The machinery industry operates in a fast-paced environment characterized by constantly evolving and highly automated products. At the same time, a service-led reorientation, the rapidly progressing Digital Transformation (DT), and customer-centric realignment have begun to alter the traditional business model. While traditional Face to Face (F2F) interactions are still prevalent and indispensable for building long-term relationships, marketing, and sales experts have a myriad of digital touchpoints at their disposal that either aid or replace F2F to engage clients during an often lengthy sales process. The high connectivity through Internet of Things (IoT) technology and the dawn of Artificial Intelligence (AI) offer new opportunities for Digital Engagement (DE). Still, these new opportunities come with inherent risks, caused by the fast-changing pace in an already volatile environment. Selling products on a global scale adds another layer of complexity due to cross-cultural differences when interacting with customers and even within the organization itself. This is important since the machinery industry is characterized by the communication of the value of complex products which depend on collaboration and knowledge exchange, which is done increasingly digitally among individuals from various cultural backgrounds and departments. The main goal of this thesis is to contribute to a more calibrated understanding of how companies in the machinery industry can develop customer-centric DE strategies, particularly within Germany (D), Austria (A), and Switzerland (CH), collectively known as the (DACH) region, and the United States (US). The objective is to identify success factors for deploying DE strategies, based on a synthesis of both a literature review and empirical findings. The methodology employed in this master’s thesis is based on empirical research through semi-structured interviews with eleven experts from the machinery industry. To ensure the collection of relevant data describing DE across the entire value chain, respondents were required to fulfill one or more criteria, such as expertise in sales, marketing, digital communication, and experience in one or more target markets. The findings of this thesis conclude with managerial implications for companies in the machinery industry to strategically adapt their DE strategies. A critical insight is the importance of integrating digital tools into a digital ecosystem that aligns with both technical capabilities and a holistic approach, considering DE opportunities across the entire customer journey. Data suggests a successful DE strategy must balance F2F and digital interactions while leveraging the shift toward a service-centric business model. Traceability is crucial to ensure all customer interactions and data points are tracked and analyzed for feedback and improvement. The findings also emphasize seeking similarities in culturally similar markets and, if appropriate, using AI to generate personalized content based on cultural differences.
Date of Award | 2024 |
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Original language | English |
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Supervisor | Peter Hutterer (Supervisor) |
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Digital Engagement in Business in the Machinery Industry: A Cross-Cultural Examination of Customer-Centric Relationship Building and B2B Strategies DACH vs. USA
Käferböck, M. R. (Author). 2024
Student thesis: Master's Thesis