Co-creation a new method of building brand loyalty & innovation

This paper provides a conceptual understanding of how co-creation can add value in the service industry regarding brand loyalty as well as customer relationship management through some of its basic features of co-creation which include co-designing, collaborating, tinkering, and submitting.
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Co-creation a new method of building brand loyalty & innovation International Journal of Management (IJM) Volume 9, Issue 6, November-December 2018, pp.13–23, Article ID: IJM_09_06_002 Available online at http://www.iaeme.com/ijm/issues.asp?JType=IJM&VType=9&IType=6 Journal Impact Factor (2016): 8.1920 (Calculated by GISI) www.jifactor.com ISSN Print: 0976-6502 and ISSN Online: 0976-6510 © IAEME Publication CO-CREATION A NEW METHOD OF BUILDING BRAND LOYALTY & INNOVATION Sunita Kumar and Megha Kandoi Christ University, India ABSTRACT Innovation in any form can bring overall new energy to brand loyalty. In an organization,especially in the service industry, co-creation is a business strategy which is an open innovation for consumers. This paper provides a conceptual understanding of how co-creation can add value in the service industry regarding brand loyalty as well as customer relationship management through some of its basic features of co-creation which include co-designing, collaborating, tinkering, and submitting. Co-creation sources are combined to generate new directional and mutual values. The co-innovation not only includes engagement, but also gives stakeholder co-creation, and compelling experience for value creation. Keyword: Co-creation, Brand, Brand Loyalty, Customer Relationship Management, Brand Awareness, Innovation, Collaboration Partnership. Cite this Article: Sunita Kumar and Megha Kandoi, Co-Creation A New Method of Building Brand Loyalty & Innovation, International Journal of Management, 9 (6), 2018, pp. 13–23. http://www.iaeme.com/IJM/issues.asp?JType=IJM&VType=9&IType=6 1. INTRODUCTION Innovation has always been successful when it has been a group activity and is the result of long hours spent on developing the idea of creativity together with others. Co-creation in marketing is a successful strategy which allows consumers of a brand to get actively involved and develop an interacting relationship with the brand to co-construct a product or service which gives them maximum brand satisfaction. Co-creation also helps a brand to get a competitive advantage over the others. In the world of innovation, branding rarely gets referred to, and this is unacceptable as a brand is the fundamental attribute of co-creation. People are mostly misunderstanding the brand,and they consider it to be just a logo or the advertising or the product or service. In reality, the brand is a stakeholder experience and something which might as well influence one’s future intentions. When the consumers actively get, themselves involved in co-creation, they put forward their perception of the brand which influences how they create and evaluate ideas. In the case of co-creation, brand acts as a filtering technique to ascertain which ideas to consider for co-creating products and which ones to discard. As co-created ideas are executed, the brand develops, and the meaning of the brand perceived by the consumer becomes strong. http://www.iaeme.com/IJM/index.asp 13 editor@iaeme.com Co-Creation A New Method of Building Brand Loyalty & Innovation Service innovation through co-creation comes to the rescue of many companies whose service businesses are under threat and facing challenges surviving in the market. The new wave of service innovation has brought a change in the service industry as it benefits both the service provider and the customers by having a competitive edge over others and building a strong customer base that are loyal to the brand. Nowadays, consumers are seen demanding intermediate personalized services for themselves with greater involvement, co-operation and customization. (Nonika & Hirotima, 1995)recognized that the consumers are associated with social communicationso that a company or an organization assumes that they control the interpretation of the brand, it might as well be proved that the meaning of a brand is created by the consumers and the stakeholders in the procedure of interaction. (Ind & Coates, 2013) Found out from a managerial prospect, that the congregation for the potential of online engagement with the brand and the escalating admiration of the significance of the consumers as the creator of value has encouraged the development of co-creation. “When you need to transform a brand or product, you can’t just do the same things better,” Jeremy Brown, Sense World wide’s Chief Executive said. “You need to do something new. You tap into the creativity of your consumers.” Director of the strategy Brian Miller and Brown have been running co-creation in global online communities and workshops all around the world for more than a decade, and they believe co-creation is not only an innovative process, but it also turns market researc ...