Chapter 5 Marketing Information Systems and Marketing Research

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Hospitality and Tourism, 4th edition Kotler, Bowen, and Makens

Know your enemy and know yourself, and in a hundred battles you will never be in peril
-Sun-Tzu

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Chapter Objectives
Explain the concept of the marketing information system Identify the different kinds of information the company might use
Outline the marketing research process
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Marketing Information System

A Marketing Information System (MIS) consists of people, equipment, and procedures to gather, sort, analyze, evaluate, and distribute needed, timely, and accurate information to marketing decision makers

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Marketing Information System

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Assessing Information Needs

There must be a balance between what information is wanted and what is cost effective, obtainable and needed
Too much information can be as harmful as too little Information gathering costs can add up quickly
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Developing Information
Information can be obtained from internal company records, marketing intelligence and marketing research

Data warehouses contain all customer information in a single, accessible source Guest history information the most valuable

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Guest Information Trends

Booking patterns Cancellations Conversion percentages Overbooking patterns

Historical occupancy trends

Yield pattern by season

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Guest Information Management

Guest comment cards
Listening to and speaking with guests Automated systems Mystery shoppers
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Guest Information Management

Company records
Point-of-sale information Corporate customer and marketing intermediary information

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Marketing Intelligence
Marketing intelligence includes everyday information about developments in the marketing environment that helps managers prepare and adjust marketing plans and short-run tactics

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Marketing Intelligence Forms

Internal marketing intelligence
External marketing intelligence Competitive information

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Internal Marketing Intelligence

Company executives
Hotel owners and managers Contact personnel

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

External Marketing Intelligence

Macro market information
Competitive information New innovation and trends

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Competitive Information
Competitors annual reports
Trade magazines, press releases, advertisements In todays information age, companies leave a paper trail
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Marketing Research
Marketing research is a process that identifies and defines marketing opportunities and problems, monitors and evaluates marketing actions and performance, and communicates the findings and implications to management

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Marketing Research Process

1. Define the problem and research objectives 2. Develop the research plan 3. Implement the research plan 4. Interpret and report the findings
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Defining the Problem and Research Objectives

Exploratory research gather preliminary information to help define the problem and suggest hypotheses
Descriptive research describe the size and composition of the market Causal research tests hypotheses about cause and effect relationships
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Developing the Research Plan

Determining Specific Information Needs translate research objectives into specific information needs Gathering Secondary Information collect information that is already in existence Planning Primary Data Collection information being collected for the specific purpose at hand

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Research Approaches
Observational research
Survey research Experimental research

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Contact Methods in Research

Mail Telephone Personal Interview
Individual (intercept) interview In-depth interview

Internet surveying
Electronic mail Web page

Focus groups
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Sampling Plan
A sample is a segment of the population selected to represent the population as a whole To design a sample four decisions must be made:
Who will be surveyed? How many people will be surveyed? How will the sample be chosen?
Probability or nonprobability samples

When will the survey be given?

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Research Instruments
Primary research instruments
The interview
structured e.g questionnaires unstructured

Mechanical devices Structured models eg. test markets

What are some types of closed-ended and open-ended questions?

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Information Analysis
Analysis of collected information can assist in distinguishing relationships between data Help managers answer questions like what if and which is best

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Distributing Information
Information is not helpful unless it is able to reach the managers clearly and in a timely manner
Recent developments in information handling have led to a revolution in its distribution

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

International Marketing Research

Many barriers exist that can make international research more difficult:
Lack of secondary information Language Culture

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Best Practices
Marriott Research Priorities
Market segmentation and sizing Concept development and product testing Price-sensitivity assessment Advertising and promotions assessment Market tracking Customer satisfaction

2006 Pearson Education, Inc. Upper Saddle River, NJ 07458

Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Key Terms
Causal research
Descriptive research Experimental research

Exploratory research
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Key Terms
Internal records information
Marketing information system (MIS) Marketing intelligence

Marketing research
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens

Key Terms
Observational research
Primary data Sample Secondary data Survey research
2006 Pearson Education, Inc. Upper Saddle River, NJ 07458 Marketing for Marketing Hospitality forand Hospitality Tourism, and 4thTourism, edition 4th edition Kotler, Kotler,Bowen, Bowen,and andMakens Makens