Abstract

To seek sustainable product development, understanding customer requirements is critically important where the life cycle of products or services is so fast, and continuous updates should be provided. In particular, how a customer feels for the specific function of the product/service and how their needs have changed is a critical question. According to Kano model dynamics, customer requirements for certain functions change over time, because customers firstly feel attracted to the new service characteristics but come to take them for granted over time. However, previous research on proving this theory has relied on customer surveys and interviews, which are highly time-consuming and expensive. In response, this study suggests customer review-based analysis to investigate Kano model dynamics, because customer reviews can be considered to be excellent sources for reflecting customer needs. This study firstly categorizes customer reviews into two types—positive reviews and supplementation-required reviews—and suggests a five-section framework according to the frequency of each review type. We define characteristics of each section from the perspective of the Kano model. Based on this framework, we analyze the dynamics of customer requirements in the online businesses, for which customer reviews are the main indicator of service quality.

Highlights

  • Due to rapid business changes and diversified technological innovation, many services are generated and consumed in a short-term period [1]

  • This study aims to show how characteristics of customer requirements change over time, considering Kano model dynamics

  • The fact that customer requirements in the Kano model change from attractive to must-be has been proven by several literatures

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Summary

Introduction

Due to rapid business changes and diversified technological innovation, many services are generated and consumed in a short-term period [1]. In such a fast and volatile environment, seeking sustainability is critical. According to the service-dominant (S-D) logic, the customer is always a co-creator of value [2,3,4]. Since this value creation process is generally conducted in an online marketplace in a recent environment, how to understand customer requirements is considered to be vital. Customers’ bargaining power is significantly increasing, since customers diffuse information by online word-of-mouth [5,6], and share their impressions through several forms of online media such as social network services (SNS) [6]

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