What considerations one should keep in mind while designing a marketing information system for a firm?
It is important to design the market information system carefully for it to be successful. Marketing managers can follow certain steps fog developing an effective management information system. Considerations one should keep in mind while designing a marketing information system for a firm are as follows:
Ascertain the information required by the marketing managers: The very first thing to be kept in mind while designing an efficient marketing information system is to determine information required by marketing managers to make decisions. It is a very crucial task to ascertain. the information need because too much information can be difficult to handle and less information can be insufficient for the marketing managers. Also, the system should be able to deliver timely and appropriate information required by the marketing managers for efficient decision making. It should be able to provide information required for making strategic and tactical decisions.
Decisions which have long term implications and require large-investments are called strategic decisions like decisions relating to enter the new market to target a. market segment and to po4ition the product in the market. Decisions which have short-term implications and do not require large investments are called tactical decisions relating to change in price, competition in market etc.
Lay down the procedures for collecting and storing the data: The second task is to lay down procedures for collecting and storing information. The procedures should be clearly laid down so that right data is collected, processed and stored properly. This information should b e properly updated with the latest developments in the market.
Identify the procedures to utilize the information: The information collected should be analyzed and utilized properly-by the decision makers. So, the procedures should be laid down for the same. Marketing managers should know what information is available with them and how they can utilize it for making decisions successfully. Decision makers should know how the data has been collected and processed.
Set coordination amongst the components of marketing information system: There are four components of marketing information system, namely, the internal reporting system, marketing research system, marketing intelligence system and analytical marketing system and all the four components should be coordinated properly to collect timely and reliable information.
System should be reliable and flexible: Marketing managers must get information as and when they require. So, marketing information system should be designed to get timely and reliable information. Also, the information collected should be flexible.
So, we can say that an efficient marketing system is one which is user friendly and is able to meet the information requirements of marketing managers as and when required.