MANAGEMENT INFORMATION SYSTEM

AND MARKETING RESEARCH

MARKETING MANAGEMENT-I
LECTURE 7
Learning Objectives
Marketing Information system

Marketing Research

Marketing Research process

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.
Steps to Improve Marketing Intelligence

Train sales force to scan for new developments

Motivate channel members to share

intelligence
Network externally

Utilize a customer advisory panel

Utilize government data resources

Purchase information
Collect customer feedback
online
Marketing Decision Support System (MDSS)

A marketing decision support system is a coordinated

collection of data, systems, tools, and techniques with
supporting hardware and software by which an
organization gathers and interprets relevant information
from business and environment and turns it into a basis
for marketing action.
Marketing Research
Marketing research is the systematic design, collection,
analysis, and reporting of data and findings relevant to a
specific marketing situation facing the company.
Marketing research is the function which links the
consumer, customer, and public to the marketer through
information-information used to identify and define
marketing opportunities and problems; generate, refine,
and evaluate marketing actions; monitor marketing
performance; and improve understanding of marketing as
a process.
 The Role of
Marketing Research
 Gathering and presenting
Descriptive factual statements

Diagnostic  Explaining data

Predictive  Address “what if” questions

The Marketing Research Process
Define the problem

Develop research plan

Collect information Make

decision
Analyze information

Present findings
Step 1: Defining the Objectives and
Research Needs

What information is How should that

needed to answer
specific research information be
questions? obtained?
 Step 2: Designing the
Research Project

Secondary data Primary data

 Developing the
Research Plan
The research plan should be presented in a written proposal.
A written proposal is especially important when the research project is
large and complex or when an outside firm carries it out.

Secondary data:
Consist of information Primary data:
that already exists Consist of information
somewhere, having collected for the specific
been collected for purpose at hand
another purpose
 Advantages of
Secondary Data
 Saves time and money if on target
 Aids in determining direction for
primary data collection
 Pinpoints the kinds of people to
approach
 Serves as a basis of comparison for
other data
 Disadvantages of
Secondary Data

 May not give adequate detailed

information
 May not be on target with the
research problem
 Quality and accuracy of data may
pose a problem
 Primary Data
Information collected for the first time. Used for solving
the particular problem under investigation.

Advantages:
 Answers a specific research question
 Data are current
 Source of data is known
 Secrecy can be maintained
 Data Collection

Qualitative Research

In-depth
Observation Social Media Focus group
interview
Step 2: Develop the Research Plan

Data Research
Sources Approach

Research Sampling
Instruments Plan

Contact
Methods
Defining the Problem and
Research Objectives
◦ A marketing research project might have
one of three types of objectives:

Exploratory Gather preliminary information that will help

research define problems and suggest hypotheses.

Describe marketing problems, such as the

Descriptive
market potential for a product or the
research
demographics and attitudes of consumers.

Causal Test hypotheses about cause-and-effect

research relationships.
Step 3: Data Collection Process
Research Approaches
Observation

Ethnographic

Focus Group

Survey

Behavioral Data

Experimentation
Data Collection

Exploratory Methods

In-depth Focus
Observation
interview group
SURVEY RESEARCH
 Forms of
Survey Research

In-Home Interviews Mail Surveys

Mall Intercept Interviews Executive Interviews

Telephone Interviews Focus Groups

Observation Research

Observation
Research

A research method that relies on four

types of observation:
 people watching people
 people watching an activity
 machines watching people
 machines watching an activity
Observational Research

Mystery Researchers posing as customers who

Shoppers gather observational data about a store.

A form of observation marketing research

Behavioral that uses data mining coupled with
Targeting (BT) identifying Web surfers by the IP
addresses.
 Questionnaire Design
An interview question that
Open-Ended
encourages an answer phrased in the
Question
respondent’s own words.

An interview question that asks

Closed-Ended
the respondent to make a selection
Question
from a limited list of responses.

Scaled- A closed-ended question

Response designed to measure the intensity
Question of a respondent’s answer.
Question Types—Dichotomous

In arranging this trip, did you contact Air

India?
 Yes  No
Question Types—Multiple Choice
With whom are you traveling on this trip?
 No one
 Spouse
 Spouse and children
 Children only
 Business associates/friends/relatives
 An organized tour group
Question Types—Likert Scale

Indicate your level of agreement with the

following statement: Small airlines generally
give better service than large ones.
 Strongly disagree
 Disagree
 Neither agree nor disagree
 Agree
 Strongly agree
Question Types—Semantic Differential

Taj Hotels
Large ………………………………...…….Small
Experienced………………….….Inexperienced
Modern……………………….…..Old-fashioned
Question Types—Rating Scale
Taj Hotel’s food service is _____.
 Excellent
 Very good
 Good
 Fair
 Poor
Question Types—Completely
Unstructured

What is your opinion of Taj Hotels?

 Question Types—
Sentence Completion

When I choose an hotel, the most

important consideration in my decision is:
__________________________________________
__________________________________________
__________________________________________
__________________________________________
__________________________________________
______________________________.
 Sampling Plan

◦ Sampling unit: Who is to be surveyed?

◦ Sample size: How many people should be
surveyed?
◦ Sampling procedure: How should the
respondents be chosen?
Sampling Plan
Types of Samples
Probability Non-Probability
Samples Samples

Simple Random Convenience

Sample Sample
Stratified Judgment
Sample Sample
Cluster Quota
Sample Sample
Systematic Snowball
Sample Sample
 Probability Samples

A sample in which every element in

Probability the population has a known
Sample statistical likelihood of being
selected.

Random A sample arranged so that every

element of the population has an
Sample
equal chance of being selected.
Nonprobability Samples

Any sample in which little or

Nonprobability no attempt is made to get a
Sample representative cross-section
of the population.

A form of nonprobability sample

Convenience using respondents who are
Sample convenient or readily
accessible to the researcher.
 Types of Errors
Error when there is a difference
Measurement
between the information desired and the
Error
information provided by the process

Sampling Error when a sample somehow does not

Error represent the target population.

Error when a sample drawn from a

Frame
population differs from the
Error target population.
Error because the selected sample is
Random
an imperfect representation of
Error the overall population.
Step 4: Analyzing Data
Converting data into information to explain,
predict and/or evaluate a particular
situation.
Step 5: Presenting Results
Executive Summary

Body

Conclusions

Limitations

Supplements including tables,

figures, appendices
Limitations of Marketing Research
A narrow conception of the research
Uneven caliber of researchers
Poor framing of the problem
Late and occasionally erroneous findings
Personality and presentational differences
 Glossary
Conclusive research provides the information needed to confirm preliminary
insights and which managers can use to pursue appropriate courses of
action.
Data are raw numbers or other factual information that, on their own, have
limited value to marketers.
Experimental research is a type of quantitative research that systematically
manipulates one or more variables to determine which variables have a
causal effect on another variable.
Exploratory research attempts to begin to understand the phenomenon of
interest and provides initial information when the problem lacks any clear
definition.
A marketing information system (MkIS) is a set of procedures and methods
that apply to the regular, planned collection, analysis, and presentation of
information that then may be used in marketing decisions.
 Glossary
Marketing research consists of a set of techniques and principles for
systematically collecting, recording, analyzing, and interpreting data
that can aid decision makers involved in marketing goods, services, or
ideas.
Panel research is a type of quantitative research that involves collecting
information from a group of consumers (the panel) over time.
A survey is a systematic means of collecting information from people
that generally uses a questionnaire.
Syndicated data are data available for a fee from commercial research
firms such as Information Resources Inc. (IRI), National Purchase Diary
Panel, and ACNielsen.