Browsing by Subject "Service logic"

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  • Nyström, Anna-Greta; Mickelsson, Karl-Jacob (2019-05-20)
    Purpose Previous research on advertising in digital contexts has emphasized its persuasive and information processing roles for the customer. This paper aims to problematize this point of view and argues that the converged and interactive nature of digital media makes all advertising content into potential points of engagement in a digital media journey. Design/methodology/approach The paper is conceptual in nature and applies service logic (SL) and customer engagement to reconceptualize digital advertising and selling. Findings The authors present digital advertisements and digital media content as elements that contribute to a digital media journey, which ideally leads to a purchase. Advertising content is regarded as a resource used by consumers in their underlying value-creating processes. Thus, the digital advertising process is conceptualized as a customer-driven process of engaging with digital media content, where a purchase is incorporated in (and naturally follows from) the theme of engagement. Research limitations/implications The paper introduces the concept of contextually embedded selling, which refers to a process where digital advertising content is thematically congruent with the surrounding editorial content, so that both contribute to the same consumer journey. Otherwise, consumers experience a contextual jump – a disconnect in theme, place or time during the consumer’s process of engagement with the digital content. Originality/value The paper contributes to advertising theory on advertising, engagement and the emerging research on consumer journey design by presenting an approach based on SL, namely, contextually embedded digital selling.
  • Grönroos, Christian; Ravald, Annika (Hanken School of Economics, 2009-08-28)
    The discussion of a service-dominant logic has made the findings of decades of service marketing research a topic of interest for marketing at large. Some fundamental aspects of the logic such as value creation and its marketing implications are more complex than they have been treated as so far and need to be further developed to serve marketing theory and practice well. Following the analysis in the present article it is argued that although customers are co-producers in service processes, according to the value-in-use notion adopted in the contemporary marketing and management literature they are fundamentally the creators of value for themselves. Furthermore, it is concluded that although by providing goods and services as input resources into customers’ consumption and value-generating processes firms are fundamentally value facilitators, interactions with customers that exist or can be created enable firms to engage themselves with their customers’ processes and thereby they become co-creators of value with their customers. As marketing implications it is observed that 1) the goal of marketing is to support customers’ value creation, 2) following a service logic and due to the existence of interactions where the firm’s and the customer’s processes merge into an integrated joint value creation process, the firm is not restricted to making value propositions only, but can directly and actively influence the customer’s value fulfilment as well and extend its marketing process to include activities during customer-firm interactions, and 3) although all goods and services are consumed as service, customers’ purchasing decisions can be expected to be dependant of whether they have the skills and interest to use a resource, such as a good, as service or want to buy extended market offerings including process-related elements. Finally, the analysis concludes with five service logic theses.