Customer value creation in professional service relationships: the case of credence goods

Abstract

Understanding the sources of customer value in buyer–supplier relationships is viewed as a competitive priority and a key component in a firm's long-term survival. This said, however, research examining relationship value is still at a formative stage. This is particularly the case for professional services – which are often characterised by their credence qualities being high in both information asymmetry and perceived risk, and often requiring the provider to determine the needs of the customer – where research exploring customer value is non-existent. This study examines the dimensions of customer value in professional services relationships with credence qualities (commercial insurance) through in-depth interviews with organisational buyers and front-line staff conducted in two separate studies. Six dimensions of customer value are identified and implications for theory and practice are offered.