Extracting Key Lessons in Service Innovation

Abstract

This paper describes how Sagentia-working with Vodafone, Safaricom, and other organizations-played a significant role in the creation and delivery of a landmark mobile money transfer and payment service for emerging markets, starting in Kenya. In this profile we examine the organization aspects and approach that contributed to the success of the service: the lessons we learned as the technology provider and how the experience has informed and strengthened our service innovation processes.

Innovating Services Through Experiences: An Investigation of Servicescape’s Pivotal Role

“…Sometimes even small or incremental changes can shape the experience in a totally different way -an effect that is amplified as the level of innovation rises. In fact, service innovation has been defined as innovation applied to one or more of the following areas of a company (Wooder and Baker 2012): new concepts and/or value propositions (i.e., the service idea or value proposition), new delivery mechanisms and/or business models (how the service is realized in terms of people, processes, systems, and devices), and new experiences (the way in which customers participate and how they perceive the value of this participation).…”

Mobile Money as a Strategy for Financial Inclusion in Rural Communities

“…The deployment of mobile banking offers potential for facilitating trade among transacting parties in goods and financial services (Kasseeah & Tandrayen-Ragoobur, 2012). In Africa the most successful launched mobile banking facility has been M-Pesa in Kenya with over 14 million registered users and it is the best example of a mobile money service for the financially excluded (IFC, 2012;Wooder & Baker, 2012). In the developed world, for example USA and European countries, mobile money penetration is insignificant due to the alternative electronic payment systems which are well developed.…”

Innovation Processes in Emerging Markets: Empirical Evidence from the Indian Insurance Industry

“…First, we go beyond the few empirical observations -quantitative (i.e., Alam, 2007) and qualitative (i.e., Wooder and Baker, 2012) -that have particularly examined service innovation in EMs. Beyond dominant stage models of service innovation, we identify seven generic processes for new service development that are likely to be found -and used by managers -in many emerging countries.…”

“…With a qualitative perspective, a recent special issue by the Journal of Product Innovation Management (29(1): 2012) examined the creation of new products and services for and with the Base of the Pyramid. For instance, Wooder and Baker (2012) examine the launch of a new mobile money transfer and payment service in Kenya, applying at the same time a stage-like life cycle model with five phases: value creation, value delivery, value capture, value defense and value sustainability. Aside theoretical contributions, more managerial contributions have also flourished, and in India have notably been published in the ASCI (Administrative Staff College of India) Journal of Management (see for instance Krishnan and Jha, 2011 on the influence of deregulation in India on service innovation in five leading Indian firms: Bajaj, Tata, Titan, Bioccon and Pantaloon).…”