Purpose Recent technological and digital developments have opened new avenues for customer data utilization in insurance services. One form of this data transformation is automated chatbots that provide convenient access to data leveraged through a discussion-like interface. The purpose of this paper is to uncover how insurance chatbots support customers’ value creation. Design/methodology/approach Three complementary theoretical perspectives – artificial intelligence, service logic, and reverse use of customer data – are briefly discussed and integrated into a conceptual framework. The suggested framework is further shown through illustrative case examples that characterize different ways of supporting customers’ value creation. Findings Chatbots represent a new type of interaction through which companies can influence customers’ value creation by providing them with additional resources. Based on the proposed conceptual framework and the illustrative case examples, four metaphors are identified that characterize how insurance chatbots can support customers’ value creation. Research limitations/implications The study is conceptual in nature, and the case examples are used for illustrative purposes. No representative data from those users who will eventually determine whether chatbots are of value was used. Practical implications Using the suggested framework, which is aligned with provider service logic, insurance companies can consider what kind of a role they wish to play in customers’ value-creating processes. Originality/value Automated chatbots provide convenient access to data leveraged through a discussion-like interface. This study is among the earliest to address their value-creating potential in insurance.

Purpose -Improving capability to generate value for customers is seen as a way to create a new competitive edge, but developing the related organisational capabilities involves facing several obstacles that stem from the producer-orientation of the retail-banking business. This paper aims to focus on defining and describing those obstacles. Design/methodology/approach -An in-depth, qualitative single case study of a European retail bank was conducted. Findings -A retail bank can find it challenging, first, to understand the deepest meaning and character of customer value and, second, to harness the organisational attributes to deliver that value. The main barriers lie in the strong producer-oriented way of doing business, a lack of employee commitment, a strong product and sales orientation, a restrictive network, difficulties in seeing the profitability aspect of a new mindset, lack of conceptualisation and proper segmentation, and finally, silo-style bank organisations.Research limitations/implications -The research is focused on the retail-banking industry, while the findings are transferable to other retail finance businesses. Practical implications -Enhancing value creation may provide a competitive edge, but developing that edge means facing several obstacles, which may jeopardise the calculated positive return on investment. For management, understanding the value of the banking service in the customer's own context is critical. Originality/value -Developing customer experience and value-in-use has been suggested as a good starting point for customer orientation. However, research on its implications for organisations and potential obstacles to implementation remains scarce. This paper offers a detailed view on the organisational development necessary to generate value-in-use in a retail-banking context.

The study explores the mental models of top executive team members in a selected retail bank. The focus is on how each executive team member makes sense of the market situation and changes with regard to customers and customer-bank interactions in the current situation where earlier bank practices are at risk of becoming obsolete. Design/methodology/approach. All members in the executive team were interviewed individually in August 2014 on how they reason about challenges in the service business. The study uses an abductive research approach. Findings. The mental models were largely dominated by internal bank issues, and adjusting the services to changing customer preferences was considered a main challenge. The research analysis showed that the executive team members identified the same business challenges, but their interpretations of the meanings and implications of the challenges were different. Mental models tend to be hidden and stable and are seldom explicitly elaborated. There was a distinct spread in mental models in terms of content. Limited focus was on customers as the starting point for business development and renewal. Research limitations/implications. The study was conducted in the retail banking setting, which is currently affected by many changes. The study, however, was limited to executive members in one bank. Practical implications. The foremost implications of this study relate to sensitising executive members and teams to their mental models and exposing different core challenges related to customers and customer relationships in the retail banking sector. Originality/value. The value of the study is it sheds light on top executives' prospective sensemaking of current business challenges by addressing individual mental models. The study represents a novel approach in the strategic service management literature.

No abstract

No abstract