COLLECTING INFORMATION

& FORECASTING DEMAND

SARAH ZABEEN
TANYA DIZA MEDIASARI
………………………
MARCH 15 2019
CHAPTER QUESTIONS

1. What are the components of a modern marketing information system?

2. What are the useful internal records for a marketing information system?

3. What makes up a marketing intelligence system?

4. What are some influential macroenvironmental developments?

5. How can companies accurately measure and forecast demand?

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COMPONENTS OF A
MODERN MARKETING INFORMATION SYSTEM

Internal company Marketing

Marketing Research
records intelligence activities
• Information that is • Information that is • Studies that are
available to the gathered from designed to provide
company through its external sources either insights and answers
day to day operations. by reading, discussing to specific business
or observing queries or topics

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CHAPTER QUESTIONS

1. What are the components of a modern marketing information system?

2. What are the useful internal records for a marketing information system?

3. What makes up a marketing intelligence system?

4. What are some influential macroenvironmental developments?

5. How can companies accurately measure and forecast demand?

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USEFUL INTERNAL RECORDS

The Order to Payment cycle

• Basic of business – crucial to ensure delivery of customer
• Orders order
• Sales
• Prices Sales Information Systems
• Costs • Sales & Inventory reports on a regular basis

• Inventory levels
• Receivables Databases, Data Warehouses & Data Mining
• Payables • Big Data analytics

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CHAPTER QUESTIONS

1. What are the components of a modern marketing information system?

2. What are the useful internal records for a marketing information system?

3. What makes up a marketing intelligence system?

4. What are some influential macroenvironmental developments?

5. How can companies accurately measure and forecast demand?

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MARKETING INTELLIGENCE SYSTEM

A Marketing Intelligence System is a set of procedures and sources that

managers use to obtain everyday information about developments in
the marketing environment

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8 POSSIBLE WAYS OF COLLECTING MARKETING INTELLIGENCE

Train and motivate the sales force to spot and report

1 new developments

Motivate distributors, retailers and other intermediaries

2 to pass along important intelligence

Hire external experts to collect intelligence

3

Network internally and externally

4

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8 POSSIBLE WAYS OF COLLECTING MARKETING INTELLIGENCE

Setup a customer advisory panel

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Take advantage of government-related data sources

6

Purchase information from outside research firms and

7 vendors

Collecting information from internet

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COLLECTING MARKETING INTELLIGENCE FROM INTERNET

1 Independent review forums

2 Distributor or sales agent feedback sites

3 Combo site with customer and expert opinion

4 Customer complaint sites

5 Public blogs
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COMMUNICATING AND ACTING
ON MARKETING INTELLIGENCE
• The competitive intelligence function
works best when it is closely
coordinated with the decision making
process

• Example: Coke’s Social Media monitoring spotted a twitter

post that went to an upset consumer who couldn’t redeem
a prize from MyCoke rewards program. Coke apologized
and offered to resolve the situation. The consumer later
changes his twitter photo to one where he was holding a
coke bottle

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CHAPTER QUESTIONS

1. What are the components of a modern marketing information system?

2. What are the useful internal records for a marketing information system?

3. What makes up a marketing intelligence system?

4. What are some influential macroenvironmental developments?

5. How can companies accurately measure and forecast demand?

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NEEDS AND TRENDS

• Fad:
• Unpredictable, short-lived and without social, economic and
political significance

• Trend:
• More predictable and durable; shapes the future and provide
direction

• Megatrend:
• Large social, economic, political and technological change that
stays for a longer period

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IDENTIFYING THE MAJOR FORCES

1 DemographicDemographic

2 Economic

3 Socio-cultural

4 Natural
Technological

5 Technological

6 Political-Legal
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DEMOGRAPHIC ENVIRONMENT

1. Worldwide population growth

2. Population age mix

3. Ethnic and other markets

4. Educational groups

5. Household patterns

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ECONOMIC ENVIRONMENT

1. Consumer psychology

2. Income distribution

3. Income savings, debt and credit

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SOCIOCULTURAL ENVIRONMENT

Ourselves

Universe Others

Views
Nature Organizations

Society

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SOCIOCULTURAL ENVIRONMENT

• Core Cultural Values

• Values that are passed from parents to children and reinforced by social
institutions
• Example: Indonesian collective society

• Subcultures
• Groups with shared values, beliefs, preferences and behavior emerging from
their special life experiences or circumstances
• Example: Progressive Indonesian youth – driven by entrepreneurial spirit

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NATURAL ENVIRONMENT

• Consumers and companies are changing the way they view

environmental issues – creating risks and opportunities for businesses

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THE TECHNOLOGICAL ENVIRONMENT

External factors in technology that impact business

operations. A business may have to dramatically
change their operating strategy as a result of
changes in the technological environment.

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THE TECHNOLOGICAL ENVIRONMENT

Marketers should monitor the following technologies trends:

• ACCELERATING PACE OF CHANGE

More ideas than ever are in the works and the time between idea and
implementation is shrinking.
Ex: The Telephone

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THE TECHNOLOGICAL ENVIRONMENT

• UNLIMITED OPPORTUNITIES FOR INNOVATION

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THE TECHNOLOGICAL ENVIRONMENT

• VARYING R&D BUDGETS

• INCREASED REGULATION OF TECHNOLOGICAL CHANGE

U.S Government has expanded its agencies’ power to investigate and ban
potentially unsafe products. Such as Food and Drugs Administration
(FDA)

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THE POLITICAL-LEGAL ENVIRONMENT

Consists of laws, government agencies, and pressure groups that influence organizations and
individuals. Sometimes this create new business opportunities

INCREASED BUSINESS GROWTH OF

LEGISLATION SPECIAL-INTEREST GROUPS
The consumerist
movement organized
To protect:
citizens and government
• Companies from unfair
to strengthen the rights
competition
and powers of buyers
• Consumers from unfair
in relationship to sellers
business practice
• Society from unbridled
To respect:
business behavior
• The rights of consumers
• The safety and privacy of
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customers
CHAPTER QUESTIONS

1. What are the components of a modern marketing information system?

2. What are the useful internal records for a marketing information system?

3. What makes up a marketing intelligence system?

4. What are some influential macroenvironmental developments?

5. How can companies accurately measure and forecast demand?

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FORECASTING AND DEMAND MEASUREMENT

By finance
The company HOW TO
must measure PREPARE??
and forecast the
size, growth, and By manufacture
profit potential of
each new
opportunity

By purchase

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THE MEASURES OF MARKET DEMAND
Figure 3.1
Ninety Types of Demand Measurement
• POTENTIAL MARKET
• AVAILABLE MARKET
• TARGET MARKET
• PENETRATED MARKET

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VOCABULARY FOR DEMAND MEASUREMENT

• What Is Market Demand?

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ESTIMATING CURRENT DEMAND
• TOTAL MARKET POTENTIAL
- If 100 million people buy books each year
- Average book buyer buys 3 books / year with avg price $20 each
Total Market Potential = 100 million X 3 X $20 = $6 Billion

Chain-Ratio Method
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ESTIMATING CURRENT DEMAND

• Area Market Potential to allocate marketing budget, estimate the

market potential of different cities, states, and nations.
There are 2 majors method:

MARKET
MULTIPLE-FACTO
BUILD-UP
R INDEX METHOD
METHOD
Used primarily by
Used primarily by
consumer
business
marketers
marketers

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ESTIMATING CURRENT DEMAND

BRAND DEVELOPMENT INDEX

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ESTIMATING CURRENT DEMAND

• Industry Sales and Market Shares

A company needs to know actual industry levels taking place in its market.
This means to identifying competitors and estimating their sales

How to Identify:
Buy Reports from Marketing Research firm to compare its performance
to the total industry or any competitor to see whether its gaining or
losing share, overall, or brand by brand

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ESTIMATING FUTURE DEMAND

• SURVEYS OF BUYERS’ INTENTIONS

• COMPOSITE OF SALES FORCE OPINIONS
• EXPERT OPINION
• PAST SALES ANALYSIS
• MARKET TEST METHOD

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THANK YOU