The Co-evolution of actor engagement and value Co-creation on digital platforms

Leeya Hendricks, Paul Matthyssens*, Christian Kowalkowski

*Corresponding author for this work

Research output: Contribution to journalArticleScientificpeer-review

2 Citations (Scopus)

Abstract

Increasingly, digital platforms connect suppliers, customers, and other ecosystem parties, facilitating the introduction of various Platform-as-a-Service (PaaS) offerings. This study examines the co-evolution of actor engagement (AE), reflecting actors’ dispositions to invest resources in interactions, and value co-creation (VCC), demonstrated through reciprocal resource integration. The focus is on PaaS initiatives in the asset management industry. Using a comparative case study approach, we analyze two fintech-generated PaaS offerings: a freemium model and a subscription-based model. Our findings reveal distinct pathways for platform development and scaling, driven by the interplay between AE and VCC. The freemium model fosters a “viral” community-building path, where early VCC serves as the engine for AE-VCC co-evolution. Conversely, the subscription model follows a “controlled” ecosystem-building path, with AE driving the process. We observe a gradual involvement of additional ecosystem partners, leading to upgraded solutions, expanded PaaS offerings, and platform upscaling. We identify key factors influencing these dynamics, including business model characteristics, actor roles, and feedback loops. Our study contributes to the literature on digital servitization and platform ecosystems by highlighting the importance of integrating AE and VCC practices to enhance platform utilization and scalability. We propose a framework and research propositions to guide future studies on PaaS development in complex, institutionalized industries. These insights also provide implications for managers aiming to implement effective PaaS strategies and foster innovation in the financial services sector.

Original languageEnglish
Article number109467
Peer-reviewed scientific journalInternational Journal of Production Economics
Volume279
ISSN0925-5273
DOIs
Publication statusPublished - 07.11.2024
MoE publication typeA1 Journal article - refereed

Keywords

  • 512 Business and Management
  • Actor engagement
  • Financial services
  • Fintech
  • Platform scaling
  • Platform-as-a-service
  • Value co-creation

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