How Do Others Feel about a Co-innovation Service Provider? The Effect of Co-innovation on Non-participating Customers

摘要

Customer engagement in service innovation is becoming an effective strategy. A large amount of previous literature has shown that this kind of co-innovation will influence the relationship between engaged customers and service providers. However, there is little literature has considered the influence of co-innovation on those consumers who don't participate in the innovation but know the co-innovation mode of a firm. This article use experiments to explore how nonparticipating customers feel about the co-innovation service provider. We find that when the service experience is good, those customers like co-innovation service providers more than the traditional service providers whose service is designed by its employees. But when the service experience is not good enough, customers' preference reverses. Although customers dislike co-innovation mode when the service experience is not good, they tend to accept the bad results and complain less (vs. Traditional innovation mode) to the firm.