Practice co-evolution: Collaboratively embedding artificial intelligence in retail practices

Psychology and Marketing

et al. 2022

Self Cite

In recent years, marketers have placed increased reliance upon artificial intelligence (AI) and, subsequently, the use of virtual agents in customer service contexts is on the rise. Despite such service digitalization, service can still fail. While there is an increasing literature on the effect of virtual agents in service settings, questions remain as to how customers react to service failure that results from interactions with virtual service agents. To this end, we deconstruct the effect of virtual agent service failure across two studies: one involving a process service failure and another involving an outcome service failure. We specifically manipulate the type of service agent that causes the service failure (human vs. virtual agent) and the magnitude of the failure (small vs. large). Results show that firms can leverage virtual service agents to mitigate or buffer the negative effects of service failure. From a managerial perspective, our findings suggest that firms could engage virtual service agents in situations where there may be a risk of outcome service failure-particularly in settings where relatively large magnitude failures may be experienced. In such a setting, we find that virtual service agents can mitigate the negative effects of service failure, more so than when the failure results from an interaction with a human service agent.

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Buffer bots: The role of virtual service agents in mitigating negative effects when service fails

Sands

Campbell

Psychology and Marketing

et al. 2022

Self Cite

“…journal articles, conference papers), in this article, we use the term “impact” to refer to research outcomes that influence societal or organisational actors, leading to substantive changes in the way these actors operate (de Ruyter et al , 2022). To delineate a pathway towards impact outcomes, we build on an ongoing research programme that investigates the adoption of artificial intelligence (AI) technologies in the retail sector (Bonetti et al , 2022 and Appendix for further details). Within this context, we examine how knowledge gaps between technology providers and their less tech-savvy clients create challenges when selling AI solutions for use in retail.…”

Section: Introductionmentioning

confidence: 99%

Creating discursive channels: generating and disseminating impactful research insights into the strategic sales enablement of retail technology

Montecchi

Bonetti

et al. 2022

EJM

Purpose To meet the complex technology needs of retail clients, technology providers must work in a close partnership with their clients and co-envisage a strategic vision for the role that technology should play in the client’s value chain. However, many providers lack the sales capabilities needed to do this. This study aims to examine the need for providers to transition from transaction-oriented to solution selling-oriented approaches. To do so, this study explores the impact outcomes of a knowledge-exchange intervention co-designed with a partner from industry. Design/methodology/approach Building on empirical insights from an ongoing research programme that examines retail technology implementations, this study developed a knowledge exchange intervention consisting of planning discursive channels, co-defining the scope, co-developing knowledge, executing the intervention and assessing impact outcomes. Discursive channels – multi-lateral communication channels that allow researchers to work collaboratively with the research partner and other stakeholders – emerge as a critical knowledge-exchange mechanism to generate impact outcomes. Findings The knowledge-exchange intervention provides impact by enabling the industry partner to establish cross-functional solutions teams, assess retail clients’ technological needs, aid decision-making, define barriers to implementation and develop a coaching approach to support clients’ technological investments. Impact outcomes vary in magnitude, intensity, scope and duration and can also be unintentional where unplanned changes are embedded into practice. Originality/value This impact framework offers a roadmap to orchestrate impact outcomes that emerge from academic enquiries.

“…Across industries, many firms invest heavily in AI applications (Bonetti et al, 2022;Grewal et al, 2021;Davenport et al, 2020), and by doing so these firms can increase the effectiveness of other marketing investments. For example, Mishra et al (2022) demonstrate that AI-focused firms are more profitable, with greater operating efficiency and better returns on marketing investments.…”

Section: Enhancing Value Creation Using Artificial Intelligencementioning

confidence: 99%

“…bar for delivering on this promise in the face of substantial investment costs. Firms leverage digital technologies to differentiate themselves from competitors and to improve their operational efficiency (Bonetti et al, 2022). Such pressing strategic imperatives have driven continually increasing global investments in artificial intelligence (AI), expected to increase more than 1250% from 2020 to 2028 reaching an estimated $641 billion in spending (Georgiadis, 2022).…”

mentioning

confidence: 99%

The future of digital technologies in marketing: A conceptual framework and an overview

J. of the Acad. Mark. Sci.

Grewal

Ruyter

et al. 2022

Digital technologies are key to achieving competitive advantage across marketing and retailing contexts. At the same time, marketing managers are confronted with a variety of challenges surrounding the strategic use of these technologies and the need to re-think their digital strategies. Importantly, managers need to develop a deeper understanding of consumer attitudes towards and engagement with (or lack thereof) digital technologies. Marketing strategists can benefit from academic marketing's thought leadership to learn how they can transform these challenges into strategic opportunities for competitive advantage. This can lead to technological innovations that create customer, firm, and societal value. Some of these benefits are described in the articles that make up this special issue. We propose a framework that focuses on the role of strategic resources used by managers to develop and deliver on the promise of digital technologies. Then, we report insights from 16 boardroom interviews with senior marketing managers resulting in three broad themes: decentralized marketing, metamodern customer experiences, and marketing mechanization. We close with a research agenda to motivate additional thought-leading research in this fast-growing area.