Conceptualizing value creation in the platform era

Julian R.K. Wichmann, Werner Reinartz, Rajkumar Venkatesan

Research output: Contribution to journalArticleScientificpeer-review

Abstract

Platforms have entered many industries and increasingly dominate markets. As such, they increasingly displace the traditional linear pipeline model of value creation with a web of value-creating interactions among three key players: the platform provider, platform consumers and platform suppliers. Existing conceptualizations of consumer value, however, are still based in the linear pipeline world which raises the need to update these frameworks to the platform era. In this article, we make first important strides towards an overarching platform-based valuation framework which can be applied to any type of platform. We build upon Kumar et al. (2010) by applying and extending the concept of customer engagement value to the platform context. In doing so, we delineate a variety of value components that (a) originate from a platform’s consumers as well as suppliers, (b) generate monetary and non-monetary value for the platform provider, and (c) generate direct and indirect value for the platform provider. Together, these value components holistically capture platform participants’ value creation and assist managers in evaluating the health and sustainability of their platforms.
Original languageEnglish
Pages (from-to)184-203
JournalJournal of Creating Value
Volume8
Issue number2
DOIs
Publication statusPublished - Nov 2022
Externally publishedYes

Fingerprint

Dive into the research topics of 'Conceptualizing value creation in the platform era'. Together they form a unique fingerprint.

Cite this