Does communicating the customer’s resource integrating role improve or diminish value proposition effectiveness?

Abstract

Purpose-This research examines whether explicitly communicating the customer's resource integrating role in value propositions improves or diminishes value proposition effectiveness. Design/methodology/approach-Based on existing research on value propositions, three effectiveness criteria are used: role clarity, expected customer value and purchase intention. Two experiments manipulating the presence of the customer's resource integrating role in value propositions test the conceptual model in both an indirect interaction (Study 1, toothpaste, n = 207) and a direct interaction context (Study 2, fitness program, n = 228). Additionally, Study 2 includes the moderating role of resource availability. Findings-Explicitly communicating the customer's resource integrating role in value propositions increases customers' role clarity, which in turn influences customer's attitude toward the service and purchase intention through a service-related (i.e., expected benefits and expected efforts) and an ad-related (i.e., ad credibility and attitude toward the ad) route. However, these results only hold for customers high in resource availability. Originality/value-This research provides initial empirical support for the often-stated claim that value propositions should include the (potential) value of the offering as well as the (resource integrating) role of the customer. Taking a broader perspective, this research provides initial empirical support for recent calls to develop marketing communication practices that facilitate value-in-use. This paper's findings show that adopting a service logic in marketing communications seems to improve value propositions' effectiveness.

An update on customer value: state of the art, revised typology, and research agenda

“…This implies that the customer integrates the resources provided by the service provider (e.g. products, services) with other resources and skills to (co-)create value (Leroi-Werelds et al , 2017). For instance, the value of a car is created by the customer’s integration and combination of resources such as the car, fuel, public roads, car insurance, maintenance/repair service, as well as his own driving skills.…”

15 years of service-dominant logic: analyzing citation practices of Vargo and Lusch (2004)

“…For example, Shaw and Jones (2005) summarized the schools of marketing thought, considering V&L04 to be a key contribution to marketing just one year after its publication. Similarly, Smith et al (2012) acknowledged the role of V&L04 in introducing value proposition and the concept of superior value proposed to customers, while Leroi-Werelds et al (2017) investigated the most suitable methods for referring to consequences for users and mirrored their focus on the benefits and sacrifices in V&L04's definition of value-in-use. A more thorough approach to describing the contribution of V&L04 was proposed by Gummesson and Gr€ onroos (2012) in their article on the Nordic School perspective.…”

Value co-destruction causing customers to stop service usage: a topic modelling analysis of dental service complaint data

“…The most important contribution of this study to service research and service operation is that the relationship between VCD and the reduction of service usage intention was analysed using empirical data. Conventional studies have been conducted on VCD alone, and pioneering studies have analysed the relationship between VCC and goods purchase intention (Leroi-Weldens et al, 2017). Nevertheless, to explore the importance of VCD for service research and service operation, it is necessary to analyse the relationship between VCD and the reduction of service use intentions.…”