Download Virtual Reality Marketing: Conceptualization, Theoretical Framework

Virtual Reality Marketing:
Conceptualization, Theoretical
Framework & Research Propositions
Linda D. Hollebeek and Siv Skard
NHH Norwegian School of Economics
CSI - Center for Service Innovation
March 16, 2017
Introduction
• In today’s digital era, marketing theory & practice are
subject to increasing complexity due to greater information
availability,
heightened
interactivity
&
increasingly
personalized communications.
• Many companies are adopting virtual reality (VR) platforms
to facilitate consumers’ product/brand-related learning,
foster consumer persuasion & stimulate purchase.
• However, there is a need to provide structure & guidance to
scholars to further this emerging VR research stream in at
least two ways:
1.
2.
Develop a better understanding of the use of VR in marketing
(VRM).
Develop enhanced insight into VRM & its conceptual links to
emerging marketing concepts & theories (i.e. how does VRM fit
into existing marketing theory?).
VR definitions
Current state of research
• While studies on virtual reality (VR) are emerging, little is
known re VR from a theoretical marketing perspective,
including service-dominant (S-D) logic, consumer engagement
& consumer experience.
Virtual reality
marketing
(VRM)
Key microtheoretical entity
S-D logic
Influential, growing meta-theoretical perspective
Consumer engagement
Consumer experience
Key mid-range theoretical
entity
Key mid-range theoretical
entity
Vargo & Lusch (2017)
Key contributions
1. Develops an S-D logic-informed framework of VRM and its
key antecedents & consequences.
2. Develops S-D logic-informed propositions of VRM based on
our framework.
3. Contributes to marketing practice through the application of
our S-D logic-informed propositions of VRM to particular
marketing contexts, including CRM.
Virtual reality marketing (VRM)
A suite of computer-mediated marketing tools and techniques
that incorporate virtual environments enabling consumer
interaction with, presence in, and immersion in the
environment, and that drive particular consumer-based
outcomes (e.g. consumer experience).
Holbrook & Kuwahara 1999, p. 244; Sherman & Craig 2003)
Managerial implications
• Expected benefits of S-D logic-informed VRM:
• Enhanced brand familiarity & image, CE, CX, CCC & CQL
• Enhanced consumer intent to return to the VRM platform/presentation
• Potential cost-effective market research source
• Key challenges:
• Ongoing VR & other (external) technological developments (e.g. internet speeds)
that impact on consumers’ VRM perceptions
• Some consumers’ reluctance to use VRM
• Despite enhanced brand recall, familiarity or image through VRM, will consumers
actually purchase more of the product after VRM exposure?
Academic implications
Avenues for further research include:
• Empirical testing of the framework across various VRM settings, including
by using large-scale, quantitative methods/analyses.
• How to most efficiently & effectively implement VRM in small, mediumsize & large businesses across industries & sectors?
• Which VR platform types are most effective in particular (e.g. cultural,
organizational) contexts?
• In what ways do firms best plan for & implement VRM in their
organizations?
• How do firms measure their return on VRM?
• While S-D logic may represent a suitable theoretical perspective for VRM,
are there any other meta-theoretical perspectives that can substitute or
complement S-D logic?