Chapter 5 Slide 1

Marketing Research and

Information Systems
Chapter 5
 Chapter 5 Slide 2

Chapter Objectives
Define and discuss the following:
• Marketing Information System
• Information Needs
• Developing Information (Internal Records, Marketing
Intelligence, Marketing, The Marketing Research
Process)
• Information Analysis
• Distributing Information
 Chapter 5 Slide 3

Marketing Information System (MKIS)

• A structure consisting of people, equipment, and
procedures to continually gather and analyze data to
provide marketing managers with information they
need to make decisions.
 Chapter 5 Slide 4

Tasks of the MKIS

• Define the information requirements of the marketer.
• Develop the needed information.
• Distribute the information at the time they are needed.
 Chapter 5 Slide 5

Concept of Marketing Information

System
 Chapter 5 Slide 6

Defining Information Needs

The marketing decision-maker is:

fully aware of his information needs and forwards his query to the MKIS
department;

aware of his information needs but does not seek the assistance of the MKIS
department.

aware of some information requirements but forwards an

inappropriate query to the MKIS department; or

not aware of the existence of useful information and as a

consequence does not make a query to the MKIS department.
 Chapter 5 Slide 7

Developing Information
• If the information is not available, the department
must make efforts to generate it from either or both of
the two sources: internal and external.
 Chapter 5 Slide 8

Marketing Intelligence
• It refers to the gathering of everyday information
about developments in the marketing environment.
 Chapter 5 Slide 9

Marketing Research
• It compliments marketing intelligence in providing useful
information to the marketing department.
• It is defined as the systematic gathering, recording, and
analyzing of data about problems relating to the
marketing of goods and services.
 Chapter 5 Slide 10

The Marketing Research Process

Definition of the Problem

Situation Analysis

Obtaining Primary Data

Interpretation of Data

Problem Solution
 Chapter 5 Slide 11

Definition of the Problem

• In identifying the problem, one must be able to
distinguish the difference between problems and
symptoms.
 Chapter 5 Slide 12

Situation Analysis
• It is an informal investigation of available information,
which may further define the problem and indicate
what additional information is required.
 Chapter 5 Slide 13

Sources of Data
• Data may be collected from primary and secondary
sources.
• There are three methods of obtaining primary data:
observation; survey; and experiment.
 Chapter 5 Slide 14

Interpretation of Data
• This means bringing out the meaning of data or
converting mere data into information.
• Data analysis can be made by tests of significance or
explanation of observed differences.
 Chapter 5 Slide 15

Problem Solution
• Alternative solutions are presented. From there, the
net advantage of each alternative solution is derived to
come up with a final decision.
 Chapter 5 Slide 16

Chapter Exercise
1. What is a marketing information system?
2. What is the task of the MKIS?
3. What areas of concern confronts the MKIS
department?
4. If the required information is not available, how does
the MKIS department obtain it?
5. What may be considered as internal records when
developing information?
 Chapter 5 Slide 17

Chapter Exercise
6. What is marketing intelligence?
7. What is marketing research?
8. What steps are considered in the marketing research
process?
9. How is primary data obtained?
10. What is the main advantage of the observation
method?
 Chapter 5 Slide 18

Answer Key
1. What is a marketing information system?
The marketing information is designed to define the
information needs of the marketer, to develop
information that will address the identified need, and
to distribute them to the concerned parties.
2. What is the task of the MKIS?
Tasks of a MKIS are to define the information
requirements of the marketer, to develop the needed
information, and to distribute the information at the
time they are needed.
 Chapter 5 Slide 19

Answer Key
3. What areas of concern confronts the MKIS department?
In the first area of concern, the MKIS department will just
have to provide the required information. The second area
of concern deals with instances where the decision-maker is
aware of his information needs but does not seek the
assistance of the MKIS department. The third area of
concern is about the decision-maker who forwards a wrong
query and as a consequence is provided with information of
little or no value. The fourth area of concern involves the
decision-maker who does not make a query because he is
 Chapter 5 Slide 20

Answer Key
not aware of the existence of useful information which
may already be in the possession of the MKIS
department.
4. If the required information is not available, how does
the MKIS department obtain it?
If the information is not available, the department
must make efforts to generate it from either or both
of the two sources: internal (within the company); and
external (outside the company).
 Chapter 5 Slide 21

Answer Key
5. What may be considered as internal records when
developing information?
Internal records comprise accounting records,
manufacturing records, sales department records,
customer service department records, and information
gathered by other departments.
 Chapter 5 Slide 22

Answer Key
6. What is marketing intelligence?
Marketing intelligence refers to the gathering of
everyday information about developments in the
marketing environment.
7. What is marketing research?
Marketing research is used to seek answers to
questions concerning market potential, market share,
market characteristics, and others.
 Chapter 5 Slide 23

Answer Key
8. What steps are considered in the marketing research
process?
The marketing research process consists of
definition of the problem, situation analysis, obtaining
primary data, interpretation of data, and
recommending problem solutions.
9. How is primary data obtained?
There are three methods of obtaining primary data.
These are observation, survey, and experiment.
 Chapter 5 Slide 24

Answer Key
10. What is the main advantage of the observation
method?
In using the observation method, primary data are
gathered by observing actions of the respondent. The
observation method can be highly accurate. The
subjects are not aware that they are being observed,
so they act naturally.