Relationship Marketing And Innovation: The Case Of The Launch Of Wireless Local Loop Telecommunication Services In France | Ga’l Bonnin, Olivier Segard & Pierre Vialle

The ability to successfully introduce new services into the marketplace is critical to the long term survival of a firm. This is all the more important than rapidly changing technologies, heightened competition and dynamic customers? needs and wants are rendering new products obsolete at an increasing pace. An important product management activity is the commercialization or launch stage. This stage is often neglected in the literature on new products development, innovation and high-tech marketing. Moreover, academic research focuses on the transactional context of the innovation. However, a steady research field has demonstrated the importance of relationship marketing for the firm.The aim of the paper is, therefore, to show the impact of the relational context on an innovation success. The first part of the paper deals with innovation and relationship marketing literature. Propositions are made regarding the impact of the relational factors on the success of an innovation. The second part of the paper is dedicated to a case study of the launch of a new telecommunication service (Wireless Local Loop) in the French market. The aim is to test the propositions. The strategies of three actors are analyzed: the incumbent operator (who did not launch the service) and two new operators (both launched the service, one with success). The results of a market survey conducted at that time for one of the operators are also analyzed. The paper shows that it is crucial to include relational context analysis when launching a new service and gives insights on how to implement relational marketing tactics.