Detailed Introduction of Marketing Information System (MkIS)
MkIS Marketing Information System (MkIS) collects, analyses, and supplies a lot of relevant information to the marketing managers.
It is a valuable tool for planning, implementing and controlling the marketing activities.
The role of MIS is to identify (find out) what sort of information is required by the marketing managers.
It then collects and analyzes the information. It supplies this information to the marketing manager at the right time.
The business function of marketing is concerned with the planning, promotion, and sale of existing products in existing markets, and the development of new products and new markets to better serve present and potential customers.
Marketing information system integrate the information flow required by many marketing activities.
It Consists of people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers.
MkIS is a permanent and continuous process.
Marketing information includes all facts, estimates, opinions, guidelines, policies and other data which is necessary for taking marketing decisions.
This information may be collected from both internal and external sources.
from customers, competitors, company salesmen, government sources, specialized agencies, so on.
This information is analyzed. Then, it is supplied to the marketing managers. The marketing managers use this information for taking marketing decisions.
MkIS also evaluates and stores the information. MkIS uses modern technology for collecting, analyzing, storing and supplying information.
MkIS Provides Information For
Internet/intranet web sites and services make an interactive marketing process possible where customers can become partners in creating, marketing, purchasing, and improving products and services.
Sales force automation systems use mobile computing and Internet technologies to automate many information processing activities for sales support and management.
Other marketing systems assist marketing managers in product planning, pricing, and other product management decision, advertising and sales promotion strategies, and market research and forecasting.
Planning, control, and transaction processing in the marketing function.
Control Reporting Systems support the efforts of marketing managers to control the efficiency and effectiveness of the selling and distribution of products and services.
Analytical reports provide information on a firm’s actual performance versus planned marketing objectives.
Characteristics / Features of MkIS
Continuous system : MkIS is a permanent and continuous system of collecting information. It collects information continuously.
Basic objective : The basic objective of MIS is to provide the right-information at the right-time to the right-people to help them take right decisions.
Computer based system : MkIS is a computer-based system. It uses computers for storing, analyzing and supplying information. It also uses micro-films for storing information. Therefore, it is very quick and accurate.
Future-oriented : MkIS is future-oriented. It provides information for solving future problems. It is not past-oriented.
Used by all levels : MkIS is used by all three levels of management, i.e. top, middle and lower. It is used for making marketing plans, policies and strategies. This is used to solve marketing problems and to take advantage of business opportunities.
Sources : MIS collects information from both, internal and external sources. For example, information is collected from company records, publications, etc.
Collects marketing information : MIS collects all types of marketing information. It collects information about the consumer competition, marketing environment, government policies, etc. It supplies this information to the marketing managers.
Helps in decision making : MIS supplies up-to-date and accurate information. It helps marketing managers to take quick and right decisions.
Other Features may includes:
MkIS provides facilities for analyzing effectiveness of advertisement campaigns
It helps in finding customer clusters
It also helps in converting potential customers to buyers
Helps in setting price of products
Helps in sales trend analysis
COMPONENTS OF MkIS
MkIS collects the information through its subsystems. These subsystems are called components.
The four main components of Marketing Information System (MIS) are:
Internal Database
Marketing Intelligence System
Marketing Research System, and
Marketing Decision Support System.
(a) Internal Record:
The first component of MIS is ‘Internal Record’.
Marketing managers get lots of information from the internal-records of the company.
These records provide current information about sales, costs, inventories, cash flows and account receivable and payable.
Many companies maintain their computerized internal records.
Inside records help marketing managers to gain faster access to reliable information.