3
Scanning the Marketing
Environment, Forecasting
Demand, and Conducting
Marketing Research
Chapter Questions
What are the components of a modern
marketing information system?
What are useful internal records?
What makes up a marketing intelligence
system?
What are some influential macro
environment developments?
How can companies accurately measure
and forecast demand?
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-2
the United States edition of Marketing Management, 14e.
Chapter Questions
What constitutes good marketing research?
What are the best metrics for measuring
marketing productivity?
How can marketers assess their return on
investment of marketing expenditures?
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-3
the United States edition of Marketing Management, 14e.
What Is a
Marketing Information System?
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 © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-4
the United States edition of Marketing Management, 14e.
Table 3.2 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 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?
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the United States edition of Marketing Management, 14e.
Internal Records and
Marketing Intelligence
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the United States edition of Marketing Management, 14e.
What Is a
Marketing Intelligence System?
A marketing intelligence system is
a set of procedures and sources that
managers use to obtain everyday
information about developments in
the marketing environment.
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the United States edition of Marketing Management, 14e.
Steps to Quality Marketing Intelligence
Train sales force to scan for new developments
Motivate channel members to share intelligence
Hire external experts to collect intelligence
Network externally
Utilize a customer advisory panel
Utilize government data sources
Purchase information
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-8
the United States edition of Marketing Management, 14e.
Important Sources of Secondary Data
in South Asia
Statistical Outline of India
Centre for Monitoring Indian Economy
(CMIE)
The Marketing Whitebook
Readership Surveys
National Council of Applied Economic
Research (NCAER)
Indian Trade Statistics
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-9
the United States edition of Marketing Management, 14e.
Important Sources of Secondary Data
in South Asia
Web sites such as magindia.com and
agencyfaqs.com
Euromonitor International
Statistics Division of the Government of
Pakistan (http://www.statpak.gov.pk)
The Bangladesh Bureau of Statistics
(http://www.bbs.gov.bd)
The Department of Census and Statistics, Sri
Lanka (http://www.statistics.gov.lk)
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the United States edition of Marketing Management, 14e.
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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the United States edition of Marketing Management, 14e.
Fad
Trend
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the United States edition of Marketing Management, 14e.
Major Forces in the Environment
Demographic
Political-legal Economic
Technological Socio-cultural
Natural
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the United States edition of Marketing Management, 14e.
Population and Demographics
Population growth
Population age mix
Ethnic and other markets
Educational groups
Household patterns
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the United States edition of Marketing Management, 14e.
Economic Environment
Consumer Psychology
Income Distribution
Income, Savings, Debt, Credit
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the United States edition of Marketing Management, 14e.
Income Distribution
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the United States edition of Marketing Management, 14e.
Income Distribution in India
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the United States edition of Marketing Management, 14e.
Sociocultural Environment
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the United States edition of Marketing Management, 14e.
Other Cultural Factors in Marketing
Core beliefs: hard to change
Secondary beliefs: easier to change
Existence of subcultures
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the United States edition of Marketing Management, 14e.
Natural Environment
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the United States edition of Marketing Management, 14e.
Keys to Avoiding
Green Marketing Myopia
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the United States edition of Marketing Management, 14e.
Consumer Environmental
Segments
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the United States edition of Marketing Management, 14e.
Technological Environment
Accelerating Pace of change
Opportunities for innovation
Varying R&D budgets
Increased regulation of change
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-23
the United States edition of Marketing Management, 14e.
The Political-Legal Environment
Business Legislation
Growth of Special Interest
Groups
Government Agencies
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the United States edition of Marketing Management, 14e.
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the United States edition of Marketing Management, 14e.
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the United States edition of Marketing Management, 14e.
Market Demand Functions
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the United States edition of Marketing Management, 14e.
Estimating Current Demand:
Total Market Potential
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the United States edition of Marketing Management, 14e.
Market-Buildup
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the United States edition of Marketing Management, 14e.
Multiple-Factor Index
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the United States edition of Marketing Management, 14e.
Estimating Future Demand
Survey of Buyers’ Intentions
Composite of Sales Force Opinions
Expert Opinion
Past-Sales Analysis
Market-Test Method
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-31
the United States edition of Marketing Management, 14e.
What Is 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.
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the United States edition of Marketing Management, 14e.
Market Research process
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the United States edition of Marketing Management, 14e.
Step 1: Define the Problem
Define the problem
Specify decision alternatives
State research objectives
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the United States edition of Marketing Management, 14e.
Step 2: Develop the Research Plan
Data sources
Research approach
Research instruments
Sampling plan
Contact methods
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-35
the United States edition of Marketing Management, 14e.
Research Approaches
Observational and ethnographic
Focus group
Survey
Behavioral data
Experimental research
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the United States edition of Marketing Management, 14e.
Research Instruments
Questionnaires
Qualitative Measures
Technological Devices
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the United States edition of Marketing Management, 14e.
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?
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the United States edition of Marketing Management, 14e.
Contact Methods
Mail contacts
Telephone contacts
Personal contacts
Online contacts
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the United States edition of Marketing Management, 14e.
What Is a
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.
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-40
the United States edition of Marketing Management, 14e.
Characteristics of good Marketing
Research
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the United States edition of Marketing Management, 14e.
What Are Marketing Metrics?
Marketing metrics are the set of measures
that helps marketers quantify, compare, and
interpret marketing performance.
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the United States edition of Marketing Management, 14e.
Marketing-Mix Modeling
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the United States edition of Marketing Management, 14e.
For Review
What are the components of a modern
marketing information system?
What are useful internal records?
What makes up a marketing intelligence
system?
What are some influential macroenvironment
developments?
How can companies accurately measure and
forecast demand?
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-44
the United States edition of Marketing Management, 14e.
For Review
What constitutes good marketing research?
What are the best metrics for measuring
marketing productivity?
How can marketers assess their return on
investment of marketing expenditures?
Copyright © 2013 Dorling Kindersley (India) Pvt Ltd. Authorized adaptation from 3-45
the United States edition of Marketing Management, 14e.
