Omnichannel management capabilities in international marketing: the effects of word of mouth on customer engagement and customer equity

Abstract

PurposeThe main purpose of this study is to fill the research gap on how B2B global service firms integrate dynamic capabilities within their omnichannel management to influence positive word of mouth (WOM), customer engagement (CE) and customer equity.Design/methodology/approachDrawing on the dynamic capability and WOM theories, a model has been developed that defines the subjects of the empirical test. The paper reports on data collected from 312 service-oriented global firms in Australia, through a cross-sectional survey. Data were analyzed using structural equation modeling.FindingsThe findings suggest that content management (i.e. information consistency, source trustworthiness and endorsement) and concerns management (i.e. privacy, security and recovery) capabilities are the two significant antecedents of positive WOM within a B2B omnichannel setting in international marketing. The findings also confirm the key mediating role of CE between positive WOM and customer equity.Originality/valueThe findings extend dynamic capability theory in the context of international marketing by linking WOM, CE and customer equity. The findings add further theoretical rigor by establishing the nomological chain between positive WOM and customer equity, in which CE plays a key mediating role.