Chapter 7 Text Concepts for Exam 2.pdf

Chapter 7 Text Concepts for Exam 2 Marketing Information Systems (MIS)- an organized way of continually gathering, accessing, and analyzing information that marketing managers need to make ongoing decisions. Changes in MIS ? Gets more information, faster, from exchange data from remote computers (i.e. store checkout lines) ? More types of info available ? Firms have intranet (system for linking computers within a company) for employees only access of data. ? Marketing Managers know what type of info is good, and what could be good, so their feedback is important ? MIS organizes info into Data warehouse; Decision support system uses the info in warehouse to make it easy for marketing manager to get and use info as he makes decisions; system also involves a search engine. DSS changes raw info into more useful, like charts graphs. ? Marketing dashboard- displays up to the minute marketing data in an easy to read format, customized to managers need. ? Marketing model is a statement of relationships among marketing variables. Used by DSS to look at sales expected with different types of promotions and select the marketing mix that is best for the target market. ? Can conduct sales analysis (detailed breakdown of company?s sales records, products, types of customers, or channels of distribution) to make important business decisions. Hypotheses- educated guess about the relationships between things or about what will happen in the future. Tested by market researchers before introducing new products. Five Step Approach to Marketing Research 1. Defining the problem 2. Analyzing the situation 3. Getting problem specific data 4. Interpreting the data 5. Solving the Problem Can be an early identification of solution at any point. Defining the right problem is often most difficult step. Don?t confuse problems with symptoms (Kiwi created new polishes instead of analyzing market to determine people wanted products to make shoes smell better. Secondary data- information that has been collected or published already. Primary data- information collected to solve a current problem (must be researched through surveys, etc. as the information does not yet exist or is not published. Qualitative research- seeks in-depth, open-ended responses. Researcher tries to get people to share their thoughts on a topic- without giving them many directions or guidelines about what to say. Focus Group interview-a form of qualitative questioning that involves interviewing 6 to 10 people in an informal group setting. Researcher wants to stimulate thinking and get immediate reactions from group interaction. All Data Sources Secondary Data Sources Primary Data sources Inside Company: Company files, intranet, reports MIS, people, sales, cost data Outside Company: Internet, libraries, govts, trade associations, universities, private research orgs Observation: equipment (video,scanner), website analysis, personal approaches Questioning: in-depth and focus group interviews; online, mail, phone, personal surveys; panels. Quantitative research-seeks structured responses that can be summarized in numbers, i.e. percentages, averages, stats, etc. Surveys com in many forms ? Handled by interviewer or self-administered ? Paper or interactive computer format ? Prerecorded on tape and pushing touchtone buttons on phone ? Mail and Online Surveys o Convenient- o Must be simple and easy to follow o Low response rate o Illiteracy can pose problems ? Telephone surveys o Fast and effective o Can be thought of as intrusive Consumer Panels- a group of consumers who provide information on a continuing basis. i.e. scanning MVP card at Foodlion transfers information to Foodlion?s MIS. Experimental method- a method for marketing managers to obtain information through either questioning or observation. The researchers compare the responses of two or more groups that are similar expect on the characteristic being tested, to learn if the characteristic that varies causes differences in responses of consumers. Population- total group that a researcher is interested in. Sample- a part of the relevant population studied by researchers to extrapolate information about a population. If a sample is not a good representative of a population it will paint a misleading picture. Validity- the extent to which data measures what is intended to measure. Validity can be compromised when people respond when they do not know what they are talking about. Pretests of research projects can identify problems with the quality of questions. International Marketing Research- Research contributes to overseas success, failing to evaluate markets can lead to catastrophic failure. It can be very hard to obtain accurate data. Local marketers understand cultural nuisances, and large marketing firms often have local offices to assist. Should try and standardize procedures for international marketing for future reference. Christopher Paul Mahannah