Abstract: This article examines the received wisdom of services marketing and challenges the validity and continued usefulness of its core paradigm, namely, the assertion that four specific characteristics—intangibility, heterogeneity, inseparability, and perishability—make services uniquely different from goods. An alternative paradigm is proposed, based on the premise that marketing exchanges that do not result in a transfer of ownership from seller to buyer are fundamentally different from those that do. It posits that services offer benefits through access or temporary possession, instead of ownership, with payments taking the form of rentals or access fees. This rental/access perspective offers a different lens through which to view services. Important implications include opportunities to market goods in a service format; the need for more research into how time is perceived, valued, and consumed; and the notion of services as a means of sharing resources.
Challenges the marketing attributes of services. The 5I’s of intangibility, inseperable, no inventory, inconsistent and requiring involvement. It finds them to be less generally applicable than everyone unquestionably assumes. Finding many examples where they are not the full explanation of differences between services and goods (products). They propose looking at services through the lens of […]
Abstract: The underpinning logic of value co-creation in service logic is analysed. It is observed that some of the 10 foundational premises of the so-called service-dominant logic do not fully support an under-standing of value creation and co-creation in a way that is meaningful for theoretical development and decision making in business and marketing practice. Without a thorough understanding of the inter-action concept, the locus as well as nature and content of value co-creation cannot be identified. Value co-creation easily becomes a concept without substance. Based on the analysis in the present article, it is observed that the unique contribution of a service perspective on business (service logic) is not that customers always are co-creators of value, but rather that under certain circumstances the service provider gets opportunities to co-create value together with its customers. Finally, seven statements included in six of the foundational premises are reformulated accordingly.
Challenges the Service-Dominant Logic view that value is always co-created between users and providers of services. The main point being that customers are not always co-creators of value however under certain circumstances the provider gets to co-create with the customer. The paper updates the 10 principles of SDL to 7 accordingly.
Abstract: The article explains why customers resist innovations even though they are considered necessary and desirable. The major barriers which create customer resistance to innovations have been identified and marketing strategies to overcome these barriers have been suggested. Primarily because most business corporations are faced with a very high rate of new product failure, only a small fraction of the new product Ideas chosen for market development are commercially successful. One of the major causes for market failure of innovations is the resistance they encounter from consumers. Yet, little research has been done on this subject. Most studies have focused on successful innovations and their rate of diffusion through the market. Some marketing scholars have emphasized the value of studying innovation resistance. However, except for a few studies, the concept remains neglected. First, an innovation may create a high degree of change in the consumers' day-to-day existence and disrupt their established routines. For example, the videotex, which offers in-home shopping services, when initially in France, met with high consumer resistance because of the changes it created in shopping behavior.
Gives the main barriers that cause resistance.
Abstract: Purpose. The purpose of this paper is to propose an approach for using Service Logic Business Model Canvas in the lean service development, and visa versa. So far, the literature on business logics for service or business models does not utilize the ideas of lean development. There is a clear knowledge gap in the intersections of the three research areas: business logics for service, business models, and lean development. The present article addresses this knowledge gap. Design/methodology/approach. The present conceptual paper is based on an extensive literature analysis on business logics for service, as well as business models, and lean development. Findings. The paper proposes a model of lean service development. It integrates the model in the process of using the Service Logic Business Model Canvas. Research limitations/implications. The paper shows how a new service is iteratively developed through several improvement rounds into a final business model, it shows the important role of rapid testing and learning in the iterative service development process, it supports the implementation of the fundamental philosophy of business logics for service in business development, and encourages using multiple service design methods in the service development, if needed. Practical implications. The ideas of lean or agile development have been used for a long time in software development. In addition, the ideas were later adopted in the business development of startups. Agile and lean development principles have dramatically changed the managerial thinking and practice in these areas. The present paper develops an application of these approaches to be used in service development, business model development, and implementation of business logics for service in practice. Originality/value. This paper contributes by (1) developing and introducing the lean service development model, and by (2) integrating it to the process model of using Service Logic Business Model Canvas