A pricing approach for service companies: service blueprint as a tool of demand-based pricing

2014 ◽  
Vol 20 (6) ◽  
pp. 906-921 ◽  
Author(s):  
Armando Calabrese ◽  
Federico De Francesco
Keyword(s):  
Design Methodology ◽  
Design Science ◽  
Pricing Strategies ◽  
Content Type ◽  
Service Value ◽  
Service Companies ◽  
Service Pricing ◽  
User Friendly ◽  
Practical Implications ◽  
Service Blueprint

Purpose – Demand-based pricing fixes price according to customers’ perceptions of service value and to their resulting willingness to pay. This pricing approach enables service companies to align their prices to customers’ preferences and to their expenditure propensity. Accordingly, it can generate higher margins than other pricing approaches. Nevertheless, this approach is difficult to implement operationally. Consequently, in order to overcome these implementation difficulties, the purpose of this paper is to provide a demand-based pricing approach based on the user-friendly technique of service blueprint (SB). Design/methodology/approach – The methodology relies on the design science leads. Design science deals with creating artefacts or models for supporting human or organizational purposes; such artefacts have to be assessed against criteria of utility or value for users. Accordingly, an experimental action research is performed for both implementing and testing the proposed pricing approach. Findings – Starting from the main difficulties hindering implementation of demand-based pricing, SB is proved to enable companies to overcome such difficulties and to support its implementation. Moreover, by employing SB, an innovative approach for fixing service prices is provided. Practical implications – The proposed approach enables managers of service companies to overcome difficulties of demand-based pricing and to employ pricing strategies according to demand-based drivers. Originality/value – In line with a recent call for research on service pricing, this paper develops a new pricing approach, which is able to promote demand-based pricing.

Means-ends based know-how mapping

2017 ◽  
Vol 21 (2) ◽  
pp. 454-473 ◽  
Author(s):  
Arnon Sturm ◽  
Daniel Gross ◽  
Jian Wang ◽  
Eric Yu
Keyword(s):  
Graduate Students ◽  
Design Methodology ◽  
Expert Knowledge ◽  
Design Science ◽  
Content Type ◽  
Know How ◽  
Knowledge Domains ◽  
Prototype Tool ◽  
Novel Approach ◽  
Practical Implications

Purpose The purpose of this paper is to report on research that aims to make knowledge, and in particular know-how, more easily accessible to both academic and industrial communities, as well as to the general public. The paper proposes a novel approach to map out know-how information, so all knowledge stakeholders are able to contribute to the knowledge and expertise accumulation, as well as using that knowledge for research and applying expertise to address problems. Design/methodology/approach This research followed a design science approach in which mapping of the know-how information was done by the research team and then tested with graduate students. During this research, the mapping approach was continuously evaluated and refined, and mapping guidelines and a prototype tool were developed. Findings Following an evaluation with graduate students, it was found that the know-how maps produced were easy to follow, allowed continuous evolution, facilitated easy modification through provided modularity capabilities, further supported reasoning about know-how and overall provided adequate expressiveness. Furthermore, we applied the approach with various domains and found that it was a good fit for its purpose across different knowledge domains. Practical implications This paper argues that mapping out know-how within research and industry communities can further improve resource (knowledge) utilization, reduce the phenomena of “re-inventing the wheel” and further create linkage across communities. Originality/value With the qualities mentioned above, know-how maps can both ease and support the increase of access to expert knowledge to various communities, and thus, promote re-use and expansion of knowledge for various purposes. Having an explicit representation of know-how further encourages innovation, as knowledge from various domains can be mapped, searched and reasoned, and gaps can be identified and filled.

Use of dynamic pricing strategies by Airbnb hosts

2018 ◽  
Vol 30 (1) ◽  
pp. 2-20 ◽  
Author(s):  
Chris Gibbs ◽  
Daniel Guttentag ◽  
Ulrike Gretzel ◽  
Lan Yao ◽  
Jym Morton
Keyword(s):  
Dynamic Pricing ◽  
Design Methodology ◽  
Sharing Economy ◽  
Host Factors ◽  
Pricing Strategies ◽  
High Demand ◽  
Content Type ◽  
Multiple Markets ◽  
Hotel Managers ◽  
Practical Implications

Purpose The purpose of this paper is to provide a comprehensive analysis of dynamic pricing by Airbnb hosts. Design/methodology/approach This study uses attribute and sales information from 39,837 Airbnb listings and hotel data from 1,025 hotels across five markets to test different hypotheses which explore the extent to which Airbnb hosts use dynamic pricing and how their pricing strategies compare to those of hotels. Findings Airbnb is a unique and complex platform in terms of dynamic pricing where hosts make limited use of dynamic pricing strategies, especially as compared to hotels. Notwithstanding their limited use, hosts who own listings in high-demand leisure markets, manage entire places, manage more listings and have more experience vary prices the most. Practical implications This study identified a great need for Airbnb to encourage dynamic pricing among its hosts, but also warned of the potential perils of dynamic pricing in the sharing economy context. The findings also demonstrated challenges for hotel managers interested in actionable information related to Airbnb as a competitor. Originality/value This is the first Airbnb study to use a comprehensive set of data over a continuous period in multiple markets to look at a number of listing and host factors and determine their relation with dynamic pricing strategies.

Cooperation strategies for e-commerce platforms with seller classification

Kybernetes ◽  
2016 ◽  
Vol 45 (9) ◽  
pp. 1369-1386 ◽  
Author(s):  
Ya’nan Ji ◽  
Xiaoyan Xu ◽  
Yanhong Sun
Keyword(s):  
Service Quality ◽  
Design Methodology ◽  
Pricing Strategies ◽  
Performance Requirement ◽  
Content Type ◽  
Pricing Decisions ◽  
Different Types ◽  
The Individual ◽  
Practical Implications ◽  
Strategy I

Purpose The purpose of this paper is to study the cooperation and pricing strategies for e-commerce platforms when considering seller classification. Design/methodology/approach E-commerce platforms serve to facilitate trade and generate revenue from the participants. By classifying the sellers in the market into two types (the individual sellers vs the professional sellers), the authors examine how the interaction between the two types of sellers affects the platform’s cooperation and pricing decisions. Specifically, the authors compare two cooperation strategies for the platform: cooperating only with the professional sellers (strategy I); and cooperating with both the two types of sellers (strategy II). Findings When the platform attractiveness for the professional sellers is high enough, strategy II is absolutely beneficial than strategy I; whereas when the platform attractiveness for the professional sellers is low and the performance requirement of the individual sellers is relatively high, strategy I will be more beneficial. Practical implications For a platform choosing strategy II, it should make effort to differentiate between the different types of sellers by the product or service quality. Originality/value The paper is among the first to study the cooperation and pricing strategies for the e-commerce platform with seller classification.

Towards interoperable recordkeeping systems

2017 ◽  
Vol 27 (2) ◽  
pp. 125-148 ◽  
Author(s):  
Gregory Rolan
Keyword(s):  
Design Methodology ◽  
Conceptual Models ◽  
Design Science ◽  
Proof Of Concept ◽  
Content Type ◽  
Meta Model ◽  
Concept System ◽  
Reflective Design ◽  
Practical Implications ◽  
Model Approach

Purpose The purpose of this paper is to introduce an infrastructural approach to metadata modelling and a generalised meta-model for recordkeeping metadata. This meta-model is an attempt to support interoperability between disparate systems, and particularly, between sets of ostensibly incommensurate record documentation. Design/methodology/approach The investigation used a reflective design-science investigation comprising interviews adaptive literature review, creation of conceptual models and the design and instantiation of a proof-of-concept system. Findings The investigation confirms that recordkeeping interoperability between disparate ontologies is achievable through a meta-model approach. In particular, the meta-model carefully defines relationships between entities with specific semantics that enable the development of interoperable domain schemas. Practical implications A meta-model for recordkeeping metadata facilitates the development of recordkeeping systems that possess interoperability-by-design. Social implications Recordkeeping systems that conform to the meta-model can, therefore, transcend the immediate transactional context and support participatory recordkeeping in terms of a plurality of stakeholder world views and agency in records. Originality/value This paper is one of the few reporting design-science approaches to recordkeeping informatics and one that has used a meta-model approach for recordkeeping metadata design. In contrast to most empirically determined metadata schemas, the top-down design approach has produced a schema from a wide variety of ontological sources.

Psychographics of comparison shoppers

2016 ◽  
Vol 33 (1) ◽  
pp. 20-31 ◽  
Author(s):  
Banwari Mittal
Keyword(s):  
Design Methodology ◽  
Self Esteem ◽  
Achievement Orientation ◽  
Content Type ◽  
Extant Literature ◽  
Service Value ◽  
Decision Confidence ◽  
Comparison Shopping ◽  
Practical Implications

Purpose – The purpose of the paper is to identify the psychographics of comparison shoppers. How do comparison shoppers differ from their counterparts? This question has remained unaddressed in extant literature. Design/methodology/approach – Two separate surveys of convenience samples of consumers were used to identify comparison shoppers and non-comparison shoppers and their profiles. Findings – Comparisons shoppers enjoyed shopping more and were on a tight budget. They also saw themselves as smart shoppers compared to their counterparts. However, non-comparison shoppers did not lack in buying gratification, decision confidence or satisfaction with their choices. Both groups were also at par on achievement orientation, optimism, spirited living and happiness. Research limitations/implications – Findings of differences are important: comparison shoppers do not find the shopping task stressful, instead they enjoy shopping more. The findings of no difference are even more important: the act of engaging in comparison shopping did not, in and of itself, heighten (nor lessen) the decision confidence, consumption pleasure, optimism or happiness. Practical implications – Given that comparison shoppers are just as optimists and achievement oriented, their self-esteem is likely just as high, and, as such, they would expect to be treated with respect. Thus, even low-service, value-priced stores need to make shopping hassle free, pleasant and respectful. Originality/value – Comparison shopping has not been studied before as a focal construct. The present paper contributes by identifying important psychographic traits of comparison shoppers, both those that separate them from their counterparts and those that unite them.

Improving the effectiveness of subject facets in library catalogs and beyond: a MARC-based semiautomated approach

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Andrea Cuna ◽  
Gabriele Angeli
Keyword(s):  
Design Methodology ◽  
Exploratory Search ◽  
Controlled Vocabularies ◽  
Content Type ◽  
Client Server ◽  
Search Tasks ◽  
Facet Analysis ◽  
High Level ◽  
User Friendly ◽  
Practical Implications

PurposeThis paper puts forward a MARC-based semiautomated approach to extracting semantically rich subject facets from general and/or specialized controlled vocabularies for display in topic-oriented faceted catalog interfaces in a way that would better support users' exploratory search tasks.Design/methodology/approachHierarchical faceted subject metadata is extracted from general and/or specialized controlled vocabularies by using standard client/server communication protocols. Rigorous facet analysis, classification and linguistic principles are applied on top of that to ensure faceting accuracy and consistency.FindingsA shallow application of facet analysis and classification, together with poorly organized displays, is one of the major barriers to effective faceted navigation in library, archive and museum catalogs.Research limitations/implicationsThis paper does not deal with Web-scale discovery services.Practical implicationsThis paper offers suggestions that can be used by the technical services departments of libraries, archives and museums in designing and developing more powerful exploratory search interfaces.Originality/valueThis paper addresses the problem of deriving clearly delineated topical facets from existing metadata for display in a user-friendly, high-level topical overview that is meant to encourage a multidimensional exploration of local collections as well as “learning by browsing.”

Market-based pricing in B2B service industries

2019 ◽  
Vol 34 (5) ◽  
pp. 1030-1040 ◽  
Author(s):  
Kostis Indounas
Keyword(s):  
Market Structure ◽  
Design Methodology ◽  
Service Industries ◽  
Market Conditions ◽  
Content Type ◽  
Specific Approach ◽  
Service Companies ◽  
The Impact ◽  
Business To Business ◽  
Practical Implications

PurposeThe purpose of this paper is to investigate the pricing objectives that business-to-business (B2B) service companies pursue to set their prices and to examine the impact of market structure on these objectives.Design/methodology/approachTo achieve the research objectives, data were collected from 193 companies operating in four different B2B service industries.FindingsThe findings of the study indicate that, in the current study, the companies investigated seem to follow various pricing objectives with a particular emphasis being placed on customer-related ones. The study also reveals that the market structure does have an impact on the pricing objectives pursued because different market conditions are found to lead to different pricing objectives.Practical implicationsThe above findings indicate that the managers responsible for setting prices within their firms should follow a “situation-specific approach” and be guided by the unique characteristics of their markets.Originality/valueGiven the lack of similar studies in the existing B2B services literature, the value of the paper is that it represents one of the first attempts to empirically examine this issue.

scholarly journals Ontology enhancement using crowdsourcing: a conceptual architecture

2020 ◽  
Vol 4 (3) ◽  
pp. 231-243
Author(s):  
Chepkoech C. Kiptoo
Keyword(s):  
Domain Knowledge ◽  
Design Methodology ◽  
Design Science ◽  
Science Research ◽  
Fruit Fly ◽  
Design Science Research ◽  
Research Approach ◽  
Content Type ◽  
The Creation ◽  
Practical Implications

Purpose This paper aims to investigate the use of crowdsourcing in the enhancement of an ontology of taxonomic knowledge. The paper proposes a conceptual architecture for the incorporation of crowdsourcing into the creation of ontologies. Design/methodology/approach The research adopted the design science research approach characterised by cycles of “build” and “evaluate” until a refined artefact was established. Findings Data from a case of a fruit fly platform demonstrates that online crowds can contribute to ontology enhancement if engaged in a structured manner that feeds into a defined ontology model. Research limitations/implications The research contributes an architecture to the crowdsourcing body knowledge. The research also makes a methodological contribution for the development of ontologies using crowdsourcing. Practical implications Creating ontologies is a demanding task and most ontologies are not exhaustive on the targeted domain knowledge. The proposed architecture provides a guiding structure for the engagement of online crowds in the creation and enhancement of domain ontologies. The research uses a case of taxonomic knowledge ontology. Originality/value Crowdsourcing for creation and enhancement of ontologies by non-experts is novel and presents opportunity to build and refine ontologies for different domains by engaging online crowds. The process of ontology creation is also prone to errors and engaging crowds presents opportunity for corrections and enhancements.

Critical factors for knowledge management in project business

2010 ◽  
Vol 14 (1) ◽  
pp. 156-168 ◽  
Author(s):  
Mian Ajmal ◽  
Petri Helo ◽  
Tauno Kekäle
Keyword(s):  
Information System ◽  
Knowledge Management ◽  
Design Methodology ◽  
Online Survey ◽  
Success Factors ◽  
Project Managers ◽  
Content Type ◽  
Critical Success ◽  
User Friendly ◽  
Practical Implications

PurposeThe purpose of this study is to identify and examine various factors that influence the success or failure of knowledge management (KM) initiatives in project‐based companies.Design/methodology/approachFollowing a literature review, the study proposes a conceptual model of six factors of potential importance to the success of KM initiatives. The model is then examined through an online survey of project managers and assistant managers from project‐based businesses in Finland.FindingsThe study finds that a lack of incentives and the absence of an appropriate information system are the most significant barriers to successful KM initiatives in projects.Research limitations/implicationsThe findings of the study may be restricted in terms of generalisability because of the limited empirical study.Practical implicationsProject managers should formulate an attractive incentive package to encourage project members to participate in KM initiatives and to suggest ideas for new KM opportunities. Managers should also ensure that an effective user‐friendly information system is in place before introducing KM initiatives.Originality/valueThe study proposes a new model of critical success factors for KM initiatives in the context of project‐based business.

Business processes fragments to promote information quality

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Charlie Silva Lopes ◽  
Denis Silva da Silveira ◽  
João Araujo
Keyword(s):  
Design Methodology ◽  
Information Quality ◽  
Business Processes ◽  
Design Science ◽  
Process Models ◽  
Primary Concern ◽  
Content Type ◽  
Innovative Solution ◽  
Practical Implications ◽  
Process Fragments

PurposeThe primary concern of quality improvement in processes is not the input–output conversion but the information that enables and controls process. This paper presents process fragments for dimensions of information quality (IQ).Design/methodology/approachResearch is based on the design science paradigm to create four fragments of reusable processes, that contemplate the following dimensions of IQ: accessibility, completeness, accuracy and consistency.FindingsThere is a theoretical discussion of the concept of IQ in process models, in which the fragments presented provide designers with a reduction in modeling time through reuse. Therefore, the designer has the flexibility to improve the IQ according to the context of each process.Practical implicationsThe discussion is relevant for both researchers and business designers because it shows that IQ is essential to guarantee the efficient execution of processes.Social implicationsProcesses modeling can be a challenge for inexperienced designers as they always try to solve a problem from the start, without worrying about the IQ dimensions in process models. Fragments here presented can be (re)used to guide these designers in processes modeling with more IQ.Originality/valueProcess modeling approaches provide expressive techniques but do not guarantee IQ in the models. However, these approaches present process fragments that can be easily used to contemplate IQ in process models. In this context, process fragments reuse stands out as an innovative solution to mitigate the shortcomings of process models related to IQ.

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