Innovation

Service-Logic Innovations: How to Innovate Customers, Not Products

Stephen Brown, Stefan Michel, Andrew Gallan


Abstract
Service innovations reportedly involve innovating intangible products, but this article argues for a more radical service-logic perspective that challenges the traditional, attribute-based view of innovation. Rather than innovating products and services, the focus here shifts toward innovating customers’ value co-creation roles. This article presents a case-based managerial framework that reveals how service-logic innovations change the customer’s role as a buyer, payer, or user and shows how firms can innovate through smart offerings, different value integration approaches, and reconfigured value constellations.

California Management Review

Published at Berkeley Haas for more than sixty years, California Management Review seeks to share knowledge that challenges convention and shows a better way of doing business.

Learn more