Showing papers on "Relationship marketing published in 2011"

Customer Engagement Conceptual Domain, Fundamental Propositions, and Implications for Research

Abstract: In today’s highly dynamic and interactive business environment, the role of “customer engagement” (CE) in cocreating customer experience and value is receiving increasing attention from business practitioners and academics alike. Despite this interest, systematic scholarly inquiry into the concept and its conceptual distinctiveness from other, associated relational concepts has been limited to date. This article explores the theoretical foundations of CE by drawing on relationship marketing theory and the service-dominant (S-D) logic. The analysis also examines the use of the term “engagement” in the social science, management, and marketing academic literatures, as well as in specific business practice applications. Five fundamental propositions (FPs) derived from this analysis are used to develop a general definition of CE, and distinguish the concept from other relational concepts, including “participation” and “involvement.” The five propositions are used in the development of a framework for future r...

Demystifying customer brand engagement: Exploring the loyalty nexus

Abstract: With its conceptual roots in fields including psychology and organisational behaviour, the engagement concept is emerging in the marketing literature, with preliminary research indicating that engaged consumers might exhibit greater loyalty to focal brands. Despite these advancements, the engagement concept remains underexplored to date. This paper addresses this gap by reviewing literature in other disciplines and marketing, and developing a tripartite customer brand-engagement conceptualisation comprising activation, identification, and absorption dimensions. Further, a conceptual model illustrating the conceptually distinct nature of and relationships between customer brand engagement and other marketing constructs is proposed, followed by a customer engagement/loyalty-based segmentation analysis. Enhanced insights into customer engagement are expected to be valuable for marketing scholars and practitioners seeking to enhance customer relationships, retention, and loyalty. The paper thus concl...

Exploring customer brand engagement: definition and themes

Abstract: Organizations are increasingly seeking customer participation and engagement with their brands. Despite significant practitioner interest, scholarly inquiry into the ‘customer brand engagement’ (CBE) concept has transpired in the literature only relatively recently, resulting in a limited understanding of the concept to-date. This paper addresses this research gap by providing a literature review in this area, and developing a CBE conceptualization based on an integrative deductive (literature-based)/inductive (data-based) approach. Data were sourced from exploratory, qualitative depth-interviews and a focus group employing a total of 14 informants. Extending previous research, CBE is viewed from relationship marketing (RM) and service-dominant (S-D) logic perspectives, whilst an integrative linkage to social exchange theory (SET) is also drawn. Based on the analysis, CBE is defined as ‘the level of a customer's cognitive, emotional and behavioral investment in specific brand interactions’. Further, three...

Service as business logic: implications for value creation and marketing

Abstract: Purpose – The purpose of this article is to analyze the scope, content and nature of value co‐creation in a service logic‐based view of value creation, addressing the customer's perspective in a supplier‐customer relationship. The nature of the activities and the roles of the supplier and the customer in value creation and co‐creation are analyzed. Furthermore, the purpose is to discuss what implications for marketing can be derived from this analysis.Design/methodology/approach – The article analyzes the marketing implications that follow from the pivotal role of interactions in service provision. The article, thus, builds on a long history in service marketing research pointing at the impact on the content and scope of marketing of customer‐supplier interactions.Findings – In this article, it is concluded that creating customer value is a multilaned process consisting of two conceptually distinct subprocesses. These are the supplier's process of providing resources for customer's use and the customer's ...

Role of Electronic Trust in Online Retailing: A Re-examination of the Commitment-Trust Theory

Abstract: Purpose: Trust and commitment are the central tenets in building successful long-term relationships in the online retailing context. In the absence of physical interaction between the buyer and the seller, how websites can gain the trust of the buyers and deliver on the promises made have become central issues in online customer relationship management. This paper aims to re-examine the commitment-trust theory (CTT) of relationship marketing in the online retailing context. It seeks to theorize the antecedents and consequences of commitment and trust in the online context and identify how CTT can be adapted in a digitized business environment. Design/methodology/approach: Modified constructs and their measures are developed to understand the antecedents and the outcomes of commitment and trust. Survey data from British online customers (n ¼ 651) are used to test CTT hypotheses with structural equation modelling. Findings: The study suggests a significant modification to the traditional CTT model in the online environment. Privacy and security features of the website along with shared values are the key antecedents of trust, which in turn positively influences relationship commitment. Behavioural intentions of customers are consequences of both trust and commitment. The relationship termination cost has a negative impact on customer commitment. Research limitations/implications: The paper identifies interesting differences between the original work by Morgan and Hunt and the findings presented, but basically concludes that the commitment-trust theory applies to online retailing. Originality/value: Contributions of this study in re-examining the CTT model of relationship marketing in an online context are manifold. This paper proposes a modified model to understand the role of consumer trust and commitment in a digitized environment. The modified constructs and measures truly reflect the dynamism of online business. The extended CTT model can provide better insight into managing customer relationships in online retailing.

Sensory marketing: the multi‐sensory brand‐experience concept

Abstract: Purpose – The purpose of this paper is to present the multi-sensory brand-experience concept in relation to the human mind and senses. It also seeks to propose a sensory marketing (SM) model of the multi-sensory brand-experience hypothesis. Design/methodology/approach – This paper applies exploratory and explanatory approaches to investigating the multi-sensory brand-experience concept within the context of discovery. The qualitative study is built on primary and secondary data sources, including personal interviews with experts and managers. Findings – The multi-sensory brand-experience hypothesis suggests that firms should apply sensorial strategies and three explanatory levels within an SM model. It allows firms through means as sensors, sensations, and sensory expressions to differentiate and position a brand in the human mind as image. Research limitations/implications – A theoretical implication is that the multi-sensory brand-experience hypothesis emphasizes the significance of the human mind and senses in value-generating processes. Another theoretical implication is that the hypothesis illustrates the shortcomings of the transaction and relationship marketing models in considering the multi-sensory brand-experience concept. It is worth conducting additional research on the multi-sensory interplay between the human senses in value-generating processes. Practical implications – The findings offer additional insights to managers on the multi-sensory brand-experience concept. This research opens up opportunities for managers to identify emotional/psychological linkages in differentiating, distinguishing and positioning a brand as an image in the human mind. Originality/value – The main contribution of this research lies in developing the multi-sensory brand-experience hypothesis within a SM model. It fills a major gap in the marketing literature and research in stressing the need to rethink conventional marketing models.

Improving customer-focused marketing capabilities and firm financial performance via marketing exploration and exploitation

Abstract: Evidence within the marketing literature has shown that marketing capabilities are important drivers of firm performance. However, very little is known about how firms improve their marketing capabilities via the embedding of new market knowledge. Organizational learning theory provides us with a theoretical lens through which we can examine how existing customer-focused marketing capabilities may be improved and new customer-focused marketing capabilities may be created via marketing exploitation and exploration capabilities. In addition, this study investigates whether ambidexterity in marketing exploration and exploitation exists and finds that firms cannot do both at high levels without risking a negative impact on customer-focused marketing capabilities. This study also presents findings demonstrating how improving the two customer-focused marketing capabilities in our study, brand management and customer relationship management, impacts objective financial performance.

Entrepreneurial marketing in small businesses: A conceptual exploration:

Abstract: This article proposes further development of the concept of entrepreneurial marketing towards the concept of entrepreneurial marketing orientation. Drawing on the earlier research and scales in the entrepreneurial orientation, market orientation, innovation orientation and customer orientation literatures, the article proposes a conceptual model for entrepreneurial marketing that identifies the components of such a model, together with specific indications of the overlap between scales in the different areas. This model implicitly suggests that marketing in SMEs is intertwined with other activities and behaviours in the small business enterprise, and argues that in order to understand marketing in SMEs it is essential to understand its context, specifically in relation to customer engagement, innovation and entrepreneurial approaches to marketing.

Customer Experience: Are We Measuring the Right Things?:

Abstract: Marketing theory and practice evolved dramatically through a series of transformations from products to services and, recently, customer experiences. Each stage has its own perspective on marketing...

Experience Marketing: Concepts, Frameworks and Consumer Insights

Abstract: 1. Introduction. 2. The Experience Concept. 3. Key Concepts of Experience Marketing. 4. Consumer Research Issues. 5. Customer Experience Management. 6. Research on Online and Virtual Experiences. 7. Experience and Happiness. Conclusions

Where is the opportunity without the customer? An integration of marketing activities, the entrepreneurship process, and institutional theory

Abstract: Marketing and entrepreneurship have long been recognized as two key responsibilities of the firm. Despite their tight integration in practice, marketing and entrepreneurship as domains of scholarly inquiry have largely progressed within their respective disciplinary boundaries with minimal cross-disciplinary fertilization. Furthermore, although firms increasingly undertake their marketing and entrepreneurial activities across diverse settings, academe has provided little insight into how changes in the institutional environment may substantially alter the processes and outcomes of these undertakings. Herein, we integrate research on marketing activities, the entrepreneurship process, and institutional theory in an effort to address this gap. We first discuss market orientation as enhancing a firm’s opportunity recognition and innovation, whereas marketing mix decisions enhance opportunity exploitation. We then examine how entrepreneurship leads to innovation directed toward market orientation and marketing mix activities. Based on this foundation, we examine differences in marketing and entrepreneurship activities across institutional contexts.

Stakeholder marketing: a definition and conceptual framework

Abstract: Stakeholder marketing has established foundational support for redefining and broadening the marketing discipline. An extensive literature review of 58 marketing articles that address six primary stakeholder groups (i.e., customers, suppliers, employees, shareholders, regulators, and the local community) provides evidence of the important role the groups play in stakeholder marketing. Based on this review and in conjunction with established marketing theory, we define stakeholder marketing as “activities and processes within a system of social institutions that facilitate and maintain value through exchange relationships with multiple stakeholders.” In an effort to focus on the stakeholder marketing field of study, we offer both a conceptual framework for understanding the pivotal role of stakeholder marketing and research questions for examining the linkages among stakeholder exchanges, value creation, and marketing outcomes.

Emotional Intelligence in Marketing Exchanges

Abstract: This research examines how sales professionals use emotions in marketing exchanges to facilitate positive outcomes for their firms, themselves, and their customers. The authors conduct three field studies to examine the impact of emotional intelligence (EI) in marketing exchanges on sales performance and customer relationships. They find that EI is positively related to performance of real estate and insurance agents, even when controlling for the effects of domain-general EI, self-report EI, cognitive ability, and several control variables. Sales professionals with higher EI are not only superior revenue generators but also better at retaining customers. In addition, the authors demonstrate that EI interacts with key marketing exchange variables—customer orientation and manifest influence—to heighten performance such that high-EI salespeople more effectively employ customer-oriented selling and influence customer decisions. Finally, the results indicate a complementary relationship between EI an...

Measuring Success in Place Marketing and Branding

Abstract: As the competition between them increases, cities focus more and more on establishing themselves as brands. Consequently, cities invest an extensive amount of taxpayers’ money into their marketing activities. Unfortunately, cities still lack a proper success measurement, which has raised questions regarding the efficient and effective use of taxpayers’ money. With this contribution, we want to highlight some existing, but primarily new, possibilities for a complex success measurement in place marketing, referring to the extant literature on place marketing and the general field of marketing. Therefore, we strive to translate different concepts such as customer equity or customer satisfaction into the lexicon of place marketing, thus identifying empirical gaps for further research, as well as existing fruitful approaches.

Generating positive word‐of‐mouth in the service experience

Abstract: Purpose – This paper seeks to investigate the effects of relationship benefits on relationship quality and aspects of service quality, namely technical and functional quality, and the subsequent influence on word‐of‐mouth behavior.Design/methodology/approach – The paper reports results from a structural equation model that utilizes data from 591 consumers across a range of services.Findings – The findings highlight the important role of relationship benefits in driving customer perceptions of technical, functional and relationship quality. While confidence, social and special treatment benefits drive technical and functional quality, it is only confidence benefits that drive relationship quality. Furthermore, it is found that functional and relationship quality drive word‐of‐mouth behavior.Research limitations/implications – The findings of this study contribute to the literature by showing the differential impact that relationship benefits have on quality – technical, functional, and relationship – and s...

Enough Is Enough! The Fine Line in Executing Multichannel Relational Communication

Abstract: In an effort to build long-term, profitable relationships, many companies systematically engage in multichannel relational communication—personalized messages sent to existing customers through various channels as part of a broader relationship marketing strategy. In this research, the authors examine three key drivers of relational communication effectiveness: volume of communication, mix of communication channels, and alignment of those channels with customers' preferences. They hypothesize that customer response to relational communication follows a continuum in which reciprocity explains response to lower levels of communication, the classic ideal point describes a transition phase, and reactance explains response to higher levels of communication. They empirically test the theoretical framework by examining the impact of multichannel communication on repurchase over a three-year period. The results indicate that after the ideal level of communication is exceeded, customers react negatively. ...

Do relationship benefits and maintenance drive commitment and loyalty

Abstract: Purpose: This paper seeks to examine the central role that commitment plays in driving customer loyalty and to identify the effect that confidence, social and special treatment benefits as well as relationship investment, communication and management have on the development of commitment, and ultimately customer loyalty. Design/methodology/approach: The paper reports the results of a national mail survey of 591 consumers across nine different service industries. Findings: The findings of the study suggest that relationship commitment drives customer loyalty and that confidence, social and special treatment benefits affect commitment to the service, as does relationship investment and management. Surprisingly, relationship communication was found to have a negative effect on commitment to the service. Practical implications: This paper provides managers with insight as to how they can better create and sustain loyal relationships through the creation of customer commitment. Originality/value: The paper empirically demonstrates the importance of commitment in developing and sustaining loyal relationships while also providing a detailed assessment of the role of relationship benefits and maintenance in creating committed customers.

Critical social marketing: definition, application and domain

Abstract: Purpose – The purpose of this paper is to examine the nature and role of the critical dimension social marketing and its place within marketing scholarly thought. It is posited that such activity can be defined as “critical social marketing” and a formal definition is offered.Design/methodology/approach – The ability of critical social marketing to inform the research and evidence base, as well as upstream and downstream activity is discussed. Scholarly debate on the role of critical social marketing within the social marketing and critical marketing paradigms, both of which heavily inform the concept, are reviewed. The application of a critical social marketing framework to the study of the impact of tobacco and food marketing is examined.Findings – The paper demonstrates the utility of a critical social marketing framework in real‐world environments. Important considerations on who critical social marketers are and where the concept is located within marketing thought are addressed. The paper concludes ...

Engaging the Student as a Customer: A Relationship Marketing Approach.

Abstract: Increasingly organizations are recognizing the value of establishing close relationships with their customers. Despite this, research has not deeply explored how the intangible aspects of relational exchange such as customer satisfaction, as well as affective commitment, calculative commitment, and trust, combine to determine loyalty in the higher-education sector. This is in part a result of reluctance within the sector to view students as customers of institutional brands. This research uses a structural equation modeling approach and a sample of 474 students to examine, first, the determinants of loyalty within the higher-education sector and, second, the role of relationship strength as a moderator of those determinants. The results indicate that student loyalty was most strongly determined by psychological attachment, and a sense of belonging to the brand. Student satisfaction, while a contributing determinant, alone was insufficient in generating loyalty. The results also indicated that students rej...

Customer management and CRM: addressing the dark side

Abstract: Purpose – The paper aims to consider the neglected area of customer relationship management (CRM) and customer management's “dark side”; and identify the key types of dark side behaviours of service providers as well as integrated approaches to CRM that will assist in overcoming dark side behaviour.Design/methodology/approach – Based on an extensive literature review, supplemented by insights drawn from an on‐going longitudinal study of CRM, the authors develop a classification of dark side behaviour types.Findings – The paper identifies ten forms of dark side behaviour that may be grouped into three broad categories based on means used and target. It illustrates how different types of dark side behaviours may be linked to the key strategic CRM processes.Practical implications – The paper examines how these dark side practices may be addressed by adoption of a more enlightened approach to CRM.Originality/value – The dysfunctional forms of CRM and customer management have been neglected as an area of resea...

What Really Defines Relationship Marketing? A Review of Definitions and General and Sector-Specific Defining Constructs

Abstract: This article aims to use content analysis to provide an overview of the existing academic literature on relationship marketing by summarising definitions and major defining constructs based on the previous research findings in this area. The authors have summarised 72 definitions along with 50 general defining constructs of relationship marketing. In addition, sector-specific defining constructs for the banking, insurance, and health care sectors have also been identified. This article bridges the gap in the existing relationship marketing literature by providing a comprehensive list of relationship marketing definitions and identifying major general as well as some sector-specific defining constructs along different industry verticals. The research papers reviewed came from selected databases, which limits the generalizability of the findings to the whole existing literature on relationship marketing. The review of the existing literature was done to reduce the time and efforts of present and future rese...