Abstract

Digital transformation has altered the way customers interact with restaurants. As a result, digital transformation has had an enormous impact, changing restaurant customer value. Therefore, this research aims to develop a dynamic and sustainable method for creating customer value in digital transformation. This study suggested digital dynamic capabilities and digital customer orientation as a process model (i.e., sensing, seizing, transforming, and refining) to develop digital transformation and create a dynamic customer value. We chose fast-food restaurants in Egypt to examine the proposed model using a qualitative approach of semi-structured interviews with fast-food managers and hospitality experts. The findings indicated that fast-food restaurants’ different digital transformation capabilities and tools (e.g., value innovation, SWOT analysis, artificial intelligence, new technology selection criteria, digital maturity, building several digital platforms, and gathering and analyzing customers’ online reviews) help them create customer value. However, interviewees highlighted how well-suited the suggested digital dynamic capabilities are to serve as drivers of digital transformation in fast-food restaurants and create a dynamic customer value. This research expands the dynamic capabilities theory by adding digital customer orientation (i.e., proactive and reactive to customer feedback) to develop digital transformation and create customer value in fast-food restaurants. This research provides fast-food restaurant managers with an in-depth explanation of how to implement the digital dynamic capabilities model for executing digital transformation and developing a new dynamic customer value.

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