From customer to actor value propositions: an analysis of digital transaction platforms

Abstract

Digital transaction platforms are reconfiguring how customers and <br/>suppliers interact and transact. This evolution challenges the applicability of some of the canonical concepts and theories inherited <br/>from businesses focusing on dyadic customer-firm relationships. In <br/>this respect, we know very little about the extent to which business <br/>concepts, such as the customer value proposition (CVP), can capture the dynamics of multi-actor digital platforms. The purpose of <br/>this study is thus to explore how value can be proposed in digital <br/>transaction platforms. To illustrate and capture the complexity and <br/>diversity of digital transaction platforms’ current value propositions, <br/>we identify, compare, and analyze the CVPs of 58 digital transaction <br/>platforms worldwide. As a result, we introduce and define the <br/>construct of the actor value proposition (AVP) as a distinct and <br/>critically important concept for understanding and managing <br/>value creation in digital transaction platforms. This study is <br/>among one of the first to uncover the mechanisms and dynamics <br/>of digital transaction platforms from the point of view of different <br/>actors’ value creation.