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Civilai Leckie, Munyaradzi W. Nyadzayo and Lester W. Johnson

Based on the service-centric view of exchange as proposed by Service-Dominant logic, this chapter presents a conceptual model of how customer engagement (CE) promotes organizational performance. The model begins by outlining three key firm orientations that fit this perspective, namely relationship marketing, interaction orientation and Service-Dominant orientation, each of which support value cocreation among stakeholders within service ecosystems. Upon value being created and realized by the customer, it impacts customer experience, satisfaction, and emotional attachment to the focal engagement object (i.e. a brand), leading to a higher level of CE. Concurring with scholars regarding the importance of customer engagement behavior, we argue that CE contributes directly to firm performance via purchase-related behaviors (e.g. purchase, share of wallet, cross-buying), while it indirectly promotes firm performance via non-purchase related behaviors (e.g. codesign of innovation, referrals). A discussion and further research directions are provided towards the end of the chapter.