3

Gathering Information and

Scanning the Environment

Marketing Management
A South Asian Perspective, 13th ed

Chapter Questions
What are the components of a modern
marketing information system?
What are useful internal records?
What is involved in a marketing intelligence
system?
What are the key methods for tracking and
identifying opportunities in the macro
environment?
What are some important macro environment
developments?
Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

MIS Systems Provide Information on

Buyer Preferences and Behavior:
Duponts Pillow Study
Pillow Segments
23% - stackers
20% - plumpers
16% - rollers or folders
16% - cuddlers
10% - smashers

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

What is a
Marketing Information System (MIS)?
A marketing information system
consists of people, equipment, and
procedures to gather, sort, analyze,
evaluate, and distribute needed, timely,
and accurate information to
marketing decision makers.

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Table 3.1 Information Needs Probes

What decisions do you regularly make?
What information do you need to make these
decisions?
What information do you regularly get?
What special studies do you periodically request?
What information would you want that you are
not getting now?
What are the four most helpful improvements
that could be made in the present marketing
information system?

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Internal Records and

Marketing Intelligence

Order-to-Payment
Cycle

Sales
Information
System

Databases,
Warehousing,
Data Mining

Marketing
Intelligence
System

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Steps to Improve Marketing Intelligence

Train
Train sales
sales force
force to
to scan
scan for
for new
new developments
developments
Motivate
Motivate channel
channel members
members to
to share
share intelligence
intelligence
Network
Network externally
externally
Utilize
Utilize aa customer
customer advisory
advisory panel
panel
Utilize
Utilize government
government data
data resources
resources
Purchase
Purchase information
information
Collect
Collect customer
customer feedback
feedback online
online
Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Table 3.2
Secondary Commercial Data Sources
AC Nielsen
ORG MARG

TAM Media
Research

CMIE

Euromonitor
International

NCAER

Gallup Pakistan

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Sources of Competitive Information

Independent customer goods and service
review forums
Distributor or sales agent feedback sites
Combination sites offering customer reviews
and expert opinions
Customer complaint sites
Public blogs

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Needs and Trends

Fad
Trend
Megatrend

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Trends Shaping the

Business Landscape
Profound shifts in
centers of economic
activity
Increases in publicsector activity
Change in consumer
landscape
Technological
connectivity
Scarcity of well-trained
talent

Increase in demand for

natural resources
Emergence of new
global industry
structures
Ubiquitous access to
information
Management shifts
from art to science
Increase in scrutiny of
big business practices

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Environmental Forces
Demographic
Political-Legal

Economic

Technological

Socio-Cultural
Natural

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Population and Demographics

Population growth
Population age mix
Ethnic markets

Educational groups
Household patterns
Geographical shifts

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Mobilink-Disney
D 100 Mobile
Phone

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Population Age Groups

65+
40-65
25-40
Teens
School-age
Preschool
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Household Patterns

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Economic Environment
Income Distribution
Savings, Debt, and
Credit
Levis has responded to
changes in income
distribution by offering
an upscale line and a
mass market line

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Social-Cultural Environment
Views
Views of
of themselves
themselves
Views
Views of
of others
others
Views
Views of
of organizations
organizations
Views
Views of
of society
society
Views
Views of
of nature
nature
Views
Views of
of the
the universe
universe
Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Islamic Banking: Reflecting

Religious and Cultural Sensitivities
Consistent with principles of Islamic Laws
(Shariah)
Prohibits investing in business that are considered
unlawful
Growth is due to disenchantment with valueneutral capitalist and socialist financial systems
Popular in Pakistan and Bangladesh,
National and international banks want to start
Islamic banking in India
Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Cartoon Networks New

Generation Survey

Achieving good grades at school all respondents

Looking good 90% of respondents
Being religious/traditional 84% of respondents
Having boyfriend/girlfriend 40% of respondents
Career aspirations One-third wanted to be
doctor, 21% of wanted to be engineer

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Natural Environment
Shortage of
raw materials
Increased
energy costs
Anti-pollution
pressures
Governmental
protections
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Toyota Experienced Success

with Green Cars

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Figure 3.1 Consumer

Environmental Segments
True Blue Greens (30%)
Greenback Greens (10%)
Sprouts (26%)
Grousers (15%)
Apathetics (18%)
Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Keys to Avoiding
Green Marketing Myopia
Consumer Value Positioning
Calibration of Consumer Knowledge
Credibility of Product Claims

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Technological Environment
Pace of change
Opportunities
for innovation
Varying R&D
budgets
Increased regulation
of change
Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Political-Legal Environment

Increase in
business legislation

Growth of special
interest groups

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Marketing Debate
Is consumer behavior more a function
of a persons age or generation?
Take a position:
1. Age differences are fundamentally
more important than cohort effects.
or
2. Cohort effects can dominate age
differences.
Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.

Marketing Discussion

What brands do you feel

successfully speak to you?
Effectively target your age group?
Which ones do not?
What could they do better?

Copyright 2009 Dorling Kindersley (India) Pvt. Ltd.