Chapter 4: Marketing: Managing Marketing Information to Gain Customer Insights Flashcards
A Definition of market insight
“A market insight is the discovery of a relevant and previously unrealized reality about a target market as the result of data analysis and observations. The goal of insight in marketing is meeting your target audience’s true needs and wants while simultaneously profiting.”
More simply:
▪ It’s a value or belief that triggers a certain type of consumption behavior
▪ An unresolved consumer problem
Customer insights def
Customer insights are fresh marketing information-based
understandings of customers and the marketplace that become the basis for creating customer value, engagement, and relationships.
Nielsen helps client companies to turn its research and media data into consumer insights solutions that guide their marketing strategies.
- Fresh and deep insights into customer needs and wants
- Companies use customer insights to develop a competitive advantage
- Insights can be difficult to obtain; marketers must manage marketing information from a wide range of sources
What is Big Data
- Big data is the huge and complex data sets generated by
today’s sophisticated information generation, collection,
storage, and analysis technologies. - Big data comes from marketing research, internal transaction data, and real-time data flowing from its social media monitoring, connected devices, and other digital sources.
Big data refers to the large, diverse sets of information that grow at ever-increasing rates
Managing Marketing Information
- Customer insights teams
– Include all company functional areas
– Collect information from a wide variety of sources
– Use insights to create more value for their customers
Marketing information ecosystem (MIE)
– People, processes, and assets dedicated to assessing managers’ information needs, developing the needed information, and helping managers and decision makers apply that information to generate and validate actionable customer and market insights
A marketing information system (MIS)
A marketing information system (MIS) provides information to the company’s marketing and other managers and external partners such as suppliers, resellers, and marketing service agencies.
It consists of people and procedures for:
– assessing the information needs (product needs)
– developing needed information
– helping decision makers use the information for customer.
Marketers obtain information from:
- Internal data
- Marketing intelligence
- Marketing research
(Market intelligence is the process of external data collection of the m
Internal Data meaning
Internal databases are collections of consumer information and market information obtained from data sources within the company network.
Nordstrom’s Trunk Club has built a loyal following by leveraging the deep data about individual customer
preferences and order histories stored in its databases.
Competitive Marketing Intelligence meaning
the systematic collection and analysis of publicly available information about consumers, competitors, and developments in the marketing environment
In today’s highly competitive environment, companies can
use competitive marketing intelligence to gain early insights
into competitors’ strategies and to prepare quick responses.
Marketing Research meaning (Not Market research)
Marketing research is the systematic design, collection, analysis and reporting of data relevant to a specific marketing situation facing an organization.
What do Market and Marketing research have in common?
Generate insights for better business decisions
(differences slide 22)
Traditional Marketing Research in
Transition
Marketing research in transition: Traditional mainstays such as in-person research surveys and focus groups, although still prevalent and powerful, are now being complemented by newer, more agile, more immediate, and less costly digital data gathering methods
Marketing Research
Defining the Problem and Research Objectives1
- Exploratory research
– The objective of exploratory research is to gather preliminary information that will help define the problem and suggest
hypotheses. - Descriptive research
– Descriptive research describes marketing problems, situations, or markets, such as the market potential for a product or the demographics and attitudes of consumers. - Causal research
– Causal research tests hypothesis about cause-and-effect relationships.
Defining the Problem and Research Objectives 2
Written proposal
* Management problem
* Research objectives
* Information needed
* How the results will help management decisions
* Budget
Secondary data and Primary data
Gathering Secondary Data
* Advantages
– Lower cost
– Obtained quickly
– Cannot collect otherwise
* Disadvantages: Data may not be
– Relevant
– Accurate
– Current
– Impartial
Primary Data Collection
* Research Approaches
* Contact Methods
* Sampling Plan
* Research Instruments
