Chapter7 Standardized Information Sources

What is standardized information? Standardized information: type of secondary data in which the data collected and/or the process of collecting data are standardized for all users: Syndicated data: data that are collected in a standard format and made available to all subscribers for a fee – Nielsen Media’s TV rating. Standardized services: a standardized marketing research process that is used to generate information for a particular user- NFO has a large scale consumer panels for testing new products.

Advantages of Standardized Information * Syndicated Data * Shared costs High quality of data Speed with which data are collected and made available for decision making

Disadvantages of Standardized Information Syndicated Data Little control over what data are collected Buyers must commit to long-term contracts Competitors have access to the same information

Advantages of Standardized Information * Standardized Services * Using the experience of the firm offering the service Reduced cost- No setting-up costs involved. Increased speed of conducting the service- No setting-up time required.

Disadvantages of Standardized Information Standardized Services Inability to customize services Service firm not being knowledgeable of the client’s industry

Application Areas of Standardized Information Measuring consumer attitudes and opinion polls Yankelovich Monitor Harris Poll Gallup Poll Defining market segments Providing information on members of the industrial market SIC NAICS Dun’s Market Identifiers

Application Areas of Standardized Information…cont. Providing information on members of the consumer market VALS-2 GIS (Geodemographic Information Systems) Geodemographics is the term used to describe the classification of arbitrary, usually small, geographic areas in terms of characteristics of their inhabitants. PRIZM Conducting market tracking Tracking studies are those that monitor, or track, a variable such as sales or market share over time.

Application Areas of Standardized Information…cont. Market tracking at the retail level AC Nielsen Scantrack Services InfoScan Syndicated Data Service Retail Store Audits Market tracking at the household level Infoscan’s Combined Outlet Consumer Panel AC Nielsen Homescan Panel Diary Audit

Application Areas of Standardized Information…cont. Turning market tracking information into intelligence IRI’s Builder AC Nielsen’s Category Business Planner Monitoring media usage and promotion effectiveness Television Nielsen Television Index (NTI) Radio Arbitron Print RoperASW’s Starch Readership Service Multimedia Simmons Study of Media and Markets

Single-Source Data Single source data: data that contain information on several variables such as promotional message exposure, demographics, and buyer behavior ( Nielsen) BehaviorScan (IRI): household panels of 3,000, each receives an electronic card and can link “ media exposure to consumer’s purchasing behavior for “certain brand”.