A configurational approach to understanding relationship characteristics in differing levels of servitization

Abstract

In their transition from product-based to value-based offerings, B2B suppliers progress through different levels of servitization. These levels are characterized by the type of offering sold (products, services, bundles, or solutions) and the nature of business interaction (transactional vs. relational). This study sheds light on which configurations of customer-supplier relationship characteristics are associated with specific levels of servitization. Emerging from the theories-in-use concept, the authors build a conceptual framework entailing such characteristics and levels of servitization. To empirically investigate this framework, a survey with 182 industrial salespeople is analyzed using fuzzy-set qualitative comparative analysis (fsQCA). The authors identify equifinal relationship configurations of ‘trust and dependence’, ‘communication’, ‘supplier competence’, ‘customer predispositions’, and ‘price sensitivity’ for 11 different servitization levels. This research extends academia's understanding of servitization by contextualizing when and how different types of offerings are sold. Suppliers can use these insights to better identify the appropriate offering type and business interaction approach for the context in which they are operating.