Enthusiastic customer endorsements can significantly influence buying decisions and drive sales. In service contexts, advocates are especially important because the specific and complex ...characteristics of services make personal recommendations very effective. Customer advocacy communications differ from other positive word of mouth (PWOM), though literature on advocacy is surprisingly sparse and inconsistent. Notably, advocacy is strong, passionate, explicit, and ongoing, with an explicit goal of positively influencing others’ views. As its central theoretical contributions, this article defines advocacy; identifies advocacy as a distinctive form of PWOM; conceptualizes advocacy according to a hierarchy of behaviors, which increase in intensity and effort; and develops a robust, reliable advocacy scale. By investigating positive behavioral outcomes of different levels of advocacy, this study also reveals the importance of identifying strong advocates, rather than just those who give PWOM, as well as salient drivers of advocacy. Accordingly, this article establishes a platform for further investigations of the importance of advocates, as well as recommendations to help managers identify these potentially valuable advocates.
Creating and communicating customer value is the basis of business-to-business marketing. In recent years, our understanding of the value construct and the communication of customer value ...propositions has undergone a fundamental change in perspective. This conceptual review article traces back the roots of the value concept to the early economic literature that distinguishes between two complementary perspectives on customer value: value in exchange and value in use. Building on this important distinction, we argue that the value literature has evolved from a focus on resource exchange and value in exchange to an emphasis on resource integration and value in use. Seen through this lens, we identify distinct stages of conceptualizing customer value and articulating customer value propositions and argue that a deep understanding of how value is created in a customer's idiosyncratic use situation is gaining importance in today's competitive market places.
•There are two perspectives on customer value: value in exchange and value in use.•Value conceptualizations evolved from a focus on value in exchange to value in use.•Customer value propositions communicate how firms aim to propose value to customers.•Value propositions are invitations to co-create value in use through resource integration.
In this article, the authors develop a conceptual framework for customer relationship management (CRM) that helps broaden the understanding of CRM and its role in enhancing customer value and, as a ...result, shareholder value. The authors explore definitional aspects of CRM, and they identify three alternative perspectives of CRM. The authors emphasize the need for a cross-functional, process-oriented approach that positions CRM at a strategic level. They identify five key cross-functional CRM processes: a strategy development process, a value creation process, a multichannel integration process, an information management process, and a performance assessment process. They develop a new conceptual framework based on these processes and explore the role and function of each element in the framework. The synthesis of the diverse concepts within the literature on CRM and relationship marketing into a single, process-based framework should provide deeper insight into achieving success with CRM strategy and implementation.
This paper reviews the strategic role of multichannel integration in customer relationship management (CRM) with the objective proposing a structured approach to the development of an integrated ...multichannel strategy. Alternative perspectives of CRM are reviewed and it is concluded that adoption of a strategic perspective is essential for success. Multichannel integration is posited as one of the key cross-functional processes in CRM strategy development. The nature of industry channel structure and channel participants, channel options, and alternative channel strategies are reviewed. The customer experience is explored both within and across channels. Analytical tools, such as market structure maps, the customer relationship life cycle, and demand chain analysis, are described. Key steps in building an integrated multichannel strategy are examined. Major challenges faced by enterprises in their adoption of an integrated multichannel approach and areas for future research are discussed.
The customer value proposition (CVP) has a critical role in communicating how a company aims to provide value to customers. Managers and scholars increasingly use CVP terminology, yet the concept ...remains poorly understood and implemented; relatively little research on this topic has been published, considering the vast breadth of investigations of the value concept. In response, this article offers a comprehensive review of fragmented CVP literature, highlighting the lack of a strong theoretical foundation; distinguishes CVPs from related concepts; proposes a conceptual model of the CVP that includes antecedents, consequences, and moderators, together with several research propositions; illustrates the application of the CVP concept to four contrasting companies; and advances a compelling agenda for research.
Purpose
This paper aims to review the growth and development of the field of relationship marketing and, through a consideration of this body of work, identifies key research priorities for the ...future of relationship marketing. The paper also delineates the frequently confused associated concepts of customer relationship management and customer management and considers how they fit within the broader concept of relationship marketing.
Design/methodology/approach
This paper undertakes a review of the relationship marketing literature, supplemented by the authors’ on-going interactive research with managers.
Findings
The paper reviews alternative approaches to relationship marketing, reflects on the development of the field of relationship marketing and identifies three critical priorities for future research in relationship marketing.
Practical implications
The research priorities that are identified in this paper represent important priorities for scholars, managers, regulators and policy makers.
Originality/value
Although there is now a substantial body of research on relationship, marketing, much of this work focuses on the customer-firm dyad, with a smaller body of work focusing on a broader range of stakeholders. This paper argues for the broadening of the role of relationship marketing to consider ecosystems; the need for firms to shift from a value-in-exchange to a value-in-use perspective when addressing customer relationships; and the critical need to address “dark side” behaviour and dysfunctional processes in relationship marketing.
An interview with Dr. Adrian Payne, Professor of Marketing at the University of New South Wales, and Dr. Pennie Frow, Professor of Marketing Management and Strategy in the University of Sydney ...Business School, Australia, is presented. Among other things, Payne and Frow talk about their scientific cooperation and their approach value proposition development.
Purpose - The value proposition concept and the stakeholder perspective have received relatively little attention within Service-Dominant (S-D) logic. This paper sets out to explore value ...propositions in the context of S-D logic, within the multiple stakeholder domains that form part of a marketing system. Its purpose is to identify how use of the value proposition concept, in this broader context, provides new insight into value creation within a value network.Design methodology approach - This paper explores the development of value propositions in key stakeholder market domains. A five-step process is developed for identifying key stakeholders and co-creating value propositions for them within a marketing system.Findings - Value propositions have a key role in co-creation of value between stakeholders. The development of value propositions in multiple stakeholder domains can provide an important mechanism for aligning value within a marketing system.Practical implications - Stakeholder value propositions provide enhanced opportunities for value co-creation and can assist managers in aligning value and stabilizing relationships within an organization's value network.Originality value - This paper considers a broader view of value through creation of value propositions for key stakeholders. An iterative framework is proposed that couples the stakeholder concept and value co-creation.
Relationship marketing and customer relationship management (CRM) can be jointly utilised to provide a clear roadmap to excellence in customer management: this is the first textbook to demonstrate ...how it can be done. Written by two acclaimed experts in the field, it shows how an holistic approach to managing relationships with customers and other key stakeholders leads to increased shareholder value. Taking a practical, step-by-step approach, the authors explain the principles of relationship marketing, apply them to the development of a CRM strategy and discuss key implementation issues. Its up-to-date coverage includes the latest developments in digital marketing and the use of social media. Topical examples and case studies from around the world connect theory with global practice, making this an ideal text for both students and practitioners keen to keep abreast of changes in this fast-moving field.
Co‐creation offers firms and their network of actors significant opportunities for innovation, as each actor offers access to new resources through a process of resource integration. However, despite ...the significant advantages that co‐creation can offer, there is surprisingly little research providing a strategic approach for identifying the most advantageous co‐creation opportunities, especially when many possible options are available. Recently, scholars have called for research that develops tools and processes related to co‐creation. This study addresses these priorities, making two contributions. First, in contrast to previous work considering co‐creation more generally, or focusing on one specific form only, e.g. co‐production, this paper offers a detailed and granular approach to co‐creation design. A co‐creation design framework is developed, which incorporates multiple design dimensions and categories that can reveal new co‐creation opportunities. Second, the research extends the application of a design approach, specifically within the context of co‐creative activities. The authors use field‐based research with senior executives to develop a framework that includes key co‐creation design elements. A morphological approach is used to explore how a lead firm can identify attractive co‐creation opportunities. An innovation solution in one organization provides an illustration of how the co‐creation design framework can be applied.
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