Review of Customer Activism Concepts

Author(s):  
Katarzyna Żyminkowska

The concept of customer engagement (CE) refers to the customer activism in value formation which is not a new notion in the marketing and management literature. Existing theories of customer activism constitute particular anchors for systemizing the knowledge on optimal CE and offer considerable value to the developing literature on the profitable CE management. Those notions are associated with two influential metatheories, such as value co-creation and network management, and include prosumption, customer participation, service and service-dominant logic, customer resource integration, extended resource-based view, user and open innovation, and customer integration in innovation process. The main objective of this chapter is to review the above-mentioned concepts in order to recognize their managerial implications which might inform CE management efforts undertaken by managers in each stage of this process. This chapter contributes to a better understanding of the CE management challenges and provides additional insights for advancing the research in this domain.

2016 ◽  
Vol 30 (2) ◽  
pp. 152-164 ◽  
Author(s):  
Loïc Plé

Purpose Noting that resource integration is a pivotal dimension of value co-creation in Service-Dominant logic, this paper aims to explore how service employees engaged in co-creation processes with customers integrate the latter’s resources. Design/methodology/approach To address the limitations of previous research on customer resources and their integration by service employees, this study turns to the concept of customer participation to identify the nature of customers’ resources. A conceptual framework of their integration by service employees underpins nine key propositions. This foundation leads to the development of theoretical contributions, managerial implications and avenues for research. Findings Customers can use 12 types of resources in value co-creation. Contrasting with earlier findings, the conceptual framework reveals that service employees may not only integrate these customers’ resources but also either misintegrate or not integrate them. Non-integration and misintegration may be intentional or accidental. Accordingly, value co-creation or co-destruction may result from interactions. Research limitations/implications This conceptual and exploratory text requires complementary theoretical and empirical investigations. It also does not adopt an ecosystems view of co-creation. Practical implications Knowing the different steps of resource integration and what influences them should increase the chances of value co-creation and limit the risks of value co-destruction. Originality/value Scant research has examined the nature of customer resources and how service employees integrate them. This paper also is the first to distinguish among resource integration, misintegration and non-integration.


2016 ◽  
Vol 28 (2) ◽  
pp. 222-245 ◽  
Author(s):  
Prakash K. Chathoth ◽  
Gerardo R. Ungson ◽  
Robert J. Harrington ◽  
Eric S.W. Chan

Purpose – This paper aims to present a review of the literature associated with co-creation and higher-order customer engagement concepts and poses critical questions related to the current state of research. Additionally, the paper presents a framework for customer engagement and co-creation with relevance to hospitality transactions. Design/methodology/approach – Earlier research on co-production, co-creation, consumer engagement and service-dominant logic are discussed and synthesized. Based on this synthesis, links and contrasts of these varying research streams are presented providing an articulation of key characteristics of each and how these might be applied within a hospitality context. Findings – Modalities in service transactions vary among traditional production, co-production and co-creation based on changes in attitudes, enabling technologies and the logic or ideology supporting the change. Transaction characteristics vary among manufacturing, quasi-manufacturing and services based on several key categories including differences in boundary conditions, enablers, success requirements, sustainability requirements, the dominant logic used and key barriers/vulnerabilities. When creating experiential value for consumers, firms should consider several aspects ex-ante, in-situ and ex-post of the change and during the change process. Research limitations/implications – Firms need to move toward higher-order customer engagement using co-creative modalities to enhance value creation. Current practices in the hotel industry may not in their entirety support this notion. Ex-ante, in-situ and ex-post considerations for creating experiential value need to be used as part of a checklist of questions for firms to pose in order to move toward managing customer experiences using the service-dominant logic as part of the firm’s orientation toward its market. This would give it the required thrust to create superior engagement platforms that use co-creative modalities while addressing the barriers to higher-order customer engagement as identified in the literature. Originality/value – The hospitality and tourism literature on co-creation and higher-order customer engagement is still in its infancy. A synthesis of these early studies provides support for the need for future research on co-creation that more clearly articulates the modality firms could use to move toward co-creation. This paper develops a dynamic framework using characteristics of co-creation that integrate the various stages of value creation (i.e. input, throughput and output).


2019 ◽  
Vol 9 (4) ◽  
pp. 37-65 ◽  
Author(s):  
Alexander Herzfeldt ◽  
Sebastian Floerecke ◽  
Christoph Ertl ◽  
Helmut Krcmar

In a fast growing but highly competitive market, some cloud service providers are significantly more profitable than others. In particular, numerous providers struggle to scale their cloud service delivery up from a one-time, project-based co-creation model to a platform delivery model, building on reusable resources. This study builds on the service (-dominant) logic and the resource-based view to develop a model of cloud service profitability. It is proposed that profitability results from the ability to manage costs of customer-specific value co-creation and efforts to build reusable resources, which facilitate future customer engagements. The results of a survey with 99 cloud providers show that value co-creation costs indeed mediate the effects of facilitation capability and complexity on cloud service profitability. However, facilitation capability has both direct and mediated effects on profitability. The results provide insights on which factors influence cloud service profitability and which resources should be established before offering a cloud service to future customers.


2014 ◽  
Vol 24 (3) ◽  
pp. 206-229 ◽  
Author(s):  
Christian Grönroos ◽  
Johanna Gummerus

Purpose – The purpose of this conceptual paper is to analyse the implications generated by a service perspective. Design/methodology/approach – A conceptual analysis of two approaches to understanding service perspectives, service logic (SL) and service-dominant logic (SDL), reveals direct and indirect marketing implications. Findings – The SDL is based on a metaphorical view of co-creation and value co-creation, in which the firm, customers and other actors participate in the process that leads to value for customers. The approach is firm-driven; the service provider drives value creation. The managerial implications are not service perspective-based, and co-creation may be imprisoned by its metaphor. In contrast, SL takes an analytical approach, with co-creation concepts that can significantly reinvent marketing from a service perspective. Value gets created in customer processes, and value creation is customer driven. Ten managerial SL principles derived from these analyses offer theoretical and practical conclusions with the potential to reinvent marketing. Research limitations/implications – The SDL can direct researchers’ and managers’ views towards complex value-generation processes. The SL can analyse this process on a managerial level, to derive customer-centric, service perspective-based opportunities to reinvent marketing. Practical implications – The analysis and principles help marketing break free from offering only value propositions and become an organisation-wide responsibility. Firms must organise service-influenced marketing and create a customer focus among all employees, beyond conventional marketing. Originality/value – A service perspective on business has key managerial implications and enables researchers and managers to find new, customer-centric, service-influenced marketing approaches.


2021 ◽  
Vol 39 (1) ◽  
pp. 93-118
Author(s):  
Krystyna Mazurek-Łopacińska

Abstract The article aims to present customer participation in value co-creation based on the demand-side approach to innovation. We present the rationale and principles of the demand-side approach to innovation based on user participation. Further, we discuss the forms of customer engagement in customer-company cooperation, customer motivations, and perceived benefits. This article also identifies the open innovation model’s factors and provides practitioners with implementation guidance regarding the demand approach to innovation. Further, this article shows the influence of the customer’s active role and the demand-side approach to innovation on the enterprise, the economy, and society. Finally, we identify possible risks associated with using this approach and their impact on the environment.


Author(s):  
Nila Armelia Windasari ◽  
Fu-ren Lin

This article conceptualizes open innovation using service system view and service-dominant logic (S-DL) to specify the generic characteristics of open innovation of service, which eliminates the discrepancy of open innovation between product and service. The main objective is to explicate the tripartite framework proposed by Lusch and Nambisan into six generic characteristics to serve as vocabulary in formulating open innovation of service strategies. The business cases are categorized by 2x2 grid according to the institutionalization of actors into the service ecosystems. There are six essential characteristics of open innovation of service grounded in S-D logic: (1) interaction within and among service systems, (2) integration of operand and operant resources, (3) open platform, (4) exchange mechanism, (5) value proposition, and (6) network of actors. To summarize, the strategies are formulated using the six characteristics for each category of business in three layers, micro, meso, macro, to sustain the practice of open innovation in various industries.


Author(s):  
Maria Åkesson ◽  
Per Skålén ◽  
Bo Edvardsson ◽  
Anna Stålhammar

Purpose This article investigates the role of frontline employees in service innovation from a service-dominant logic perspective. Frontline employees lack a formal innovation obligation. Service innovation is a resource integration process resulting in the creation of new value propositions. Design/methodology/approach A case study of service innovation projects that includes three different businesses in the IT sector and personal interviews with 25 frontline employees. Findings The findings suggest that frontline employees contribute to service innovation by test-driving potential value propositions. Three types of value proposition test-driving have been identified: cognitive, practical, and discursive. The findings suggest interdependencies between the different modes of value proposition test-driving, as well as specific phases of the service innovation process dominated by one form or another. Research limitations/implications Value proposition test-driving offers a fruitful context for managers to involve frontline employees and use their creativity and expertise. The case study approach, however, limits the statistical generalizability of the findings. Originality/value The study is novel in that it (a) introduces the notion of value proposition test-driving for service innovation; (b) provides a systematic empirical analysis of how frontline employees contribute to service innovation by test-driving value propositions; (c) offers a service innovation model informed by the service-dominant logic; and (d) contributes to the service-dominant logic by detailing how service innovation occurs in practice.


2018 ◽  
Vol 13 (10) ◽  
pp. 146
Author(s):  
Mirko Perano ◽  
Gian Luca Casali ◽  
Tindara Abbate

This work stresses the centrality of the Service-Dominant Logic (S-D logic) point of view and the relationships between firm and Open Innovation Intermediary in the knowledge development process providing a conceptual framework. From an in-depth literature review on S-D logic, Open Innovation Intermediaries and firm dynamic capabilities, a development of a conceptual framework based on these research areas is provided. The framework is intended to highlight the role of customers (firms) into professional relationships with intermediaries of innovation becomes progressively significant in the innovation activities because these professional relationships increasingly become co-creators of value. Within their advanced platforms, intermediaries or brokers, encourage, promote and sustain interactions and partnerships aligned to value co-creation enterprises. This is achieved by providing a heterogeneous set of services to augment dynamic cooperation, to advance concepts or solutions for solving interdisciplinary problems and, consequently, to address an organization’s requirements for new market opportunities. Therefore, these partnerships represent a possible way to define and to improve the value cocreation actions by firms that intend to engage and to cooperate with adjunctive and integrative resources and expertise. In addition, the framework has been designed to highlight a particular domain centered on the role of each S-D Logic axioms within the innovation capabilities; and the relationship and orientation between organisation and innovation intermediary. The main findings highlight that both firms and Open Innovation Intermediaries need to develop innovative capabilities through direct and indirect relationships within the S-D logic perspective. This study is an effort towards building a conceptual framework by connecting the concepts of Open Innovation Intermediaries, dynamic capabilities and S-D logic.


2015 ◽  
Vol 3 (3) ◽  
pp. 90-117 ◽  
Author(s):  
Julien Dufour ◽  
Pierre-Etienne Son

Open innovation has been widely debated in management literature. However, little attention has been given to how small and medium sized enterprises manage to open up their innovation process. Consequently, various questions remain unanswered. In particular, we want to shed light on the following issue: how small and medium-sized enterprises manage organizational changes in their journey from closed to open innovation. A literature review examines how small and medium-sized enterprises open up their innovation process based on nine perspectives. Then, the reference framework addresses the organizational changes embedded in evolving from closed to open innovation. In this sense, we use acknowledged concepts on organizational change research to carry out an in depth-case study on a small and medium-sized enterprise evolving in the sports equipment industry. The results demonstrate that, in its journey from closed to open innovation, the small and medium-sized enterprise has to stimulate and to manage changes to four company’s dimensions i.e. corporate culture, networking, organizational structure and knowledge management systems. The paper concludes by highlighting the diverse organizational changes undertaken by the company on these four dimensions. Based on this paper’s conclusion, managerial implications and discussion for future research are drawn.


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