Dr.MVS.

Srinivasa Rao Associate Professor Department of Management Studies Maharajahs Post Graduate College, VIZIANAGARAM 535 002

Marketing Information System (Mk IS)

Importance of Information System

Marketing Environment

Customer Needs

Why Information Is Needed

Strategic Planning

Competition

Roles of MKIS

Database Development Market-oriented Organization Operational Improvement Competitive Advantage Flexibility and Adaptability

MKIS Development Guidelines

Requirements analysis Typical system requirements Volume, sizes, and frequencies End-user considerations Anticipate future end-user needs
Control

Output

Input

Process

Marketing System

Demographic & Economic Environment

Intermediaries

Technological & Physical Environment

Product Suppliers Publics

Target Customers
Promotion

Place

Price

Political & Legal Environment

Competitors

Social & Cultural Environment

Development of Marketing Information System

From local to national to global business

From price to non-price competition From buyer needs to buyer wants

 consists of people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers
(Kotler)

Marketing Information System

(Marshall and LaMotte)

(Churchill)

... a set of procedures and methods for the regular, planned collection, making marketing decisions

analysis, and presentation of information for use in

to provide an organized flow of relevant information to guide marketing decision making

a comprehensive and flexible, formal and ongoing system designed

Kotlers Model of MKIS

Target Markets, Marketing Channels, Suppliers, Competitors, Publics, Macroenvironment Forces

Marketing Environment

Marketing Managers

Marketing Information System

Analysis, Planning, Implementation, Control Assessing Information Needs

Developing Information
Internal Records Marketing Intelligence

Distributing Information

Decision Support

Marketing Research

Marketing Decisions and Communications

(Kotler)

Functions of MKIS

Assessing Information Needs Developing Information Distributing Information

Assessing Information Needs

Developing Information

Distributing Information

Functions of MKIS

Assessing Information Needs

Assessing Information Needs

1. Assessing Information Needs

A well-designed MKIS reconciles .. What information is desired? What information is needed? What information is feasible to offer? Interview managers to find out what information they would like Decide whether the benefits of having an item of information are worth the costs of providing it

1. Assessing Information Needs

Ten questions for determining marketing information needs (1) What types of decisions are you regularly called upon? (2) What types of information do you need to make these decisions? (3) What types of information do you regularly get? (4) What types of special studies do you periodically request?

1. Assessing Information Needs

Ten questions for determining marketing information needs (5) What types of information would you like to get that you are not getting now? (6) What information would you want daily? Weekly? Monthly? Yearly? (7) What magazine and trade reports would you like to see circulated to you on a regular basis?

1. Assessing Information Needs

Ten questions for determining marketing information needs (8) What specific topics would you like to be kept informed on? (9) What types of data analysis programs would you like to see made available? (10) What do you think would be the four most helpful improvements that could be made in the present MKIS?

Functions of MKIS

Developing Information

Developing Information

2. Developing Information

Internal Records System Marketing Intelligence System Marketing Research System Marketing Decision Support System

Internal Records

Marketing Intelligence

Decision Support

Marketing Research

Developing Information
Obtains Needed Information for Marketing Managers From the Following Sources
Internal Data
Collection of Information from Data Sources Within the Company From: Accounting, Sales Force, Marketing, Manufacturing, Sales

Marketing Intelligence
Collection and Analysis of Publicly Available Information about Competitors and the Marketing Environment

From: Employees, Suppliers, Customers, Competitors, Marketing Research Companies

Marketing Research
Design, Collection, Analysis, and Reporting of Data about a Situation

Primary Data Collection Process

Research Approaches
Observational Research
Gathering data by observing people, actions and situations (Exploratory)

Survey Research
Asking individuals about attitudes, preferences or buying behaviors (Descriptive)

Experimental Research
Using groups of people to determine cause-and-effect relationships (Causal)

3. Distributing Information

Marketing information has no value until managers use it to make better marketing decisions The information must be distributed to the right marketing managers at the right time Centralized v.s. Decentralized MKIS Routine v.s. Non-routine information Formal v.s. Informal communication Levels of customization

4. Decision Support System (DSS)

DSS Due to the large number of considerations involved in many decisions, computer based decision support systems (DSS) have been developed to assist decision makers

DECISION MAKING Decision making is the developing concepts leading to the selection of a course of action among variations. Every decision making process produces a final choice It can be an action or an opinion. It begins when we need to do something but we do not know what e.g. Decision to raise a Purchase Order

Questions?