condition so that manufacturing firms can increase profits is the deployment of simultaneous process and product innovations. It also reveals that optimal configuration requires that digital service innovation be undertaken, particularly in machinery and computer-based manufacturing industries. Hence, all three sources of technological innovation are brought together in order to reach the highest levels of company performance. The evidence suggests that technological innovation and digital servitization are closely interrelated in highly innovative manufacturing contexts.Originality/valueThis study's originality and value reside in the fact that it reveals the existence of firms incorporating digital service innovation – a new, technological innovation dimension that challenges existing innovation frameworks – to complement traditional technological innovation sources, namely process and product innovation. Moreover, the study conceptualizes and empirically tests the value-adding role of digital services in firms' technological innovation portfolio.


2015 ◽  
Vol 26 (1) ◽  
pp. 156-176 ◽  
Author(s):  
Javier Reynoso ◽  
Jay Kandampully ◽  
Xiucheng Fan ◽  
Hanna Paulose

Purpose – The purpose of this paper is to provide insights into indigenous, solution-based business models and their relevance for inclusive service innovation within specific social contexts in emerging economies, with particular emphasis on the role of culture and technology. Design/methodology/approach – A proposed framework illustrates four factors that nurture socially driven service innovation in emerging economies: solution, inclusion, culture, and technology. Extant literature from studies in India, Latin America, and China illustrates distinct indigenous innovations and service relationships that exist at the base of the pyramid (BoP), which provides a foundation for a better understanding of socially inclusive service innovations. Findings – A conceptual model of inclusive service innovation reflects an integrated, virtuous cycle, composed of service relationships that stem from the BoP at various levels of analysis across different income segments. These findings suggest notable research directions. Practical implications – This study reinforces the importance of a solution orientation as a competitive business model to gain customer engagement. Social implications – Researchers and practitioners in emerging and advanced economies can use the approach suggested by this paper in their efforts to build sustainable business cultures and improve the well-being of society. Originality/value – Previous research has not addressed the social or communal roles of service innovation; this study proposes an innovative switch from a traditional strategy of selling services toward a proactive approach that involves low-income customers as active resources to co-create social and business value.


2018 ◽  
Vol 30 (4) ◽  
pp. 2020-2036 ◽  
Author(s):  
Hong Xu ◽  
Yuqing Liu ◽  
Xingyang Lyu

Purpose This study aims to examine how the degree of value co-creation affects Chinese customers’ evaluations of new tourism and hospitality services, and how the outcome quality moderates this relationship under different conditions. Design/methodology/approach The proposed hypotheses are tested using a self-reporting questionnaire-based survey and two experimental designs. Data analysis entailed hierarchical multiple regression analysis, a simple slope test and a two-way ANOVA. Findings Three component studies assessed boundary conditions for the positive effects of the degree of value co-creation on customers’ evaluations of new services. Studies 1 and 2 indicated that unequivocal high-quality outcomes amplified positive effects, which were reversed by unequivocal low-quality outcomes. Study 3 demonstrated that in Chinese contexts of ambiguous outcomes, the relationship between the degree of co-creation and new service evaluation was positively mediated by self-integration in private contexts and negatively mediated by loss of face in public contexts. Practical implications This study identifies critical factors influencing successful service innovation in China within different contexts. Its finding of context-dependent customer engagement in value co-creation has managerial implications for facilitating favorable new service evaluations. Originality/value This exploratory study addresses a research gap regarding service innovation, offering insights into positive and negative influences of customer value co-creation on new service evaluation, under different outcome quality conditions in the domestic Chinese hospitality and tourism sector.


2021 ◽  
Vol 12 (2) ◽  
pp. 48-62
Author(s):  
Sanna Ryynänen ◽  
Riitta Uusisalmi

The aim of the study is to describe and increase understanding about digital service design in creating technological innovations in Finnish hospital districts. The data was collected via an open questionnaire during March-August 2019 and analyzed using a combined thematic and narrative analysis. Three distinct themes arose from the research narratives: cooperation, development, and cost. First, the importance of cooperation in the early stages of the service design process, when new technological innovation ideas are developed, was emphasized. Second, the possibilities of digitalization and need for new innovations were taken into account in the development theme. Third, costs define the utilization of an innovation and guide its initial development. If savings and costs are in balance, technological innovations will move forward. Moreover, the findings show that technological innovations in hospital districts progress in a certain pattern, and the utilization of innovations come from the need and pressure to evolve. Keywords Adoption of Innovation, Deployment of Innovation, Digital Service Design, Rogers's Diffusion of Innovation Theory, Service Design, Service Innovation, Specialized Medical Care


Author(s):  
Nick Sturkenboom ◽  
Ehsan Baha ◽  
Rebecca Price ◽  
Maaike Kleinsmann ◽  
Dirk Snelders

AbstractWithin the third wave of digital service innovation, framing is becoming increasingly complex. Accordingly, design practice finds itself in a transition from designing single service solutions that are shared, to designing systemic solutions that are shareable. We report a case study in which we use Cultural Historical Activity Theory (CHAT) to analyze the framing process that a designer went through when designing a digital service for a Connected Care startup. Results show the importance of the designer's activity awareness and the challenge of dealing with relational complexity when framing the digital service innovation. With this work, we hope to inspire researchers and practitioners with the potential that CHAT has to offer for the reflective practice in digital service innovations.


2018 ◽  
Vol 33 (1) ◽  
pp. 145-152 ◽  
Author(s):  
Youmna Mohamed Abdelghany Youssef ◽  
Wesley J. Johnston ◽  
Talaat Asaad AbdelHamid ◽  
Mona Ibrahim Dakrory ◽  
Mohamed Galal Soliman Seddick

Purpose The purpose of this study is to investigate conceptually the relationship between the customer’s engagement and equity and to determine whether customer engagement could be positively enhanced by business-to-business (B2B) firms to maximize their customer equity, through examining the role of cognitive, emotional and behavioral engagement. Design/methodology/approach This paper is built on the evolving marketing literature and proposes a comprehensive framework that uses a multidimensional conceptualization for the customer’s engagement and equity constructs; examines the relationships between customer satisfaction, commitment, trust and involvement and customer engagement; and specifies the specific customer engagement dimensions – cognitive, emotional and behavioral – as key mediators of the engagement–equity relationship. Findings This paper indicated that customer engagement is a multidimensional construct with three dimensions: cognitive, emotional or behavior engagement. Customer’s satisfaction, commitment, trust and involvement would be regarded as antecedents to customer engagement, whereas customer equity would be regarded a consequence for customer engagement. In addition, this paper identified three drivers of customer equity – value, brand and relationship equities – based on reviewing the previous studies. Originality/value This paper integrates philosophies from previous marketing studies of customer relationship management and customer engagement and equity into a B2B environment in a more customer-centric approach.


2018 ◽  
Vol 32 (1) ◽  
pp. 95-100 ◽  
Author(s):  
Linda D. Hollebeek ◽  
Tor W. Andreassen ◽  
Dale L.G. Smith ◽  
Daniel Grönquist ◽  
Amela Karahasanovic ◽  
...  

Purpose While (customer) engagement has been proposed as a volitional concept, our structuration theory/S-D logic-informed analyses of actors’ (e.g. employees’) engagement in service innovation reveal engagement as a boundedly volitional theoretical entity, which arises from actors’ structural and agency-based characteristics and constraints. In line with this observation, the purpose of this paper is to develop a conceptual model of actor (i.e. customer, firm, employee) engagement with service innovation. Design/methodology/approach Based on the observed gap, the authors propose an integrative S-D logic/structuration theoretical model that outlines three particular service innovation actors’ (i.e. customers’, the firm’s and employees’) engagement, which comprises institution-driven (i.e. fixed) and agency-driven (i.e. variable) engagement facets. In addition, the authors integrate the key expected characteristics of positively (vs negatively) valenced service innovation engagement for each of these actor groups in the analyses. Findings The authors develop a 12-cell matrix (conceptual model) that outlines particular service innovation actors’ institution-driven and agency-driven engagement facets and outline their expected impact on actors’ ensuing positively and negatively valenced engagement. Research limitations/implications The authors discuss key theoretical implications arising from the analyses. Originality/value Outlining service innovation actors’ structure- and agency-driven engagement facets, the authors’ model can be used to explain or predict customers’, the firm’s or employees’ service innovation engagement-based activities.


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