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Article

Beomjoon Choi and Hyun Sik Kim

This study aims to investigate the impact of three types of online customer-to-customer interaction qualities on customers' participation intention through customerfirm

Abstract

Purpose

This study aims to investigate the impact of three types of online customer-to-customer interaction qualities on customers' participation intention through customerfirm affection in online mass service contexts to address the influence of several types of intercustomer interactions.

Design/methodology/approach

The data were amassed using retrospective experience sampling. The hypothesized relationships were examined utilizing structural equation modeling.

Findings

The results demonstrate that the perceived quality of the friend-interaction (e.g. [non-]verbal online interaction with friends), neighboring customer-interaction (e.g. [non-]verbal online interaction with stranger users) and the audience-interaction (crowding) has a significant impact upon customer participation intention, mediated by customerfirm affection.

Research limitations/implications

This research was performed in the situation of online mass services (e.g. massively multiplayer online role-playing games). Future studies could extend the findings by conducting further studies across various types of services and by comparing results across different categories of mass services (e.g. hedonic vs utilitarian).

Practical implications

Online mass service marketers should focus on facilitating all three types of online customer-to-customer interactions (i.e. friend-, neighboring customer-, and audience-interaction). For example, online game developers may need to require users to communicate and collaborate with not only friends but also stranger users to progress and succeed in online multiplayer games.

Originality/value

The current study differs from prior research by addressing the influences of not only online intercustomer interaction qualities but also customerfirm affection on customer participation intention.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 32 no. 8
Type: Research Article
ISSN: 1355-5855

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Article

Hongyan Yu, Rong Liu and Daowu Zheng

With the rapid development of information technologies and the internet, firms have increasingly focussed on customer interactions to realise value co-creation. Previous…

Abstract

Purpose

With the rapid development of information technologies and the internet, firms have increasingly focussed on customer interactions to realise value co-creation. Previous studies have empirically examined interaction orientation, but their measurements have been derived from goods-dominant logic and have not explained the mechanism of value co-creation. The purpose of this paper is to propose an operational definition and define the dimensions of interaction orientation based on value co-creation theory (IOVCC), and then develop a scale for it.

Design/methodology/approach

In this study, data were collected from employees via three questionnaire surveys, and then analysed using exploratory factor analysis and confirmatory factor analysis.

Findings

The findings are as follows: IOVCC represents a firm’s implementation of a set of marketing actions aimed at inserting the firm into its customers’ daily life practices and co-creating value with the customers. The construct of IOVCC consists of five behavioural dimensions: “building communication channels”, “involving customers in co-production”, “improving service capabilities”, “improving interaction quality” and “integrating interaction resources”. The measurement scale for IOVCC has acceptable levels of reliability, content validity, convergent validity, discriminant validity and nomological validity.

Originality/value

This study enriches the literature on value co-creation theory by revealing the process and actions of co-creating value. It also contributes to the understanding of service touchpoints by highlighting the interaction quality of touchpoints. In addition, the authors have developed a reliable and valid scale for IOVCC, thereby facilitating the measurement of a firm’s implementation of the “value co-creation” business philosophy.

Details

Journal of Contemporary Marketing Science, vol. 2 no. 3
Type: Research Article
ISSN: 2516-7480

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Article

Lorena Blasco-Arcas, Blanca Isabel Hernandez-Ortega and Julio Jimenez-Martinez

The purpose of this paper is to explore the role of emotions in developing customer engagement and brand image during virtual service interactions. The authors explore the…

Abstract

Purpose

The purpose of this paper is to explore the role of emotions in developing customer engagement and brand image during virtual service interactions. The authors explore the concept of engagement platforms (EPs) and how their extrinsic characteristics or cues (i.e. C2C interactions–and personalization-related cues) originate both non-transactional (i.e. customer engagement and brand image) and transactional (i.e. purchase intentions) responses. Specifically, the authors propose that customer emotions (i.e. pleasure, arousal and dominance) mediate the influence of EP cues on customer responses. The authors also analyze how the engagement developed during interactions in EPs contributes to brand image perceptions and the effect of these two concepts on purchase intentions.

Design/methodology/approach

Building on servicescapes and stimulus-organism-response theories, the present paper carries out two studies. Study 1 adopts an experimental approach to explore C2C interactions–and personalization-related cues. Study 2 focusses on the importance of customer emotions to foster engagement and brand image, and also analyzes their effect on purchase intentions. It employs structural equations modeling techniques. Both studies analyze the effect of customer engagement on brand image.

Findings

Findings corroborate that, during interactions in the platform, customer engagement with the firm influences brand image. Moreover, the pleasure and arousal experienced by customers influence their engagement while dominance modifies brand image. Finally, customer engagement and brand image have a positive effect on purchase behavior.

Research limitations/implications

This paper contributes to research demonstrating the key role of emotions in interactions with EPs. The authors demonstrate the importance of fostering pleasant and arousing experiences to enhance the level of customer engagement with the firm in first interactions. Dominance constitutes a key dimension to improve brand image in EPs. Finally, the research demonstrates that engagement develops customers’ transactional behaviors and not only non-transactional ones, as seen in previous literature.

Originality/value

In digital worlds, EPs emerge as touch points beyond purchase that allow individuals to integrate resources and co-create value between them and with the firm. Despite the interest of BCPs, few works have analyzed how interactions with these platforms and the elicited emotions contribute to developing customer engagement and brand image, key factors for understanding customer participation and behavior in interactive media.

Details

Journal of Service Theory and Practice, vol. 26 no. 5
Type: Research Article
ISSN: 2055-6225

Keywords

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Article

Intekhab Alam

Customer interaction in new service development is a key success factor for new services. However, the knowledge about the process and techniques of customer interaction

Abstract

Purpose

Customer interaction in new service development is a key success factor for new services. However, the knowledge about the process and techniques of customer interaction in any Asian and emerging market is limited. Therefore, the purpose of this article is to investigate the process of customer interaction in new service development in an emerging market – India.

Design/methodology/approach

The article is based on longitudinal case research involving 24 service firms, in which 48 managers and 24 customers were interviewed and the paper followed the development process of several new service projects in real time.

Findings

The research answers several critical questions involved in customer interaction in new service development that include: What are the modes of customer interaction in NSD? What are the stages of customer interaction? Whom a firm shall interact with? What is the role of employees in customer interaction? And what are the pitfalls in customer interaction process?

Research limitations/implications

The results and findings of this study will help managers improve the odds of developing successful new services in the emerging markets.

Originality/value

The research is the first attempt to examine the customer interaction practice of service firms in an emerging market – India. Therefore, it contributes to the extant literature of new service development and innovation.

Details

International Journal of Emerging Markets, vol. 8 no. 1
Type: Research Article
ISSN: 1746-8809

Keywords

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Article

Chris Meyer, David Cohen and Sudhir Nair

The paper aims to fill this gap by positing a framework that considers the service automation decision as a matter of knowledge management: a choice between human resident…

Abstract

Purpose

The paper aims to fill this gap by positing a framework that considers the service automation decision as a matter of knowledge management: a choice between human resident and codified knowledge assets.

Design/methodology/approach

The paper is a conceptual paper, grounded in the knowledge-based view.

Findings

The paper uses the information processing theory, which argues that the level of uncertainty in a process should dictate the type of knowledge deployed, as the contingency for the automation choice, and customer interaction uncertainty as the driver of that contingency. From these ideas, propositions are generated relating customer interaction uncertainty and service automation. Further implications for artificial intelligence (AI) are also explored.

Originality/value

The framework illuminates and informs the strategic choices regarding service automation, including the use of AI in professional services, a timely and highly important topic. It offers a valuable model for practitioners and contributes to the academic literature by pointing the way for future directions for scholarly research.

Details

Journal of Service Management, vol. 31 no. 2
Type: Research Article
ISSN: 1757-5818

Keywords

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Article

Intekhab Alam

The purpose of this paper is to discuss the process of interaction with the Muslim customers in developing new Islamic financial services in a secular and non-Muslim…

Abstract

Purpose

The purpose of this paper is to discuss the process of interaction with the Muslim customers in developing new Islamic financial services in a secular and non-Muslim majority emerging country, India.

Design/methodology/approach

Data were collected using a multiple case study methodology in which the service managers of 23 financial service firms and their customers were interviewed. A total of 46 managers and 31 Muslim customers provided data for this paper.

Findings

A service firm must interact with its Muslim customers to obtain key input and information for developing new Islamic financial services, particularly in a Muslim minority country. The Muslim customers are willing to work with the financial service firms for the purpose of new service development and are a good source of information for new Islamic financial services.

Practical implications

The paper has implications for the financial service firms interested in achieving growth and prosperity by developing and marketing new services to the growing population of Muslim customers in the emerging markets, particularly India.

Originality/value

The issue of customer interaction in new service development is a key concept in the extant literature, yet no study has explored this concept for the Islamic banking and financial products in a non-Muslim majority emerging market. This is the first paper that has applied the customer interaction in new service development theory to the interaction process of Muslim customers in a non-Muslim majority country and, thus, addressed a worthwhile research gap.

Details

Journal of Islamic Marketing, vol. 10 no. 4
Type: Research Article
ISSN: 1759-0833

Keywords

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Article

Laure Ambroise, Céline Bérard and Isabelle Prim-Allaz

This paper aims to explore the complex relationships between knowledge strategies (i.e. exploration and exploitation) and the performance of manufacturing SMEs by testing…

Abstract

Purpose

This paper aims to explore the complex relationships between knowledge strategies (i.e. exploration and exploitation) and the performance of manufacturing SMEs by testing the mediating role of customer relationship management capabilities, which are defined as a firm’s level of interaction orientation in this study.

Design/methodology/approach

Following a hypothetical deductive approach and using data collected from 793 French manufacturing SMEs, the measurement model and relationships among the constructs were examined with structural equation modelling, using the partial least squares approach.

Findings

The results support the expected mediating role of interaction orientation between exploitation and performance, and stress a competitive mediating role between exploration and performance. Complementary analyses demonstrate that while both exploration and exploitation are effectively antecedents of interaction orientation, which also acts as a lever to performance, they exhibit specific effects on the different dimensions of interaction orientation.

Originality/value

The results specifically highlight that interaction orientation counterbalances the negative impact of exploration on performance. Moreover, the findings underline the key role that customer interaction processes and tools play in making exploration and exploitation singularly effective. This is a real issue, as SMEs broadly tend to adopt opportunistic tools, not necessarily as part of a clearly defined strategic focus.

Details

Journal of Business & Industrial Marketing, vol. 35 no. 12
Type: Research Article
ISSN: 0885-8624

Keywords

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Article

Jaakko Siltaloppi and Suvi Nenonen

Research on value co‐creation has gained ground rapidly but remained at a very theoretical level. Thus, it has provided relatively little insight into the nature of…

Abstract

Purpose

Research on value co‐creation has gained ground rapidly but remained at a very theoretical level. Thus, it has provided relatively little insight into the nature of individual processes of service provision/value creation, and how firms interact with their customers and contribute to their value creation processes. On this basis, the purpose of this paper is to identify and elaborate possible roles firms and their customers enact in the service provision/value creation process.

Design/methodology/approach

The research utilizes a multiple case study approach building primarily on qualitative interview data from eight service concepts in the Finnish residential real estate industry.

Findings

The research reveals three roles of the firm based on the extent to which firms engage in service provision/value creation processes with their customers. At one extreme, the output of the firms acts as a resource, which is transformed into an outcome and used by the customers. At the other, firms and customers jointly co‐create value, with the firm coordinating the whole offering for the customer. In between, firms transform their resources into relatively standardized outcomes, which customers use in their value creation processes.

Research limitations/implications

The results contribute to the understanding of service provision by categorizing firmcustomer interaction into differing configurations of roles. This reinforces the notion that the depth of interaction affects the extent to which value is co‐created between the firm and customer; different services having different configurations of roles which shape the interaction. Limited to eight service cases, the results only exemplify aggregate role configurations. Moreover, by focusing only on the perspectives of firm representatives, the results do not allow a closer analysis on customer‐specific roles in the value creation process.

Originality/value

This research presents an empirical analysis and interpretation of the service co‐production/value co‐creation process, complementing the extensive theoretical research on the topic. Particularly, the results display different depths of interaction between firms and their customers in co‐producing and co‐creating value, which suggests that it is not necessarily meaningful to consider everything co‐creation from an empirical perspective.

Details

International Journal of Quality and Service Sciences, vol. 5 no. 2
Type: Research Article
ISSN: 1756-669X

Keywords

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Article

Marianna Sigala

This paper aims to debate the technology-driven transformation of customer relationship management (CRM) into social CRM, which entails a shift from a transactional and…

Abstract

Purpose

This paper aims to debate the technology-driven transformation of customer relationship management (CRM) into social CRM, which entails a shift from a transactional and automational solution to a customer experience management philosophy, reflecting high levels of customer empowerment.

Design/methodology/approach

A literature review provides a critical analysis of the concept, tenets, aims and implementation approaches of social CRM. Arguments are summarised by developing a process-based framework for implementing social CRM.

Findings

By adopting a value co-creation approach that recognises the technology-fostered customer empowerment, the social CRM highlights the need to immigrate from relationship management to relationship stewardship. In this vein, social CRM implementation should support and foster dialogue facilitation and customer engagement in co-creating customer experiences. To achieve these, five approaches for implementing social CRM are proposed: collecting, analysing and interpreting customer insight; monitoring and improving the performance of CRM; developing holistic and seamless personalised customer experiences; gamifying CRM and loyalty programmes; and nurturing community relationship management.

Research limitations/implications

The five approaches to social CRM implementation are identified and validated based on current industry practices, theoretical arguments and anecdotal evidence of professionals’ perceptions about their outcomes. Future research is required to collect hard evidence showing the business and customer impacts of these approaches.

Practical implications

Social CRM immigrates relationship management from a transactional to a customer experience mindset that treats customers as co-creators of value and demands the tourism and hospitality firms to exploit the affordances of information and communication technologies to collect and analyse customer data for better understanding the customer; develop customer touch points that do not only aim to sell but also primarily aim to enhance the customer interactions and experiences; consider and treat the customers and the customer communities as co-creators, brand ambassadors and stewards of relations; and motivate and enable customer participation into value co-creation processes for developing customer experiences and building relationships.

Originality/value

Research in social CRM is emerging, but it mainly focusses on defining its scope and identifying the functionality and adoption of social CRM technology. The paper contributes to the literature by proposing five specific approaches and a process framework for implementing social CRM. Various directions for future research are also provided.

Details

International Journal of Contemporary Hospitality Management, vol. 30 no. 7
Type: Research Article
ISSN: 0959-6119

Keywords

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Article

Hyunju Shin, Alexander E. Ellinger, David L. Mothersbaugh and Kristy E. Reynolds

Services marketing research continues to be largely focused on firms’ reactive interactions for recovering from service failure rather than on proactive customer

Abstract

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.

Details

Journal of Service Theory and Practice, vol. 27 no. 1
Type: Research Article
ISSN: 2055-6225

Keywords

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