The Effects of Adaptive Marketing Capabilities Organisational Ambidexterity and Website Interactivity on SaaS Performance

Abstract

Cloud computing growth has driven the adoption of the Software-as-a-Service (SaaS) model, delivering business software to B2B buyers through cloud-based subscriptions. Despite existing research on the SaaS model, non-technological determinants in B2B marketing literature have received limited attention. This study, grounded in Dynamic Capability Theory (DCT), investigates how adaptive marketing capabilities, organisational ambidexterity, and website interactivity affect SaaS performance. A survey of 426 SaaS providers across Asia, Australia, and the United States reveals four key findings: exploitation capabilities mediate the link between adaptive marketing capabilities and SaaS performance; the effects of adaptive marketing capabilities on SaaS performance are mediated through website interactivity; SaaS providers need both exploration and exploitation capabilities, combined with website interactivity, for enhanced SaaS performance; and in conditions of high market and technological uncertainty, simultaneous pursuit of exploration and exploitation capabilities and website interactivity enhance SaaS performance. The study contributes to the B2B marketing literature, focusing on enhancing SaaS performance by utilising dynamic capabilities. Consistent with DCT, the study challenges established beliefs, emphasising that exploitation capabilities alone can enhance SaaS performance, contrary to the traditional emphasis on the simultaneous interaction of exploration and exploitation capabilities. The research underscores the significance of website interactivity as a higher-order dynamic capability, along with exploration and exploitation capabilities, offering valuable insights for SaaS providers to excel in turbulent markets. Additionally, the study introduces and validates social interaction as a fourth dimension of website interactivity, expanding the understanding of this critical aspect in the B2B SaaS context.