Chapter 4 Marketing Information Copyright 2012 Pearson Education

Chapter 4 Marketing Information Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

MIS-Marketing Information System DATA TYPES Internal Company Data Determines what information MKT managers need, then gathers, sorts, analyzes, stores, and distributes the information to system users. Marketing Intelligence Marketing Research Acquired Databases Computer Hardware and Software Information for Marketing Decisions 2

Internal Data Internal company dataa firm’s records of sales, orders, returns, web page visit complaints, customer profiles, etc. Often, an MIS allows salespeople in the field to access internal records over the Internet. 3

Marketing Intelligence The collection and analysis of publicly available information about consumers, competitors, and developments in the environment. Competitors-reveal information through their annual reports, business publications, trade show exhibits, and Web pages. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall

Marketing Research Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall The process of collecting, analyzing, and interpreting data about customers, competitors, and the business environment to improve marketing effectiveness.

Acquired Data A large amount of useful information is available in the form of acquired external databases. Firms may acquire these databases from any number of sources including the US Census, USA Data. com, the Salesman’s Guide, etc. 6

MDSS - Many firms add to their MIS with a marketing decision support system (MDSS). An MDSS includes analysis and interactive software that allows marketing managers to access MIS data and conduct their own analyses. - An MDSS includes statistical software that allows managers to examine complex relationships among factors in the marketplace. Modeling software allows decision makers to examine possible ideas about relationships in the data—to ask “what-if” questions. 7

MDSS MARKETING DECISION SUPPORT SYSTEM Marketing Manager Interactive Software MIS Data Statistical/Modeli ng Software Information Needed for Decision Making 8

Examples of Questions an MIS and an MDSS Might Answer (Table 4. 1) 9

Data Mining Data mining: Sophisticated analysis techniques to take advantage of the massive amount of transaction information now available Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 10

MARKETING RESEARCH PROCESS Define problem/objectives Determine research design Choose data collection method Design the sample Collect the data Analyze data Prepare report 11

1: Define Research Problem The first step in the research process is to understand what information managers need: 1. Specify the research objectives: What questions will the research attempt to answer? 2. Identify the target market 3. What factors in the firm’s internal and external business environment might influence the situation? 12

2: Determine Research Design The second step of the process is to decide on a plan. This plan is the research design, which specifies what information marketers will collect and what type of study to do. Research design categories: secondary research and primary research.

Research Designs SECONDAR Y PRIMARY Internal Exploratory External Descriptive Causal 14

Figure 4. 5 a Marketing Research Designs 15

Figure 4. 5 b Marketing Research Designs 16

Data Sources Collected for a different purpose Already onhand Easy and cheap Secondar y Data Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall Risks of being inaccurate, old, irrelevant 17

Data Sources Collected for new research plan Costly Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall Primary Data Tailored to new problem Takes time 18

Exploratory Interviews/Focus Groups Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 19

3: Research Method When the researcher decides to collect primary data, the next step is to determine how to collect it. Typical primary datacollection methods are surveys or observation. Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 20

Survey Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 21

Mail Surveys Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 22

Phone Surveys Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 23

Face to Face Interviews Face-to-face interviews occur in a mall-intercept study. Researchers recruit shoppers in malls or other public areas. This approach is costly compared to other methods. 24

Online Research Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 25

Observation 26

Copyright © 20112 Pearson Education, Inc. Publishing as Prentice Hall 4: Design Sample 27

Probability Sample Probability samples: members of the population have a known chance (probability) of being selected into the sample. -Simple random sampling: the probability of being selected into the sample is “known” and equal for all members of the population -Stratified sampling: population is separated into different strata and a sample is taken from each one. 28

Non-Probability Sample Non-probability samples: the chances (probability) of selecting members from the population into the sample are unknown: -Convenience samples: samples drawn at the convenience of the interviewer -Quota samples: use a specific quota of certain types of individuals to be interviewed or surveyed 29

5: Collect Data Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 30

6: Analyze Data Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall 31

7: Prepare Report 32

Step 7: Prepare the Research Report • Research reports typically contain the following sections: – Executive summary – Description of research methods – Discussion of study results – Limitations of study – Conclusions and recommendations 33