The impact on competitiveness of customer value creation through relationship capabilities and marketing innovation

2019 ◽  
Vol 34 (3) ◽  
pp. 618-627 ◽  
Author(s):  
José Sánchez-Gutiérrez ◽  
Pablo Cabanelas ◽  
Jesús F. Lampón ◽  
Tania E. González-Alvarado
Keyword(s):  
Value Creation ◽  
Customer Value ◽  
Structural Equation ◽  
Customer Relationships ◽  
Content Type ◽  
Customer Needs ◽  
Marketing Innovation ◽  
Use Of Technology ◽  
Management Capabilities ◽  
The Impact

PurposeThe identification of customer needs through relationship management and their transformation into marketing innovation are two key processes in customer value creation. When combined, they can improve a firm’s competitive position, not only in terms of profitability but also by reducing costs and promoting the use of technology. The purpose of this paper is to analyze the link between managerial relational capability and marketing innovation in customer value creation, and to look at how that value creation affects competitiveness.Design/methodology/approachWe analyze 450 small- and medium-sized enterprises (SMEs) in the furniture industry in the metropolitan area of Guadalajara (Mexico). To this sample is applied a confirmatory factor analysis and a structural equation model to analyze the impact of management capabilities in relationships and marketing innovation on customer value creation and to determine how the value created affects competitiveness.FindingsThe results show that management capabilities in customer relationships and in the way they convert knowledge of customer needs into specific choices in the market have a positive effect on customer value creation, as well as on financial performance, cost optimization and the use of technology, all of which can be used as indicators of competitiveness.Originality/valueThe study covers customer value creation in an emerging economy, that of Mexico, and relates it to business competitiveness from a holistic point of view which goes beyond profitability by also including cost reduction and the use of technology.

Why so serious? Gamification impact in the acceptance of mobile banking services

2017 ◽  
Vol 27 (1) ◽  
pp. 118-139 ◽  
Author(s):  
Goncalo Baptista ◽  
Tiago Oliveira
Keyword(s):  
Game Design ◽  
Structural Equation ◽  
Strong Relationship ◽  
Mobile Banking ◽  
Financial Industry ◽  
Banking Services ◽  
Content Type ◽  
Use Of Technology ◽  
The Right ◽  
The Impact

Purpose The purpose of this paper is to identify the potential impact of the utilization of game mechanics and game design techniques in the acceptance of mobile banking services. Design/methodology/approach The theoretical model was tested in a quantitative study using structural equation modelling, conducted in Brazil, with actual local banking customers. Findings The findings show that there is a direct and strong relationship between gamification and intention to use mobile banking services, supporting that, when used and designed properly, gamification can help make banking activities more exciting, more interesting and more enjoyable, and in turn increase customer acceptance, engagement and satisfaction. Research limitations/implications The research extends the unified theory of acceptance and use of technology (UTAUT2), and prior research to include gamification impact. The result is a more descriptive model that better explains consumers’ decision to use mobile banking services. Practical implications For practitioners, understanding the key constructs is crucial to design, refine and implement mobile banking services that achieve high consumer acceptance and value, and with the right amount of game techniques in them. Originality/value The globalization of business and systems is fuelling the need to acquire a deeper understanding of the impact of gamification in acceptance within the financial industry. This is the first time to the knowledge that UTAUT2 theory and a gamification construct are combined in a mobile banking acceptance work, supported by data from a South American country, enriching the existing literature on this subject and providing new insights into how game techniques influences individual behaviour.

scholarly journals Relational bonding strategies, customer satisfaction, and loyalty in the container shipping market

2019 ◽  
Vol 49 (8) ◽  
pp. 816-838 ◽  
Author(s):  
Gökcay Balci ◽  
Aylin Caliskan ◽  
Kum Fai Yuen
Keyword(s):  
Customer Satisfaction ◽  
Social Exchange ◽  
Customer Loyalty ◽  
Structural Equation ◽  
Customer Relationships ◽  
Container Shipping ◽  
Content Type ◽  
Relational Marketing ◽  
The Impact ◽  
Customer Satisfaction And Loyalty

Purpose In recent years, the business of container lines has faced severe challenges such as overcapacity and low profitability. To survive in such a competitive market, container lines need to maintain long-term customer relationships by enhancing the satisfaction and loyalty of customers. The purpose of this paper is to adopt a social exchange theory (SET) approach and investigate the impact of relational bonding strategies on the satisfaction and loyalty of customers in container shipping. Design/methodology/approach Drawing on SET, a theoretical model that specifies the relationships between relational bonding strategies, customer satisfaction and loyalty was proposed. Survey data were collected from 175 freight forwarders. The obtained data were analyzed using structural equation modelling. Findings The results indicate that financial bonding strategies have the most significant direct effects on customer satisfaction, while social bonding strategies have the strongest direct impact on customer loyalty. Financial bonding strategies, on the other hand, have the strongest total effects on customer loyalty. Intermodal and basic operations are found to have the equal total effects on customer loyalty. Research limitations/implications By identifying the most effective relational bonding strategies for enhancing customer satisfaction and loyalty, this study’s findings allow container lines to better allocate their resources and implement effective relational marketing policies to satisfy and retain their customers. Originality/value This research analyses and validates the determinants of customer satisfaction and loyalty from a relational lens and empirically contributes to the field of relational marketing in the container shipping industry.

Investigating sales approaches and gender in customer relationships

2014 ◽  
Vol 29 (1) ◽  
pp. 11-23 ◽  
Author(s):  
John Andy Wood ◽  
Julie Johnson ◽  
James S. Boles ◽  
Hiram Barksdale
Keyword(s):  
Structural Equation ◽  
Equation Model ◽  
Customer Relationships ◽  
Cross Sectional Survey ◽  
Cross Sectional ◽  
Content Type ◽  
Proposed Model ◽  
Relational Outcomes ◽  
And Gender ◽  
The Impact

Purpose – The purpose of this research is an examination of three different types of sales approaches (product-, solution- and provocation-based) on relational outcomes. The type of sales approach influences buyer's assessments about the trustworthiness of the salesperson and the conflict with the salesperson. These outcomes of the sales approach affect the customer's economic and non-economic satisfaction. Design/methodology/approach – Using cross-sectional survey data from a sample of 840 organizational buyers, a structural equation model measures the path coefficients of the proposed model and tests the differences in the magnitude based on gender. Findings – The results indicate that sales approaches will differentially influence assessments of trustworthiness and conflict. The magnitude of the influence of the sales approach on outcomes is different between genders. Originality/value – To the best of the authors' knowledge, this is the first empirical study to examine the impact of sales approaches on both genders of organizational buyers.

Service innovation and customer satisfaction: the role of customer value creation

2018 ◽  
Vol 21 (3) ◽  
pp. 402-422 ◽  
Author(s):  
Mahmoud Abdulai Mahmoud ◽  
Robert E. Hinson ◽  
Patrick Amfo Anim
Keyword(s):  
Factor Analysis ◽  
Customer Satisfaction ◽  
Value Creation ◽  
Customer Value ◽  
Structural Equation ◽  
Service Innovation ◽  
Business Environment ◽  
Equation Modeling ◽  
Content Type ◽  
Telecommunication Operators

Purpose The purpose of this paper is to explore the relationships between service innovation, customer value creation (CVC) and customer satisfaction (CS) with specific emphasis to Ghanaian telecommunication operators. Design/methodology/approach Assuming a positivist philosophical approach with a quantitative data analysis technique, the study samples 510 registered adult customers of at least one telecommunication network in Ghana. An exploratory factor analysis, confirmatory factor analysis and structural equation modeling were used to assess and confirm the proposed scales validity and the relationships of the research model. Findings The study unveiled that a service firm’s ability to achieve CS is dependent on how telecommunication operators harness and deploy their service innovation activities. In addition, the study showed that CVC mediates the relationship between service innovation and CS. Thus, service innovation must create value for customers in order to enhance CS. Practical implications By relating the study findings to firms’ innovation strategies, managers can improve the strength of their service offerings to achieve CS by spending more on consumer research, market research and increased customer interactions. Originality/value Considering the uniqueness of this study in a Ghanaian context, the research draws on two influential theories, which are signaling theory and expectation disconfirmation theory to examine the differential role played by service innovation in enabling telecommunication operators in Ghana, to create customer value in order to achieve CS amidst the constraints in the business environment.

Value creation and organisational practices at firm boundaries

2014 ◽  
Vol 52 (1) ◽  
pp. 2-17 ◽  
Author(s):  
Antonella La Rocca ◽  
Ivan Snehota
Keyword(s):  
Value Creation ◽  
Customer Value ◽  
Empirical Studies ◽  
Customer Relationships ◽  
Issues Management ◽  
Content Type ◽  
Customer Interface ◽  
Sales And Marketing ◽  
Marketing Activities ◽  
Managerial Capabilities

Purpose – Growing awareness that value for the customer is created in relationship between the supplier and the customer has consequences for sales and marketing functions, and businesses are increasingly experimenting with new organisational approaches and solutions. The purpose of this paper is to investigate organisational issues involved in implementing value programs in B2B firms and examine implications for managerial action. Design/methodology/approach – After a literature review on value creation in business relationships, the authors illustrate the case of a large industrial business experimenting with organisational solutions to support value-creation processes in customer relationships. Findings – The authors identify three issues management has to address in organising the customer interface: involvement of a variety of actors to access elements of effective customer-value solutions; supporting and orchestrating the interaction processes among those involved; and differentiation of the customer interface and sales approach to match the substantial differences in customer relationships. Research limitations/implications – There is a need for further, more systematic empirical studies of value-creation practices and solutions in how businesses organise the customer interface for value creation. Practical implications – Coping effectively with creating value in customer relationships implies experimenting with novel approaches and solutions in organising the sales and marketing activities as open networked sales organization and requires specific managerial capabilities. Originality/value – While creating customer value is generally believed to be positively related to the firm's performance and development, the organisational implications of focusing on creating value have been less explored. The original contribution of this work lies in zooming in on the organisational solutions to support the customer value-creation processes.

The impact of choice on co-produced customer value creation and satisfaction

2015 ◽  
Vol 32 (1) ◽  
pp. 15-25 ◽  
Author(s):  
Jason Flores ◽  
Arturo Z. Vasquez-Parraga
Keyword(s):  
Value Creation ◽  
Customer Value ◽  
Positive Impact ◽  
Economic Value ◽  
Organizational Outcomes ◽  
Supporting Evidence ◽  
Content Type ◽  
Empirically Supported ◽  
Individual Value ◽  
The Impact

Purpose – This study’s aim is to investigate whether offering a co-production opportunity as a choice or as the only means of service rendering influences customer value creation and satisfaction. This research incorporates two empirically supported sources of co-created value, relational and economic, and it investigates a new dimension of co-created value, individual value. The study focus supports the need for more empirically based guidance for the management and design of co-creation processes. Design/methodology/approach – A 2 × 2 between-subjects experimental design was utilized to test the choice/no-choice condition. Data were collected through a survey of 214 respondents who were selected on the basis of their familiarity with the context of the experimental scenarios. Findings – The results show that co-production as an option for service rendering has a stronger positive impact on value creation than does the context when co-production is necessary. Choice was found to positively influence relational and economic value. Value creation was found to mediate the choice and satisfaction relationship. Individual value had the strongest relative impact on satisfaction but was not significantly related to choice. Practical implications – Designers and managers of co-production-enabling processes can enhance customer and organizational outcomes simply by offering customers a choice when considering whether or not to engage in co-production. Originality/value – This originality of this study lies in the supporting evidence found for the influence of choice on value creation and the empirical corroboration for individual value creation as a source of co-created value. The on-line context of this study in this context is also novel.

Customer engagement in CSR: a utility theory model with moderating variables

2017 ◽  
Vol 27 (4) ◽  
pp. 833-853 ◽  
Author(s):  
Wade Jarvis ◽  
Robyn Ouschan ◽  
Henry J. Burton ◽  
Geoffrey Soutar ◽  
Ingrid M. O’Brien
Keyword(s):  
Customer Loyalty ◽  
Customer Value ◽  
Structural Equation ◽  
Utility Theory ◽  
Theory Model ◽  
Customer Engagement ◽  
Content Type ◽  
Moderating Variables ◽  
The Impact ◽  
The Relationship

Purpose Both customer engagement (CE) and corporate social responsibility (CSR) have been linked to customer loyalty. Past studies use service dominant logic and customer value co-creation to explain this relationship. The purpose of this paper is to apply utility theory to develop and test a new theoretical model based on CSR initiative preference to understand the relationship between CE and customer loyalty to the organisation in a CSR platform. Design/methodology/approach This empirical study uses choice theory in the form of best-worst scaling, and structural equation modelling, to measure the impact of sports club members’ choice preferences for a range of CSR initiatives on their intention to engage with the initiative and subsequent loyalty to the club. Findings This study highlights the importance of engaging members in the CSR strategy they prefer as it enhances not only the extra value to the organisation via customer loyalty to the organisation, but also CE with the organisation. Furthermore, the study reveals age and gender impact on the relationship between CE in CSR initiatives and customer loyalty. Originality/value This study extends CE to CSR behaviours and provides empirical evidence for a unique theoretical framework of CE based on utility theory. It also highlights the need to take into account moderating variables such as customer demographics.

Personal-loyalty and pricing benefits from hairstylist-client commercial friendship

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rukudzo Pamacheche ◽  
Helen Inseng Duh
Keyword(s):  
Structural Equation ◽  
Quantitative Methods ◽  
Service Sector ◽  
Market Competition ◽  
Customer Relationships ◽  
Marketing Theory ◽  
Content Type ◽  
Four Dimensions ◽  
Premium Price ◽  
The Impact

Purpose Hairstyling entrepreneurs are experiencing increasing customer demand alongside the market competition. Building commercial friendships are one of their strategies to beat the competition. However, the marketing benefits in terms of loyalty and pricing from this strategy are unknown. Following suggestions from the relationship marketing theory (RMT) that business benefits are gained from commercial friendships, this study aims to use ideas from RMT and those from models proposed by Bove and Johnson (2002) and Han et al. (2008) to examine the impact of hairstylist-client commercial friendship on four dimensions of personal loyalty to individual hairstylists and clients’ willingness to pay a premium price (WTPP). Design/methodology/approach Quantitative methods were used to collect and analyse data obtained from 562 hairstylists’ clients who had maintained the same hairstylist for 10 months in Johannesburg metropolis. Structural equation modelling using SmartPLS was used to test a conceptual model with eight hypotheses. Findings The results revealed that commercial friendship positively impacted affective, intention and behavioural personal loyalty dimensions and explained 49%, 47.9% and 46.9% of the variances, respectively. Of the four dimensions of personal loyalty, only behavioural loyalty positively influenced WTPP. Originality/value Unlike previous studies’ main focus on business-to-customer relationships and loyalty from a unidimensional perspective, this study contributes by revealing four dimensions of personal loyalty applicable in the haircare service sector. The findings confirm the business benefits suggested by the RMT, by showing that commercial friendship generates clients’ WTPP when they are behaviourally loyal. This guarantees profits and highlights the importance of nurturing close relationships in personal services.

Here’s one for the next show

2016 ◽  
Vol 6 (1) ◽  
pp. 52-67 ◽  
Author(s):  
Sabrina M Hegner ◽  
Ardion D. Beldad ◽  
Nienke Klein Langenhorst
Keyword(s):  
Performing Arts ◽  
Structural Equation ◽  
Customer Relationships ◽  
Customer Relationship ◽  
Equation Modeling ◽  
Marketing Tactics ◽  
Preferential Treatment ◽  
Content Type ◽  
Performing Arts Organizations ◽  
The Impact

Purpose – Financial constraints recently confronting performing arts organizations propel them to employ various marketing tactics to not only win new visitors but also to maintain its current clientele. Fostering a long-term relationship with clients is regarded a vital solution to a survival-related predicament these organizations face. Hence, the purpose of this paper is to investigate the impact of four marketing tactics – personalization, two-way communication, preferential treatment, and rewarding – on the dimensions of customer relationship, namely, satisfaction, trust, and commitment. Design/methodology/approach – Data to test the various research hypotheses were collected through a survey with 252 clients of a performing arts venue in a Dutch city. Structural equation modeling was used to test the hypotheses. Findings – Results reveal that extension of rewards to and maintaining a two-way communication with clients of a performing arts venue positively influence their satisfaction with, trust in, and commitment to the performing arts venue. Personalization of services impacts commitment only. However, the effect of preferential treatment on the three relationship dimensions is not statistically significant. Additionally, analysis shows that satisfied customers are more likely to trust the performing arts venue, although clients’ satisfaction with and trust in the performing arts venue do not influence their commitment to the venue. Originality/value – Research into the ways to strengthen customer relationships in the performing arts is still scarce. The current research aims at investigating the impact of several marketing tactics on customer relationship measured in terms of satisfaction, trust, and commitment and shows how performing arts venues can strengthen their bonds with customers.

The effects of knowledge management capabilities on perceived school effectiveness in career and technical education

2016 ◽  
Vol 20 (6) ◽  
pp. 1373-1392 ◽  
Author(s):  
Wen-Ling Shih ◽  
Chun-Yen Tsai
Keyword(s):  
Knowledge Management ◽  
Career And Technical Education ◽  
Structural Equation ◽  
School Effectiveness ◽  
Technical Education ◽  
Equation Modeling ◽  
Content Type ◽  
Career And Technical ◽  
Management Capabilities ◽  
The Impact

Purpose This study aims to investigate the impact that knowledge management (KM) capabilities have on school effectiveness in career and technical education (CTE) in Taiwan. Design/methodology/approach The study adopted a survey research. A total of 439 valid samples were obtained and subsequently verified with structural equation modeling. Findings The results indicated that KM capabilities consist of two main dimensions, namely, the KM enabler capabilities and the KM process capabilities. The former includes structures, cultures and information technology support, whereas the latter includes acquisitions, storage, sharing and applications. In terms of the relationships among the dimensions of the model structure, the KM enabler capabilities managed to effectively predict the KM process capabilities, and the KM process capabilities managed to effectively predict the perceived school effectiveness. Research limitations/implications Based on the results, improvement of the KM enabler capabilities and process capabilities of higher education institutions of CTE is recommended so that their school effectiveness may be improved. Because the participants were not randomly selected, the generalizability of the results should be further examined. Practical implications This study encourages practitioners to focus their KM practices on KM enabler capabilities and the KM process capabilities. Originality/value The current study provided an insight into and further understanding of the model regarding the relationships among the KM enabler capabilities, the KM process capabilities and the school effectiveness.

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