How does product program innovativeness affect customer satisfaction? A comparison of goods and services

Abstract

This article attempts to provide deeper insights into the link between the innovativeness of a company's offered goods/services and customer satisfaction. This study proposes an inverted U-shaped relationship between the innovativeness of the offered goods and customer satisfaction. For the innovativeness of services, information economics and services marketing literature indicate an inverted S-shaped relationship. Two separate studies conducted for goods and services confirm the proposed nonmonotonic effects of the investigated relationships. Both studies use dyadic data from marketing managers to assess innovativeness and from customers to indicate customer satisfaction.

Strategic Effects of Product Innovation, Service Quality, and Relationship Quality on Brand Equity

“…All of the items were measured on a seven-point Likert scale ranging from 1= strongly agree to 7= strongly disagree. Product innovation is measured using five items adapted from the study of Stock (2011). Moreover, the measurement items of service quality were adapted from Taleghani et al (2011).…”

“…Stock (2011) indicated that innovativeness which is reflected through a firm's ability to make new changes in product features is a significant strategy for improving customer satisfaction and strengthening their relationships with a brand. Moreover, Dimyati (2011) found out product innovation had significant positive effect on creating brand trust; an element of relationship quality which in turn lead to brand loyalty and commitment of customers.…”

“…It appears that, there exists a research gap in past literature on the empirical evidence of service quality as an antecedent to brand equity in manufacturing contexts (He & Li, 2011), particularly in Malaysia. Moreover, Stock (2011) considered product innovation as another important strategic factor that has the power to affect customer's perception and purchase decision of a brand, but surprisingly very limited empirical research was conducted to test its impact on brand equity in Malaysian automotive context. Evidently, the majority of past studies examined the effect of such variables on brand equity in western cultures and very few studies were conducted in Asian countries, such as Malaysia.…”

Platform adoption by mobile application developers: A multimethodological approach

“…Perceived platform innovativeness (PI) measures whether the adopted platform is highly innovative compared to other platforms, whether the platform is frequently updated with new functions, whether it is supplemented with new functions, and whether new functions add value to the platform (Stock, 2011). We measured technical compatibility (TC) by asking respondents to indicate whether the platform is compatible with other programming technologies, whether it is compatible with other software, and whether the platform fits the way respondents work (Taylor and Todd, 1995).…”

The Contribution of Perceived Firm Marketing Innovation Initiatives to Customer Perceived Value and Loyalty: Does Switching Experience Really Matter?

“…Innovation allows differentiating the firm's offering by creating advantages that customers really appreciate and value (van Riel & Allard, 2012). Hence, the competitive advantage of successful firms can be explained with a logic wherein perceived firm marketing innovation initiatives (PFMII) contributes to customer value, resulting in increased satisfaction and behavioural intentions, eventually escalating loyalty that manifests itself in enhanced profitability (Kim et al, 2015;Kunz, Schmitt, & Meyer, 2011;Naidoo, 2010, Stock, 2011Williams & Soutar, 2009). More recently, Hwang and Hyun (2015) examined the role of perceived firm innovativeness based on data from 315 cruise travellers, and found that perceived firm innovativeness plays an important role in forming cruise travellers' experience related to education, entertainment, aesthetics, and escapism.…”