Abstract
Purpose
The definition of value adopted by the current service perspective on marketing theory is value as value-in-use. Surprisingly, however, little attention has been given to the question of what constitutes value-in-use for customers in service contexts? Therefore, the aim of this study is to provide an empirical account of value-in-use from service customers' point of view.
Design/methodology/approach
To capture and analyze customers' experiences of value-in-use in the typical service context of retail banking, this study employed a narrative-based critical incident technique (CIT) and a graphical tool called the value chart.
Findings
The study identified seven empirical dimensions of positive and negative value-in-use: solution, attitude, convenience, expertise, speed of service, flexibility and monetary costs. Interestingly, these value-in-use dimensions overlap considerably with previously identified dimensions of service quality.
Research limitations/implications
The concepts of service quality and value-in-use in service contexts seem to represent the same empirical phenomenon despite their different theoretical traditions. Measuring customer-perceived service quality might therefore be a good proxy for assessing value-in-use in service contexts.
Practical implications
As the findings indicate that service quality is the way in which service customers experience value-in-use, service managers are recommended to focus on continuous quality management to facilitate the creation of value-in-use.
Originality/value
This study is the first to explicitly raise the notion that in the minds of service customers, value defined as value-in-use and service quality may represent the same empirical phenomenon.
The definition of value adopted by the current service perspective on marketing theory is value as value-in-use. Surprisingly, however, little attention has been given to the question of what constitutes value-in-use for customers in service contexts? Therefore, the aim of this study is to provide an empirical account of value-in-use from service customers' point of view.
Design/methodology/approach
To capture and analyze customers' experiences of value-in-use in the typical service context of retail banking, this study employed a narrative-based critical incident technique (CIT) and a graphical tool called the value chart.
Findings
The study identified seven empirical dimensions of positive and negative value-in-use: solution, attitude, convenience, expertise, speed of service, flexibility and monetary costs. Interestingly, these value-in-use dimensions overlap considerably with previously identified dimensions of service quality.
Research limitations/implications
The concepts of service quality and value-in-use in service contexts seem to represent the same empirical phenomenon despite their different theoretical traditions. Measuring customer-perceived service quality might therefore be a good proxy for assessing value-in-use in service contexts.
Practical implications
As the findings indicate that service quality is the way in which service customers experience value-in-use, service managers are recommended to focus on continuous quality management to facilitate the creation of value-in-use.
Originality/value
This study is the first to explicitly raise the notion that in the minds of service customers, value defined as value-in-use and service quality may represent the same empirical phenomenon.
Original language | English |
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Peer-reviewed scientific journal | Journal of Service Theory and Practice |
Volume | 30 |
Issue number | 4-5 |
Pages (from-to) | 507-529 |
Number of pages | 23 |
ISSN | 2055-6225 |
DOIs | |
Publication status | Published - 30.06.2020 |
MoE publication type | A1 Journal article - refereed |
Keywords
- 512 Business and Management
- value-in-use
- customer value
- service quality
- service logic
- critical incident technique
- retail banking
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Dive into the research topics of 'Value-in-use and service quality: do customers see a difference?'. Together they form a unique fingerprint.Prizes
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Emerald Literati Network Highly Commended Paper Award 2021
Medberg, G. (Recipient) & Grönroos, C. (Recipient), 11.06.2021
Prize: Prizes and awards