Artificial intelligence as an enabler of B2B marketing: A dynamic capabilities micro-foundations approach

Over the past few decades research has predominantly focused on the technical aspects and theoretical challenges of Artificial Intelligence (AI). With the deluge of data and the increase in processing power, businesses are now facing the challenge of how to deploy AI that generates business value. In this direction, there is still nascent research on how AI can be leveraged in for B2B operations, and particularly marketing. To address this gap, this study draws on the dynamic capabilities view of the firm and specifically on the micro-foundations approach and builds on three selected case studies of large organizations in Norway that use AI for B2B marketing purposes. The study identifies a number of AI-specific micro-foundations of dynamic capabilities, essentially highlighting how organizations can use AI to manage B2B marketing operations in dynamic and uncertain environments. This study also identified several key cross-cutting elements emerging from the data, demonstrating how some key concepts are inter-related and how they affect overall business value.     

Value co-creation practices and capabilities: Sustained purposeful engagement across B2B systems

The paradigm of value co-creation in business markets is now well established in the marketing literature. However, the practices and capabilities for collaborative value co-creation are less understood, particularly in increasingly boundary-less interorganizational, network and ecosystem relationships. This paper describes sets of practices that organizations in business markets adopt to co-create value. We provide a theoretically-grounded, empirically-informed classification of value co-creating practices, identifying the underlying capabilities needed to realize value in B2B systems. We adopt a case study approach utilizing various methods of data collection to explore co-creation practices from four organizations. The analysis reveals that ‘sustained purposeful engagement’ underpins the organizations' ability to co-create and capture value. Implications for organizations willing to develop co-creation capabilities and practices are discussed.     

Creating superior customer value for B2B firms through supplier firm capabilities

In a dynamic global business-to-business (B2B) environment, innovation and marketing appear crucial to providing supplier firms' positional advantage through the ability to create value for customers. Our examination is grounded in seeking to address the research question: To what extent is the creation of superior performance, relationship, and co-creation value driven by market orientation, product innovation and marketing capabilities in B2B firms? The results of a survey of 155 large B2B firms show product innovation capability and marketing capability partially mediates the relationship between a firms' market orientation and its ability to create value (performance and co-creation), except for the role of marketing capability which we found acted as a full mediator of the relationship between market orientation and relationship value.     

Marketing capabilities: Antecedents and implications for B2B SME performance

The study provides a new perspective on SME marketing strategies in the B2B context. Using a resource-based view of the firm, the study develops a structural model linking marketing capabilities and marketing performance. A study of 367 SME Australian firms reveals that two key marketing capabilities, namely branding and innovation, have major performance outcomes in the SME B2B context. This is the first SME study to evaluate concurrently the contribution of innovation and branding marketing capabilities, with innovation capability the strongest determinant of SME performance. The study also finds market orientation and management capability act as enabling mechanisms for building marketing capabilities. Disaggregation tests indicate that the same findings apply to three size categories denoting micro firms (less than 20 staff), small firms (20-99 staff) and medium-sized firms (100-499 staff).     

Multi-focused strategy in value co-creation with customers: Examining cumulative development pattern with new capabilities

The previous research of capabilities development has largely focused on the established capabilities, i.e., quality, delivery, cost and flexibility, although there are a wide variety of possible dimensions. Few studies report the accumulation effect about adding new capabilities on an established base in a different strategic setting. Motivated by the increasingly important strategy of value co-creation with customers, this study aims to examine the patterns of capability development with consideration of adding service and customerization capabilities. Taking a downstream-focused view and based on the data collected at Chinese firms, this study extends the cumulative theory to the scenario of value co-creation with customers by identifying the mutual enhancement effect when adding new capabilities on an existing base. Specifically, this study finds that firstly, new capabilities (i.e. service and customerization) and established capabilities (i.e. flexibility and delivery) are mutually supportive in value co-creation scenario; Secondly, flexibility plays a primary role to amplify other capabilities in the new strategy; Thirdly, the capabilities development follows a sequence of flexibility, delivery, service and customerization. The findings of this study also enrich value co-creation studies by offering proposed capabilities development pattern which facilitates strategists to operationize the concept of value co-creation with customers and helps guide companies to take both upstream-focused and downstream-focused views of capabilities development to excel in coming competition.     

What's in it for me? Capital,value and co-creation practices

Marketing research is increasingly concerned with the practices through which service providers and their customers interact and how these practices influence value co-creation.Applying S-D logic and drawing on practice theory developed in sociology research in past decades, we propose a definition of value in terms of the coexistence of diverse forms of capital and currency variations. We then develop a conceptual model to explain value co-creation in terms of service provider–customer interaction practices (SPCI practices). We employ an extensive, qualitative study in the context of professional service firms. Our findings reveal three general categories of SPCI practices (access to capital, capital exploitation and capital attrition) that affect value co-creation. These insights move forward business-to-business marketing theory and practice, advancing our understanding of how service provider–customer interaction practices can be used to define value propositions and assess the types and amount of value that are co-created.     

Setting B2B digital marketing in artificial intelligence-based CRMs: A review and directions for future research

The new business challenges in the B2B sector are determined by connected ecosystems, where data-driven decision making is crucial for successful strategies. At the same time, the use of digital marketing as a communication and sales channel has led to the need and use of Customer Relationship Management (CRM) systems to correctly manage company information. The understanding of B2B traditional Marketing strategies that use CRMs that work with Artificial Intelligence (AI) has been studied, however, research focused on the understanding and application of these technologies in B2B digital marketing is scarce. To cover this gap in the literature, this study develops a literature review on the main academic contributions in this area. To visualize the outcomes of the literature review, the results are then analyzed using a statistical approach known as Multiple Correspondence Analysis (MCA) under the homogeneity analysis of variance by means of alternating least squares (HOMALS) framework programmed in the R language. The research results classify the types of CRMs and their typologies and explore the main techniques and uses of AI-based CRMs in B2B digital marketing. In addition, a discussion, directions and propositions for future research are presented.     

Business relationship portfolios and subcontractors' capabilities

While research on vertical relationships has demonstrated that suppliers' capabilities can be developed via partnerships, we lack studies that relate the development of such capabilities to the management of business relationship portfolios. This paper partially fills this research gap by investigating how small to medium subcontractors (SMSs) align their customer relationship portfolios with their design and marketing capabilities.Applying one-way ANOVA to a sample of 62 subcontractors located in the mechanical industrial district of Pordenone (North East Italy), we show that the development of marketing and design capabilities affects subcontractors' business relationship portfolios. Our study suggests that SMSs strategically manage their customer relationships, moving from traditional subcontracting to a more articulated portfolio characterized by a stronger presence of partnership and market relationships. Marketing and design capabilities shape SMSs' autonomy and strategic options in choosing the appropriate combinations of different relationship types.     

Key trends in business-to-business services marketing strategies: Developing a practice-based research agenda

The marketing of B2B services has become an important field of academic enquiry. Industrial Marketing Management scholars have contributed to building a robust body of scholarship on the role of services as an indispensable aspect of company’s strategic performance process. However, with digitization, there is a clear need for theoretical concepts and frameworks that can guide companies in the development of contemporary and strategic roadmaps for their B2B service marketing strategies and performance practice. This position paper outlines an agenda and delineates issues in B2B service delivery that need to be addressed to close the gap between service marketing theory and practice and collaborate on the development of strategic service capabilities for the industrial marketing space. More specifically, we identify and discuss the impact of 5 important trends shaping B2B services: 1) gamification, 2) personalization, 3) Mixed Reality (MR), 4) data visualization, and 5) privacy. On the basis of these, we will offer a number of specific directions for future research by industrial marketing researchers.     

A framework of brand value in B2B markets: The contributing role of functional and emotional components

The creation of value is admittedly a critical task for marketers regardless of industry. This paper focuses on a type of value that has traditionally been perceived as irrelevant to industrial markets and argues that brand value facilitates the progression from goods and services value to relationship value. To address the limited amount of research on B2B branding from the suppliers' point of view, we complement insights gained from a literature review with ten exploratory interviews with B2B supplier managers, and develop a framework of brand value applicable to industrial markets. This identifies both the functional (i.e., quality, technology, capacity, infrastructure, after sales service, capabilities, reliability, innovation) and emotional qualities (i.e., risk reduction, reassurance, trust) important for the development of industrial brand equity. Situational (e.g. nature of the purchase) and environmental factors (e.g. the economic situation) affecting suppliers' perceptions of the importance of brand in a B2B context and the role of functional versus emotional brand qualities are discussed. The value of the brand as a driver for the development of business to business relationships is also highlighted. The framework provides a basis for B2B practitioners to build their brands in such a way as to make a functional as well as an emotional connection with buyers that is more likely to lead to a supplier–buyer relationship.     

Service guarantees as a base for positioning in B2B

Research in marketing has shown that service guarantees can contribute to gaining a competitive advantage. However, studies of perceived benefits have mostly been investigated in a consumer marketing context while prior research in B2B has been limited. Given the peculiarities of B2B marketing we investigate the value of service guarantees for industrial customers. We report findings from two studies of attitudes to service guarantees and their effects on purchase intentions and customers' willingness to pay a price premium. Our findings based on conjoint analysis show that service guarantees can deliver added value to B2B customers with implications for positioning strategies. Buyers in B2B markets are encouraged to consider the potential positioning effects of service guarantees for their organization.     

Interpersonal influence strategies in complex B2B sales and the socio-cognitive construction of relationship value

The investigation of how exactly salespeople create value at the individual level of interaction is still incomplete. While there have been lively debates on value creation and co-creation processes at the organizational level in the business marketing literature, researchers have paid much less attention to the fact that such processes almost always start at the interpersonal level of buyer-seller interactions. Through utilizing a symbolic interactionist perspective and the ethnographic research method of shadowing, the present study moves research insights into value creation in sales forward by depicting the detailed activities and tactics that influence customers’ value perceptions during the sales encounter. We complement the sales influence literature with three additional tactics: disrupt, reassure and dedicate. We also expand the framework of value creation in sales interactions by identifying three value strategies that change, strengthen or expand customer value perceptions through different socio-cognitive mechanisms.     

Marketing capabilities and innovation-based strategies for environmental sustainability: An exploratory investigation of B2B firms

While emerging literature on sustainability shows that environmentally responsible strategies can contribute to competitive advantage and enhanced financial performance, little is known about specific marketing capabilities that lead to sustainable consumption behavior, and whether implementing such strategies leads to firm competitive advantage. Using the case method approach, this study explores marketing-related strategies and practices pertaining to sustainable consumption as reported by leading sustainable firms in the B2B context. We examine case studies of forty seven B2B firms and identify key marketing capabilities that tie to innovation-based sustainability strategies, sustainable consumption behavior and firm performance. We use our findings to develop a conceptual framework linking marketing capabilities to innovation strategies for firm sustainability, sustainable consumption behavior and firm competitive advantage, and put forward propositions for future research.     

Mapping network champion behavior in B2B electronic venturing

This study examines the concept of a new venture, B2B e-market in the light of participants who are involved in its innovation and diffusion processes. Our assessment results in the development of two key working propositions. The first proposition attempts to explain the relationship of the participants in the network and their contribution to innovation and diffusion processes over time. The second proposition attempts to explain how network champions (NC) contribute by bringing suppliers and buyers together in an electronic marketplace over time. In particular, this research adds to the industrial marketing literature by applying a case research method that is particularly useful for operationalizing theory development in business-to-business environments.     

Industrial marketing management digital media optimization for B2B marketing

The role of digital media in B2B marketing has gained traction with academics and practitioners in recent years. However, a comprehensive framework about the use and value of these media has not been developed, leaving B2B experts uncertain about their effectiveness. In fact, whether or not digital media can impact the business development and marketing processes to achieve higher performance remains vague. Additionally, there is a paucity of research related to the impact of different media towards the enhancement of processes and outcome of marketing to generate opportunities. To provide guidance for practitioners, we consider marketing processes in the global software industry by researching practitioner experiences. We develop an assessment tool to identify and align marketing processes and digital media. This research attempts to explore and explain how digital media impacts the B2B business development process cycle at the conjunction of marketing and sales. The research tests a conceptual model by means of a cross-sectional survey of more than 530 practitioners. Our novel framework provides several contributions to knowledge and practice, defining marketing-related processes, and determining a set of digital platforms. By acknowledging the perspectives of vendors, third-parties, and buyers in a simultaneous study, we ensure optimal alignment.     

Technology-enabled value co-creation: An empirical analysis of actors,resources, and practices

How do economic actors in complex business-to-business (B2B) service systems co-create value when resource exchange is contingent on available and accessible Information and Communication Technology (ICT)? In this paper, we draw on findings from a multiple case study of the consulting industry to provide empirical insights into the nature of these technology-enabled value co-creation processes. Our analysis demonstrates that technology-enabled value co-creation processes are complex interactions between interdependent actors who perform any of eight distinct roles. Specifically, our theoretical contribution consists of five propositions that define the roles of actors (who?), resources (what?), and practices (how?) underlying technology-enabled value co-creation in complex B2B service systems. This exploratory study establishes a foundation for future research, and offers managerial guidance in this increasingly important area.     

Every cloud has a silver lining — Exploring the dark side of value co-creation in B2B service networks

This research explores the dark side of value co-creation (VCC) in B2B service networks. Whilst VCC is attracting a great deal of academic attention and a number of studies have highlighted the benefits of VCC, researchers often fail to consider the potentially negative consequences of VCC, especially in the context of business networks. This study explores the negative aspects associated with VCC in advertising service networks and identifies role conflicts and ambiguity, opportunism and power plays on the dark side of VCC. Tensions created by role conflicts during VCC interactions are highlighted. Also sharing of responsibilities during VCC can result in managers having a lack of clarity about what is expected of them, leading to role ambiguity and misunderstandings between firms. Managers engaging in VCC display weak-form opportunistic behaviors. These softer forms of opportunism are found to be tolerated and almost expected within long-term relationships. This research suggests that the exertion of power often shapes VCC activities within the advertising service network. Power plays are used as a means to mobilize appropriate resources and to influence network actors to adhere to value co-creation objectives. The presence of role conflicts, role ambiguity, opportunistic behaviors and power plays indicate that there is indeed a dark side to VCC that is currently omitted from existing VCC frameworks. A further contribution of our study is to highlight that a bright-dark dichotomy does not fully describe the complexity of VCC in B2B service networks and we show how the dark side may lead to positive outcomes.     

The untapped potential of B2B advertising: A literature review and future agenda

Academic research has not kept pace with the growth of and investment in B2B advertising. Important topics need to be addressed and critical questions remain unanswered. This review systematically analyzes, consolidates and identifies knowledge gaps in prior research related to B2B advertising in order to motivate dedicated future study. Based on a methodical, concept-centric approach, B2B advertising literature is categorized by: 1) type of article; 2) theories applied; 3) message appeals, content, and strategies used; 4) media selected; 5) effectiveness and performance measurement; and 6) budgeting approaches. The review indicates limited and outdated research on several topics including message strategies and appeals, advertising budgets, advertising effective measures related to buyer and financial outcomes, and media usage. Furthermore, research on overall B2B integrated marketing communications strategies is lacking. The review highlights research opportunities and questions with the potential to provide guidance to B2B marketing managers.     

How to Build an AI Climate-Driven Service Analytics Capability for Innovation and Performance in Industrial Markets?

AI climate-driven service analytics capability has been anecdotally argued as a viable strategy to enhance service innovation and market performance in B2B markets. While AI climate refers to the shared perceptions of policies, procedures, and practices to support AI initiatives, cognitive service analytics capability refers to the analytical insights driven by AI climate and augmented by both machines and humans to make marketing decisions. However, there is limited knowledge on the antecedents of such analytics capabilities and their overall effects on service innovation and market performance. Drawing on service analytics literature and the microfoundations of dynamic capability theory, this study fills this research gap using in-depth interviews (n = 30) and a survey (n = 276) of service analytics managers within the AI climate in Australia. The findings confirm the five microfoundations of cognitive service analytics capabilities (cognitive technology, cognitive information, cognitive problem solving, cognitive knowledge & skills, cognitive training & development). The findings also highlight the significant mediating effect of service innovation in the relationship between analytics climate and market performance and cognitive service analytics capability and market performance.     

Value propositions in a digitally transformed world

Business-to-Business and broader marketing are increasingly influenced by the digital transformation of business, leading to the evolution of new central marketing concepts (e.g., value propositions, value co-creation, customer experiences/journeys, customer centricity, etc.). Therefore, it is not surprising that important emerging marketing concepts, such as value propositions remain ill-defined. We argue herein for the evolution/expansion of the theoretical boundaries of value propositions from largely a firm-centric communication marketing tool toward a concept representing a significant step in an actor's judgment & decision-making processes. A framework emphasizing marketing interactions is developed that reconciles much of the emerging evidence related to goal theory, perceived value, resource sharing, value propositions and their communication, marketing ecosystems, and the value co-creation process. In the proposed framework, value propositions are re-conceptualized as a central within-subject belief about resource-sharing vis-à-vis marketing interactions within the larger process of value co-creation over time. The managerial and research implications of the proposed framework are presented and discussed.