Professional Documents
Culture Documents
Summary By: MIS (Marketing Information System)
Summary By: MIS (Marketing Information System)
SUMMARY by
Chapter
Chapter 3 - Capturing Marketing insights and Spotting Market Trends Internal Company Records
Order to Payment cycle - Customer places order for goods -> Sales team sends invoice to various departments -> Sales team back orders out of stock items -> Suppliers send goods and sales team pays suppliers -> Sales team delivers order and receives payment. Purpose is to minimize number and duration of cycles. Sales Information System - Keeping constant track of sales, customers, etc. It can help in identifying trends. Database / Data warehousing / Data Mining - Separate databases are there for products, salespersons and customers. Purpose is to analyze (mine) data using statistical methods and discover trends.
Economic
Purchasing Power depends on income, savings, prices, credit availability. Indias GDP is $1.2 trillion, per capital income of $3100 Income distribution: 77.7% of urban households have income up to Rs3000/month while only 2.1% have income more than Rs 10,000/month. Categories of Indian consumers: Destitute ( less than Rs16,000 annually, inactive participants in market exchange), Aspirants ( Rs 16,000 to Rs22,000, new entrants in consumption system), Climbers, (Rs 22,000 to Rs 45,000, have desire and willingness to buy but has limited cash), Consuming Class ( Rs 45, 000 to Rs 2,15,000, majority have money and are willing to pay), Rich ( more than Rs 2,15 000, have money and own a variety of products). Trend shows increasing % of Consumers and Climbers while a decreasing % of Destitute and Aspirants.
Social-Cultural
Society shapes beliefs, values, demands, and requirements. It affects dress codes, food habits, brand preferences. Trend shows an increasing role of children on purchasing decisions e.g. bicycles, computers, wrist watches, shoes and other FMCG goods.
affecting the firm and integrating those in its strategic plans is fast gaining ground. E.g. Focus on Non-renewable sources like Jatropha oil, Pollution Control Systems like landfills, recycling centers and focus on CNG initiatives.
Technological
Four major trends are (a) Accelerated Pace of Change: e.g. Apple selling 23.5 million in 2006 (b) Unlimited Opportunities for Innovation e.g. Developments in Bio-tech, telecommunication, Robotics, aid vaccines, contraceptive pills. (c) Varying R & D Budget: e.g. Increasing R & D in Pharmaceutical companies like Cipla, Dr. Reddys, and Ranbaxy (d) Increasing regulation of technological change e.g. Drugs and cosmetic act, control on clinical trial, standard for drugs.