See Past Exam Papers for Sample Questions

Learning Outcome; be able to conduct marketing analysis, marketing planning and decision-making.

Chapter 4 of Book: Marketing Research & Information Systems

The MIS(Marketing Information

System)

Slide 1 of 22

Learning Outcomes

The Marketing Information System.

Market ResearchThe Internal Reports SystemThe Marketing Intelligence System

Market Research

Marketers need information about ALL aspects of the business environment.

Some of the most important info you can have relates to your customers.

Use this info to segment the market and put in place proper marketing mixes.

Example of Research in Book

What is Market Research

Marketing Research is the function which links the consumer, customer, and public to the marketer through information used to: identify and define marketing opportunities and

problems; generate, refine, and evaluate marketing

actions; monitor marketing performance; and improve understanding of marketing process.

Note that very aspect of Marketing, e.g. the Marketing Mix, requires the collection or analysis of information.

NB. Firms who can adjust their marketing strategies to reflect changes in markets will gain a competitive advantage. Examples??

Starting Marketing Research

Problem definitionProblem definition (how & what info will help?)

What existing dataexisting data can we use? What new datanew data do we need? What data collection methodcollection method? What measurement techniquesmeasurement techniques? What sized samplesample? Time-tables Time-tables & costscosts AnalysisAnalysis of data ReportingReporting and presentingpresenting findings.

Customer Research & the Research ProcessCustomer Research & the Research Process

Presentation of results

Data analysis and interpretation

Datacollection

Researchdesign

Problemdefinition

The market research process:

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Copyright ©2005 by South-Western, a division of Thomson Learning. All rights reserved.

More details of this process on pg. 102 of book, Fig 4.1

Marketing Research - Formal

Market Research is undertaken in a formal study and uses:

Secondary Data; ie – data that already exists(Search engine use is critical here). This is Quantative Primary Data: ie – information observed or collected

directly from subjects….customers, suppliers, distributors etc. (Qualitative Research; eg. Talk to the customer or run focus groups, you can use sampling as well…see next slides)

NB: Must know those two definitions in exam!!

AC Nielson – a market research company

Research Design – 3 Types

Descriptive Research

Exploratory Research

Causal Research

Descriptive Research

Aim is to describe something important: e.g. the characteristics of a particular customer segment!

It is a Structured Process. Findings are conclusive, have prior formulations

and hypothesis. Specify the Who, What, Why, When, Where, How.

Methods Used are: Surveys Panels Observations Simulations

Exploratory Research

To uncover insights, to understand. Definitions are loose, processes are flexible. Samples are small and non-representative. Uses qualitative data. Your findings are provisional, and usually leave the door open for additional research.

Methods used are:

Discussions with experts. Pilot surveys. Case studies. Analysis of secondary data. Qualitative research.

Analysing the Cause and Effect of a problem. What is causing something and what is the effect? E.g.

Did an increase in price cause a decrease in sales? Independent variable = cause Dependent variable = effect

The effect may be a decrease in sales, but the cause may be an increase in price, increased in competitors’ advertising, decrease in competitors’ price, promotional activity in the market, economic factors etc ….

Method used is:

Experimentation – You see if one variable effects another variable.

Causal Research

Brassington and Pettitt (2006) Principles of Marketing

Comparative Performance of Data Collection Methods

Interview Focus group

Telephone Mail

Cost/response High Fairly high Low Very low

Speed Fast Fast Very fast Slow

Quantity of data Large Large Moderate Moderate

Sample dispersion Low Low High High

Response rate High Very high Fairly high Low

Probing High High Fairly high None

Sampling

Taking a sample of the population you are interested in.

This can be done in isolation, Or with qualitative research. It is of particular importance in mass

consumer markets since time and cost constraints make it impossible to survey every single target consumer.

Sampling Methods

Probability Sampling:

1. Totally Random,2. Stratified = into

groups that are mutually exclusive and then random sampling from each group,

3. Area / regional sampling

Non-Probability Sampling:

Non-random 1. Judgmental: common

in B-2-B markets, researchers decide on samples,

2. Quota: e.g. 400 non-working women + 250 full-time, + 200 part-time employed women

Internal Reports System

You need to organise and record all the research results

Decision Support Systems are sometimes used – They are essentially databases (pg 116 book)

Also consist of data on competitors

Internal Reports System (2)

Know how to layout a competitor Analysis Template (Table 4.6 chapter 4)

IRS may also consist of information about “Channel Research”

Traditional channel – shoe shop? Emerging Channel – Amazon.com

Analysis and Interpretation for MIS

QuantitativeQuantitative Preparation of the

Data Counting Grouping Relating Predicting Statistical Testing

QualitativeQualitative Coding Grouping Linking Themes Model

Interpretative Grounded Theory Critical Theory etc

What is an MIS

It is made up of intelligence gathered about the market environment….ie. The PEST forces, from interenal and external sources

An MIS is different to basic internal records in that an MIS seeks to priorities the information that is critical to decision making.

When do internal records actually become intelligence?

Other Data for an MIS

External data from the marketplace should also be added to an MIS. Data from sales reps, intermediaries such as wholesalers and retailers, tradeshows and secondary data sources (published information) which is available through government publications offices, libraries and the Internet

Be aware that raw data in a table is just that – raw data – and is virtually useless to a marketer. Turn it into a graph relative to other data and it becomes intelligence…..the backbone of an MIS

Sources of Marketing Information

Government and State Bodies Directories – Kompass Ireland Trade Associations & Professional Bodies Economic Organisations – ESRI, OECD Academic Journals – HBR, Irish Marketing

Review Business Periodicals – BusinessPlus, Irish

Marketing Journal Quality Press – Irish Times, SBP Financial

Times(Use their websites)

Final Sources for Market Research

Various Publications Civil Service – www.irlgov.ie,

www.cso.ie State Organisations -

www.enterprise-ireland.com, www.idaireland.com

Trade & Professional Organisations – www.mii.ie, Irish Management Institute, IBEC

Summary

Three main components of a Marketing Intelligence System

-Market Intelligence-Internal Records-Market Research

Marketing Intelligence is data gathered about the market environment (PEST)