Download Acquire foundational knowledge of marketing-information

Acquire foundational knowledge of
marketing-information management to
understand its nature and scope
Marketing
Indicator
1.05
Three types of information used in
marketing decision making
• Customer
• Marketing mix
• Business Environment
Customer Information
• Age
• Gender
• Income
• Education
• Family size
• Home
ownership
• Address
• Occupation
• How money • Brand
is spent
• Attitudes
• Primary
needs
• Product
purchases
• Purchase
frequency
preferences
• Information
needs
• Media
preferences
• Shopping
behavior
Marketing Mix
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Basic Products
Product Features
Services
Product packaging
Guarantees
Repairs
Credit Choice
Discounts
Promotion Methods
Business Environment
• Type of competition • New technology
• Competitors’
• Consumer protection
strengths
• Ethical issues
• Competitors’
• Tax policies
strategies
• Proposed laws
• Economic conditions • International
• Government
markets
regulations
Why is Marketing Information Needed?
• To identify potential customers,
potential products, marketing
opportunities, solve marketing
problems, implement marketing
plans, and monitor marketing
performance.
The Impact of Marketing
Information on Marketers
• Marketing research is used when a business
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needs to solve problems.
Helps answer questions about what to
produce, at what price to sell the products,
who will buy the products, and how to
promote the products
Helps businesses plan their future operations to
increase sales and profits.
Understand markets.
Companies keep track of what happening in
current markets.
Ways Marketers Use Marketing
Information
• Analysis----the process of summarizing, combining, or comparing
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information so that decisions can be made.
Examples include
– Planning a promotional budget.
– Effectiveness of one retailer in a channel of distribution.
– Costs of marketing activities for national and international activities.
• Example: Stouffer’s Lean Cuisine—13 years of market research
– Develop product
– Test package design
– Hold pilot sales in large cities
• Track what is happening in current markets
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Determine major competitors
What major competitors are offering
Which products consumers prefer
Customer satisfaction with product
Information contained in sales and
expense reports that is monitored
for marketing decision-making.
• Market Share Analysis — the percentage of all sales within a
market that is held by one brand / product or company. Normally
measured by sales revenue or sales volume (the number of units
sold)
• Sales Volume Analysis — A detailed study of an organization's
sales, in terms of units or revenue, for a specified period.
• Accounting Information analyzed
– Spending/Costs to produce and sell products
– Profitability/ Sales – Total Costs
• Sales
– How much did they have to discount the product to achieve the sale?
– What expenses went into each sale?
• Inventory/How much product is left in inventory
• Payroll
– How much commission did they have to pay the sales rep?
Information in reports provided by
salespeople that is monitored for use
in marketing decision-making.
• Request & Complaint reports/products customers
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requested and problems customers reported
Lost sales reports/ cancelled orders or under stocked
items
Call reports/what happened in each sales call
Activity reports/ all travel, phone calls and in person
sales calls for a given period of time
Retail audits to measure market sales, competitor’s
sales, market share, prices, special offers, stock levels by
week or day
Product information reports– types of products that
sell best at various times of year; colors or sizes of
products customers prefer
Information about customers that is
monitored for marketing decisionmaking.
• Demographic data (age, gender, ethnicity)
• Buying habits (time of day, repeat products, amount
spent—full price or on sale, types of products)
– Ex: Diapers and beer purchased by men on Thursdays and
Saturdays
– Ex: Saturday is day most people do major grocery shopping
• Credit record
– Job
– Income level
– Marital status
• Customer requests (what products or varieties are
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requested that you don’t carry)
Receipts (is a certain neighborhood or ZIP code
frequenting your establishment more than others)
Explain information about
competitors that is monitored for
marketing decision-making.
• USP’s (unique selling points) of our product vs.
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competition to find our advantage. Is that
advantage sustainable?
Financial records for public companies (GE, Ford,
Apple)
Insight into company’s strengths, weaknesses,
and future plans (new products, marketing
campaigns)
Market share analysis
Sales volume data
Procedures for identifying
information to monitor for
marketing decision-making.
• Identify data needed for decision-making
• Create a plan for collecting, storing and
analyzing that data
• Compile a list of secondary sources of
data
• Retrieve the data you need
• Analyze/use data to make decisions