Businesses such as shoe retailers exist to sell shoes to customers while ensuring they make profit to stay afloat. Due to the preponderance of such companies there is a high level of competitiveness requiring many retailers to seek information systems which enable them to take decisions and respond quickly to customer changing needs ahead of their competitors (De Queiroz & Oliveira, 2014). Additionally, due to low margins only those who minimize costs will remain afloat. Market Information Systems provide this information to facilitate such business decisions (Lin & Hong, 2009).
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| Figure 1 | Marketing Information Systems | Source: businessjargons.com |
As part of efforts to improve sales, advertising provides an avenue to affect customer purchase decisions. This could be through direct communication by sales people or via indirect methods such as oral or viva voce communication which has been shown to facilitate customer purchase decisions (Whan Park, Roth, & Jacques, 1988).
In order to ensure that these purchase decisions are to the benefit of the retailer, customer tastes and preferences need to be met. To discover these tastes and preferences, the market information system will be used to conduct research through systematic data collection using questionnaires or through data sources like magazines, periodicals, research materials, etc. This system will also provide invaluable information about the activities of other competitors such as new products planned for the market (Lin & Hong, 2009). This information about the activities of other competitors can then be used to determine what type of shoes and when to bring them to market. The information collected can also be used to determine when the retailer should introduce promotions or effect price discounts.
Furthermore, preliminary analysis on information can reveal demographic information which can then be used to target products for the different groups.
The internal records stored in the Market Information System can also reveal loyal customers over time who can be rewarded to maintain their loyalty.
References
De Queiroz, J. P., & Oliveira, B. (2014, October 01). Benefits of the Marketing Information System in the Clothing Retail Business. Journal of Information Systems and Technology Management, 11(1), 153-168.
Lin, C., & Hong, C. (2009). Development of a marketing information system for supporting sales in a Tea-beverage market. Expert Systems with Applications, 36(3), 5393-5401.
Whan Park, C., Roth, M. S., & Jacques, P. F. (1988). Evaluating the effects of advertising and sales promotion campaigns. Industrial Marketing Management, 17(2), 129-140.
In order to ensure that these purchase decisions are to the benefit of the retailer, customer tastes and preferences need to be met. To discover these tastes and preferences, the market information system will be used to conduct research through systematic data collection using questionnaires or through data sources like magazines, periodicals, research materials, etc. This system will also provide invaluable information about the activities of other competitors such as new products planned for the market (Lin & Hong, 2009). This information about the activities of other competitors can then be used to determine what type of shoes and when to bring them to market. The information collected can also be used to determine when the retailer should introduce promotions or effect price discounts.
Furthermore, preliminary analysis on information can reveal demographic information which can then be used to target products for the different groups.
The internal records stored in the Market Information System can also reveal loyal customers over time who can be rewarded to maintain their loyalty.
References
De Queiroz, J. P., & Oliveira, B. (2014, October 01). Benefits of the Marketing Information System in the Clothing Retail Business. Journal of Information Systems and Technology Management, 11(1), 153-168.
Lin, C., & Hong, C. (2009). Development of a marketing information system for supporting sales in a Tea-beverage market. Expert Systems with Applications, 36(3), 5393-5401.
Whan Park, C., Roth, M. S., & Jacques, P. F. (1988). Evaluating the effects of advertising and sales promotion campaigns. Industrial Marketing Management, 17(2), 129-140.
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