Fostering Collaborative Research for Customer Experience – Connecting Academic and Practitioner Worlds

© 2020 This editorial calls for greater use of academic-practitioner workshops to co-create value for academics, practitioners and wider network actors through promotion of research relevance and sharing of problems, ideas and data. It describes how one such workshop, the 2nd Academic-Practitioner Research with Impact Workshop focusing on the design and decision making for customer experience, co-hosted in Manchester on 18th and 19th of June 2018 by Alliance Manchester Business School, University of Manchester and Loughborough University's Centre for Service Management (CSM), was delivered. The key processes for success and issues to consider for future such events are discussed. The workshop resulted in 8 papers (six theoretical and two empirical). This Special Issue advances current understanding of CE through the research considering the role of technology (AI and big data) in CE research, atypical CE (vulnerability, deviance behaviours and service failure and recovery) and focusing on important organizational and B2B issues (business model innovation, and CEM in business markets)

Identifying tensions in the servitized value chain

OVERVIEW: Servitization is recognized as an opportunity for manufacturing firms to harvest additional value by accessing new sources of revenue and expanding their reach up and down the value chain. It is a network activity, as it involves not just the servitizing firm but actors across the firm’s ecosystem. Most studies argue that servitization creates value for all network actors. However, service innovation activities may also result in the firm appropriating value from other actors, creating tensions in the network. Those tensions can undermine servitization efforts and destroy value for all participants. To avoid this outcome, firms must anticipate and manage tensions to create cooperative relationships with value chain partners. Through a series of semi-structured interviews with key actors at servitizing firms and their customers and intermediaries, we identified specific types and sources of tensions in the servitization process and explored how they might be mitigated or managed

Service Modeling of Compliments and Complaints and its implications for value co-creation

The paper demonstrates the impact of using text mining techniques to automate analysis and classification of large amounts of customer compliments and complaints (C&C). The research is using an empirical approach to generate a better understanding of how co-creation processes can be designed based on customer feedback experiences. In order to improve the service propositions, the integration of customer comments as operant resources of the organisation is discussed. A cocreation feedback model is proposed, considering positive and negative comments across three main categories, resources, activities and attributes (positive/negative comments). Finally, the co-creation feedback model enables the mapping of the organisation’s service processes from the customer perspective

When good news is bad news: the negative impact of positive customer feedback on front-line employee well-being

Purpose – Front-line employee (FLE) well-being is an under-researched field. Contrasting the prevailing view that Positive Customer Feedback (PCF) can only have ‘positive’ impacts, this study aims to answer the counterintuitive question: Could the apparently positive construct ‘Positive Custo mer Feedback’ have a negative impact on the well-being of front-line employees? Consequently, working within the Transformative Service Research (TSR) framework, we investigate whether PCF can negatively affect the eudaimonic and hedonic well-being dimensions of FLEs, thus decreasing their overall psychological well-being level. Design/methodology/approach – A multidisciplinary literature review was conducted, particularly in the social psychology, human resources and organizational behavior fields, to examine the potential negative impacts of PCF. Subsequently, an exploratory qualitative study consisting of seven focus groups with 45 FLEs and 22 in-depth interviews with managers working across various service industries were performed. All the transcripts were analyzed via an iterative hermeneutical process. Findings – A model describing ten negative impacts and six key contingencies of PCF was developed. The identified impacts can negatively affect the eudaimonic and hedonic well-being dimensions of FLEs. PCF can have a negative impact on the eudaimonic dimensions such as harmony, respect and support. Moreover, PCF appears to increase the negative affect by creating tension, fear, strain and stress, thus, negatively affecting the happiness level of FLEs (hedonic well-being). The identified contingencies play a crucial role in determining the direction and intensity of the negative impact of PCF. Therefore, the overall psychological well-being level of FLEs can suffer as a result of PCF. This study also discusses managerial challenges associated with PCF management. Research limitations/implications – The article discusses important managerial implications in the field of FLE well-being and PCF management and suggests directions for future research aiming to expand the boundaries of the current TSR agenda and service human resources. Originality/value – This study is the first to explore the negative side of PCF from a TSR perspective. It extends the understanding of the overlooked area of PCF and FLE well-being

Motivations for servitization: The impact of product complexity

Purpose – The purpose of this paper is to identify the commonalities and differences in manufacturers’ motivations to servitise. Design/methodology/approach – UK study based on interviews with 40 managers in 25 companies in 12 sectors. Using the concept of product complexity, sectors were grouped using the Complex Products and systems (CoPS) typology: non-complex products, complex products and systems. Findings – Motivations to servitise were categorised as competitive, demand based (i.e. derived from the customer) or economic. Motivations to servitise vary according to product complexity, although cost savings and improved service quality appear important demand-based motivations for all manufacturers. Non-complex product manufacturers also focus on services to help product differentiation. For CoPS manufacturers, both risk reduction and developing a new revenue stream were important motivations. For uniquely complex product manufacturers, stabilising revenue and increased profitability were strong motivations. For uniquely systems manufacturers, customers sought business transformation, whilst new service business models were also identified. Research limitations/implications – Using the CoPS typology, this study delineates motivations to servitise by sector. The findings show varying motivations to servitise as product complexity increases, although some motivational commonality existed across all groups. Manufacturers may have products of differing complexity within their portfolio. To overcome this limitation the unit of analysis was the strategic business unit. Practical implications – Managers can reflect on and benchmark their motivation for, and opportunities from, servitisation, by considering product complexity. Originality/value – The first study to categorise servitisation motivations by product complexity. Identifying that some customers of systems manufacturers seek business transformation through outsourcing

I Can’t Always Get What I Want:Low Power, Service Customer (Dis)Engagement and Wellbeing

Purpose – This research examines experiences of low customer power in service interactions and the impact of those experiences on customers’ engagement and disengagement towards a firm. It subsequently identifies how such experiences may affect customers’ wellbeing. Design/methodology/approach – We conducted visual elicitation interviews with 30 customers of a range of services. Data were analysed thematically using abductive reasoning. Findings – Low customer power is influenced by several factors perceived by customers as associated with the firm and/or the context of the customer-firm relationship. Results show that low power drives negative customer engagement and may result in behavioural disengagement. Low customer power, negative engagement and disengagement can have negative implications for customers’ eudaimonic (physical and financial) and hedonic wellbeing. Research limitations/implications – Future studies might explore specific service contexts and power dynamics across service ecosystems and should further analyse the implications of these relationships on firms’ strategic organisational responses. Practical implications – Firms should monitor customer power and explore means of enhancing the wellbeing of their customers through strategies designed to increase customer power, thus reducing negative customer engagement, and avoiding detrimental impact on customer wellbeing. Originality – This study reframes discussions on low customer power in relation to firms and its impact on firms and customers. It identifies low customer power as a key variable in the study of customer engagement, disengagement, and wellbeing

Capabilities for advanced services: A multi-actor perspective

This paper was published in the journal Industrial Marketing Management and the definitive published version is available at http://dx.doi.org/10.1016/j.indmarman.2016.04.015.Servitization involves manufacturers developing service offerings to grow revenue and profit. Advanced services, in particular, can facilitate a more service-focused organization and impact customers' business processes significantly. However, approaches to servitization are often discussed solely from the manufacturer's perspective; overlooking the role of other network actors. Adopting a multi-actor perspective, this study investigates manufacturer, intermediary and customer perspectives to identify complementary and competing capabilities within a manufacturer's downstream network, required for advanced services. Interviews were conducted with 24 senior executives in 19 UK-based manufacturers, intermediaries and customers across multiple sectors. The study identified six key business activities, within which advanced services capabilities were grouped. The unique and critical capabilities for advanced services for each actor were identified as follows: manufacturers; the need to balance product and service innovation, developing customer-focused through-life service methodologies and having distinct, yet synergistic product and service cultures; intermediaries, the coordination and integration of third party products/services; customers, co-creating innovation and having processes supporting service outsourcing. The study is unique in highlighting the distinct roles of different actors in the provision of advanced services and shows that they can only be developed and delivered by the combination of complex interconnected capabilities found within a network

A three-dimensional customer commitment model : its impact on relational outcomes

Customer's ever increasing bargaining power makes it particularly important that practitioners and researchers more thoroughly understand the complex nature of customer commitment. Not surprisingly, however, although the construct of commitment has emerged as one of the key constructs in relationship marketing and has been widely studied in literature, there has been very little agreement on the conceptualisation of the construct. Building upon relationship marketing and organisational behaviour literature, the aim of this research is to extend our understanding of the nature of customer commitment by developing a three-dimensional customer commitment model relaying on commitment theory from the organisational behaviour literature; affective desire-based (AC), calculative cost-based (CC), and normative obligation-based (NC). Relationships among the commitment dimensions and relationships with a number of loyalty relational outcomes, namely, intention to stay (ITS), word of mouth (WOM), and willingness to pay (WTP) were investigated in this study. Using survey questionnaire distributed among customers of cell phone services (N=525), the data was analysed by structural equation modeling (SEM) and then additional analysis was employed to further demystify the complexity of the commitment concept. The results suggest that AC is the dominant source that generates customer loyalty, in line with the state of literature. Both cost-based and surprisingly obligation-based have shown detrimental effects on maintaining and developing the customer-service provider relationship. Additional analysis with various scenarios was implemented using mean split as cut score for high/low commitment dimensions. The findings suggest NC turns to have important positive role on relational outcomes when both AC and CC are below the mean split. When both AC and CC are high NC negatively affect at least ITS but at the same time make a clear positive effect on WTP. The findings can be instructional for identifying how firms can bend various marketing sources to secure more loyal customers to the service provider.EThOS - Electronic Theses Online ServiceGBUnited Kingdo

A three-dimensional customer commitment model : its impact on relational outcomes

Customer's ever increasing bargaining power makes it particularly important that practitioners and researchers more thoroughly understand the complex nature of customer commitment. Not surprisingly, however, although the construct of commitment has emerged as one of the key constructs in relationship marketing and has been widely studied in literature, there has been very little agreement on the conceptualisation of the construct. Building upon relationship marketing and organisational behaviour literature, the aim of this research is to extend our understanding of the nature of customer commitment by developing a three-dimensional customer commitment model relaying on commitment theory from the organisational behaviour literature; affective desire-based (AC), calculative cost-based (CC), and normative obligation-based (NC). Relationships among the commitment dimensions and relationships with a number of loyalty relational outcomes, namely, intention to stay (ITS), word of mouth (WOM), and willingness to pay (WTP) were investigated in this study. Using survey questionnaire distributed among customers of cell phone services (N=525), the data was analysed by structural equation modeling (SEM) and then additional analysis was employed to further demystify the complexity of the commitment concept. The results suggest that AC is the dominant source that generates customer loyalty, in line with the state of literature. Both cost-based and surprisingly obligation-based have shown detrimental effects on maintaining and developing the customer-service provider relationship. Additional analysis with various scenarios was implemented using mean split as cut score for high/low commitment dimensions. The findings suggest NC turns to have important positive role on relational outcomes when both AC and CC are below the mean split. When both AC and CC are high NC negatively affect at least ITS but at the same time make a clear positive effect on WTP. The findings can be instructional for identifying how firms can bend various marketing sources to secure more loyal customers to the service provider.EThOS - Electronic Theses Online ServiceGBUnited Kingdo