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Evolving to a New Dominant Logic for Marketing (Stephen L. Vargo & Robert F. Lusch) Andang Fazri PPIM UI - 1206314024 Powerpoint Templates

Questions / Gaps • Fragmented thought, pertanyaan-pertanyaan tentang masa depan marketing, tuntutan perubahan paradigma, dan kontroversi apakah services marketing merupakan bidang studi lain di luar marketing. • Are these calls for alarm?

Tujuan Penulisan Menjelaskan evolusi marketing thought dari awal hingga terbentuknya a new dominant logic.

A Summary of the Evolution Over the Past 100 Years Tabel 1. School of Thought & Their Influence on Marketing Theory and Practice

Studi Marketing dari Masa ke Masa • Fokus pada distribution and exchange • Pendekatan pengambilan keputusan dan konsumen • Service marketing • Fokus pada network • New dominant logic, fokus bergeser dari pertukaran tangible goods ke pertukaran intangible, keahlian dan pengetahuan khusus, serta proses.

Fokus pada Distribusi dan Pertukaran • Fokus pada distribusi dan pertukaran komoditas dan produk manufaktur sebagai fondasi ekonomi (Marshall 1890 reprinted 1927; Shaw 1912; Smith 1776 reprinted 1904). • Mengarahkan attention menuju commodities exchange (Copeland 1920). • Institusi pemasar menyediakan barang dan arrange for possession (Nystrom 1915; Weld 1916). • Fungsi yang harus dilaksanakan adalah memfasilitasi pertukaran barang melalui institusi marketing.

Fokus pada Pendekatan Pengambilan Keputusan dan Konsumen • Awal 1950-an, functional school mulai berubah menjadi marketing management school dengan pendekatan decision-making untuk mengelola marketing functions dan fokus kepada kastemer (Drucker 1954; Levitt 1960; McKitterick 1957) • McCarthy (1960) dan Kotler (1967) menggambarkan marketing sebagai sebuah aktivitas decision-making untuk mencapai profit melalui kepuasan kastemer, dengan mentarget sebuah pasar dan kemudian membuat keputusan marketing mix (4P) yang optimal

Fokus pada Pendekatan Pengambilan Keputusan dan Konsumen (lanjutan) • Marketing management berupaya menemukan bauran variabel marketing decision bagi perusahaan yang akan memaksimalkan pencapaian perusahaan, melalui expected behavior of uncontrollable demand variables (Kotler 1972, p.42)

Fokus pada Services • Awal 1980-an, muncul paradigma standard microeconomic baru, yang berada pada separate lines of thought yaitu di dalam relationship marketing, quality management, market orientation, supply and value chain management, resource management, dan networks. • Mungkin yang paling populer adalah munculnya service marketing sebagai subdisiplin, menyusul keinginan para ahli untuk “break free” (Shostack 1977). • Dari product marketing dan disadarinya kurangnya dominant logic berkaitan dengan service marketing subject matter (Dixon 1990).

Fokus pada Network / Relationship • Disadarinya kekurangan 4P yang tidak dapat menerangkan marketing sebagai kekuatan untuk berinovasi atau beradaptasi. • Day dan Montgomery (1999), “with growing reservation about the validity or usefulness of the Four P’s concept and its lack of recognition of marketing as an innovating or adaptive force, the Four P’s now are regarded as merely a handy framework”. • Sheth and Parvatiyar (2000, p. 140) suggested that “an alternativeparadigm of marketing is needed, a paradigm that canaccount for the continuous nature of relationships among marketing actors.”

Fokus Marketing Bergeser dari Tangible ke Intangible • Dominant logic telah bergeser dari pertukaran tangible goods ke pertukaran intangible (specialized skills, knowledge and process) yang mengintegrasi goods dengan services dan menyediakan fondasi yang kuat bagi perkembagngan marketing thought and practice. • Rust (1998, p.107), menekankan pentingnya integrasi goods and services:“The typicalservice research article documented ways in which serviceswere different from goods.… It is time for a change. Serviceresearch is not a niche field characterized by arcane pointsof difference with the dominant goods management field.”

Fokus Marketing Bergeser dari Tangible ke Intangible (lanjutan) • The dominant, goods-centered view of marketing not onlymay hinder a full appreciation for the role of services butalso may partially block a complete understanding of marketing in general (see, e.g., Gronroos 1994; Kotler 1997; Normann and Ramirez 1993; Schlesinger and Heskett 1991). • Customers do not buy goods or services: They buy offeringswhich render services which create value.… The traditionaldivision between goods and services is long outdated.It is not a matter of redefining services and seeingthem from a customer perspective; activities render services,things render services. The shift in focus to servicesis a shift from the means and the producer perspective tothe utilization and the customer perspective.

A Fundamental Shift of Worldview • Figure 1. Eveloving to a New Dominant Logic for marketing

Resources • Pada awanya yang dianggap resources terbatas pada tangible resources. • Malthus (1798) menyebut resources, mengacu kepada natural resources. • Kemudian pada 50 tahun terakhir, resources juga mencakup intangible dan dynamic function of human ingenuity (inventive skills or imagination) dan appraisal. • Perubahan pandangan inilah yang menyebabkan pergeseran menuju new dominant logic.

Operand Resources • Constantin dan Lusch (1994): Operand resources merupakan resources dimana sebuah operasi atau tindakan dilakukan kepadanya to produce an effect. Sedangkan operant resources, adalah yang digunakan untuk melakukan tindakan kepada operand resources (dan operant resources lainnya). • Goods-centered dominant logic terbentuk pada saat resources utama adalah operand. • Sebagai contoh: perusahaan memiliki faktor produksi (umumnya operand) dan teknologi (operant) yang memiliki kemampuan untuk membantu perusahaan mengubah operand menjadi output dengan biaya rendah.

Operant Resources • Adalah resources yang menghasilkan effects (Constantin dan Lusch 1994) • Muncul di akhir abad ke-20 ketika manusia menyadari bahwa skills dan knowledge adalah resources yang paling penting. • Ahli ekonomi yang mempelopori perubahan pandangan ini adalah Zimmermann (1951) dan Penrose (1959). • Hunt (2000, p.75): Penrose tidak menggunakan istilah popoler “factor of production”, tapi dia lebih suka menggunakan istilah “collection of productive resources”.

Operant Resources (lanjutan) • Penrose (1959, p.24-25), “it is never resources themselves that are the ‘input’, to the production process, but only the services that the resources can render”. • Umumnya invisble dan intangible, dynamic dan infinite. • Seringkali merupakan core competence atau organizational processes. • Produce effects, memungkinkan manusia untuk meningkatkan nilai natural resources dan menciptakan operant resources lainnya. Contoh populer operant resource adalah mikroprosesor (ide, knowledge, operant).

Operant Resources dan Service-centered Dominant Logic • Service-centered dominant logic menganggap operant resources sebagai sumberdaya utama, karena operant meruapakan producers of effects. • Perubahan resources utama ini berimplikasi pada cara exchage processes, markets, persepsi kastemer dan cara pendekatan kepada kastemer • Seringkali merupakan core competence atau organizational processes. • Produce effects, memungkinkan manusia untuk meningkatkan nilai natural resources dan menciptakan operant resources lainnya. Contoh populer operant resource adalah mikroprosesor (ide, knowledge, operant).

Goods Vs Services Goods Versus Services: Rethinking the Orientation

Goods-centered View • Pandangan tradisional, marketing terfokus terutama pada operand resources (primarily goods) sebagai unit of exchange.

Earliest Fragmentation • Sebelum 1960, marketing dipandang sebagai perpindahan kepemilikan barang dan distribusi fisiknya (Savitt, 1990). • Marketing dipandang sebagai “application of motion to matter” (Shaw 1912, p.764). • Literatur marketing jarang menyebut “immaterial products” atau “services” dan ketika itu disebut, hanya sebagai pelengkap “membantu produksi atau pemasaran barang” (Converse 1921, p.vi: see Fisk, Brown, and Bitner 1993). • Fragmentasi berawal ketika Shostack (1977, p.73) menekankan. “The classical ‘marketing mix,’ the seminal literature, and the language of marketingall derive from the manufacture of physical-goods.”

Dissatisfaction Led to Services • Ketidakpuasan terhadap tidak dilibatkannya services didukung oleh Shaw (1912), Weld (1916). • Meskipun sebenarnya juga ada perbedaan sudut pandang terhadap utilitas dan value seperti Beckman (1957) dan Alderson (1957). • Dixon (1990), “tiap penulis (Bekman dan Alderson) menggunakan konsep yang berbeda tentang value. Beckman berargumen berdasarkan konsep value-in-exchange berdasarkan perhitungannya terhadap value-added pada produk ‘selling value’. Sedangkan Alderson berargumen berdasarkan value-in-use.

Dissatisfaction Led to Services (lanjutan) • Berdasarkan pendapat Cox (1965), Dixon (1990, p.342) meyakini bahwa, The “conventional view” of marketing as adding propertiesto matter caused a problem for Alderson and “makesmore difficult a disinterested evaluation of what marketingis and does” (Cox 1965). This view also underlies the dissatisfactionwith marketing theory that led to the servicesmarketing literature. If marketing is the process that addsproperties to matter, then it can not contribute to the production of “immaterial goods.” • Alderson (1957, p.69): yang dibutuhkan bukan interpretasi utilitas yang dibuat oleh marketing, namun interpretasi marketing terhadap seluruh proses penciptaan utilitas. • Dixon (1990, p.342) mendukung pendapat di atas.

Service-centered View • Memandang marketing sebagai proses sosial dan ekonomi berkesinambungan yang terfokus kepada operant resources yang digunakan perusahaan untuk secara terus menerus menciptakan tawaran pasar yang lebih unggul dibandingkan pesaing. • Perusahaan mempelajari posisi tawaran pasarnya dari feedback yang diberikan pasar yang tergambar pada kinerja keuangan. • Perusahaan dapat mempelajarinya dan membuat tawaran berikutnya yang lebih baik. • oleh karena itu service-centered view menganggap marketing sebagai continous learning process (directed at improving operant resources).

Service-centered View (lanjutan) • Pandangan ini didasari dan konsisten dengan teori Resource Advantage (Conner & Prahalad 1996; Hunt 2000; Srivastava, Fahey & Christensen 2001) dan core competence theory (Day 1994; Prahalad & Hamel 1990). • Core competences bukan aset fisik, namun merupakan intangible processes; merupakan kesatuan skills dan teknologi (Hamel & Prahalad 1994, p.202) • Core competences sering berupa kegiatan rutin, tindakan, atau operasi yang tidak diungkapkan (tacit), menyebabkan ambigu, dan idiosyncratic (unusual individual reaction), Nelson and Winter 1982; Polanyi 1966.

Service-centered View (lanjutan) • Pandangan yang menganggap core competence sebagai operant resource didukung oleh: Hunt (2000): as a higher-order resource karena merupakan kumpulan resources dasar; Teece dan Pisano (1994): keunggulan bersaing lahir dari kemampuan dinamis yang mengakar pada kinerja operasional rutin di dalam perusahaan, tertanam dalam proses yang dilakukan, dan dibentuk oleh sejarah perusahaan tersebut. • Fokus marketing pada core competence menempatkan sebagai pusat integrasi fungsi bisnis dan disiplin ilmu. • Channel intermediaries dan network partners juga merupakan core competence.

Perubahan Strategi • Service-centerd view pada pemasaran adalah customer-centric (Sheth, Sisodia & Sharma 2000), dan market driven (Day 1999). • Lebih dari sekedar consumer oriented, namun merupakan kolaborasi dengan dan belajar dari kastemer dan adaptive terhadap kebutuhan individu dan dinamis mereka. • Bahwa value ditentukan oleh dan cocreated bersama konsumen. • Haeckel (1999) boserved bahwa perusahaan yang sukses berubah dari strategi “make-and-sell” ke strategi “sense-and-respond”. • Day (1999).”...firms are in a process of continual hypothesis generation and testing”

6 Perbedaan Goods- dan Service-centered View • Tabel 2.

8 Foundational Premises (FPs) Help Present the Patchwork of the Emerging Dominant Logic The application of specialized skills and Knowledge is the fundamental unit of exchange Indirect exchange masks the fundamental unit of exchang Goods are distribution mechanism for service provision Knowledge is the fundamental source of competitive advntage All economies are service economies The customer is always a coproducer The enterprise can only make value proposition A service-centered view is customer oriented and relational.

The application of specialized skills And knowledge is the fundamental unit of exchange. • Manusia memiliki 2 operant resources dasar yaitu physical dan mental skills, dimana skill setiap orang tidak sama. • Maka dari itu dibutuhkan spesialisasi keahlian, yang lebih efisien bagi individu dan lingkungannya. • Hal ini ditunjukkan oleh studi Macneil (1980); Smith (1904); Mauss (1990). • Frederic Bastiat (1860) merupakan salah satu ekonom pertama yang menolak bahwa value hanya terkait dengan tangible objek. Dia berpendapat, the foundations of economics were people who have “wants” and who seek “satisfactions.”Although a want and its satisfaction are specific toeach person, the effort required is often provided by others.

The application of specialized (lanjutan) • Kemudian Bastiat (1860) mengemukakan, “the great economic law is this: Services are exchanged for services…. It is trivial, verycommonplace; it is, nonetheless, the beginning, the middle,and the end of economic science.” He argued (1860, p. 43)the following: “[I]t is in fact to this faculty … to work theone for the other; it is this transmission of efforts, thisexchange of services [this emphasis added], with all the infiniteand involved combinations to which it gives rise …which constitutes Economic Science, points out its origin, and determines its limits.” • Namun pendapat Bastiat diabaikan dengan berkembangnya value yang sebagai embedded utility or value added seperti yang dikemukakan Marshall (1927) dan Walras (1954)

The application of specialized (lanjutan) • Shostack (1977) argue for a “new conceptual framework,“One unorthodox possibility can be drawn from directobservation of the nature of market “satisfiers” available toit.… How should the automobile be defined? Is GeneralMotors marketing a service, a service that happens toinclude a by-product called a car? Levitt’s classic “MarketingMyopia” exhorts businessmen to think exactly thisgeneric way about what they market. Are automobiles “tangible services”? • Penulis meyakini bahwa service-centered model yang muncul saat ini sesuai dengan Shostack’s challenge, sejalan dengan argumen Alderson, dan cocok dengan desakan Levitt (1960).

2. Indirect exchange masks the fundamental unit of exchange • Peningkatan skala usaha, mengakibatkan diperlukannya mikro-spesialis, dimana orang-orang tidak menghasilkan barang jadi, hanya merupakan bagian dari produk akhir, sehingga pembuat produk sesungguhnya tidak pernah bertemu dengan customer. • Perusahaan pun demikian, produsen menggunakan jasa wholesaler dan retailer untuk memasarkan produk. • Dalam perusahaan seperti ini orang-orang exchange and distribute mikrospesialis skill-nya.

3. Goods are distribution mechanism for service provision • Marketing telah bergeser dari distribusi dan saat ini menekankan lebih dari hanya sekedar pertukaran barang. • Produk utama saat ini adalah aplikasi specialized knowledge, mental skills dan physical skills. • Knowledge dan skills dapat ditransfer dengan cara: 1) langsung, 2) melalui pendidikan dan latihan, atau 3) secara tidak langsung dengan menanamkannya di dalam suatu objek. • Komputer membantu pekerjaan manusia, vacuum cleaner mempermudah membersihkan rumah, dsb. • Gutman (1982) Goods merupakan alat untuk menyampaikan services.

4. Knowledge is the fundamental source of competitive advantage • Knowledge is composed of propositionalknowledge, which isoften referred to as abstract and generalized,and prescriptive knowledge, which is often referredto as techniques (Mokyr2002) • The techniques are the skillsand competences that entitiesuse to gain competitive advantage.This view is consistent with current economic thoughtthat the change in a firm’s productivity is primarily dependenton knowledge or technology (Capon and Glazer 1987;Nelson, Peck, and Kalachek 1967) • The use of knowledge as the basis for competitiveadvantage can be extended to the entire “supply” chain, or service-provision chain.

4. Knowledge is the fundamental source of competitive advantage • Evans and Wurster (1997, p.72) state this idea as follows: “The value chain alsoincludes all the information that flows within a company andbetween a company and its suppliers, its distributors, and itsexisting or potential customers. Supplier relationships,brand identity, process coordination, customer loyalty, employee loyalty, and switching costs all depend on variouskinds of information.” Evans and Wurster suggest that everybusiness is an information business. • The move toward a service-dominant logic is groundedin an increased focus on operant resources and specificallyon process management. Webster (1992) and Day (1994)emphasize the importance of marketing being central tocross-functional business processes. To better manage theprocesses, Moorman and Rust (1999) suggest that firms areshifting away from a functional marketing organization andtoward a marketing process organization.

4. Knowledge is the fundamental source of competitive advantage • Taking this even further, Srivastava, Shervani, and Fahey (1999, p. 168) contendthat the enterprise consists of three core business processes: (1) product development management, (2) supply chain management, and (3) customer relationship management.

5. All economies are service economies • Batasan goods dan services menjadi tidak jelas. • The US Government melalui the Economic Classification Policy Committee pada Biro Analisis Ekonomi (1994) mengeluarkan aturan sebagai berikut: [O]ne in the same activity, such as painting, may be classifiedas goods or service production depending purely onthe organization of the overall process of production... Ifthe painting is done by employees within the producer unit[that] makes the good, it will be treated as [part of] thegoods production, whereas if it is done by an outside paintingcompany, it will be classified as an intermediate inputof services. Thus, when a service previously performed ina manufacturing establishment is contracted out, to a specializedservices firm, data will show an increase in servicesproduction in the economy even though the totalactivity of “painting,” may be unchanged.

5. All economies are service economies • Services menjadi sangat penting saat ini, menjadi penting pada lingkungan ekonomi yang membutuhkan spesialisasi dan exchange sesuai dengan sistem klasifikasi output manufaktur yng dominan pada aktivitas ekonomi saat ini.

6. The Customer is always a coproducer • From a service-centered view of marketing with aheavy focus on continuous processes, the consumer isalways involved in the production of value. • Even with tangiblegoods, production does not end with the manufacturingprocess; production is an intermediary process. As wehave noted, goods are appliances that provide services forand in conjunction with the consumer. • However, for these services to be delivered, the customer still must learn to use,maintain, repair, and adapt the appliance to his or her uniqueneeds, usage situation, and behaviors. In summary, in usinga product, the customer is continuing the marketing, consumption,and value-creation and delivery processes.

6. The Customer is always a coproducer • Normann and Ramirez (1993, p.69) state that “the key to creating value is to coproduceofferings that mobilize customers.” Lusch, Brown, andBrunswick (1992) provide a general model to explain howmuch of the coproduction or service provision the customer will perform. • Oliver, Rust, and Varki (1998) echo and extendthe idea of coproduction in their suggestion that marketingis headed toward a paradigm of “real-time” marketing,which integrates mass customization and relationship marketingby interactively designing evolving offerings thatmeet customers’ unique, changing needs. • Prahalad andRamaswamy(2000) note that the market has become avenue for proactive customer involvement, and they arguefor co-opting customer involvement in the value-creationprocess. • In summary, the customer becomes primarily anoperant resource (coproducer) rather than an operandresource (“target”) and can be involved in the entire valueand service chain in acting on operand resources.

7. The enterprise can only make value preposition • Services marketing scholars have been forced both toreevaluate the idea of value being embedded in tangiblegoods and to redefine the value-creation process. • As withmuch of the reexamination and redefinition that has originatedin the services marketing literature, the implicationscan be extended to all of marketing. For example, Gummesson(1998, p. 247) has argued that “if the consumer is thefocal point of marketing, value creation is only possiblewhen a good or service is consumed. An unsold good has novalue, and a service provider without customers cannot produceanything.” • Likewise, Gronroos (2000, pp. 24–25; emphasis in original) states,

7. The enterprise can only make value preposition Value for customers is created throughout the relationshipby the customer, partly in interactions between the customerand the supplier or service provider. The focus isnot on products but on the customers’ value-creatingprocesses where value emerges for customers and is perceivedby them,… the focus of marketing is value creationrather than value distribution, and facilitation and supportof a value-creating process rather than simply distributing ready-made value to customers. Penulis mendukung pendapat tersebut dan mengatakan bahwa prusahaan hanya dapat mengajukan tawaran nilai dimana perusahaan berusaha agar tawaran tersebut lebih unggul daripada tawaran pesaing.

8. A service-centered view is customer oriented dan relational • Interactivity, integration, customization, and coproductionare the hallmarks of a service-centered view and its inherentfocus on the customer and the relationship. • Davis and Manrodt(1996, p. 6) approach a service-centered view in theirdiscussion of the customer-interaction process: “It begins with the interactive definition of the individualcustomers’ problem, the development of a customizedsolution, and delivery of that customized solution to thecustomer. The solution may consist of a tangible product,an intangible service, or some combination of both. It isnot the mix of the solution (be it product or service) that isimportant, but that the organization interacts with eachcustomer to define the specific need and then develops asolution to meet the need.

8. A service-centered view is customer oriented dan relational • Barabba (1995, p. 14) extends the customer-centric idea to the “integrationof the voice of the market with the voice of the enterprise,”and Gummesson (2002) suggests the term “balancedcentricity,” concepts that may be particularly compatiblewith a services-for-services exchange perspective. • writers alsosuggest that the interactive and integrative view of exchangeis more compatible with the other normative elements of themarketing concept, the idea that all activities of the firm beintegrated in their market responsiveness and the idea thatprofits come from customer satisfaction (rather than units ofgoods sold) (Kohli and Jaworski 1990; Narver and Slater 1990).

8. A service-centered view is customer oriented dan relational • In a service-centered model, humans both are at the centerand are active participants in the exchange process. • Whatprecedes and what follows the transaction as the firmengages in a relationship (short- or long-term) with customersis more important than the transaction itself. Becausea service-centered view is participatory and dynamic, serviceprovision is maximized through an iterative learningprocess on the part of both the enterprise and the consumer. • The view necessarily assumes the existence of emergentrelationships and evolving structure (e.g., relational normsof exchange learned through reinforcement over time; seeHeideand John 1992). The service-centered view is inherently both consumer-centric and relational.

Discussion • Service-centered view challenges marketing to become more than a functionalarea and to represent one of the firm’s core competences; • it challenges marketing to become the predominantorganizational philosophy and to take the lead in initiatingand coordinating a market-driven perspective for all corecompetences. • As Srivastava, Shervani, and Fahey (1999)suggest, marketing must play a critical role in ensuring that product development management, supply chain management, and customer relationship management processes areall customer-centric and market driven. • If firms focus ontheir core competences, they must establish resource networksand outsource necessary knowledge and skills to thenetwork. • This means that firms must learn to be simultaneouslycompetitive and collaborative (Day 1994), and theymust learn to manage their network relationships.

Conclusion • Fokus marketing telah berubah dari tangibles ke intangibles seperti skills, informasi, dan knowledge, dan menuju interactivity dan connectivity dan ongoing relationship • Orientasi bergeser dari produser ke konsumer • Fokus akademik berubah dari pertukaran benda ke proses pertukaran • Ifokus science berubah dari mekanik ke dinamik, evolutionary development, dan munculnya sistem adaptasi yang kompleks. • Unit of exchange yang sesuai saat ini mungkin adalah aplikasi kompetensi, atau spesialisasi knowledge dan skills yang memberikan benefit kepada penerima. • Operant resource di atas intangible, continuous dan dinamik.

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