IMR

An Introduction
MR
   Mkt is the process of planning and
    executing the conception, pricing, promotion
    and distribution of ideas, goods and
    services to create exchanges that satisfy
    individual and organizational objectives.
   Now the mkt concept requires more
    customer satisfaction rather than profit
    maximization. So orgn tries to be more
    customer oriented and satisfy their needs
    quickly and efficiently. Its requires some
    research on getting consumer needs and
    gather mkt intelligence.
MR

   MR is a critical part of such mkt
    intelligence system, it helps to
    improve mgt decision making by
    providing relevant, accurate and
    timely information.
Definition
   MR is the function that links the consumer, customer,
    and public to the marketer through information-
    information used to identify and define mkt
    opportunities and problems, generate, refine, and
    evaluate marketing actions, monitoring mkt
    performance and improve understanding of marketing
    as a process. MR specifies the information required to
    address these issues, designs the method for
    collecting information, manages and implements the
    data collection process, analyzes and communicates
    the findings and their implications.
                                   -- AMA
Definition

   According to Philip Kotler, “Marketing
    Research is a systematic problem
    analysis, model-building and fact-
    finding for the purpose of improved
    decision making and control in the
    marketing of goods and services”
Market Research V/S
Marketing Research
   Marketing research- Marketing
    research covers researches about all
    aspects of the marketing activities
    such as markets, product, consumers,
    advertising, sales promotion
    techniques, channels of distribution,
    warehousing, transport and packaging
    problems relating to firm’s product.
MR

   Market research- market research
    emphasizes research on the market
    and market segment and consumers
    and their
    behaviour. The market research is a
    part of marketing research.
Nature of Marketing
Research



Applied research
 Cost-benefits assessment
 Dynamic environment and need for frequent updates
Role of MR
   Situation     Environment & Mkt
   Analysis      SWOT



                 Business scope
  Strategy       Competitive advantage
Development      Set performance objectives


    Mkt          4P’s
  Program
Development


                 Performance monitoring
Implementation   Refining strategies & program
The following activities or
scope are included in Market
Research
1. Analysis of the market size according to age, sex,
   income, profession and standard of living of the
   customers.
2. Estimating the regional or territorial demand of
   different
   markets.
3. Collecting information about the existing the
   prospective
   customers of the company’s product, various
   competitors’
   share in the market and all about competitors’
   products and
   their attributes.
Activities of MR
4. Studying the market change and conditions affecting
   market
   changes such as customer’s preference, shift in brand
   loyalty
   etc.
5. Analyzing the working of various channels of
   distribution
   and their role increasing market demand of the
   product.
6. Forecasting the profitability of different markets and
   marketing segments.
Need for Market Research
1. When a new product is to be introduced in the market.
2. When the sale of the product is showing a downward
    trend and the reason for the fall could not be
    established.
3. When facts and figures about demand potential are not
    available.
4. In signing an advertising programmed when
    consumer’s
    habits and preferences and of the markets are not
    known
Need of MR
5. When product development is need to adapt the
   product
   according to the needs of the consumers.
6. When the income, fashion, habits and preferences are
   changing fast.
7. Having an idea of competitor’s policies and strategies
   regarding their products, advertising and sales
   promotion to
   make the necessary changes in its policies and
   strategies.
8. When company’s own pricing policy is not conductive
   to
   competitor’s pricing policies and needs change.
IMR
   The explosive growth of world trade has unleashed
    a torrent of demand for information about markets
    throughout the world. Companies expanding into
    new and unfamiliar markets need information about
    market demand and market conditions. Managers
    seeking to expand and diversify operations need
    information to develop effective strategies in these
    markets.

   At the same time, increasing cultural diversity
    makes it important to collect information with regard
    to changing lifestyle and consumption patterns in
    different parts of the world. Increased travel, waves
    of migration and global communications are
    resulting in the blurring of cultural boundaries.
IMR
   As markets become more integrated
    worldwide, there is a growing need to
    conduct research spanning country
    boundaries, to identify regional or global
    segments, examine opportunities for
    integrating
    and better coordinating strategies in world
    markets, launching new global brands and
    developing effective global branding
    strategies.
IMR
Specially, the following questions can be answered very
   categorically:
1. Products: Which of its products can be easily sold in
   the
   foreign Market?
2. Markets: In order to achieve the maximum results what
   are
   in markets it should concentrate on for the given
   products?
3. Strategies: In order to achieve the best results in the
   market
   what kind of strategies is to be follows?
Example of IMR

With the globalization of markets,
 International marketing research is
 gaining more popularity. International
 marketing research has helped Best
 Western to become the world’s largest
 hotel chain. As this is reflected
 through the following data.
Sources of worldwide Hotel
Business by region.

Sources of All    Africa/   Asia/       North Europe
Hotel      Hotels Middle    Australia   Ameri
Business   worldw East                  ca
           ide

Domestic   50.7%   24.6%    35.0%       84.6% 47.3%


Foreign    49.3%   75.3%    65.0%       15.4% 52.7%
Real Research

 Govt Official-            4.10%
 Other                     9.20%
 Conference Participants   12.7%
 Tour groups               13.5%
 Individual travelers      24.5%
 Business travelers        36.0%
Nature of IMR
   Basic tool for decision making
   basic managerial instrument for analyzing the size,
    character and trend of the demand.
   Market research is a continuous process because
    market conditions such as competition terms of
    business, market demand and supply, and consumer’s
    taste, behavior, brand image and loyalty and status
    continue to change.
   application of scientific method to the solution of
    marketing problems.
Scope of IMR

In the area of international marketing,
  market research is the crucial first
  step for a firm, which wants to engage
  itself in
  international business. Specially,
  market research is required to take
  decisions on the following:
scope
   Market research is required to identify which
    markets should be selected as the target
    markets, based on the market size, growth
    accessibility and competitive factors.
   Identification of suitable products is also
    dependent upon research.
   Research can help prevent the use of
    inappropriate market entry method.
   Research can help determine the
    positioning of the product, taking into
    account the socio-cultural factors.
scope
   Promotion campaigns should be decided
    only when proper research has been carried
    out regarding their acceptability in a given
    environment.
   Research also helps in taking appropriate
    packaging decision. One colour may not be
    acceptable in certain countries
   Considerable amount of data collection and
    analysis are required to arrive at pricing
    decisions.
Importance of IMR
   Market potential:
   Consumer Information:
   Environmental Information:
   Marketing information:
   Product Information:
   Actualization of export potential:
   Review of Export market
   Change in market conditions:
   To improve its position in the export
    market:
Complexities in IMR
1.   new parameters (duties, foreign currencies, international
     documentation)
2.   new environmental factors (legal issues, cultural issues,
     political issues, technological level of the society)
3.   The number of factors involved
4.   Broader definition of competition (much greater variety of
     competition)
5.   Lack of sensitivity to differences in culture, consumer tastes,
     and market demands
6.   Limited appreciation for the environment (Labour rules,
     distribution systems, the availability of media, or advertising
     regulations)
7.   Lack of familiarity with national and international data sources
     and inability to use international data once obtained
Complexities and issues of
IMR
   Diversity of the International
    Environment- Diversity occurs in relation to
    consumer tastes, preferences and behavior,
    and to a lesser extent in business-to-
    business markets, Differences in the nature
    of the marketing infrastructure, government
    regulation of business operations, product
    formulation and packaging, advertising,
    promotion and pricing as well as trade
    barriers such as tariffs, import quotas etc.
complexities
   Continually Changing Environment of
    International Markets- Technological
    change makes product development,
    production processes and experience
    rapidly obsolete and contributes to
    heightened competitive pressures as well
    as social change.
   research in a multicountry, multicultural
    and multilinguistic environment
Issues
   Complexity of Research Design
   Difficulties in Establishing Comparability
    and Equivalence
   Coordination of Research and Data
    Collection across Countries
   Intra functional Character of
    International Marketing Decisions
   Economics of International Investment
    and
    Marketing Decisions
issues
   Many country markets must be included
   Markets with low profit potential justifies
    limited research expenditures
   Data in developing countries may be
    inflated or deflated
   Comparability of international statistics
    varies greatly
   Limits created by cultural differences
Frame work of IMR
                        Mkt Environment


                                                      Government env.
                                 Step 1
     Legal env             Problem Definition

                                Step 2
                        Developing an approach

                                Step 3                     Structural env
                      Research Design Formulation
                       Mkt Environment
                                 Step 4
                       Field work / Data Collection
Economic env
                                Step 5
                     Data Preparation and Analysis
                                                          Socioculture env
                                 Step 6
                   Report Preparation and Presentation




                 Information & Technological env
The environment for IMR

 Mkt environment- demand & supply,
  customer satisfaction, pricing policy,
  govt. control of media, public’s attitude
  toward advertising
 Govt. environment- Type of govt,
  public policy, regulatory agencies,
  govt. incentives and penalties &
  investment in govt enterprises.
Conti

 Legal environment- common law,
  code law, foreign law, international
  law, transaction law, antitrust, bribery
  and taxes.
 Economic environment- GDP level,
  source and distribution of income,
  growth trends and sectoral trends.
conti
   Structural environment- transportation,
    communication, utilities and infrastructure.
   Informational & Technological environment-
    Information & communication system,
    computerization, use of internet, use of
    electronic equipment, energy, production
    technology, science and invention.
   Socio-cultural environment- values, literacy,
    language, religion, communication patterns,
    family and social institutions.
IMIS

   "To survive in this new globally
    competitive world, we had to
    modernize. Information technology is
    the glue for everything we do. "
       JAMES WOGSLAND
        • Vice Chairman, Caterpiller
IMIS
   Information, or useful data, is the material of
    executive action the global marketer is
    faced with a dual problem in acquiring the
    information needed for decision-making. In
    high-income countries, the amount of
    information available far exceeds the
    absorptive capacity of an individual or an
    organization. Although advanced countries
    all over the world are in the middle of an
    information explosion, there is a lack of
    information available on the market
    characteristics of less developed countries.
IMIS
   Thus, the global marketer is faced with the
    problem of information abundance an
    information scarcity. The global marketer
    must know where to go to obtain
    information the subject areas that should be
    covered and the different ways that
    information can be acquired information
    must be processed in an efficient and useful
    way. The technical term for the process of
    information acquisition is scanning.
SIX SUBJECT AGENDA CATEGORIES
FOR A GLOBAL BUSINESS
CATEGORY                            COVERAGE
1. Markets- Demand estimates, consumer behavior, products,
    channels, communication media availability and cost, and
    market responsiveness.
2. Competition- Corporate, business, and functional strategies
    and plans
3. Foreign Exchange- Balance of payments, interest rates,
    attractiveness of country currency, expectations of
    analysts.
4. Prescriptive Information- Laws, regulations, rulings
    concerning taxes, earnings, dividends in both host
    countries and home country.
5. Resource Information- Availability of human, financial,
    information, and physical resources.
6. General conditions- Overall review of socio-cultural,
    political, technological environments
SOURCES OF MARKET
INFORMATION
1. HUMAN SOURCES
2. DOCUMENTARY SOURCES
3. INTERNET SOURCES
4. DIRECT PERCEPTION
Marketing Information
system
A computer-based system that works in
  conjunction with other functional
  information systems to support the
  firm's management in solving
  problems that relate to marketing the
  firm's products.
What is MKIS?

‘MKIS (MIS) is a set of procedures and
    methods for the regular, planned
  collection, analysis and presentation
   of information for use in marketing
                decisions’

   American Marketing Association
The components of a
    computerised MKIS

              Data Bank


Statistical               Display   Marketing
               MKIS
  Bank                      unit    Manager


               Model
               Bank
computerised MKIS
 Data bank - raw data e.g historical
  sales data, secondary data
 Statistical bank - programmes to
  carry-out sales forecasts, spending
  projections
 A model bank - stores marketing
  models e.g Ansoff’s matrix, Boston
  Matrix
 Display unit - VDU and keyboard
Marketing Information System Model       Data   Information


           Input               Output subsystems
        subsystems
                                  Product
         Accounting        D     subsystem
         information
           system          A       Place
                                 subsystem
     Internal sources      T

        Marketing          A     Promotion
         research                subsystem          Users
        subsystem          B

   Environmental sources
                           A       Price
                                 subsystem
         Marketing         S
        intelligence
         subsystem         E     Integrated-
                                     mix
                                 subsystem
MIS model
   Output
       product
       place
       promotion
       price
       integrated mix
   Database
   Input
       AIS( Accounting Information system)
       marketing research
       marketing intelligence
Accounting Information
System
 Sales order data is input.
 AIS provides data for
     Periodic reports
     Special reports
     Mathematical models and knowledge-
      based models
Marketing Research
Subsystem
   Gathered from customers and
    prospects
Primary versus Secondary
Data
 Primary data are collected by the firm
 Examples of primary data
     Survey
     In-depth interview
     Observation
     Controlled experiment
Primary versus Secondary
Data (continued)
   Secondary data
     Mailing lists
     Retail sales statistics
     Video retrieval systems

   Some secondary must be bought and
    some is free
Marketing Research
Software
 Graphics packages (print maps)
 CATI (computer-aided telephone
  interviewing) where the computer
  displays the next question to ask
 Statistical analysis package like
  SPSS, SAS etc.
Marketing Intelligence
Subsystem
   Ethical activities aimed at gathering
    information about competitors

   Each functional information system
    has an intelligence responsibility
The MIS in Fortune 500
Firms
 Preprocessed information 71% of
  1990 firms
 Mathematical modeling
 Support for management levels
     Models
     Overall
 Support for management functions
 Support for the marketing mix
How Managers Use the
     MKIS
                                       Subsystem

                                                        Integrated
 Subsystem
                     Product Place Promotion       Price      Mix

Vice-pres of marketing X           X     X         X         X
Other executives         X         X     X         X         X
Brand managers           X         X     X         X         X
Sales manager                            X         X
Advertising manager                      X         X
Manager mktg resrch      X         X     X         X         X
Manager of product planning        X
Manager of physical distribution         X
Other managers           X         X     X         X         X
Marketing Managers Are Using the Computer More
      for Making the Difficult Price and Promotion Decisions



                                            Product .32
  Product .49




    Price .27                               Price .39


    Place .16                               Place .15

Promotion .08                               Promotion .13


                 1980            1990
Information Technology for
Global Marketing
 Information Technology refers to an
  organization’s processes for creating,
  storing, exchanging, using, and
  managing information.
 Management Information Systems
  provide managers and other decision
  makers with a continuous flow of
  information about company operations
Tools of MIS

 Intranet
 Electronic Data Interchange (EDI)

 Efficient Consumer Response (ECR)

 Electronic Point of Sale (EPOS)

 Data Warehouses
intranet

 A Private network
 Allows authorized
  company personnel
  (or outsiders) to share
  information
  electronically
 24-Hour Nerve
  Center
Electronic Data Interchange
                Allows business units
                 to:
                    Submit orders
                    Issue invoices
                    Conduct business
                     electronically
                Transaction formats are
                 universal
Efficient Consumer
Response (ECR)
 This is in addition to EDI
 An effort for retailers and vendors to
  work closely on sock replenishment

ECR can be defined as a joint initiative
 by members of a supply chain to work
    toward improving and optimizing
 aspects of the supply chain to benefit
              customers.
Electronic Point of Sale
   Gathers data at checkout
    scanners
       Identifies product sales
        trends
       Identifies how consumer
        preferences vary
        geographically
Data Warehouses
               Can help fine-tune
                product assortments
                for multiple locations
               Enhances the ability
                of management to
                respond to changing
                business conditions
The end

   Thanks for being with us.

IMR

  • 1.
  • 2.
    MR  Mkt is the process of planning and executing the conception, pricing, promotion and distribution of ideas, goods and services to create exchanges that satisfy individual and organizational objectives.  Now the mkt concept requires more customer satisfaction rather than profit maximization. So orgn tries to be more customer oriented and satisfy their needs quickly and efficiently. Its requires some research on getting consumer needs and gather mkt intelligence.
  • 3.
    MR  MR is a critical part of such mkt intelligence system, it helps to improve mgt decision making by providing relevant, accurate and timely information.
  • 4.
    Definition  MR is the function that links the consumer, customer, and public to the marketer through information- information used to identify and define mkt opportunities and problems, generate, refine, and evaluate marketing actions, monitoring mkt performance and improve understanding of marketing as a process. MR specifies the information required to address these issues, designs the method for collecting information, manages and implements the data collection process, analyzes and communicates the findings and their implications. -- AMA
  • 5.
    Definition  According to Philip Kotler, “Marketing Research is a systematic problem analysis, model-building and fact- finding for the purpose of improved decision making and control in the marketing of goods and services”
  • 6.
    Market Research V/S MarketingResearch  Marketing research- Marketing research covers researches about all aspects of the marketing activities such as markets, product, consumers, advertising, sales promotion techniques, channels of distribution, warehousing, transport and packaging problems relating to firm’s product.
  • 7.
    MR  Market research- market research emphasizes research on the market and market segment and consumers and their behaviour. The market research is a part of marketing research.
  • 8.
    Nature of Marketing Research Appliedresearch  Cost-benefits assessment  Dynamic environment and need for frequent updates
  • 9.
    Role of MR Situation Environment & Mkt Analysis SWOT Business scope Strategy Competitive advantage Development Set performance objectives Mkt 4P’s Program Development Performance monitoring Implementation Refining strategies & program
  • 10.
    The following activitiesor scope are included in Market Research 1. Analysis of the market size according to age, sex, income, profession and standard of living of the customers. 2. Estimating the regional or territorial demand of different markets. 3. Collecting information about the existing the prospective customers of the company’s product, various competitors’ share in the market and all about competitors’ products and their attributes.
  • 11.
    Activities of MR 4.Studying the market change and conditions affecting market changes such as customer’s preference, shift in brand loyalty etc. 5. Analyzing the working of various channels of distribution and their role increasing market demand of the product. 6. Forecasting the profitability of different markets and marketing segments.
  • 12.
    Need for MarketResearch 1. When a new product is to be introduced in the market. 2. When the sale of the product is showing a downward trend and the reason for the fall could not be established. 3. When facts and figures about demand potential are not available. 4. In signing an advertising programmed when consumer’s habits and preferences and of the markets are not known
  • 13.
    Need of MR 5.When product development is need to adapt the product according to the needs of the consumers. 6. When the income, fashion, habits and preferences are changing fast. 7. Having an idea of competitor’s policies and strategies regarding their products, advertising and sales promotion to make the necessary changes in its policies and strategies. 8. When company’s own pricing policy is not conductive to competitor’s pricing policies and needs change.
  • 14.
    IMR  The explosive growth of world trade has unleashed a torrent of demand for information about markets throughout the world. Companies expanding into new and unfamiliar markets need information about market demand and market conditions. Managers seeking to expand and diversify operations need information to develop effective strategies in these markets.  At the same time, increasing cultural diversity makes it important to collect information with regard to changing lifestyle and consumption patterns in different parts of the world. Increased travel, waves of migration and global communications are resulting in the blurring of cultural boundaries.
  • 15.
    IMR  As markets become more integrated worldwide, there is a growing need to conduct research spanning country boundaries, to identify regional or global segments, examine opportunities for integrating and better coordinating strategies in world markets, launching new global brands and developing effective global branding strategies.
  • 16.
    IMR Specially, the followingquestions can be answered very categorically: 1. Products: Which of its products can be easily sold in the foreign Market? 2. Markets: In order to achieve the maximum results what are in markets it should concentrate on for the given products? 3. Strategies: In order to achieve the best results in the market what kind of strategies is to be follows?
  • 17.
    Example of IMR Withthe globalization of markets, International marketing research is gaining more popularity. International marketing research has helped Best Western to become the world’s largest hotel chain. As this is reflected through the following data.
  • 18.
    Sources of worldwideHotel Business by region. Sources of All Africa/ Asia/ North Europe Hotel Hotels Middle Australia Ameri Business worldw East ca ide Domestic 50.7% 24.6% 35.0% 84.6% 47.3% Foreign 49.3% 75.3% 65.0% 15.4% 52.7%
  • 19.
    Real Research  GovtOfficial- 4.10%  Other 9.20%  Conference Participants 12.7%  Tour groups 13.5%  Individual travelers 24.5%  Business travelers 36.0%
  • 20.
    Nature of IMR  Basic tool for decision making  basic managerial instrument for analyzing the size, character and trend of the demand.  Market research is a continuous process because market conditions such as competition terms of business, market demand and supply, and consumer’s taste, behavior, brand image and loyalty and status continue to change.  application of scientific method to the solution of marketing problems.
  • 21.
    Scope of IMR Inthe area of international marketing, market research is the crucial first step for a firm, which wants to engage itself in international business. Specially, market research is required to take decisions on the following:
  • 22.
    scope  Market research is required to identify which markets should be selected as the target markets, based on the market size, growth accessibility and competitive factors.  Identification of suitable products is also dependent upon research.  Research can help prevent the use of inappropriate market entry method.  Research can help determine the positioning of the product, taking into account the socio-cultural factors.
  • 23.
    scope  Promotion campaigns should be decided only when proper research has been carried out regarding their acceptability in a given environment.  Research also helps in taking appropriate packaging decision. One colour may not be acceptable in certain countries  Considerable amount of data collection and analysis are required to arrive at pricing decisions.
  • 24.
    Importance of IMR  Market potential:  Consumer Information:  Environmental Information:  Marketing information:  Product Information:  Actualization of export potential:  Review of Export market  Change in market conditions:  To improve its position in the export market:
  • 25.
    Complexities in IMR 1. new parameters (duties, foreign currencies, international documentation) 2. new environmental factors (legal issues, cultural issues, political issues, technological level of the society) 3. The number of factors involved 4. Broader definition of competition (much greater variety of competition) 5. Lack of sensitivity to differences in culture, consumer tastes, and market demands 6. Limited appreciation for the environment (Labour rules, distribution systems, the availability of media, or advertising regulations) 7. Lack of familiarity with national and international data sources and inability to use international data once obtained
  • 26.
    Complexities and issuesof IMR  Diversity of the International Environment- Diversity occurs in relation to consumer tastes, preferences and behavior, and to a lesser extent in business-to- business markets, Differences in the nature of the marketing infrastructure, government regulation of business operations, product formulation and packaging, advertising, promotion and pricing as well as trade barriers such as tariffs, import quotas etc.
  • 27.
    complexities  Continually Changing Environment of International Markets- Technological change makes product development, production processes and experience rapidly obsolete and contributes to heightened competitive pressures as well as social change.  research in a multicountry, multicultural and multilinguistic environment
  • 28.
    Issues  Complexity of Research Design  Difficulties in Establishing Comparability and Equivalence  Coordination of Research and Data Collection across Countries  Intra functional Character of International Marketing Decisions  Economics of International Investment and Marketing Decisions
  • 29.
    issues  Many country markets must be included  Markets with low profit potential justifies limited research expenditures  Data in developing countries may be inflated or deflated  Comparability of international statistics varies greatly  Limits created by cultural differences
  • 30.
    Frame work ofIMR Mkt Environment Government env. Step 1 Legal env Problem Definition Step 2 Developing an approach Step 3 Structural env Research Design Formulation Mkt Environment Step 4 Field work / Data Collection Economic env Step 5 Data Preparation and Analysis Socioculture env Step 6 Report Preparation and Presentation Information & Technological env
  • 31.
    The environment forIMR  Mkt environment- demand & supply, customer satisfaction, pricing policy, govt. control of media, public’s attitude toward advertising  Govt. environment- Type of govt, public policy, regulatory agencies, govt. incentives and penalties & investment in govt enterprises.
  • 32.
    Conti  Legal environment-common law, code law, foreign law, international law, transaction law, antitrust, bribery and taxes.  Economic environment- GDP level, source and distribution of income, growth trends and sectoral trends.
  • 33.
    conti  Structural environment- transportation, communication, utilities and infrastructure.  Informational & Technological environment- Information & communication system, computerization, use of internet, use of electronic equipment, energy, production technology, science and invention.  Socio-cultural environment- values, literacy, language, religion, communication patterns, family and social institutions.
  • 34.
    IMIS  "To survive in this new globally competitive world, we had to modernize. Information technology is the glue for everything we do. "  JAMES WOGSLAND • Vice Chairman, Caterpiller
  • 35.
    IMIS  Information, or useful data, is the material of executive action the global marketer is faced with a dual problem in acquiring the information needed for decision-making. In high-income countries, the amount of information available far exceeds the absorptive capacity of an individual or an organization. Although advanced countries all over the world are in the middle of an information explosion, there is a lack of information available on the market characteristics of less developed countries.
  • 36.
    IMIS  Thus, the global marketer is faced with the problem of information abundance an information scarcity. The global marketer must know where to go to obtain information the subject areas that should be covered and the different ways that information can be acquired information must be processed in an efficient and useful way. The technical term for the process of information acquisition is scanning.
  • 37.
    SIX SUBJECT AGENDACATEGORIES FOR A GLOBAL BUSINESS CATEGORY COVERAGE 1. Markets- Demand estimates, consumer behavior, products, channels, communication media availability and cost, and market responsiveness. 2. Competition- Corporate, business, and functional strategies and plans 3. Foreign Exchange- Balance of payments, interest rates, attractiveness of country currency, expectations of analysts. 4. Prescriptive Information- Laws, regulations, rulings concerning taxes, earnings, dividends in both host countries and home country. 5. Resource Information- Availability of human, financial, information, and physical resources. 6. General conditions- Overall review of socio-cultural, political, technological environments
  • 38.
    SOURCES OF MARKET INFORMATION 1.HUMAN SOURCES 2. DOCUMENTARY SOURCES 3. INTERNET SOURCES 4. DIRECT PERCEPTION
  • 39.
    Marketing Information system A computer-basedsystem that works in conjunction with other functional information systems to support the firm's management in solving problems that relate to marketing the firm's products.
  • 40.
    What is MKIS? ‘MKIS(MIS) is a set of procedures and methods for the regular, planned collection, analysis and presentation of information for use in marketing decisions’ American Marketing Association
  • 41.
    The components ofa computerised MKIS Data Bank Statistical Display Marketing MKIS Bank unit Manager Model Bank
  • 42.
    computerised MKIS  Databank - raw data e.g historical sales data, secondary data  Statistical bank - programmes to carry-out sales forecasts, spending projections  A model bank - stores marketing models e.g Ansoff’s matrix, Boston Matrix  Display unit - VDU and keyboard
  • 43.
    Marketing Information SystemModel Data Information Input Output subsystems subsystems Product Accounting D subsystem information system A Place subsystem Internal sources T Marketing A Promotion research subsystem Users subsystem B Environmental sources A Price subsystem Marketing S intelligence subsystem E Integrated- mix subsystem
  • 44.
    MIS model  Output  product  place  promotion  price  integrated mix  Database  Input  AIS( Accounting Information system)  marketing research  marketing intelligence
  • 45.
    Accounting Information System  Salesorder data is input.  AIS provides data for  Periodic reports  Special reports  Mathematical models and knowledge- based models
  • 46.
    Marketing Research Subsystem  Gathered from customers and prospects
  • 47.
    Primary versus Secondary Data Primary data are collected by the firm  Examples of primary data  Survey  In-depth interview  Observation  Controlled experiment
  • 48.
    Primary versus Secondary Data(continued)  Secondary data  Mailing lists  Retail sales statistics  Video retrieval systems  Some secondary must be bought and some is free
  • 49.
    Marketing Research Software  Graphicspackages (print maps)  CATI (computer-aided telephone interviewing) where the computer displays the next question to ask  Statistical analysis package like SPSS, SAS etc.
  • 50.
    Marketing Intelligence Subsystem  Ethical activities aimed at gathering information about competitors  Each functional information system has an intelligence responsibility
  • 51.
    The MIS inFortune 500 Firms  Preprocessed information 71% of 1990 firms  Mathematical modeling  Support for management levels  Models  Overall  Support for management functions  Support for the marketing mix
  • 52.
    How Managers Usethe MKIS Subsystem Integrated Subsystem Product Place Promotion Price Mix Vice-pres of marketing X X X X X Other executives X X X X X Brand managers X X X X X Sales manager X X Advertising manager X X Manager mktg resrch X X X X X Manager of product planning X Manager of physical distribution X Other managers X X X X X
  • 53.
    Marketing Managers AreUsing the Computer More for Making the Difficult Price and Promotion Decisions Product .32 Product .49 Price .27 Price .39 Place .16 Place .15 Promotion .08 Promotion .13 1980 1990
  • 54.
    Information Technology for GlobalMarketing  Information Technology refers to an organization’s processes for creating, storing, exchanging, using, and managing information.  Management Information Systems provide managers and other decision makers with a continuous flow of information about company operations
  • 55.
    Tools of MIS Intranet  Electronic Data Interchange (EDI)  Efficient Consumer Response (ECR)  Electronic Point of Sale (EPOS)  Data Warehouses
  • 56.
    intranet  A Privatenetwork  Allows authorized company personnel (or outsiders) to share information electronically  24-Hour Nerve Center
  • 57.
    Electronic Data Interchange  Allows business units to:  Submit orders  Issue invoices  Conduct business electronically  Transaction formats are universal
  • 58.
    Efficient Consumer Response (ECR) This is in addition to EDI  An effort for retailers and vendors to work closely on sock replenishment ECR can be defined as a joint initiative by members of a supply chain to work toward improving and optimizing aspects of the supply chain to benefit customers.
  • 59.
    Electronic Point ofSale  Gathers data at checkout scanners  Identifies product sales trends  Identifies how consumer preferences vary geographically
  • 60.
    Data Warehouses  Can help fine-tune product assortments for multiple locations  Enhances the ability of management to respond to changing business conditions
  • 61.
    The end  Thanks for being with us.