basic04_ppt.ppt 200KB Sep 05 2010 10:42:18 PM

Chapter Four

Managing Marketing Information

Roadmap:

Previewing the Concepts

1. Explain the importance of information to the company and its understanding of the marketplace.

2. Define the marketing information system and discuss its parts.

3. Outline the steps in the marketing research process.

4. Explain how companies analyze and distribute marketing information.

5. Discuss the special issues some marketing researchers face, including public policy

The Situation

 _{Firm began by offering}

classically styled, high-quality leather handbags.

 _{Women needed only two}

purses in brown or black.

 _{Mid-1990s: sales slowed.}  _{Consumer preferences}

changed as more women entered the workforce.

 _{Designer bags made}

Coach’s look plain.

Coach – Research Revamps

Coach – Research Revamps

Strategy

Strategy

Case Study

Case Study

Research’s Role

 _{Method: Interviews 14,000}

women annually. Watches trends for “market voids.”

 _{Key research findings:}

1) desire for “fashion pizzazz” in handbags. 2) “Usage voids.”

 _{New products are created}

to fill voids (wristlets, fabric bags, Signature line, etc.).

The Importance of Marketing

Information

 _{Companies need information about}

their:

– Customers’ needs

– Marketing environment

– Competition

 _{Marketing managers do not need more}

information, they need better information.

Marketing Information System

 _{An MIS consists of people, equipment,}

and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers.

 _{The MIS helps managers to:}

1. Assess information needs 2. Develop needed information 3. Distribute information

Assessing Information Needs

 _{A good MIS balances the information}

users would like against what they

really need and what is feasible to offer.

 _{Sometimes the company cannot}

provide the needed information

because it is not available or due to MIS limitations.

 _{Have to decide whether the benefits of}

Developing Marketing

Information

 _{Internal Databases: Electronic collections of}

information obtained from data sources within the company.

 _{Marketing Intelligence: Systematic collection}

and analysis of publicly available information about competitors and developments in the marketing environment.

 _{Marketing Research: Systematic design,}

collection, analysis, and reporting of data relevant to a specific marketing situation facing an organization.

Defining Problem & Objectives

 _{Exploratory Research:}

– Gathers preliminary information that will help define the problem and suggest hypotheses.

 _{Descriptive Research:}

– Describes things (e.g., market potential for a product, demographics and attitudes).

 _{Causal Research:}

– Tests hypotheses about cause-and-effect relationships.

The Marketing Research Process

 _{Defining the problem and research}

objectives

 _{Developing the research plan}

 _{Implementing the research plan}

Developing the Research Plan

 _Includes:

– Determining the exact information needed.

– Developing a plan for gathering it efficiently.

– Presenting the written plan to management.

 _Outlines:

– Sources of existing data

– Specific research approaches

– Contact methods

– Sampling plans

Gathering Secondary Data

 _{Information that already exists}

somewhere:

– Internal databases

– Commercial data services

– Government sources

 _{Available more quickly and at a lower}

cost than primary data.

 _{Must be relevant, accurate, current, and}

Primary Data Collection

 _{Consists of information collected for}

the specific purpose at hand.

 _{Must be relevant, accurate, current, and}

unbiased.

 _{Must determine:}

– Research approach

– Contact methods

– Sampling plan

Observational Research

 _{The gathering of primary data by}

observing relevant people, actions, and situations.

 _{Ethnographic research:}

– _{Observation in “natural environment”}

 _{Mechanical observation:}

– _{People meters}

Survey Research

 _{Most widely used method for primary}

data collection.

 _{Approach best suited for gathering}

descriptive information.

 _{Can gather information about people’s}

knowledge, attitudes, preferences, or buying behavior.

Experimental Research

 _{Tries to explain cause-and-effect}

relationships.

 _Involves:

– _{selecting matched groups of subjects} – giving different treatments

– _{controlling unrelated factors}

Contact Methods

 _{Mail surveys}

 _{Telephone surveys}  _{Personal interviews}

– Individual interviewing

– Focus group interviewing

 _{Online marketing research} – Surveys

Sampling Plan

 _{Sample: segment of the population selected} to represent the population as a whole.

 _{Sampling requires three decisions:} – Who is to be surveyed?

• Sampling unit

– How many people should be surveyed? • Sample size

– How should the people in the sample be chosen? • Sampling procedure

Primary Data Collection

 _{Questionnaires:}

– What questions to ask?

– Form of each question?

• Closed-ended • Open-ended

– Wording?

Primary Data Collection

 _{Mechanical Devices:}

– People meters

– Supermarket scanners

– Galvanometer

Implementing the Research Plan

 _{Collecting the data}

– Most expensive phase

– Subject to error

 _{Processing the data}

– Check for accuracy

– Code for analysis

 _{Analyzing the data}

Interpreting and Reporting

Findings

 _{Interpret the findings}  _{Draw conclusions}

 _{Report to management}

– _{Present findings and conclusions that will}

Customer Relationship

Management (CRM)

 _{Many companies utilize CRM.}

– Capture customer information from all sources.

– Analyze it in depth.

– Apply the results to build stronger relationships.

 _{Companies look for customer touch points.}  _{CRM analysts develop data warehouses and}

use data mining techniques to find information out about customers.

Customer Relationship

Management (CRM)

 _{Benefits of CRM:}

– Offer better customer service and develop deeper customer relationships.

– _{Pinpoint and target high-value customers}

more effectively.

– Better able to cross-sell products and develop offers tailored to customers.

Distributing and Using

Marketing Information

 _{Routine information for decision}

making

 _{Nonroutine information for special}

situations

 _Intranets  _Extranets

Other Marketing Research

Considerations

 _{Marketing research in small businesses}

and nonprofit organizations

 _{International marketing research}

 _{Public policy and ethics in marketing}

research

– _{Consumer privacy}

Rest Stop:

Reviewing the Concepts

1. Explain the importance of information to the company and its understanding of the marketplace.

2. Define the marketing information system and discuss its parts.

3. Outline the steps in the marketing research process.

4. Explain how companies analyze and distribute marketing information.

5. Discuss the special issues some

Interpreting and Reporting

Findings



_{Interpret the findings}



_{Draw conclusions}



_{Report to management}

– _{Present findings and conclusions that will}

Copyright 2007, Prentice Ha ll, Inc.

4-22

Customer Relationship

Management (CRM)

 _{Many companies utilize CRM.}

– Capture customer information from all sources.

– Analyze it in depth.

– Apply the results to build stronger relationships.

 _{Companies look for customer touch points.}  _{CRM analysts develop data warehouses and}

use data mining techniques to find information out about customers.

Customer Relationship

Management (CRM)



_{Benefits of CRM:}

– Offer better customer service and develop deeper customer relationships.

– _{Pinpoint and target high-value customers}

more effectively.

– Better able to cross-sell products and develop offers tailored to customers.

Copyright 2007, Prentice Ha ll, Inc.

4-24

Distributing and Using

Marketing Information



_{Routine information for decision}

making



_{Nonroutine information for special}

situations



_Intranets

Other Marketing Research

Considerations



_{Marketing research in small businesses}

and nonprofit organizations



_{International marketing research}



_{Public policy and ethics in marketing}

research

– _{Consumer privacy}

Copyright 2007, Prentice Hall, Inc. 4-26

Rest Stop:

Reviewing the Concepts

1. Explain the importance of information to the company and its understanding of the marketplace.

2. Define the marketing information system and discuss its parts.

3. Outline the steps in the marketing research process.

4. Explain how companies analyze and distribute marketing information.

5. Discuss the special issues some

marketing researchers face, including public policy and ethics issues.