Interactive value formation and customer experience

Interactive value formation

and customer experience

Linking customer experience

to the service logic

Revisiting the value concept

Non-interactive value formation

• Value is:

- Embedded in offerings that

companies produce

- Objectively measureable

- The price that the customer

pays

(Bagozi, 1975; Hunt, 1976; Kotler, 1972)

Interactive value formation

• Value is:

- Co-created

- “An interactive relativistic

preference experience”

- Subjectively evaluated in the

social context

(Edvardsson et al., 2011; Holbrook, 2006,

p. 212)

Two definitions of value

“idiosyncratic, experiential, contextual,

and meaning laden”Vargo and Lusch (2008, p. 7)

“interactive, relativistic, preference experience”Holbrook (2006b, p. 212)

Customer experience

and the service logic

Definitions and relationships

Service experience: the customer’s view of the serviceJohns (1999)

“subjective consciousness of consumers

as they interact with goods and services”Oliver and Westbrook (1993, p. 12)

“the internal and subjective response

customers have to any direct or

indirect contact with a company”Meyer and Schwager (2007, p. 118)

“private events that occur in

response to some stimulation”Schmitt (1999b, p. 60)“inherently personal”

Pine and Gilmore (1998, p. 98)

Customer experience

• Originates in Hirschman and Holbrook (1982)

• Customers not only rational decision makers,

but also engage with offerings emotionally and

give subjective meaning to them

• Emerge directly, indirectly and virtually,

always from interaction between an object

or an environment and an individual

Customer experience

Extraodinary experience

Ordinary experience

Customer experience

management

Consumption experience

Consumer experience

Adapted from Carù and Cova (2003)

Value: a cognitive assessment

of the customer experience

or

Customer experience: outcome

of the value formation process

Interactive value formation

and customer experience

Jörg Pareigis

@joergelp

jorg.pareigis@kau.se

This work is licensed under a Creative

Commons Attribution 4.0 International

License.