Idea Transcript
Virtual Reality Marketing: Conceptualization, Theoretical Framework & Research Propositions Linda D. Hollebeek and Siv Skard NHH Norwegian School of Economics CSI - Center for Service Innovation March 16, 2017
Introduction • In today’s digital era, marketing theory & practice are subject to increasing complexity due to greater information availability, heightened interactivity & increasingly personalized communications. • Many companies are adopting virtual reality (VR) platforms to facilitate consumers’ product/brand-related learning, foster consumer persuasion & stimulate purchase. • However, there is a need to provide structure & guidance to scholars to further this emerging VR research stream in at least two ways: 1. 2.
Develop a better understanding of the use of VR in marketing (VRM). Develop enhanced insight into VRM & its conceptual links to emerging marketing concepts & theories (i.e. how does VRM fit into existing marketing theory?).
VR definitions
Current state of research • While studies on virtual reality (VR) are emerging, little is known re VR from a theoretical marketing perspective, including service-dominant (S-D) logic, consumer engagement & consumer experience. Virtual reality marketing (VRM) Key microtheoretical entity
S-D logic Influential, growing meta-theoretical perspective
Consumer engagement
Consumer experience
Key mid-range theoretical entity
Key mid-range theoretical entity Vargo & Lusch (2017)
Key contributions 1. Develops an S-D logic-informed framework of VRM and its key antecedents & consequences. 2. Develops S-D logic-informed propositions of VRM based on our framework. 3. Contributes to marketing practice through the application of our S-D logic-informed propositions of VRM to particular marketing contexts, including CRM.
Virtual reality marketing (VRM) A suite of computer-mediated marketing tools and techniques that incorporate virtual environments enabling consumer interaction with, presence in, and immersion in the environment, and that drive particular consumer-based outcomes (e.g. consumer experience).
Holbrook & Kuwahara 1999, p. 244; Sherman & Craig 2003)
Managerial implications • Expected benefits of S-D logic-informed VRM: • Enhanced brand familiarity & image, CE, CX, CCC & CQL • Enhanced consumer intent to return to the VRM platform/presentation • Potential cost-effective market research source
• Key challenges: • Ongoing VR & other (external) technological developments (e.g. internet speeds) that impact on consumers’ VRM perceptions • Some consumers’ reluctance to use VRM • Despite enhanced brand recall, familiarity or image through VRM, will consumers actually purchase more of the product after VRM exposure?
Academic implications Avenues for further research include: • Empirical testing of the framework across various VRM settings, including by using large-scale, quantitative methods/analyses. • How to most efficiently & effectively implement VRM in small, mediumsize & large businesses across industries & sectors? • Which VR platform types are most effective in particular (e.g. cultural, organizational) contexts? • In what ways do firms best plan for & implement VRM in their organizations? • How do firms measure their return on VRM? • While S-D logic may represent a suitable theoretical perspective for VRM, are there any other meta-theoretical perspectives that can substitute or complement S-D logic?