COMPONENTS OF A

MODERN
MARKETING INFO SYSTEM

INTERNAL RECORDS &

MARKETING INTELLIGENCE

ORDER-TO-PAYMENT CYCLE

SALES INFORMATION SYSTEMS

SALES INFORMATION SYSTEMS

DATABASES,
DATA WAREHOUSING, AND DATA MINING

INTERNAL
RECORDS

MIS
THE MARKETING INTELLIGENCE SYSTEM
(MIS)

-Train sales reps

-Mystery shoppers
-Network externally
-Customer advisory panel
-Government data
-Outside suppliers
-Feedback systems
THE MARKETING INTELLIGENCE SYSTEM

ANALYZING THE
MACROENVIRONMENT

-Successful companies recognize and

respond profitably to unmet needs and
trends

-To help marketers spot cultural shifts that

might bring new opportunities or threats,
several firms offer social-cultural forecasts
-We can draw distinctions among fads,
trends, and megatrends

MEGATREND

FAD
unpredictable, shortlived, and without social,
economic, and political
significance

TREND

large social, economic,

political, and technological
changes [that] are slow to
form, and influence us for
some timebetween seven
and ten years, or longer

a direction or sequence of
events with momentum and
durability.

TRENDS AND MEGATRENDS

IDENTIFYING MAJOR
FORCES OF CHANGE

ENVIRONMENTAL
FORCES

THE DEMOGRAPHIC
ENVIRONMENT

Marketers are keenly interested in

the:
-Size and growth rate of populations
in cities, regions, and nations
-Age distribution and ethnic mix
-Educational levels
-Household patterns
-Regional characteristics and
movements

1. by age group
2. by cohort (marketers prefer this)
Cohorts are group of individuals who are
born during the same time period and
travel through life together.

AGE DISTRIBUTION

Social groups that have certain

specific wants and buying habits.

ETHNIC/RACIAL MIX

The five main educational groups

are:
1. illiterates
2. HS dropouts
3. HS degree holders
4. college degree holders
5. professional degree holders

EDUCATIONAL GROUP

traditional: mother, father, children,

(grandparents)
non-traditional: single parents,
live-ins, childless married couples,
singles, etc.

HOUSEHOLD PATTERNS

This is a period of great migratory

movements between and within
countries.

GEORGRAPHICAL SHIFTS

KEY TRENDS IN
DEMOGRAPHIC ENVIRONMENT

OTHER MAJOR

MACROENVIRONMENTS

ECONOMIC
-Available purchasing power in an economy
depends on current income, prices, savings, debt
and credit availability
-Marketers must pay careful attention to trends
affecting purchasing power

ECONOMIC
Marketers can have a strong impact on
business especially for companies who have
products that are geared to high-income and
price-sensitive consumers.

4 TYPES OF
INCOME DISTRIBUTION
1. Subsistence economies - few opportunities for
marketers
2. Raw-material-exporting economies - good
markets for equipment, tools, supplies and luxury
goods for the rich
3. Industrializing economies - new upper class and
a growing middle class demand new types of goods
4. Industrial economies - rich markets for all sorts of
good

5 DIFF. INCOME
DISTRIBUTION PATTERNS
1. very low incomes
2. mostly low incomes
3. very low, high incomes
4. low medium, high
incomes
5. mostly medium incomes

SAVINGS,DEBT
AND CREDIBILITY
Consumer expenditures are
affected by savings, debts and
credit availability

SOCIO-CULTURAL
-shapes beliefs, values and norms that largely define
these tastes and preferences
-people absorb, almost unconsciously, a worldview that
defines their
-view of themselves
-view of others
-view of organizations

-view of society
-view of nature
-view of the universe

VIEW OF THEMSELVES
-People vary in the relative emphasis they place on
self-gratification
-Marketers must recognize there are different groups
with different views of themselves

VIEW OF OTHERS
-People want to seek their own kind,
avoid strangers and have a serious
long-lasting relationship with a few
others
-These trends portend a growing market
for social-support products and services
-They also suggest a growing market for
social surrogates like video games,
chat room and the like.

VIEW OF ORGANIZATIONS
-Varied attitudes toward corporations government
agencies, trade unions and other organizations
-work seems not to be a source of satisfaction but as
a required chore to earn money to enjoy their nonwork hours.

-companies need to find new ways to win back

consumer and employee confidence

VIEW OF SOCIETY

VIEW OF NATURE

-People vary in their attitudes toward nature.

-A long term trend has been humankinds growing
mastery of nature through technology.

VIEW OF UNIVERSE
-Varied beliefs about the origin of the universe and
their place in it
-There has been a trend to breed a countertrend as
indicated by a worldwide rise in religious
fundamentalism

-Core beliefs and values are passed on from parents

to children and are reinforced by major social
institutions (e.g. schools and governments)
-Secondary beliefs and values are more open to
change
-Marketers have more chance of changing
secondary values than core values

HIGH PERSTISTENCE
OF CORE CULTURAL SERVICE

-Each society contains subcultures, groups with

shared values emerging from their special life
experiences of circumstances
- Marketers sometimes reap unexpected rewards
in targeting subcultures
-Marketers also have always loved teenagers
because they are societys trendsetters in fashion,
music, etc

EXISTENCE OF
SUBCULTURES

NATURAL

NATURAL
-Imposing new regulations can hit certain
industries very hard
-environment-friendly fuels for steel
companies
-expensive emission controls for cars
-biodegradability for soaps

prosperity + environmental protection= :)

NATURAL
-Imposing new regulations can hit certain

NATURAL
-Obstacles of marketers of green sales pitches:
1. overexposure and lack of credibility
2. consumer behavior
3. poor implementation
How to avoid those:
1. consumer value positioning
2. calibration of consumer
knowledge
3. credibility of product claims

TECHNOLOGICAL

TECHNOLOGICAL

TECHNOLOGICAL

-New technology also creates major longrun consequences that are not always
foreseeable
The marketer should monitor the trends in
technology:
(1) pace of change
(2) opportunity for innovation
(3) varying R and D budgets
(3)increased regulation

POLITICAL-LEGAL

- marketers must work within the many laws

regulating business practices, engage with various
special-interest groups, exploit opportunities
arising from market reform, and deal with
corruption

Composed of:
-laws
-government agencies
-pressure groups

that influence and limit

various orgs. and
individuals. corruption

INCREASE IN
BUSINESS LEGISLATION
-to protect companies from unfair competition
-to protect consumers from unfair business
practices
-to protect the interests of society from
unbridled business behavior
-to charge businesses with the social costs
created by their products or production
process

GROWTH OF SPECIAL-INTEREST
GROUPS
Consumerist movement an organized movement of
citizens and government to
strengthen the rights and
powers of buyers in
relation to sellers.

GROWTH OF SPECIAL-INTEREST
GROUPS
-more and more people are being
advocates of organic and cruelty-free
products
-must market products that attract both
the average consumer and the wellinformed consumer

-the information on the product

(ingredients, health benefits, etc) must
be presented transparently

-more and more people are being

advocates of organic and cruelty-free
products
-must market products that attract both
the average consumer and the wellinformed consumer

-the information on the product

(ingredients, health benefits, etc) must
be presented transparently

MARKET REFORM
Governments may introduce market reforms to be
consistent with their national building agenda
- a local conscious effort of the government to
reduce foreign investments due to belief that
Filipinos should own properties and/or businesses
in their own country
- allows more Filipino businesses to flourish,
however, it also pushes away legitimately ideal
investments for the Philippines.

CORRUPTION
-hinders economic
development
-the collective power of
corruption as a whole lessens
the productivity and efficiency
of businesses inspite of high
levels of sales.

In the Philippine setting,

various government projects
- fertilizer (scams)
-setting up of flagpoles
- building of bridges and
roads
The actual costs of these
projects are way below the
prices that they are listed;
allotment have been pocketed