The Marketing Information System - Essay Example

The Marketing Information System (MIS) Introduction Information is best known as series of signs that may be understood as messages. Information can be stored in the form of codes, or transferred like indications (Casagrande, 1999, p. 6). According to Casagrande (1999), information can be described as any form of occasion that has an impact to the state of a transforming structure, which can break down the information. p. 7. Marketing is a practice of conveying the usefulness of a good or service to clients for the main purpose of having them purchased (Goldstein, 2005, p. 221). The society views marketing as a connection flanked by needs of a community and its financial trends. Above all, marketing is a tool that fulfills the needs of the people via a substituting process and creating enduring partnerships. Marketing Information System is created to provide back up when the need to come up with significant marketing decisions (Kotler, Keller, & Lane, 2006, p. 34). This can be explained as a structure where information regarding marketing is officially examine collected, recorded, examined and sent to administrators in reference with their information requirements regularly. According to Kotler, et al. (2006) marketing information system represents individuals, tools and processes that collect, classify, analyze, examine and dispense required, suitable and right information to the marketing administrators. p.42. This paper narrows down the topic to MIS methods and consumer behavior stimuli. It also outlines the link between MIS methods and consumer behavior stimuli. This paper is systematically structured whereby the main methods to develop marketing information are first introduced. Later on in the paper, these three main methods are linked to consumer behavior stimuli, where appropriate MIS methods to address each buyer behavior stimulus (in B2C and B2B), is established. Finally, the paper discusses each Stimulus in relation to the nature and pros& cons of MIS tool. Three main methods to develop marketing information The marketing information system (MIS) has three main methods to develop marketing information. This includes use of internal data, marketing intelligence and marketing research. Internal Data A large number of firms construct wide internal data bases, electrical compilations of data collected from data resources in the firm. Marketing managers have the ability to retrieve and manage the data and information presented in the data base to establish marketing chances and intricacies (Kotler, 1988, p 102). They can outline action plans and analyze the firms functioning from these internal databases. Above all, the information present in the internal data base can originate from a wide range of resources. For instance, the accounts division can come up with financial accounts and maintains accounts of sale, cost and cash flow. Operation division can accounts for production timelines, shipment and inventory. The sales division can account for reseller feedback and competitor action plans. The marketing division creates information about consumer demography, psycho graphical data and purchasing behavior. The customer care division stores accounts of customer satisfaction or service deliver issues. Above all, the research division of an organization can offer suitable data for other divisions. Marketing Intelligence This is a strategic process of gathering and evaluation of widely accessible information on the subject of business opponents and growth in the marketing background (Kotler, 1988, p 102). The objective of marketing is to advance planned decision making, right of entry and trail competitor activities and offer primary signs of chances and risks. Competitive intelligence compilation has developed significantly as many firms are working hard to gather vital information regarding their competitors. The methods to find crucial information about competitors revolve around asking questions to the firm’s own workers and establishing competitors’ goods via the web, business network and rivals (Kotler, et al, 2006, p. 34). Marketing Research Marketing research is a strategically and scientific process, design of gathering, analyzing and accounting for information pertinent to distinctive market’s state of affairs that face a company (Kotler, et al, 2006, p. 34). Marketing research can be used by companies to determine market potential and share, have a clear understanding of the consumer satisfaction and buying patterns. Above all, it can help marketing managers understand how prices are derived and goods, allocation and marketing actions plans of companies. Despite the fact that, companies are established on the basis of establishing valuable information from competitors, markets frequently require official studies of distinctive occurrences. For instance, companies would like to find out what kind of strategy is appropriate in a marketing action plan. In addition, companies will also require finding out the type of individuals who will purchase their new products in the market (Kotler, 1988, p 102). In these kinds of instances, marketing intelligence will fail to offer comprehensive information required for the marketing managers to come up with appropriate decision making. It is therefore, evident that marketing managers will require marketing research. Consumer Behavior Stimuli in both B2C and B2B contexts Consumer behavior is the process that people, groups, or firms, apply, choose, acquire and order goods, services, experience or thoughts to satisfy their wants (Kuester, 2012, p. 110). Consumer behavior extends to the effects that these groups and individuals endure in the process of acquiring goods and services (Armstrong, 1991, p. 254). Consumer behavior analysis evaluates the attributes of distinctive consumers for instance the background analysis and action related inconsistencies in an action to comprehend individual’s desires and needs (Armstrong, 1991, p. 255). In the present day another term is common in the business market which is the B2C. According to, Kuester (2012), this stands for selling of goods via the internet, or e-selling where producers or merchants sell their goods to consumers via the web. p. 112 Discussion Market information system is created to provide back up to managers in order for them to come up with appropriate decisions on the subject of marketing (Kotler, et al, 2006, p. 35). Fast advancement of markets need fast decision making and response. An efficient marketing information system stores information on the subject of transformation and circumstances of market and removes extra background information. An appropriate marketing information system resolves the challenges that majority of company managers go through as a result of wrong information in a right location and period or when there is lack of adequate/right information on the subject of a distinctive date and location (Kotler, et al, 2006, p. 36). Furthermore, marketing information systems aid marketing managers in making their decision through every connection flanked by manufacturing divisions and departments. For instance, (in the internal data, MIS method of developing marketing information), the sales team can collect information about the behavior of consumers on the subject of innovative goods and use marketing information systems to allocate this information amid product advancement categories (Kotler, 1988, p 103). Marketing information systems increase the capacity to response in contrast to leading trading settings. For instance, organization scan alter the cost of their goods in accordance to data collected from their sellers in order to acquire a great response in opposition to their competitors. Useful marketing information system advances services precisely by creating alterations in goods and services or raising the feedbacks to the needs of the consumers (Casagrande, 1999, p. 7). For instance, new consumer requirements and their requests may be differentiated fast for functioning, by putting to consideration marketing research record. Above all, marketing information systems helps in upgrading the decisions for managers. In this regard, the vital responsibility of using computers and their advanced systems to bring in, handle, production, marketing research and artificial intelligence has multiplied significantly. Highly advanced marketing information systems will advance the managerial actions in every company. In general, marketing information systems advances effectiveness of companies that have competitive advantage. This means that marketing research is an appropriate management system method that addresses the consumer behavior stimulus (in B2C and B2B). Marketing managers frequently go through two major problems. There are instances where consumer behavior information is not available completely and in other occasions the information is bulky. A number of sections of information are statistically generated which means that it cannot offer adequate value presently but in the prospective plans. Therefore, it is valuable to utilize the marketing research method, which concentrates on collecting and storing information for the purposes of having valuable decision making at some point. This is because, MIS entails planned steps for the duration of when the information will be collected, grouped, planned and evaluated and can be applied frequently in and out of the firm (Casagrande, 1999, p. 8). Conclusion In conclusion, from the summary above, it is important to note that that marketing information system is not effectively isolated. This means that, marketing managers need to describe the needed information of consumer behavior stimuli in both B2C and B2B contexts. As a crucial factor, if information acquired is not effective, valuable and timely, it will not be beneficial for coming up with marketing decisions. Owing to this fact, the research firms need to collect innovative information to offer their added and established needs in decision making (Kotler, 1988, p 104). One of the fundamental steps that companies need to attempt in collecting marketing information is to set up an aggressive marketing information management system in the company. The main objective in this type of system is to unleash the needed information to manager in order to enable them come up with advanced and improved decisions. This needs to be done ahead of addressing the consumer behavioral needs. This information can be collected from resources found within in and out of the organization. It is vital to collect significant and needed information in a rightful manner and to correspond it to managers in a means to enable them come up with great marketing decisions. As summarized above in the three main methods to develop marketing information, internal data resources, marketing intelligence and marketing research can be signified as preparing the needed information in an organization. Above all, focusing on the market information management system (MIS), is not simply an information system founded on information communication technology (ICT), but it is an adequate information system that can be determined via ways of information technology if need be (Goldstein, 2005, p. 226). It is important for managers to be aware that this kind of systems can have an effect on the effectiveness of a company. Reference List Casagrande, David 1999. "Information as verb: Re-conceptualizing information for cognitive and ecological models". Journal of Ecological Anthropology 3 (1): 4–13. Goldstein, D.; Lee, Y. 2005. "The rise of right-time marketing". The Journal of Database Marketing & Customer Strategy Management 12 (3): 212–225. Kotler, Philip; Keller, Kevin Lane 2006. Marketing Management (12 ed.). Pearson Education. Kotler, P., 1988. Marketing Management: Analysis Planning and Control, Prentice-Hall p. 102. Kuester, Sabine, 2012: MKT 301: Strategic Marketing & Marketing in Specific Industry Contexts, University of Mannheim, p. 110. Armstrong, J., Scott 1991. "Prediction of Consumer Behavior by Experts and Novices". Journal of Consumer Research (Journal of Consumer Research Inc.) 18: 251–256 Read More