Marketing Information System

Marketing Information System

·         A Marketing Information System (MkIS) is a Management Information System (MIS) designed to support marketing decision making.

·         It as a system in which marketing data is formally gathered, stored, analysed and distributed to managers in accordance with their informational needs on a regular basis.

·         Marketing Information System (MkIS) can also be defined  as “a system that analyzes and assesses marketing information, gathered continuously from sources inside and outside an organization.”

·          Furthermore, “an overall Marketing Information System can be defined as a set structure of procedures and methods for the regular, planned collection, analysis and presentation of information for use in making marketing decisions.

·          MkIS is also defined more broadly as people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers.

MkIS systems are composed on four components: (1) user interfaces, (2) applications software, (3) databases, and (4) systems support. The following is a description of each one of these components.

1. User interfaces. The essential element of the MkIS is the managers who will use the system and the interface they need to effectively analyze and use marketing information. The design of the system will depend on what type of decision managers need to make.

2. Application software. These are the programs that marketing decision makers use to collect, analyze, and manage data for the purpose of developing the information necessary for marketing decisions.

3. Database marketing. A marketing database is a system in which marketing data files are organized and stored.

4. System support. This component consists of system managers who manage and maintain the system assets including software and hardware network, monitor its activities and ensure compliance with organizational policies.

Service Marketing

Service Marketing

Characteristics of a Service

What exactly are the characteristics of a service? How are services different from a product? In fact many organisations do have service elements to the product they sell.

There are five characteristics to a service which will be discussed below.

1. Lack of ownership.

You cannot own and store a service like you can a product. Services are used or hired for a period of time. For example when buying a ticket to the USA the service lasts maybe 9 hours each way , but consumers want and expect excellent service for that time. Because you can measure the duration of the service consumers become more demanding of it.

2. Intangibility

You cannot hold or touch a service unlike a product. In saying that although services are intangible the experience consumers obtain from the service has an impact on how they will perceive it. What do consumers perceive from customer service? the location, and the inner presentation of where they are purchasing the service?.

3. Inseparability

Services cannot be separated from the service providers. A product when produced can be taken away from the producer. However a service is produced at or near the point of purchase. Take visiting a restaurant, you order your meal, the waiting and delivery of the meal, the service provided by the waiter/ress is all apart of the service production process and is inseparable, the staff in a restaurant are as apart of the process as well as the quality of food provided.

4. Perishibility

Services last a specific time and cannot be stored like a product for later use. If travelling by train, coach or air the service will only last the duration of the journey. The service is developed and used almost simultaneously. Again because of this time constraint consumers demand more.

5. Heterogeneity

It is very difficult to make each service experience identical. If travelling by plane the service quality may differ from the first time you travelled by that airline to the second, because the airhostess is more or less experienced.
A concert performed by a group on two nights may differ in slight ways because it is very difficult to standardise every dance move. Generally systems and procedures are put into place to make sure the service provided is consistent all the time, training in service organisations is essential for this, however in saying this there will always be subtle differences.

The 9 Ps in Marketing Mix

The 9 Ps in Marketing Mix

Marketing Mix

https://youtu.be/L4-htPwGy8k

The term ‘marketing mix’ refers to the planned mix of the controllable elements of a product's marketing plan. 

Traditionally, elements of the marketing mix are often referred to the 4Ps,: Product, Price, Promotion and Place. As society evolved, more Ps were added to the marketing mix and now we have 9 Ps in total.

These are:

https://youtu.be/x4BDhmODHdI

'Product' is a tangible object or an intangible one for sale. Examples of tangible objects are gasoline and pens, and of course, real estate as well. Intangible products are service-based like transportation, hotel accommodations or insurance.

'Price' is the amount that a product is asking in the market. It is determined by a number of factors including market positioning, market share, competition, cost, product identity and the customer's perceived value. A business may increase or decrease the price of product if the product is in demand or in competition.

'Place' refers to the location where a product can be purchased or the target market of the product.  It also refers to the channel where the product is available for sale. Therefore, it is often referred to as the distribution channel.

'Promotion' is all the communications that a marketer may use in the marketplace. It has five distinct elements: personal selling, advertising, sales promotion, direct marketing, and public relations.

'People' is the transactional interface between an organization and the consumers. In most of the cases, people buy from people; this is why Customer Relationship Management plays an important role in today’s business culture.

'Process' is the procedure, mechanism and flow of activities to produce a product or to provide services or products to consumers. For example, the prevailing ISO standards (such as ISO 9001) are designed to help organizations ensure their process can meet the needs of customers and other stakeholders in their field.

'Physical Evidence' is the tangible element that allows the consumers to make judgments about the organization. Examples are: Premises, Websites, Paperwork (such as tickets), Brochures, Signage (such as those on aircraft and vehicles), Uniforms, Business cards
https://youtu.be/x4BDhmODHdI

'Packaging' is the process of enclosing or protecting products for distribution, storage, sale, and use, it also refers to the process of design, evaluation, and production of packages and the image of the organization.

https://youtu.be/x4BDhmODHdI

'Payment' is the consideration for the delivery of products and services. It can be in different formats: cash, cheque, credit and even barters or loyalty program points. Terms of payment affect the ease of transaction which may also affect the buying behaviour of the consumers.