Customer-centric analytics as a firm capability: evidence from technology-focused firms

Purpose This study examines how technology-focused firms convert strategic technology orientation into business effectiveness by developing customer-centric analytics as a firm capability that is embedded in customer-facing routines. Design/methodology/approach Survey data from 203 senior managers in technology-oriented firms were analyzed using structural equation modeling. Instrument development followed a multi-stage process including expert interviews and pilot testing. Findings Technology-focused strategy is positively associated with customer-centric analytics, which is in turn positively associated with business effectiveness. The indirect effect through customer-centric analytics is significant, while the direct effect is not, a pattern consistent with full mediation. Customer-centric analytics therefore operationalizes a technology-focused strategy into business outcomes. Research limitations/implications Cross-sectional design and IT-services-dominant sample constrain causal inference and generalizability. Future longitudinal and multi-industry studies are encouraged. Practical implications Technology investments deliver stronger returns when customer analytics is embedded in day-to-day routines, such as diagnosing where customer-facing work breaks down and guiding ongoing improvement. Tool acquisition alone rarely produces performance gains. Originality/value The study conceptualizes customer-centric analytics as a firm capability embedded in customer-facing routines and offers evidence consistent with full mediation, advancing work that has treated analytics as a firm-level resource rather than as a set of practices inside daily work.