Unleash the power of the installed base: Identifying cross-selling opportunities from solution offerings
Cross-selling for solution offerings in the post-deployment phase is under-researched. This study posits that although providers of solution offerings have more opportunities to expand their business through enhanced cross-selling opportunities, three mechanisms determine to what extent cross-sellin...
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Published in | Industrial marketing management Vol. 108; pp. 122 - 133 |
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Main Authors | , , |
Format | Journal Article |
Language | English |
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Elsevier Inc
01.01.2023
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Abstract | Cross-selling for solution offerings in the post-deployment phase is under-researched. This study posits that although providers of solution offerings have more opportunities to expand their business through enhanced cross-selling opportunities, three mechanisms determine to what extent cross-selling opportunities materialize: solution modularity, sales-service cooperation, and value assessment tooling. Using data collected from 220 US firms, we test our conceptual model while correcting for potential endogeneity. The findings confirm that two of these mechanisms help firms leverage their solutions in the post-deployment by contributing to customer satisfaction and financial performance. Sales-service cooperation has a strong positive moderating effect, whereas value assessment tooling shows a substitution effect together with solution offering, in driving cross-selling opportunities. We also find diminishing returns of cross-selling opportunities on customer satisfaction, implying that an optimum level of cross-selling opportunities exists.
•Examine cross-selling for solution offerings in the post-deployment phase•sales-service cooperation has important role in cross selling solution offerings•value assessment tooling substitutes effect of solution offering in driving cross-selling opportunities |
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AbstractList | Cross-selling for solution offerings in the post-deployment phase is under-researched. This study posits that although providers of solution offerings have more opportunities to expand their business through enhanced cross-selling opportunities, three mechanisms determine to what extent cross-selling opportunities materialize: solution modularity, sales-service cooperation, and value assessment tooling. Using data collected from 220 US firms, we test our conceptual model while correcting for potential endogeneity. The findings confirm that two of these mechanisms help firms leverage their solutions in the post-deployment by contributing to customer satisfaction and financial performance. Sales-service cooperation has a strong positive moderating effect, whereas value assessment tooling shows a substitution effect together with solution offering, in driving cross-selling opportunities. We also find diminishing returns of cross-selling opportunities on customer satisfaction, implying that an optimum level of cross-selling opportunities exists.
•Examine cross-selling for solution offerings in the post-deployment phase•sales-service cooperation has important role in cross selling solution offerings•value assessment tooling substitutes effect of solution offering in driving cross-selling opportunities |
Author | Schepers, Jeroen J.L. Nijssen, Edwin J. van der Borgh, Michel |
Author_xml | – sequence: 1 givenname: Michel surname: van der Borgh fullname: van der Borgh, Michel email: mvdb.marktg@cbs.dk organization: Copenhagen Business School, Department of Marketing, Solbjerg Plads 3, 2000 Frederiksberg F, Denmark – sequence: 2 givenname: Edwin J. surname: Nijssen fullname: Nijssen, Edwin J. email: e.j.nijssen@tue.nl organization: Eindhoven University of Technology, Department of Industrial Engineering & Innovation Sciences, P.O. Box 513, 5600 MB Eindhoven, the Netherlands – sequence: 3 givenname: Jeroen J.L. surname: Schepers fullname: Schepers, Jeroen J.L. email: j.j.l.schepers@tue.nl organization: Eindhoven University of Technology, Department of Industrial Engineering & Innovation Sciences, P.O. Box 513, 5600 MB Eindhoven, the Netherlands |
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Keywords | Sales-service cooperation Cross-selling Product-service solutions Solution modularity Value tools Servitization |
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Snippet | Cross-selling for solution offerings in the post-deployment phase is under-researched. This study posits that although providers of solution offerings have... |
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SubjectTerms | Cross-selling Product-service solutions Sales-service cooperation Servitization Solution modularity Value tools |
Title | Unleash the power of the installed base: Identifying cross-selling opportunities from solution offerings |
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