Managing

to gain Customer Insights

Usman Afzal, Principles of Marketing, Bahria University, Islamabad, 2016.

Learning

Understand the importance of information to the companies in

gaining insights about the marketplace and customers.

Describe the marketing information system and discuss its parts.

Outline the steps in the marketing research process.

Clarify how companies analyze and use marketing information.

Recognize the special issues some marketing researchers face,

including public policy and ethical issues.

Customer Insights
Fresh understanding of customers and the marketplace
derived from marketing information that become the basis
for creating customer value and relationships

Customer Insights
Fresh and deep insights into customers needs and wants

Difficult to obtain
Not obvious
Customers unsure of their behavior
Not derived from more information but better information and

more effective use of existing information

Customer Insights
Companies are forming customer insights teams

Include all company functional areas

Use insights to create more value for their customers
Customer control could be a problem

What is Marketing Information System?

Marketing Information System (MIS) Consists of people,

equipment, and procedures that gather, sort, analyze, evaluate, and

distribute needed, timely, and accurate information to marketing
decision makers.
Consists of people and procedures for:
Assessing informational needs

Developing needed information

Helping decision makers use the information to generate customer

insights

The Marketing Information System

Marketing managers and other information users
Obtaining customer and market insights from marketing information

Marketing Information System

Developing Needed Information

Assessing
Information
Needs

Internal
Databases

Marketing
Intelligence

Marketing
Research

Analyzing
and Using
Information

Marketing Environment
Target
Markets

Marketing
Channels

Competitors

Publics

Macroenvironment
Forces

Assessing Marketing Information Needs

MIS primarily serves the companys marketing and other

managers.
Also provide information to external partners such as

suppliers, resellers, and marketing services agencies.

Effective MIS balances the information users would like to

have against what they really need and what is feasible to offer.

Developing Marketing Information

Marketers can obtain the needed information from internal

data, marketing intelligence, and market research.

Many companies build extensive internal databases,

electronic collections of consumer and market information obtained

from data sources within the company network.

Marketing department furnishes information on customer

transactions, demographics, psychographics, and buying

behavior.

Developing Marketing Information

Marketing intelligence is the systematic collection and

analysis of publicly available information about customers,

competitors, and developments in marketplace.
The aim is to improve strategic decision making by:
understanding the consumer environment
assessing and tracking competitors actions, and
providing early warnings of opportunities and threats.

Marketing Research
Marketing research is the systematic design, collection, analysis,

and reporting of data relevant to a specific marketing situation facing

an organization.
The marketing research process has four steps:

The decision by Tapal Tea to offer a new hardpack SKU that would
give households in Punjab the traditional tea for every moment and
everyone called for marketing research that provides lots of specific
information

The firm is revitalizing Tapal Tea by offering a new hardpack SKU that
would give households in Punjab the traditional tea for every
moment and everyone

Market research deals specifically with the gathering of

information about size and trends.

Marketing research covers a wider range of activities

although it may also involve market research.

Marketing research is a more general

systematic process that can be applied to a
variety of marketing problems such as
brand positioning, knowing customer
preferences and sales strategy.

Analyzing and Using Marketing Information

Information gathered in databases and through marketing

intelligence and research requires additional analysis.

Managers need assistance applying the relevant information to gain

customer and market insights.

Statistical analysis and data analytic modeling is used to learn more

about the relationships within a set of data.

Once the information is processed and analyzed, it must made

available to the right decision makers at the right time.

Big Data: The Management revolution

Big data consist of mountains of mostly unstructured

data in the form of web logs, videos, speech

recordings, photographs, e-mails, and tweets.

The term refers to data sets that are so large or

complex that traditional data processing applications

are inadequate.
Volume
Velocity
Variety

Challenges include analysis, capture, data curation,

search, sharing, storage, transfer, visualization,

querying and information privacy.

Big Data Enablers and Analytics

Recent explosion of social media and the computerization

of every aspect of economic activity.

In a parallel development, computers kept getting ever

more powerful and storage ever cheaper.

Today, we have the ability to reliably and cheaply:

store huge volumes of data,

efficiently analyze them, and
extract relevant information.

Key Lessons from Big Data

Data and analytics are effective approaches to decision-making

It is complex to build and use data analysis programs, but the

results make the effort worthwhile

There are several different types of analytics, including

descriptive, predictive, and prescriptive analytics

It is important to understand the relationships among variables in

past data before making decisions about the future

Making decisions that involve multiple variables can be a complex

balancing act

Small businessess also need market research too. Before opening her
own designer clothing business, Tehmina Haq conducted a lot of low
budget research.

Unethical

Ethics