Teleological sales and purchase approaches in complex business relationships – customers’ expectations before and perceptions after purchase

2018 ◽  
Vol 33 (4) ◽  
pp. 523-538 ◽  
Author(s):  
Rocío Rodríguez ◽  
Göran Svensson ◽  
Sergio Román ◽  
Greg Wood

Purpose The purpose of this study is to examine the actions and interactions that take place before and after purchase between a service provider (service seller) and its customers (service buyers) in complex business relationships. Specifically, it is to examine customers’ expectations of the service provider’s service offer before purchase and the same customers’ perceptions of the service solution offered after purchase in a business-to-business (B2B) context. Design/methodology/approach This study adopted a mixed methods design, which combined data generated through in-depth interviews (both with service buyers and key informants from the service company), an online customer survey, analysis of textual documents and structured observations of buyer–seller interactions and actions. Both objective and subjective points of view at different stages of the investigation were collected. Findings The authors’ results show that, contrary to previous evidence in B2C service research, the customers’ perceptions of the service performance were not significantly related to their previous expectations. In this context, characterized by dynamic and constantly evolving processes and many parties (both from the buyer and the seller company) involved in the implementation process, service complexity may cause a lack of well-formed expectations regarding how the service will perform and its relevant performance attributes. Research limitations/implications This study suggests that the service models traditionally used to describe and explain customer service expectations and perceptions in relatively simple service contexts with final consumers are difficult to apply in B2B complex business relationships. Rather, scholars need to take a holistic, continuously evolving and adapted perspective when examining the formation of customer service expectations and their perceptions in B2B complex services. Practical implications There should be a teleological balance between sales and purchase approaches in B2B contexts to optimize the outcome of complex business relationships between service providers and service receivers. The authors suggest several recommendations to service providers to ensure that their salespeople do not create unrealistic and unachievable expectations in the minds of the service receivers. Service providers are also encouraged to develop formal cross functional teams (e.g. consisting of salespeople, service technicians and service support) based on mutual understanding and information sharing. Originality/value This study provides an alternative time-oriented understanding of the way customer expectations before purchase and their perceptions after purchasing a complex software solution in industrial markets formed through the lens of teleological framework. As such, this is the first empirical inquiry with this specific framework in B2B contexts making a relevant contribution to literature.

2020 ◽  
Vol 32 (1) ◽  
pp. 129-141 ◽  
Author(s):  
Donald C. Barnes ◽  
Jessica Mesmer-Magnus ◽  
Lisa L. Scribner ◽  
Alexandra Krallman ◽  
Rebecca M. Guidice

PurposeThe unprecedented dynamics of the COVID-19 pandemic has forced firms to re-envision the customer experience and find new ways to ensure positive service encounters. This context has underscored the reality that drivers of customer delight in a “traditional” context are not the same in a crisis context. While research has tended to identify hedonic need fulfillment as key to customer well-being and, ultimately, to invoking customer delight, the majority of studies were conducted in inherently positive contexts, which may limit generalizability to more challenging contexts. Through the combined lens of transformative service research (TSR) and psychological theory on hedonic and eudaimonic human needs, we evaluate the extent to which need fulfillment is the root of customer well-being and that meeting well-being needs ultimately promotes delight. We argue that in crisis contexts, the salience of needs shifts from hedonic to eudaimonic and the extent to which service experiences fulfill eudaimonic needs determines the experience and meaning of delight.Design/methodology/approachUtilizing the critical incident technique, this research surveyed 240 respondents who were asked to explain in detail a time they experienced customer delight during the COVID-19 pandemic. We analyzed their responses according to whether these incidents reflected the salience of hedonic versus eudaimonic need fulfillment.FindingsThe results support the notion that the salience of eudaimonic needs become more pronounced during times of crisis and that service providers are more likely to elicit perceptions of delight when they leverage meeting eudaimonic needs over the hedonic needs that are typically emphasized in traditional service encounters.Originality/valueWe discuss the implications of these findings for integrating the TSR and customer delight literatures to better understand how service experiences that meet salient needs produce customer well-being and delight. Ultimately, we find customer delight can benefit well-being across individual, collective and societal levels.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Yasin Sahhar ◽  
Raymond Loohuis ◽  
Jörg Henseler

PurposeThe purpose of this study is to identify the practices used by service providers to manage the customer service experience (CSE) across multiple phases of the customer journey in a business-to-business (B2B) setting.Design/methodology/approachThis study comprises an ethnography that investigates in real time, from a dyadic perspective, and the CSE management practices at two service providers operating in knowledge-intensive service industries over a period of eight months. Analytically, the study concentrates on critical events that occurred in phases of the customer journey that in some way alter CSE, thus making it necessary for service providers to act to keep their customers satisfied.FindingsThe study uncovers four types of service provider practices that vary based on the mode of organization (ad hoc or regular) and the mode of engagement (reactive or proactive) and based on whether they restore or bolster CSE, including the recurrence of these practices in the customer journey. These practices are conveniently presented in a circumplex typology of CSE management across five phases in the customer journey.Research limitations/implicationsThis paper advances the research in CSE management throughout the customer journey in the B2B context by showing that CSE management is dynamic, recurrent and multifaceted in the sense that it requires different modes of organization and engagement, notably during interaction with customers, in different phases of the customer journey.Practical implicationsThe circumplex typology acts as a tool for service providers, helping them to redesign their CSE management practices in ongoing service and dialogical processes to keep their customers more engaged and satisfied.Originality/valueThis paper is the first to infuse a dyadic stance into the ongoing discussion of CSE management practices in B2B, in which studies to date have deployed only provider or customer perspectives. In proposing a microlevel view, the study identifies service providers' CSE management practices in multiple customer journey phases, especially when the situation becomes critical.


2017 ◽  
Vol 27 (1) ◽  
pp. 164-186 ◽  
Author(s):  
Hyunju Shin ◽  
Alexander E. Ellinger ◽  
David L. Mothersbaugh ◽  
Kristy E. Reynolds

Purpose Services marketing research continues to be largely focused on firms’ reactive interactions for recovering from service failure rather than on proactive customer interactions that may prevent service failure from occurring in the first place. Building on previous studies that assess the efficacy of implementing proactive interaction in service provision contexts, the purpose of this paper is to compare the influences of proactive interaction to prevent service failure and reactive interaction to correct service failure on customer emotion and patronage behavior. Since proactive interaction for service failure prevention is a relatively underexplored and resource-intensive approach, the authors also assess the moderating influences of customer and firm-related characteristics. Design/methodology/approach The study hypotheses are tested with survey data from two scenario-based experiments conducted in a retail setting. Findings The findings reveal that customers prefer service providers that take the initiative to get to them before they have to initiate contact for themselves. The findings also identify the moderating influences of relationship quality, situational involvement, and contact person status and motive. Originality/value The research contributes to the development of service provision theory and practice by expanding on previous studies which report that proactive efforts to prepare customers for the adverse effects of service failure are favorably received. The results also shed light on moderating factors that may further inform the exploitation of resource-intensive proactive interaction for service failure prevention. An agenda is proposed to stimulate future research on proactive customer interaction to prevent service failure in service provision contexts.


2021 ◽  
Vol 11 (3) ◽  
pp. 1-21
Author(s):  
Narpat Asia ◽  
Pramod Paliwal ◽  
Yupal Shukla

Learning outcomes The learning outcome of this paper are as follows: enabling students to learn about business and marketing issues of the natural gas distribution industry. To expose students to organizational processes aimed at finding solutions to customer issues. To make them appreciate the aspects of service quality and SERVQUAL model. To make the students aware of the significance of market research for problem-solving. How to use market research findings to address the customer issues? Enabling the students to learn how cross-functional teams contribute to addressing marketing and customer issues. Students should appreciate how to study towards creating a customer-centric organization with an organization-wide commitment including that from the top leadership. Case overview/synopsis Abhay Shankar, Sr. Manager-Customer Service at Reliable Gas Company Limited a state government piped natural gas (PNG) distribution utility whose customer service department is concerned about the provision of best service to its PNG domestic customers. Domestic customers are low volume but largest in numbers and are considered to be a tough, demanding customer segment. A general opinion among the marketing team of the company is that they are trying their best to serve its customers and that their efforts are no less than their private sector counterpart global gas customer service efforts. Abhay is in dilemma on what to do to improve customer services? Complexity academic level Masters students. Supplementary materials Teaching notes are available for educators only. Subject code CSS: 8 Marketing.


2017 ◽  
Vol 27 (3) ◽  
pp. 689-711 ◽  
Author(s):  
Dana Yagil ◽  
Tamar Shultz

Purpose Service employees are frequently exposed to moral dilemmas as a result of their boundary role, attending to the interests of both the organization and customers. The purpose of this paper is to explore organizational and personal values that generate moral dilemmas in the service context, as well as emotions related to employees’ moral decisions. Design/methodology/approach Using the critical incidents technique, data were collected from service providers about moral dilemmas in the workplace. The data were analyzed independently by each author, with an agreement rate of 84-88 percent. Findings The results show that service employees confront dilemmas as a result of conflicts between the following organizational and personal values: standardization vs personalization; profit vs integrity; and emotional display rules vs dignity. Moral decision making involves emotions generated by customer distress, negative emotions toward customers, and emotions of guilt, shame, or fear. Originality/value Little research has studied moral conflicts in service encounters from employees’ perspective. Using a qualitative approach, this study explores the role of personal values and moral emotions in such processes.


2019 ◽  
Vol 31 (4) ◽  
pp. 839-859 ◽  
Author(s):  
Hugo Guyader ◽  
Mikael Ottosson ◽  
Per Frankelius ◽  
Lars Witell

Purpose The purpose of this paper is to improve the understanding of green service. In particular, the focus is on identifying homopathic and heteropathic resource integration processes that preserve or increase the resourceness of the natural ecosystem. Design/methodology/approach Through an extensive multiple case study involving ten service providers from diverse sectors based on a substantial number of interviews, detailed accounts of green service are provided. Findings Six resource integration processes were identified: reducing, recirculating, recycling, redistributing, reframing and renewing. While four of these processes are based on homopathic resource integration, both reframing and renewing are based on heteropathic resource integration. While homopathic processes historically constitute a green service by mitigating the impact of consumption on the environment, heteropathic resource integration increases the resourceness of the natural ecosystem through emergent processes and the (re)creation of natural resources. Research limitations/implications The present study breaks away from the paradigm that “green service” is about reducing the negative environmental impact of existing services, toward providing a green service that expands biological diversity and other natural resources. Originality/value Transformative service research on environmental sustainability is still in its infancy. The present study contributes through conceptualizing green service, redefining existing resource integration processes (reducing, recirculating, recycling) and identifying new resource integration processes (redistributing, reframing, renewing).


2014 ◽  
Vol 6 (4) ◽  
pp. 274-289 ◽  
Author(s):  
Paramaporn Thaichon ◽  
Antonio Lobo ◽  
Ann Mitsis

Purpose – This paper aims to investigate the antecedents to attitudinal and behavioural loyalty of customers of Internet service providers (ISPs). In addition, this study endeavours to identify the relationship between overall service quality and cognitive as well as affective evaluations of customers. An assessment of service quality dimensions is also included to fill the void of research on modelling service quality in high tech services. Design/methodology/approach – The paper reviews the most cited articles on the topic published in academic journals with a view to identify dimensions that customers use to evaluate the quality of a service providers, and to determine loyalty formation through customer cognitive and affective evaluations in Internet industry. Findings – The exogenous constructs of the conceptual model include influential factors such as network quality, customer service, information support and security which make up the perception of overall service quality. The endogenous constructs include cognitive and affective determinants such as customers’ trust, satisfaction, commitment, value and resultants – attitudinal loyalty and behavioural loyalty. Originality/value – The study proposes that by enhancing service quality, firms can influence customers’ satisfaction, trust, commitment and value, and ultimately loyalty, which are critical for an ISP’s success and long-term sustainability. Moreover, applying the findings of this study, ISPs can strategise in making customers more central in their day to day operations, which would create competitive advantage for the companies.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Md. Mahmudul Alam ◽  
Ala Eldin Awawdeh ◽  
Azim Izzuddin Bin Muhamad

PurposeThis study aims to explore the challenges and prospects of using e-wallets in Malaysia, and what it means for businesses and customers. Suggested here are strategies to leverage the strengths and opportunities as well as overcome the weaknesses and threats. Suggested here are strategies to leverage the strengths and opportunities as well as overcome the weaknesses and threats.Design/methodology/approachThis study analyses the e-wallet phenomenon using a SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis to assess Malaysian business development. It is supported with findings from the literature and secondary data. The relevant secondary data were collected from Bank Negara Malaysia and the World Bank.FindingsThis study shows that e-wallets in Malaysia have still not achieved their purpose but there is huge potential to do so. The SWOT analysis identified several strengths (e.g. financial incorporation, easy to access, protection and safety, simple for other accounts to connect to, product and consumer service management, quick to implement/administer), weaknesses (e.g. lack of infrastructure and the “tapping” of devices already cornered by the mobile phone market, opportunities (e.g. eliminating fraud, better customer service, promotion/loyalty that can be built into customer experience) and threats (e.g. attacks from viruses, frequent inquiries whether multiple wallets can be used by clients, the concerns of reckless spending behaviour of the e-wallet users).Research limitations/implicationsThis study is crucial for assessing the current situation and the prospects of e-wallets in Malaysia. This study also offers significant insights for policymakers and e-wallet service providers to develop appropriate strategies to enhance e-wallet services in Malaysia.Originality/valueThis paper is the first of its kind to integrate a SWOT analysis and the rapid development of the e-wallet market in Malaysia. Hence, the findings could broaden our knowledge on the fintech industry and enable firms to participate in the e-wallet market.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kuo-Lun Hsiao ◽  
Chia-Chen Chen

PurposeArtificial intelligence (AI) customer service chatbots are a new application service, and little is known about this type of service. This study applies service quality, trust and satisfaction to predict users' continuance intention to use a food-ordering chatbot.Design/methodology/approachThe proposed model and hypotheses are tested using online questionnaire responses to collect users' perceptions of such services. One hundred and eleven responses of actual users were received.FindingsEmpirical results show that anthropomorphism and service quality, such as problem-solving, are the antecedents of trust and satisfaction, while satisfaction has the most significant direct effect on the users' intention.Originality/valueThe results provide further useful insights for service providers and chatbot developers to improve services.


2019 ◽  
Vol 33 (1) ◽  
pp. 5-15 ◽  
Author(s):  
Raechel Johns ◽  
Janet Davey

Purpose The purpose of this study is to identify the role of mediators in supporting value co-creation for vulnerable consumers in a service context. The authors propose that in transformative services, the roles of actor mediators facilitate control and empowerment for the vulnerable consumer – labelling these transformative service mediators (TSMs). Design/methodology/approach The authors develop a theoretical framework for the activities of mediators in value co-creation considering the interrelationships of vulnerability, structure and agency. The authors then use Prahalad and Ramaswamy’s DART (Dialogue, Access, Risk Assessment and Transparency) model as the integrating framework to describe the TSM roles in the context of the foster care service ecosystem. Findings The authors introduce a future research agenda regarding TSM roles in transformational service experiences and value co-creation with vulnerable consumers. Service researchers and providers are encouraged to explore effective training and motivation of TSMs. Research limitations/implications Understanding value co-creation for vulnerable consumers is an emerging area in service research. The TSM concept introduces a new approach to explore how value co-creation and transformative outcomes can be enhanced in service contexts where consumers experience vulnerability. Practical implications This paper presents an agenda for future research. The outcomes of future research based on TSM roles may help guide service providers in identifying opportunities for enhancing well-being and reducing vulnerability in service delivery. Originality/value This paper suggests that exploring the role of TSMs in the service process offers new insights into reducing vulnerability in service relationships.


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