Marketing Information

System

July 21, 2010

 Outline

Overview
Objectives
Marketing Information System
Marketing Research Approaches
Types of Marketing Research
Stages in the marketing Research process
Overview
 MIS is a set of procedures and methods for the
regular, planned collection, analysis and presentation
of information for use in marketing decisions.

 A marketing information system(MIS) consist of

people, equipment, and procedures to gather, sort,
analyze ,evaluate, and distribute needed, timely, and
accurate information to marketing decision maker.
 Objectives

The nature and purpose of marketing

information system.
The options facing a marketing manager who
wants to gather marketing research
information.
Stages in marketing research process.
 Nature and role of exploratory, descriptive
and experimentative research
 Survey design: Sampling, survey method, and
questionnaire design issue.
 Analysis and interpretation of data.
Report writing and presentation
 Marketing Information System

 Structured Problems

 Use of Reports
 Rigid Structure
 Information Displaying
Restricted
 Can Improve Decision Making
by Clarifying Data
The components of a computerised MKIS

Data Bank

Statistical Display Marketing

MKIS
Bank unit Manager

Model
Bank
Marketing research provides information to
help implement…

• The Study of Marketing

• The Use of the Marketing Concept
• Marketing Strategy
Marketing research provides information to
help implement…

• Marketing: process of all activities

necessary for the conception,
pricing, promotion, and distribution
of ideas, goods, and services to
create exchanges that satisfy
individual and organizational
objectives
Marketing research provides information to
help implement…

• Marketing Concept: the business

philosophy that holds the key to
achieving organizational goals
consists of determining the benefits
sought by target market members
and delivering these benefits more
effectively & efficiently than
competitors. This is to be done at a
“profit.”
Marketing research provides information to
help implement…

• Marketing Strategy: consists of

selecting one or more segments of
the market as the company’s target
market(s) and designing the proper
“mix” of the “4Ps”
Market research is an
aid to decision making –
not a substitute for it.
 What is marketing research?

• Marketing research: is the

process of designing, gathering,
analyzing, and reporting
information that may be used to
solve a specific marketing
problem. (Burns & Bush)
 The Marketing
Research Process
 The Marketing Research Process: 11 Steps

• Step One: Establishing the Need for Marketing

Research
• Step Two: Defining the Problem
• Step Three: Establishing Research Objectives
• Step Four: Determining Research Design
• Step Five: Identifying Information Types and
Sources
• Step Six: Determining Methods of Accessing
Data
 The Marketing Research Process: 11 Steps cont…

• Step Seven: Designing Data Collection Forms

• Step Eight: Determining Sample Plan and Size
• Step Nine: Collecting Data
• Step Ten: Analyzing Data
• Step Eleven: Preparing and Presenting the Final
Research Report
 The Marketing Research Process
Step One: Establish the Need for Marketing Research

Marketing Research is not needed when

the:
• required information is already available
• decisions need to be made now
• organization can’t afford the research
• costs outweigh the value of the
research
 The Marketing Research Process
Step Two: Define the Problem

The most important step in the

marketing research process is
defining the problem.
 The Marketing Research Process
Step Three: Establish Research Objectives

What information is needed in

order to solve the problem?
 The Marketing Research Process
Step Four: Determine Research Design

• Exploratory Research: collecting

information in an unstructured and
informal manner
• Descriptive Research: refers to a set of
methods and procedures describing
marketing variables
• Causal Research (experiments and other
approaches): allows isolation of causes
and effects
 The Marketing Research Process
Step Five: Identify Information Types and Sources

• Primary Data: information that has

been gathered specifically for the
research objectives at hand
 The Marketing Research Process
Step Six: Determine Methods of Accessing Data

• Primary Data: collecting data from

participants through methods such as
telephone, mail, online, and face-to-face
(quantitative), and observation studies
and focus groups (qualitative)
 A Classification of Marketing Research Data
Fig. 5.1

Primary Data

Qualitative Data Quantitative Data

Descriptive Causal

Survey Observational Experimental

Data and Other Data Data
 A Classification of Qualitative Research Procedures

Qualitative Research
Procedures

Direct (Non Indirect

disguised) (Disguised)

Projective
Depth Interviews Techniques
Focus Groups

Association Completion Construction Expressive

Techniques Techniques Techniques Techniques
 Characteristics of Focus Groups
Table 5.2

Group Size 8-12

Group Composition Homogeneous, respondents,

prescreened

Physical Setting Relaxed, informal atmosphere

Time Duration 1-3 hours

Recording Use of audiocassettes and videotapes

Moderator Observational, interpersonal, and CS

 Key Qualifications of Focus Group Moderators

1. Kindness with firmness: The moderator must combine a disciplined

detachment with understanding empathy so as to generate the
necessary interaction.

2. Permissiveness: The moderator must be permissive yet alert to signs

that the group’s cordiality or purpose is disintegrating.

3. Involvement: The moderator must encourage and stimulate intense

personal involvement.

4. Incomplete understanding: The moderator must encourage

respondents to be more specific about generalized comments by
exhibiting incomplete understanding.
 Key Qualifications of Focus Group Moderators

5. Encouragement: The moderator must encourage unresponsive

members to participate.

6. Flexibility: The moderator must be able to improvise and alter the

planned outline amid the distractions of the group process.

7. Sensitivity: The moderator must be sensitive enough to guide the

group discussion at an intellectual as well as emotional level.
 The Marketing Research Process
Step Five: Identify Information Types and Sources

• Secondary Data: information that has

been collected for some purpose
other than the research at hand
 The Marketing Research Process
Step Six: Determine Methods of Accessing Data

• Secondary Data: accessing data

through sources such as the Internet
and library
 A Classification of Secondary
Fig. 4.1
Data
Secondary Data

Internal External

Ready to Requires Published Computerized Syndicated

Use Further Materials Databases Services
Processing
 The Marketing Research Process
Step Seven: Design Data Collection Forms

• The design of the data collection form that

is used to ask or observe and record
information in marketing research projects
is critical to the success of the project.
• It is easy to write a set of questions but
very difficult to construct a questionnaire.
• General types of “instruments” (forms)
• Questionnaires
• Observation Study forms (protocols)

• Survey
 Questionnaire Definition

• A questionnaire is a formalized set of questions for

obtaining information from respondents.

Questionnaire objective
It must translate the information needed into a set of
specific questions that the respondents can and will
answer.
A questionnaire must uplift, motivate, and encourage
the respondent to become involved in the interview,
to cooperate, and to complete the interview.
A questionnaire should minimize response error.
Questionnaire Design Process
Specify the Information Needed

Specify the Type of Interviewing Method

Determine the Content of Individual Questions

Design the Question to Overcome the Respondent’s Inability and Unwillingness to

Answer

Decide the Question Structure

Determine the Question Wording

Arrange the Questions in Proper Order

Identify the Form and Layout

Reproduce the Questionnaire

Eliminate Bugs by Pre-testing

 A Classification of Observation Methods

Classifying
Observation
Methods

Observation Methods

Personal Mechanical Audit Content Trace

Observation Observation Analysis Analysis
 Criteria for Evaluating Survey Methods
Flexibility of Data Collection

• The flexibility of data collection is determined primarily by the extent

to which the respondent can interact with the interviewer and the
survey questionnaire.
 
Diversity of Questions
• The diversity of questions that can be asked in a survey depends upon
the degree of interaction the respondent has with the interviewer and
the questionnaire, as well as the ability to actually see the questions.
 
Use of Physical Stimuli
• The ability to use physical stimuli such as the product, a product
prototype, commercials, or promotional displays during the interview.
 
 Criteria for Evaluating Survey Methods
Sample Control

• Sample control is the ability of the survey mode to reach the units
specified in the sample effectively and efficiently.

Control of the Data Collection Environment

• The degree of control a researcher has over the environment in which
the respondent answers the questionnaire.
 
Control of Field Force
• The ability to control the interviewers and supervisors involved in data
collection.
 
Quantity of Data
• The ability to collect large amounts of data.
 
 A Classification of Survey
Fig. 6.1
Methods
Survey
Methods

Telephone Personal Mail Electronic

In-Home Mall Computer-Assisted Internet

E-mail
Intercept Personal
Interviewing

Traditional Computer-Assisted
Mail Mail
Telephone Telephone
Interview Panel
Interviewing
 The Marketing Research Process
Step Eight: Determine Sample Plan and Size

• Sample plan: refers to the process

used to select units from the
population to be included in the
sample
• Sample size: refers to determining
how many elements (units) of the
population should be included in the
sample
 The Marketing Research Process
Step Nine: Collect Data

• Sound data collection is very important

because, regardless of the data analysis
methods used, data analysis cannot “fix”
bad data.
• Nonsampling errors may occur during
data collection. These are related to poor
design and/or execution of the data
gathering.
• Sampling errors may occur based purely
on chance
 The Marketing Research Process
Step Ten: Analyze Data

• Data analysis: involves entering

data into computer files,
inspecting data for errors (data
cleaning), running tabulations
(frequencies), and conducting
various statistical tests
 The Marketing Research Process
Step Eleven: Prepare and Present the Final
Research Report

• Findings are presented, often by

research objective, in a clear and
concise way.
• The need for a good report cannot be
overstated. It is the report, and/or its
presentation, that properly
communicates the results to the
client.
 What is online research?

• Online research: the use of computer networks,

including the Internet, to assist in any phase of
the marketing research process including
development of the problem, research design,
data gathering, analysis, and report writing and
distribution
 What is online research?

• Web-based research: research that is conducted

to evaluate various facets of Web applications;
may use traditional methods as well as on-line
research methods in conducting research on
Web-based applications
• Online survey research: collection of data using
computer networks
The Seven Characteristics of Good Marketing Research

1. Scientific Effective marketing research uses the principles of the

method scientific method: careful observation, formulation of
hypotheses, prediction, and testing.
2. Research At its best, marketing research develops innovative
creativity ways to solve a problem: a clothing company catering
to teenagers gave several young men video cameras,
then used the videos for focus groups held in
restaurants and other places teens frequent.

3. Multiple Marketing researchers shy away from overreliance on

methods any one method. They also recognize the value of
using two or three methods to increase confidence in
the results.