Marketing Information System

(MIS)

- determine what information is needed

- use hardware and software to gather, sort, analyze, store, and distribute information

- resulting information must be relevant, timely, complete and accurate

- available to marketing decision makers

1. Internal Company Data

2. Marketing Intelligence

3. Marketing Research

4. Acquired Databases

- internal company data

- intranets

- marketing intelligence systems

Define:

Internal Company Data

Define:

Marketing Intelligence Systems

- Specialize in predicting the future

**based on trends... right now!**

- collecting, analyzing, and interpreting data about customers, competitors, and the business environment to improve marketing effectiveness

1. syndicated research (AC Nielson)

2. custom research (developed for a specific reason)

1. Copy Tests - Advertisements

*how well the ad was received

2. Concept Tests - New Products

*how well is the product idea received

3. Satisfaction studies - Customer Service

4. Market Share Analyses

5. Segmentation Strategies - who should we target?

- to collect a variety of information from different sources

* non-competing businesses

* government databases

-- Misuse of database can be problematic and has led to do-not-call lists and antispam laws

Define:

Data Mining

- includes sophisticated analysis techniques to take advantage of the massive amount of transaction information now available

* analysts sift through data to identify unique patterns of behavior among different customer groups for use in behavioral targeting

1. Customer Acquisition

2. Customer retention and loyalty

3. Customer Abandonment

4. Market Basket Analysis

- what do you put in your online shopping cart

1. Define the Problem

2. Determine Research Design

3. Choose Data Collection Method

4. Design the Sample

5. Collect the Data

6. Analyze and Interpret Data

7. Prepare the Research Report

- specify the research objectives

- identify the consumer population of interest

- determine what information is needed to make the decision

- can the information be acquired from existing data?

- if so, secondary data sources will be utilized

- if not, primary research will be necessary

*firm must collect info

- collected for some other purpose

- can be obtained quicker and less costly

- collected for some other problem other than the purpose at hand

* can be outdated - or businesses try to force fit it to their particular need

Define:

Primary Data

- generally provides qualitative data

- may take several forms:

* consumer interviews

* focus groups

* case studies

*ethnography

* projective techniques

- Large samples

- quantitative data

- Taken all at one time - and only once

- no opinions change

- taken at different points in time

- opinions may change

- cause and effect relationships

- independent variables

- dependent variables

Data Collection Methods:

Survey Communication

- mail questionnaires

- telephone

- face to face

- online questionnaires

Data Collection Methods:

Observation

- shows behavior, but does not explain why the behaviors took place

- personal- counting traffic in lawn chairs

- mechanical - the black strips across the street

- validity (are you asking the right questions)

- reliability (can you trust the results)

- representativeness (representative of the population)

Survey Design Considerations:

Sample Selection

- identify population

- determine sample size

- select sampling frame

*non-probability vs. probablity

Survey Design Considerations:

Representative Sample

- question wording

- response format

- questionnaire layout

- pretesting

Define:

Probability Sampling

- each member of the population has some known chance of being included

- sample is representative of population, and inferences about population are justified

- Simple Random Sampling

*each subject has an equal chance of being selected

- Stratified Sampling

*divide population into homogeneous subgroups

Define:

Nonprobability Sample

- personal judgement used in selecting respondents

- some members of population have no chance of being included so sample is not representative of population

- Convenience Sampling (mall intercept)

- Quota Sampling

- differences in sophistication of research operations

- infrastructure/transportation challenges

- lack of phones and/or low literacy rates

- local customs and cultural differences

- language translation difficulties

-coded

-analyzed

-interpreted

Define:

Tabulation

Define:

Cross-Tabulation

- executive summary

- description of research methods

- discussion of results

- limitations

- conclusions/recommendations

Define:

Marketing Research Ethics

- taking an ethical and above-board approach to conducting marketing research that does no harm to the participant in the process of conducting the research

** researchers must provide full disclosure of confidentiality and anonymity options