Textbook Notes (368,164)
Canada (161,688)
MGMA01H3 (184)
Chapter 5

Chapter 5 - Managing Marketing Information to Gain Customer Insights.docx

6 Pages
186 Views
Unlock Document

Department
Management (MGM)
Course
MGMA01H3
Professor
Alison Jing Xu
Semester
Winter

Description
Chapter 5 – Managing Marketing Information to Gain Customer Insight Customer Insight – fresh understanding of customers and the marketplace derived from marketing information that become the basis for creating customer value and relationships. Marketing Information System (MIS) consists of people and procedures for:  Assessing the information needs  Developing needed information  Helping decision makers use the information for customers Assessing Marketing Information Needs  MIS provides information to the company’s marketing and other managers and external partners such as suppliers, resellers, and marketing service agencies.  A good MIS balances what the information users would like to have against what they need and what is feasible to offer.  Sometimes the company cannot provide the needed information, either because it is not available or because of MIS limitations.  The costs of obtaining, analyzing, storing, and delivering information can mount quickly. The company must decide whether the value of insights gained from additional information is worth the costs of providing it, and both value and cost are often hard to assess. Developing Marketing Information 1) Internal Database – information collected from different sources within the company, and stored within the organization’s information system. 1 o Accounting system o Operations/productions\sales reporting system o Sales reporting system o Past research studies  Internal data is cheap, quick and easy  May not be in a usable form for the decision to be made.  May be incomplete or inappropriate to a particular situation. 2) Marketing Intelligence – the systematic collection and analysis of publicly available information about consumers, competitors and developments in the marketplace.  Good marketing intelligence can help marketers gain insights into how consumers talk about and connect with their brands.  Companies need to actively monitor competitors’ activities. Firms use competitive intelligence to gain early warnings of competitor moves and strategies, new-product launches, new or changing markets, and potential competitive strengths and weaknesses. o Competitor intelligence can be collected from people inside the company - executives, engineers and scientists, purchasing agents, and the sales force. o Some companies have even rifled their competitors’ garbage. o Competitors often reveal intelligence information through their annual reports, business publications, trade show exhibits, press releases, advertisements, and webpages. o Intelligence can be obtained through any of thousands of online databases.  Facing determined marketing intelligence efforts by competitors, most companies are now taking steps to protect their own information. 3) Marketing Research - the systematic design, collection, analysis, and reporting of data relevant to a specific marketing situation. A multi-step, purpose-driven process:  Measure effectiveness of marketing actions, sales potential, try to understand consumer behaviour .  Can be done by company personnel or contracted out to outside companies. 2 (I) Defining the Problem and Research Objectives  Defining the problem and research objectives is often the hardest step in the research process.  Helps to know what you are looking for.  Partnership of manager and researcher.  After the problem has been defined carefully, the manager and researcher must set the research objectives: o Exploratory research – marketing research to gather preliminary information that will help define problems and suggest hypothesis. o Descriptive research – marketing research to better describe marketing problems, situations, or markets, such as the market potential for a product or the demographic and attitudes of consumers. o Causal research – marketing research to test hypotheses about cause-and-effect relationships. (II) Developing the Research Plan  Once the research problems and objectives have been defined, researchers must determine the exact information needed, develop a plan for gathering it efficiently, and present the plan to management.  Written document which outlines the type of problem, objectives, data needed, and the expected value of the results. Sources include: o Secondary data – information collected for another purpose which already exists.  Sources: - Government, commercial, and academic sources - Publications and online databases  Pros: fast, inexpensive.  Cons: availab
More Less

Related notes for MGMA01H3

Log In


OR

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


OR

By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.


Submit