Gathering The Information & Scanning The Environment 1

Gathering the Information & Scanning the Environment

Marketers have two advantages • They have disciplined methods of collecting information • They spend more time with the customer

Internal Records & Marketing Intelligence • Marketing Managers rely on internal reports of orders ,sales ,prices,cost etc • By analyzing this information they can spot important opportunities and problems

The order Payment Cycle • Heart of Internal Record System

Now • Now days improved order payment cycle is required • Customers favor firm that can promise timely delivery. • Order-Pay can also be done online.This process is called as EDI-Electronic Data Interface. • Eg: Cisco,Dell,Ebay

Database • A database is a collection of information that is organized so that it can easily be accessed, managed, and updated. • In one view, databases can be classified according to types of content: bibliographic, full-text, numeric, and images.

Types Of Databases 1.Relational Database:Basically a tabular database in which data is defined so that it can be reorganized and accessed in a number of different ways. 2.Distributed Database:A distributed database is one that can be dispersed or replicated among different points in a network. 3.Object Oriented Programming(OOP):This database is one that is congruent with the data defined in object classes and subclasses.

Oracle launches 11g software in India,18 Sept,07

• Database 11g is a software product providing security of data to customers besides helping in data warehousing and content management applications

Working

Format of Data Storage

Data transmission

• Data Transfer is the amount of data that can be transferred over the network in a fixed amount of time. • A procedure whereby data is moved from one type of processing environment to another.

How Data is Transferred • Whenever we send the data the data is cut into small pieces and then transformed in form of packets. • These packets travel and reach to the exact destination .

Open System Interconnection Model This layer interacts with software applications that implement a communicating component. establishes a context between Application Layer entities controls the dialogues/connections (sessions) between computers It provides transparent transfer of data between end users It provides the functional and procedural means of transferring variable length data sequences from a source to a destination via one or more networks It provides the functional and procedural means to transfer data between network entities It defines the electrical and physical specifications for devices

Two types of Data Transmission 1.Serial Transmission: It is the sequential transmission of signal elements of a group representing a character or other entity of data. Characters are transmitted in a sequence over a single line, rather than simultaneously over two or more lines

2.Parallel Transmission: • It is the transmission of several bits at the same time, with each bit transmitted over a separate wire. • Characters are transmitted simultaneously over two or more lines.

Data Warehousing • A warehouse is a subject-oriented, integrated, time-variant and nonvolatile collection of data in support of management's decision making process.

Reason we need Data Warehousing Subject Oriented: Data that gives information about a particular subject instead of about a company's ongoing operations. Integrated: Data that is gathered into the data warehouse from a variety of sources and merged into a coherent whole. Time-variant: All data in the data warehouse is identified with a particular time period. Non-volatile Data is stable in a data warehouse. More data is added but data is never removed. This enables management to gain a consistent picture of the business.

Data Mining • It is the process of analyzing data from different perspectives and summarizing it into useful information information that can be used to increase revenue, cuts costs, or both. • It allows users to analyze data from many different dimensions or angles, categorize it, and summarize the relationships identified. • Technically, data mining is the process of finding correlations or patterns among dozens of fields in large relational databases.

Example of Data Mining Example 1: One Midwest grocery chain used the data mining capacity of Oracle software to analyze local buying patterns. They discovered that when men bought diapers on Thursdays and Saturdays, they also tended to buy beer. Further analysis showed that these shoppers typically did their weekly grocery shopping on Saturdays. On Thursdays, however, they only bought a few items. The retailer concluded that they purchased the beer to have it available for the upcoming weekend. The grocery chain could use this newly discovered information in various ways to increase revenue. For example, they could move the beer display closer to the diaper display. And, they could make sure beer and diapers were sold at full price on Thursdays

Example 2:

The National Basketball Association (NBA) is exploring a data mining application that can be used in conjunction with image recordings of basketball games. The Advanced Scout software analyzes the movements of players to help coaches orchestrate plays and strategies.

Data mining consists of five major elements: •Extract, transform, and load transaction data onto the data warehouse system. •Store and manage the data in a multidimensional database system. •Provide data access to business analysts and information technology professionals. •Analyze the data by application software. •Present the data in a useful format, such as a graph or table.

MIS Manager Thinking

Manager Need MIS

Economically Feasibls

Marketing Intelligence System • It is a process of acquiring and analyzing information in order to understand the market; to determine the current and future needs and preferences, attitudes and behavior of the market; and to assess changes in the business environment that may affect the size and nature of the market in the future.

• A set of procedures and sources used by managers to obtain everyday information about developments in the marketing environment

Way in which MIS can be carried out • Train and motivate the sales force • Company can tell its distributors to share the information • Company can use its external network • Company can take feedback from its customers

OTHER MAJOR MACROENVIRONMENT • Economic environment • Social environment • Natural environment •Technological environment • political-legal environment

ECONOMIC ENVIRONMENT • Market requires purchasing power as well as people. • purchasing power depends upon current income, prices, saving etc. • Marketers must pay careful attention to trends affecting purchasing power.

INDIAN SOFTWARE GIANTS WARY OF ECONOMIC SLOWDOWN 20 JAN 2008 (Economic times)

INCOME DISTRIBUTION • Macroeconomic indicators provides overall health of economy as well as direction of economic growth. • marketers needs to understand the distribution of income to make more meaningful conclusions.

SOCIAL –CULTURAL ENVIRONMENT • Purchasing power is directed towards certain goods &services. • People absorb, unconsciously a worldview that defines relationship to organization, to themselves, to society, to nature, and to universe.

Microsoft steps up on search R&D IN EUROPE This is because maximum usage is in European countries.

NATURAL ENVIRONMENT • Deterioration of natural environment is major concern. • Cities like Mumbai, Bangalore etc. reached dangerous levels. • Some regulation hit industries very hard. E.g.. Steel industry

Accenture pioneering ISO14001:2004 • ISO14001 is recognized as worldwide demonstrating commitment to improving environmental performance.

Microsoft’s environmental contribution Microsoft announces a new green wireless mouse. This is environment friendly because it uses six month long battery.

TECHNOLOGICAL ENVIRONMENT • Technology has released such wonders like open heart surgery • It has also released hazards like hydrogen bomb, nuclear bomb etc.

POLITICAL- LEGAL ENVIRONMENT • Marketing decisions are strongly affected by development in political and legal environment. • Increase in business legislation • protecting the welfare of consumers

Infosys rethinking expansion plan in west Bengal • It is headline of economic times on 8 sep 2008 after singur problem of TATA.

What is Demographic environment? • The demographic environment includes the study of human populations in terms of size, density, location, age, sex, race, occupation, and other statistical information.

World Population Growth • World population shows explosive growth ie: in 2000 it was 6.1 billon and it exceeds to 7.9 billon by 2025 • Explosive population growth has major implication for business. • Example :-GOLDMAN Scahs BRIC report has projected that India in next 30 year might grow up to 3rd largest economy in world

Population Age Mix • In population age mix marketers are increasingly recognizing the potential of youth segment (ie :-marketers are focused on youth ) • Eg: Titan the well-known watch marketer introduced a range of Sung glass which is call “Eye Gear” under the brand Fast Track

Literacy Of Population • Literacy of Population is mainly divided into • A) Literate • B) illiterate • C)Educated • D)Uneducated