4.1 Marketing Information and Customer Insights Flashcards
What must marketers first gain to create value for customers and build meaningful relationships with them?
To create value for customers and build meaningful relationships with them, marketers must first gain fresh, deep insights into what customers need and want. Such customer insights come from good marketing information.
Companies use these customer insights to develop a competitive advantage.
Definition of Big Data
Big data:
The huge and complex data sets generated by today’s sophisticated information generation, collection, storage, and analysis technologies.
What do marketers need to do with all of the data at their disposal?
Thus, marketers don’t need more information; they need better information.
And they need to make better use of the information they already have. “When it rains, you can’t just drink the water. It must be collected, purified, bottled, and delivered for consumption,” observes a data expert. “Big data works the same way.
It’s a raw resource that is a few important steps away from being useful.”
Where does the real value of marketing information lie?
The real value of marketing information lies in how it is used—in the customer insights that it provides.
Definition of Customer insights
Customer insights:
Fresh marketing information-based understandings of customers and the marketplace that become the basis for creating customer value, engagement, and relationships.
What kind of marketing information system design must companies strive for?
companies must design effective marketing information systems that give managers the right information, in the right form, at the right time and help them to use this information to create customer value, engagement, and stronger customer relationships
Definition of Marketing information system (MIS)
Marketing information system (MIS):
People and procedures dedicated to assessing information needs, developing the needed information, and helping decision makers to use the information to generate and validate actionable customer and market insights.
What is the MIS process?
First, it interacts with these information users to assess information needs.
Next, it interacts with the marketing environment to develop needed information through internal company databases, marketing intelligence activities, and marketing research.
Finally, the MIS helps users to analyze and use the information to develop customer insights, make marketing decisions, and manage customer engagement and relationships.
Figure 4.1 The Marketing Information System
