Service Dominant Logic


Service Dominant logic is defined as:

“the service-centred dominant logic represents a reoriented philosophy that is applicable to all marketing offerings, including those that involve tangible output (goods) in the process of service provision.” (Vargo and Lusch 2004, pp.1-17).

Vargo and Lusch were the first to expand upon the theory and translate it to the modern theory we see today. Reading from ancient Greek up to modern day they identified that there had always been mentions of service. However, having reviewed goods dominant logic, they suggest that there has been an evolutionary shift to Service Dominant Logic.

An important part of the theory that is commonly misunderstood is the concept of service as opposed to services. “implying units of output as would be consistent with G-D logic.” (Lusch and Vargo 2006, pp.281-288) Vargo and Lusch wish to focus of the theme of service throughout the whole process from manufacturer to salesman to consumer and back again. The repetition of this process injecting service back into the cycle is produced by co creation. I understand why they have moved on from units of output especially with arts marketing as this doesn’t factor in enough about the customers experience and definitely doesn’t conform with the Dino Snores event, which focuses on the value of creation through experience.


The difference between co-production and co-creation as explored by Vargo and Lusch is questioned by Etgar (2007, pp.97-108) as well as posing the question, is co-creation really a better way to talk about Service dominant logic than co-production? Osborne (2017, pp.1-7) furthers this critique asking if it is always possible to co-produce or co-create value? I think that with the lense Vargo and Lusch use to look at the terms co creation is all encompassing because of how it sees value being created not just experience. I would find it more difficult to understand co-production working within Dino Snores because as a consumer you can still enjoy the evening passively but also, you’re not producing a fixed output.

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