2019
DOI: 10.3926/jiem.2725
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Business model evolution of customer care services

Abstract: Purpose: Servitization is a rising trend as companies look for new revenue streams. This paper presents a study of customer care business model evolution in the smartphone industry. The paper identifies key changes in the business models during recent years and their implications for companies seeking after-sales service excellence and new revenue sources.Design/methodology/approach: The research approach is built on the literature of product-service offerings, servitization, and business models. The empirical… Show more

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Cited by 9 publications
(11 citation statements)
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“…Users control the various stages of creating added value throughout the firm's supply chain (Frank et al, 2019). To capitalize on this opportunity, product-centered firms face the challenge of transforming their traditional external service networks, business models and working models into new requirements (Majava and Isoherranen, 2019). Standard procedures among businesses are self-service using discussion forums or communicating with customer service agents or chat robots through chat.…”
Section: Literature Review 21 Servitization In the Conversational Commerce Eramentioning
confidence: 99%
See 1 more Smart Citation
“…Users control the various stages of creating added value throughout the firm's supply chain (Frank et al, 2019). To capitalize on this opportunity, product-centered firms face the challenge of transforming their traditional external service networks, business models and working models into new requirements (Majava and Isoherranen, 2019). Standard procedures among businesses are self-service using discussion forums or communicating with customer service agents or chat robots through chat.…”
Section: Literature Review 21 Servitization In the Conversational Commerce Eramentioning
confidence: 99%
“…The development of platforms as direct channels for company-customer communication and collaboration is facilitating the switch from product to services on digital engagement platforms. Majava and Isoherranen (2019) present a study Mobile chat servitization for customers on the evolution of the customer care business model in the smartphone industry. The paper identifies key changes in the business models during recent years and has found that aftersales services have become increasingly important in generating new revenue.…”
Section: Literature Review 21 Servitization In the Conversational Commerce Eramentioning
confidence: 99%
“…The proposed structure is one of the most recognized in the literature (Oliveira et al 2018). A number of publications used the BMC structure to examine business models, e.g., Barquet et al (2013), França et al (2017, Gembarski and Lachmayer (2017), Pallaro et al (2017), Charro and Schaefer (2018), Oliveira et al (2018), Kwon et al (2019), Majava and Isoherranen (2019), to name but a few. Barquet et al (2013) argue that BMC structure stands out as an appropriate tool; it was developed through extensive business model research, and represents the consensus of a large group of academics and industry experts.…”
Section: Pss Business Models Components Analysismentioning
confidence: 99%
“…The analysis demonstrated that firms did not make radical changes to the value proposition, and the majority of adjustments occurred in the value network and the revenue/cost model. The paper presented by Majava & Isoherranen (2019) explored the evolution of customer care business models in the smartphone industry. Additionally, the authors were able to study how after-sales service business models have changed from the traditional customer care business model for physical products (Nokia) to a physical-service combination (iPhone from Apple), and further to a pure software and service model (Google Android).…”
Section: Theoretical Considerations and Prior Literature Reviewmentioning
confidence: 99%