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Article
Publication date: 19 June 2017

Wibke Heidig, Daniel Wentzel, Torsten Tomczak, Annika Wiecek and Martin Faltl

In many industries, customers are offered the opportunity to revise their initial decision in return for a superior but more expensive service option, a selling technique…

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Abstract

Purpose

In many industries, customers are offered the opportunity to revise their initial decision in return for a superior but more expensive service option, a selling technique that is typically referred to as upselling. Drawing on the research on customers’ service experience, cognitive effort, decision justification, and goal framing, the purpose of this paper is to conceptualize upselling as a two-stage decision process where the process of making the first decision (i.e. deciding on an initial service option) affects the final decision (i.e. the decision for or against the upsell offer).

Design/methodology/approach

First, qualitative interviews were conducted both with customers as well as managers. Moreover, in two experimental studies, different scenarios depicted an upsell situation that is common in many service encounters. After choosing a hotel room or rental car for reservation, participants were confronted with differently framed arguments to induce a shift toward an enhanced but more costly version of the initially chosen service option.

Findings

The qualitative interviews reveal that upselling is a common practice in many companies and that the manner in which the upsell is communicated has a considerable influence on its effectiveness. The first experimental study finds that the cognitive effort that customers expend in the initial choice moderates the effect of upsell messages using different goal frames. The second experimental study shows that customers are only affected by different goal frames when they feel responsible for the outcome of the final decision.

Practical implications

The findings provide a number of useful guidelines for designing upselling strategies and may also be used to segment a firm’s customer base. On a more general level, this research also raises managers’ awareness of the sequential nature of upselling decisions and the customer’s intrinsic need to justify an upsell choice.

Originality/value

The studies contribute to the literature on customers’ service experience and upselling strategies. Upselling is conceptualized as a two-stage process in which customers’ experience in one phase influences their behavior in later stages. The underlying psychological mechanisms of this effect are also highlighted by referring to customers’ need to justify service choices to themselves.

Details

Journal of Service Management, vol. 28 no. 3
Type: Research Article
ISSN: 1757-5818

Keywords

Article
Publication date: 16 August 2011

Nadin Dörner, Felicitas Morhart, Oliver Gassmann and Torsten Tomczak

This paper presents an inter‐institutional collaboration project. The project's goal was to develop a new teaching program that fosters pre‐university innovation and

Abstract

Purpose

This paper presents an inter‐institutional collaboration project. The project's goal was to develop a new teaching program that fosters pre‐university innovation and entrepreneurship education. The purpose of this paper is to derive implications for future inter‐institutional collaborations.

Design/methodology/approach

The development and testing of the new teaching program corresponds to the design science paradigm.

Findings

The findings illustrate that inter‐institutional collaboration can generate completely new approaches that are able to deal with new challenges in education.

Research limitations/implications

This research focuses only on one specific inter‐institutional collaboration project. The findings are limited to this project.

Practical implications

The paper discusses implications for future educational collaboration projects to develop new teaching programs.

Originality/value

The paper presents a collaboration project between university, school and industry. It illustrates that new teaching approaches can be successfully realised in collaboration. The paper also reports the applicability of a new, namely transformational, teaching approach.

Article
Publication date: 1 April 2006

Andreas Herrmann, Frank Huber, René Algesheime and Torsten Tomczak

Quality function deployment (QFD) has had considerable success in terms of its implementation in companies. It has also been the subject of many studies in recent years…

3665

Abstract

Purpose

Quality function deployment (QFD) has had considerable success in terms of its implementation in companies. It has also been the subject of many studies in recent years. It seems, however, that there are some shortcomings in the research on this subject and in particular the lack of an adequate conceptual framework suitable for empirical research. The purpose of this paper is to address this issue.

Design/methodology/approach

This study proposes and elaborates a model which examines QFD in relation to three dimensions of performance: improvement of product quality, reduction in costs for R&D, shorter R&D time. The model is empirically tested on data gathered on a stratified random sample of manufacturing plants through the application of valid and reliable measures. The model is tested using structural equation modeling.

Findings

The results show three distinct paths of direct influence which lead, respectively, to superior economic performance. The empirical study has shown that the success of a QFD project is mainly influenced by motivated employees in the QFD project team. A comprehensive technical support for the QFD project is also a crucial key success factor. The strict organization of the QFD project is of minor, however still remarkable importance for the success.

Originality/value

This article specifically addresses the following four questions. What are the variables which affect QFD? What are the outcomes from using QFD? What relationships exist between QFD variables and outcomes? What guidelines may be offered for managers of QFD? By answering these questions the manager will get a clear understanding of the impact of QFD on corporate success.

Details

International Journal of Quality & Reliability Management, vol. 23 no. 4
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 1 January 2006

Andreas Herrmann, Torsten Tomczak and Rene Befurt

Time and time again companies with leading positions in the market place lose their dominance when a radical change occurs in the technological basis. In some cases, the…

7039

Abstract

Purpose

Time and time again companies with leading positions in the market place lose their dominance when a radical change occurs in the technological basis. In some cases, the survival of companies is in jeopardy because old technology‐investments hinder managers from adopting new technologies. Following on from the resource‐based view, the purpose of this paper is to develop an approach which explains the ability of a company to generate radical product innovations through the willingness of managers and employees to put aside their existing knowledge and acquire new skills.

Design/methodology/approach

The paper uses a causal analytic model to demonstrate the key influences on radical product innovations. The model incorporates formative indicators and we use a partial least squares approach to fit it. Since the central termini of this approach embody hypothetical constructs, causal modeling is the best‐suited approach to capture complex theoretical phenomena.

Findings

The results show that the willingness to abandon investments strongly determines radical product innovations. There obviously are key elements for cutting off traditional‐style investments with respect to new ideas that in turn foster radical outcomes.

Research limitations/implications

Since a causal analytic model is used, can be pictured a “real‐world” innovation making process only to a certain extent. Even though this paper covers only a partial view of reality, it cannot fundament an approach that is absolutely free of errors. As for any other model, retests are suggested.

Originality/value

This paper extends the 1998 findings of Tellis and Chandy by offering a more detailed analysis of radical innovation drivers. Results address researchers as well as practitioners, providing insights on coping with difficulties of abandoning traditional investments.

Details

European Journal of Innovation Management, vol. 9 no. 1
Type: Research Article
ISSN: 1460-1060

Keywords

Article
Publication date: 28 August 2007

Sven Henkel, Torsten Tomczak, Mark Heitmann and Andreas Herrmann

This study aims to show that brand success can be improved if the brand promise that is communicated through mass media campaigns is lived up to by each employee of a…

10496

Abstract

Purpose

This study aims to show that brand success can be improved if the brand promise that is communicated through mass media campaigns is lived up to by each employee of a company. The paper terms such brand consistent employee behaviour behavioural branding and identifies managerial instruments for its implementation and management.

Design/methodology/approach

The model in the paper explains the brand's contribution to company success by brand consistent employee behaviour, functional employee performance and brand congruent mass media communication. Brand consistent employee behaviour and functional employee performance in turn are modelled as determined by formal and informal management techniques as well as employee empowerment. The model is tested on a sample of 167 senior managers using partial least squares and finds empirical support. Furthermore, practical implications are provided based on additional top management focus groups.

Findings

The paper finds that behavioural branding determines the brand's contribution to company success. Further, the results show that informal management and employee empowerment have a far stronger impact on the brand consistency of employee behaviour than formal management instruments.

Practical implications

Managers should spend more time explaining and discussing targets of behavioural branding, and they should create an organisational environment that enables employees to find their own individual ways of articulating a brand to customers.

Originality/value

The framework in the paper integrates personal and non‐personal facets of interaction for a holistic explanation of brand performance. It provides a broader understanding of factors affecting the accruement of a customer's brand experience and enables researchers and practitioners to develop more consistent and promising brand management activities.

Details

Journal of Product & Brand Management, vol. 16 no. 5
Type: Research Article
ISSN: 1061-0421

Keywords

Content available
Article
Publication date: 16 October 2007

565

Abstract

Details

International Journal of Quality & Reliability Management, vol. 24 no. 9
Type: Research Article
ISSN: 0265-671X

Article
Publication date: 14 February 2020

Helena Elisabeth Liewendahl and Kristina Heinonen

Customer value creation is dependent on a firm’s capacity to fulfil its brand promises and value propositions. The purpose of this paper is to explore frontline employees…

1976

Abstract

Purpose

Customer value creation is dependent on a firm’s capacity to fulfil its brand promises and value propositions. The purpose of this paper is to explore frontline employees’ (FLEs’) motivation to align with value propositions.

Design/methodology/approach

The paper explores FLEs’ motivation to align with a firm’s value propositions as operationalised brand promises. A longitudinal, three-phase case study was conducted on a business-to-business company in the building and technical trade sector.

Findings

This study reveals factors that foster and weaken employees’ motivation to align with a firm’s brand promises and value propositions. The findings show that co-activity and authentic, practice-driven promises and value propositions foster FLEs’ motivation to uphold brand promises and value propositions, whereas an objectifying stance and power struggle weaken their motivation.

Practical implications

The study indicates that a bottom-up approach to strategising is needed and that FLE is to be engaged in traditional managerial domains, such as in developing value propositions. By creating space and agency for FLE in the strategising process, their motivation to align with value propositions is fostered. Four motivational modes are suggested to support bottom-up strategising.

Originality/value

The paper is unique in its focus on FLEs’ motivation. Developing value propositions traditionally falls within the domain of management strategising, while employees are ascribed the role of enactment. Contrary to the established norm, this paper highlights employees’ active role in strategising and developing value propositions.

Details

Journal of Business & Industrial Marketing, vol. 35 no. 3
Type: Research Article
ISSN: 0885-8624

Keywords

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