Mirija lectures

Question 1

Connected World model (Garrett & Richie 2018)

Basic:
What are the four key dimensions emphasized in the Connected World Model?

Answer 1

The four key dimensions of the Connected World Model are:

1. Platforms: Digital ecosystems where users, businesses, and devices interact. Examples include app stores, cloud services, or data-sharing hubs.
2. Partnerships: Strategic collaborations that enable businesses to share strengths and access new markets, as no single company can address all customer needs independently in a connected world.
3. Data: The vast amount of information generated through connectivity, which companies analyze to drive innovation, improve customer engagement, and enhance operational efficiency.
4. Digital Trust: The foundational assurance of security, privacy, and ethical behavior, ensuring the reliability and transparency necessary for trust in digital interactions.

Question 2

Connected World model (Garrett & Richie 2018)

Intermediate:
Why is “Digital Trust” considered a critical dimension in the Connected World Model, and how can businesses build it?

Answer 2

Digital Trust is critical because in a hyper-connected world, customers and partners rely heavily on digital systems to manage interactions and transactions.
Without trust, users are less likely to engage, share data, or form partnerships. Trust is essential to ensure:
* Privacy: Protecting sensitive information.
* Security: Guarding against breaches and cyberattacks.
* Transparency: Ethical and honest business practices.

To build Digital Trust, businesses should:
1. Implement strong cybersecurity measures to protect data and systems.
2. Adopt transparent policies about data usage and ensure compliance with legal standards like GDPR.
3. Engage in ethical practices that promote fairness and accountability.
4. Communicate effectively with stakeholders to assure them of the organization’s commitment to security and privacy.

Question 3

Connected World model (Garrett & Richie 2018)

Advanced:
Explain how platforms, as described in the Connected World Model, contribute to competitive success in a hyper-connected environment.

Answer 3

Platforms are a central component of the Connected World Model because they enable interactions between various stakeholders (users, businesses, and devices) and facilitate the exchange of goods, services, and data. They contribute to competitive success by:

1. Creating Network Effects: The value of a platform increases as more users join, leading to exponential growth in utility and adoption. Examples include social media platforms and e-commerce marketplaces.
2. Scaling Innovation: Platforms allow companies to integrate third-party innovations and continuously offer enhanced services to customers.
3. Streamlining Interactions: By centralizing and simplifying complex processes, platforms enable more efficient and seamless interactions.
4. Reducing Costs: Platforms reduce operational expenses by automating and optimizing processes like resource allocation, customer service, and data management.

For instance, platforms like Amazon’s marketplace have transformed traditional retail by providing a digital space where vendors and consumers interact directly, leading to unparalleled scalability and customer reach.

Question 4

Connected World model (Garrett & Richie 2018)

Expert:
In the context of the Connected World Model, how does the shift from traditional business models to adaptive models impact a company’s value creation and ecosystem integration?

Answer 4

The shift from traditional to adaptive business models represents a transformative approach to value creation and ecosystem integration. This change impacts businesses in several ways:

1. Leverage Platforms for Scalability: Adaptive models prioritize platforms as the foundation of their operations. This allows businesses to scale their services quickly by leveraging digital tools and fostering interactions among users, partners, and devices. For example, ride-sharing platforms like Uber thrive by connecting drivers and passengers efficiently.
2. Focus on Ecosystems: Instead of creating standalone products, adaptive models focus on building ecosystems where their offerings complement and integrate with other products or services. For instance, Apple’s ecosystem integrates hardware, software, and services like iCloud, creating a seamless user experience.
3. Continuous Innovation: Adaptive models embrace agility, relying on real-time feedback from users and data analytics to refine and innovate their offerings continuously. This ensures the company stays competitive and responsive to market changes.
4. Customer-Centric Design: The shift emphasizes understanding and aligning with customer behavior, ensuring products and services integrate seamlessly into their daily lives. This approach enhances user satisfaction and loyalty.

Question 5

Digital Offerings model, Ross et. al

Basic:
What is the primary goal of the Digital Offerings Model?

Answer 5

The primary goal of the Digital Offerings Model is to bridge the gap between what customers desire and what organizations can deliver through digital innovation. It emphasizes crafting offerings that are compelling, user-centric, and technologically advanced to enhance customer satisfaction and loyalty. By doing so, it ensures that businesses remain relevant in a competitive digital landscape.

Question 6

Digital Offerings model, Ross et. al

Intermediate:
What are the two key elements that the Digital Offerings Model emphasizes to deliver value to customers?

Answer 6

The two key elements of the model are:

1. Understanding Customer Desires and Needs: Businesses must actively engage with their customers to identify their preferences, pain points, and expectations. This requires thorough market research and customer feedback loops.
2. Leveraging Technology-Driven Solutions: The model promotes the use of advanced technologies such as AI, IoT, and data analytics to design innovative solutions that address customer needs. This integration ensures that the offerings remain modern, efficient, and user-friendly.

Question 7

Digital Offerings model, Ross et. al

Advanced:
How does the Digital Offerings Model help organizations innovate while maintaining customer satisfaction?

Answer 7

The Digital Offerings Model fosters innovation by encouraging businesses to use real-time data and customer insights to create solutions that are both relevant and forward-thinking. Key mechanisms include:

1. Iterative Design: The model supports continuous improvement based on customer feedback, ensuring offerings evolve with user expectations.
2. Personalization: By leveraging data, organizations can tailor products or services to individual needs, enhancing the overall customer experience.
3. Seamless Integration: The model ensures that digital offerings are compatible with customers’ existing ecosystems, reducing friction and improving usability.

These principles help businesses achieve a balance between technological advancements and customer satisfaction.

Question 8

Digital Offerings model, Ross et. al

Expert:
Explain how the Digital Offerings Model supports businesses in differentiating themselves from competitors in a highly digitalized market.

Answer 8

The Digital Offerings Model enables differentiation by focusing on customer-centric innovation and technology integration. It supports businesses by:

1. Harnessing Data-Driven Insights: Companies can analyze customer behavior and preferences to anticipate future needs and develop unique solutions.
2. Creating Unique Experiences: By using advanced technologies like augmented reality, AI, or blockchain, businesses can deliver experiences that are memorable and difficult to replicate.
3. Building a Strong Brand Identity: Consistently offering tailored and innovative digital solutions strengthens a company’s reputation as a leader in its market.
4. Enhancing Value Propositions: The model ensures that offerings are not only technologically advanced but also aligned with customer values, fostering loyalty and trust.

By leveraging these strategies, businesses can stand out in a crowded market, making it challenging for competitors to compete on the same level.

Question 9

IOT-model, Garrett & Richie

Basic:
What are the five stages of integration described in the IoT Model?

Answer 9

The five stages are:
1. Intra-Product Integration
2. Inter-Brand Product Integration
3. Intra-Brand Touchpoint Integration
4. Intra-Industry Integration
5. Inter-Industry Integration.

Question 10

IOT-model, Garrett & Richie

Intermediate:
How does “Intra-Product Integration” differ from “Inter-Brand Product Integration”?

Answer 10

• Intra-Product Integration:
  Involves a single product working seamlessly within itself, such as a smartwatch tracking steps and heart rate using internal systems.
• Inter-Brand Product Integration:
  Refers to products from the same brand working together, like an Apple Watch syncing with an iPhone.

Question 11

IOT-model, Garrett & Richie

Advanced:
Why is “Inter-Industry Integration” considered the most complex stage in the IoT Model?

Answer 11

Inter-Industry Integration requires products from entirely different industries to work together, creating seamless user experiences. For example, a smart car syncing with a smart home or a wearable device coordinating with healthcare providers. This stage demands interoperability across diverse technological standards and industries, making it the most complex.

Question 12

IOT-model, Garrett & Richie

Expert:
How can businesses leverage the progression of integration stages to enhance customer experience and gain a competitive advantage?

Answer 12

Businesses can:

1. Evolve Beyond Product Focus: Transition from standalone products to interconnected ecosystems to deliver added value.
2. Utilize Interoperability: Collaborate with partners across industries to create integrated solutions, like smart homes connected with energy-efficient systems.
3. Enhance Data Utility: Leverage data from integrated devices to provide personalized services, predictive maintenance, and proactive customer support.
4. Foster Trust: Prioritize data security and transparency, ensuring trust in highly integrated systems.

Question 13

Two types of Product-in-use data, Garrett & Richie

Basic:
What are the two types of product-in-use data described by Garrett & Richie?

Answer 13

The two types are:

1. Direct Usage Data: Measurable data collected directly from the product during its operation.
2. Contextual Data: Data from the broader context in which the product is used, including environmental, situational, and behavioral factors.

Question 14

Two types of Product-in-use data, Garrett & Richie

Intermediate:
How can Direct Usage Data contribute to product improvement?

Answer 14

Direct Usage Data provides factual insights into the product’s performance and interaction with users. It includes telemetry data, device metrics, and user inputs, enabling companies to identify operational issues and refine product features.

Question 15

Two types of Product-in-use data, Garrett & Richie

Advanced:
Why is Contextual Data crucial for understanding the customer experience, and how does it complement Direct Usage Data?

Answer 15

Contextual Data offers insights into the environmental, situational, and behavioral factors surrounding product use, such as user mood, location, or complementary interactions. It complements Direct Usage Data by providing a richer, holistic understanding of how and why customers use the product.

Question 16

Two types of Product-in-use data, Garrett & Richie

Expert:
How can businesses integrate insights from both Direct Usage Data and Contextual Data to enhance their products and services?

Answer 16

Businesses can:

1. Combine Data Sources: Integrate direct performance metrics with contextual insights to identify patterns and optimize product design.
2. Enhance Ecosystem Fit: Develop features that adapt to user environments or behaviors, creating seamless integration with other products.
3. Personalize Customer Experience: Use comprehensive insights to tailor services and provide solutions that align with individual needs and contexts.
4. Predict Future Trends: Leverage combined data for predictive analytics to anticipate customer preferences and innovate proactively.

Question 17

Current Customer Experience, Lemon & Verhoef 2016

Basic:
What are the three stages of the customer journey in the Current Customer Experience Model?

Answer 17

The three stages are:

1. Pre-Purchase (Awareness, research, and consideration).
2. Purchase (Decision-making and transaction).
3. Post-Purchase (Usage, feedback, and loyalty).

Question 18

Current Customer Experience, Lemon & Verhoef 2016

Intermediate:
What are the four types of touchpoints described in the model, and who controls them?

Answer 18

1. Brand-Owned Touchpoints: Controlled by the firm (e.g., websites, apps).
2. Partner-Owned Touchpoints: Controlled by intermediaries (e.g., retailer displays).
3. Customer-Owned Touchpoints: Internal deliberation or preferences driven by the customer.
4. Social/External Touchpoints: Influences from social networks, reviews, or societal trends.

Question 19

Current Customer Experience, Lemon & Verhoef 2016

Advanced:
How do contextual factors shape the customer experience according to Lemon & Verhoef?

Answer 19

Contextual factors include:

1. Social and Cultural Contexts: Peer influence, societal norms, and cultural preferences.
2. Situational Contexts: Specific environments, times, or moods affecting interactions.
3. Firm’s Strategic Actions: Efforts to align touchpoints and ensure consistent experiences.

Question 20

Current Customer Experience, Lemon & Verhoef 2016

Expert:
How can firms use feedback from the Current Customer Experience Model to refine their strategies and enhance customer satisfaction?

Answer 20

Firms can:

1. Analyze Feedback Across Touchpoints: Identify pain points in the journey.
2. Optimize Touchpoint Alignment: Ensure a seamless experience across owned and partner touchpoints.
3. Leverage Social/External Data: Use customer reviews and social signals to enhance credibility and make real-time adjustments.
4. Adapt Contextually: Incorporate situational and cultural insights into marketing and service design to resonate with target audiences.

Question 21

Current Customer Experience, Lemon & Verhoef 2016

Advanced:
How does technology enable a seamless experience across the entire Customer Lifecycle Management strategy?

Answer 21

Technology plays a key role in ensuring seamless integration across all CLM phases by:

• Automating Processes: CRM systems streamline onboarding, engagement, and feedback collection.
• Personalization Through Data Analytics: AI and predictive analytics enable tailored offers based on individual preferences.
• Omnichannel Integration: Ensures a unified customer experience across digital and physical channels, reducing friction.

This allows firms to maintain a consistent and engaging experience, boosting loyalty and retention​.

Question 22

Current Customer Experience, Lemon & Verhoef 2016

Expert:
How can firms effectively align the four phases of CLM with long-term strategic goals to maximize profitability?

Answer 22

Strategic Segmentation in Selection: Prioritizing customer segments with high lifetime value.

Investment in Retention Efforts: Using loyalty programs and proactive support to secure long-term relationships.

Feedback Loops in Extension: Leveraging post-purchase data to continuously refine product and service offerings.

Integration with Financial Goals: Mapping CLM activities to metrics like customer lifetime value (CLV) and return on marketing investment (ROMI), ensuring alignment with profitability objectives​.

Question 23

The STP-proces

Basic:
What does “STP” stand for in the STP Process Model?

Answer 23

STP stands for:

Segmentation, Targeting, and Positioning.

Question 24

The STP-proces

Intermediate:
What are the primary bases for market segmentation in the STP process?

Answer 24

1. Demographics: Age, gender, income, education.
2. Psychographics: Lifestyle, values, attitudes, personality.
3. Geographics: Location, climate, urban/rural.
4. Behavioral: Purchase behavior, brand loyalty, usage rate, benefits sought.

Question 25

The STP-proces

Advanced:
Explain the differences between undifferentiated, differentiated, and concentrated targeting strategies.

Answer 25

• Undifferentiated Targeting: Offers the same product to all market segments without distinction (mass marketing).
• Differentiated Targeting: Creates tailored products or services for multiple segments.
• Concentrated Targeting: Focuses on a single segment, often a niche, to maximize impact within that group.

Question 26

The STP-proces

Expert:
How does effective positioning contribute to competitive advantage in the STP process?

Answer 26

Effective positioning establishes a unique and desirable image of the product in the target audience’s mind by:

1. Highlighting differentiators that set it apart from competitors.
2. Crafting a compelling value proposition that communicates the product’s benefits clearly.
3. Aligning marketing messages with the target segment’s preferences to enhance perceived value and loyalty.

Question 27

The role of consumer signals throughout the technology-enabled customer journey, Schweiger et al. 2022

Basic:
What are the three main stages in the customer journey described in this model?

Answer 27

The stages are:
1. Pre-Purchase
2. Purchase
3. Post-Purchase

Question 28

The role of consumer signals throughout the technology-enabled customer journey, Schweiger et al. 2022

Intermediate:
What is the role of “Consumer Signals” in the Pre-Purchase stage, and how do firms act on them?

Answer 28

• Consumer Signals Role: These include consumer preferences for transparency, desire for personalization, and willingness to share data.
• Firms’ Actions: Firms analyze these signals to shape marketing strategies and create relevant and personalized offers to meet consumer needs.

Question 29

The role of consumer signals throughout the technology-enabled customer journey, Schweiger et al. 2022

Advanced:
How does “Cross-Journey Learning” in the Post-Purchase stage influence firm decisions and consumer reactions?

Answer 29

• Cross-Journey Learning: Refers to the insights firms gain by analyzing signals across multiple touchpoints (e.g., feedback, repeat interactions).
• Impact on Firm Decisions: Enables firms to improve service quality, anticipate future needs, and reduce friction in future encounters.
• Impact on Consumer Reactions: Enhances trust and loyalty through tailored and consistent experiences.

Question 30

The role of consumer signals throughout the technology-enabled customer journey, Schweiger et al. 2022

Expert:
How do consumer tensions over privacy and firm transparency interact to affect trust and satisfaction throughout the customer journey?

Answer 30

• Consumer Tensions: Arise from the balance between sharing data for personalization and concerns over privacy breaches or misuse.
• Firms’ Role in Transparency: Firms need to communicate how data is used and implement robust privacy measures.
• Outcome: Effective management of these tensions builds trust, strengthens consumer relationships, and enhances overall satisfaction across all stages.

Question 31

Customer lifecycle management strategy:

Basic:
What are the four primary phases of the Customer Lifecycle Management (CLM) strategy?

Answer 31

The four phases are:
1. Select: Identify valuable customer segments.
2. Acquire: Attract and onboard new customers.
3. Retain: Foster loyalty and engagement among existing customers.
4. Extend: Increase customer lifetime value through upselling and cross-selling.

Question 32

Customer lifecycle management strategy:

Intermediate:
What is the primary objective of the “Customer Retention” phase in the CLM strategy?

Answer 32

The objective is to reduce churn and strengthen long-term customer relationships by understanding individual needs, providing relevant offers, and maintaining high service quality.

Question 33

Customer lifecycle management strategy:

Advanced:
How does the “Customer Selection” phase help in resource optimization within the CLM strategy?

Answer 33

Customer selection identifies high-value customer segments based on lifecycle potential, profitability, and alignment with business objectives. This ensures resources are allocated effectively to maximize return on investment and focus on strategic customer groups.

Question 34

Customer lifecycle management strategy:

Expert:
Explain how firms use a “sense and respond” approach during the “Extend” phase of the CLM strategy to maximize customer lifetime value.

Answer 34

The “sense and respond” approach involves anticipating customer needs through data-driven insights and offering timely solutions. For example, cross-selling complementary products or up-selling premium versions based on customer behavior and feedback. This approach fosters deeper engagement, repeat purchases, and long-term loyalty.

Question 35

Consumer digital signals:

Basic:
What are consumer digital signals, and what do they indicate?

Answer 35

Consumer digital signals are tangible and intangible interactions between consumers and firms. They serve as indicators of consumer interests, preferences, and activities throughout their journey.

Question 36

Consumer digital signals:

Intermediate:
What are the three categories of signal visibility in the Consumer Digital Signals Framework?

Answer 36

1. Publicly Observable Signals: Actions visible to others, such as social media posts or reviews.
2. Privately Observable Signals: Interactions directly shared with the firm, like customer service inquiries or purchase records.
3. Anonymous Signals: Behaviors that cannot be linked to specific individuals, such as browsing anonymously or purchasing with cash.

Question 37

Consumer digital signals:

Advanced:
How do firms balance consumer privacy and personalization using digital signals?

Answer 37

Firms balance privacy and personalization by:

1. Transparently collecting signals, ensuring customers understand how data is used.
2. Respecting privacy concerns by offering opt-in or opt-out options.
3. Leveraging aggregated and anonymized data for personalization without compromising individual privacy.

Question 38

Consumer digital signals:

Expert:
How can firms strategically act on consumer digital signals across the pre-purchase, purchase, and post-purchase stages?

Answer 38

1. Pre-Purchase Stage: Firms analyze browsing behaviors or social media signals to provide personalized recommendations or targeted advertisements.
2. Purchase Stage: Transaction data and payment methods help streamline the process and offer tailored upselling opportunities.
3. Post-Purchase Stage: Feedback and usage signals guide loyalty programs, retention strategies, and product improvements.

Question 39

Future of digital technologies in marketing, Plangger et al. 2022

Basic:
What are the three key trends shaping the future of digital technologies in marketing?

Answer 39

1. Decentralized Marketing: Driven by Web 3.0 technologies, emphasizing consumer autonomy, blockchain, and democratized brand interactions.
2. Metamodern Customer Experiences: Bridging physical and digital worlds using AR, VR, and the metaverse for immersive, authentic engagement.
3. Marketing Mechanization: Utilizing AI and machine learning to automate operations and predict customer behavior.

Question 40

Future of digital technologies in marketing, Plangger et al. 2022

Intermediate:
What strategic resources are essential for leveraging emerging digital technologies in marketing?

Answer 40

1. Financial Resources: Investments required to adopt and scale technologies.
2. Human Resources: Skilled teams to develop and manage digital innovations.
3. Technological Resources: Tools and systems like AI and blockchain.
4. Customer Data: Insights from consumer interactions that inform strategies.

Question 41

Future of digital technologies in marketing, Plangger et al. 2022

Advanced:
How does the concept of metamodern customer experiences redefine engagement in the digital age?

Answer 41

Metamodern experiences blend digital and physical realities, creating immersive and hyperrealistic narratives. Through technologies like AR, VR, and the metaverse, brands offer diverse and personalized experiences that resonate deeply with customers. For example, a luxury brand might host virtual fashion shows in the metaverse.

Question 42

Future of digital technologies in marketing, Plangger et al. 2022

Expert:
How do decentralized marketing and blockchain technologies impact consumer autonomy and brand interaction?

Answer 42

Decentralized marketing allows consumers greater control over their data and interactions through blockchain’s transparency and security. This model fosters trust by enabling peer-to-peer transactions and democratized decision-making, such as token-based voting on product developments or exclusive access through NFTs. It also reduces reliance on centralized platforms, aligning brands with values of sustainability and fairness.

Question 43

Ecosystem leadership as a dynamic capability

Basic:
What are the three dynamic capabilities described in the Ecosystem Leadership framework by Foss et al. (2023)?

Answer 43

The three dynamic capabilities are:
1. Sensing: Creating a shared vision and understanding ecosystem opportunities.
2. Seizing: Establishing shared rules and encouraging co-specialized investments.
3. Reconfiguring: Continuously adapting the ecosystem to maintain alignment and solve emerging issues.

Question 44

Ecosystem leadership as a dynamic capability

Intermediate:
How does “Sensing” contribute to the emergence of ecosystems in the framework?

Answer 44

“Sensing” involves fostering a common vision among ecosystem participants to address high levels of uncertainty in early-stage ecosystems. This includes identifying potential value propositions, roles, and interdependencies among participants, and ensuring trust to encourage collaboration.

Question 45

Ecosystem leadership as a dynamic capability

Advanced:
Explain the importance of “Seizing” in addressing coordination and cooperation problems within the ecosystem.

Answer 45

“Seizing” focuses on creating and formalizing shared rules and agreements that govern participant interactions. It also involves motivating participants to commit resources and make ecosystem-specific investments, ensuring the integrated value proposition materializes effectively.

Question 46

Ecosystem leadership as a dynamic capability

Expert:
How does “Reconfiguring” enable ecosystem leaders to maintain ecosystem stability in both emerging and mature stages?

Answer 46

“Reconfiguring” involves resolving unforeseen issues by adapting the ecosystem’s structure and processes to external changes. It ensures continued alignment among participants, sustains innovation, and prevents fragmentation. Leaders engage in system-wide problem-solving by leveraging deep knowledge of technologies, incentives, and participant needs.

Question 47

Industrial and information economics, Garret & Richie

Basic:
What are the three economic frameworks described in the Industrial and Information Economics Model?

Answer 47

The three frameworks are:
1. Industrial Economics: Focuses on traditional physical products and services.
2. Informational Economics: Emphasizes value creation through data and digital products.
3. Network Effects: Centers on platforms and ecosystems where value grows as the user network expands.

Question 48

Industrial and information economics, Garret & Richie

Intermediate:
How does value creation differ between Industrial and Informational Economics in this model?

Answer 48

Industrial Economics:
Value decreases with usage due to factors like wear and tear or market saturation. Success is tied to optimizing product attributes and generating usage revenue.

Informational Economics:
Value increases with usage due to data accumulation and learning algorithms. Success relies on leveraging data to improve services and drive innovation.

Question 49

Industrial and information economics, Garret & Richie

Advanced:
What role do network effects play in value creation and competition within this model?

Answer 49

Network effects enhance value as more users join the ecosystem, creating exponential increases in utility and accessibility. Firms leverage this by scaling platforms, fostering participation, and creating interconnected experiences that are difficult for competitors to replicate.

Question 50

Industrial and information economics, Garret & Richie

Expert:
How can businesses use the Industrial and Information Economics Model to guide their strategic decision-making?

Answer 50

Identify Their Framework:
Assess whether they fit within Industrial, Informational, or Network Effects based on their products/services.

Tailor Competitive Strategies:
o Industrial: Focus on operational excellence and cost-efficiency.
o Informational: Invest in digital capabilities and data-driven insights.
o Network Effects: Scale user networks and foster engagement.

Adapt to Transitions:
Many firms are shifting from Industrial to Informational or Network Effects. Understanding this transition allows firms to align investments and strategies with evolving market dynamics.