Market Intelligence System
This article covers meaning & overview of Market Intelligence System from marketing perspective.
What is Market Intelligence System?
Market Intelligence System is a business analytics tool that analyses business data obtained from various sources- Customers, Competitors, supply chain, stores etc.
Firms these days have got access to large amount of high velocity data of different variety and it’s impossible for humans to analyse those data manually. So Companies employ MIS to analyse and use such data for their benefit and advantage. It helps Companies in making decisions and formulating future strategies regarding, target market, product development, promotional campaigns, consumer perception etc. Market analytics job can be given by a company to an outside agency like: MuSigma, ZS associates, oracle etc. or can be done by the company itself.
This is becoming more important day by day as the competition increases it becomes imperative for the companies to use the resources that they have in the beat possible manner. When every strategy implementation costs you large amount of money; your whole objective is to improve the return on the resources being invested.
E.g. sending mails to potential customers and existing customers has certain cost associated with it. If your company does not know what that customer to whom you are sending the mail is really interested in, chances are that the mail will go unrecognized by that customer and thus the conversion rate of that initiative would be very less that means less sales and profit.
On the other hand if you know what your customers are looking for on individual basis by analysing the data from every customer, you can send them targeted email that will ensure high conversion and profit.
Example
Online retailers such as Amazon based upon your past purchases, wishlist items, searched products, liked products come up with certain recommended product using their intelligence system. It helps them in understanding and serving the customer in a better manner.
Hence, this concludes the definition of Market Intelligence System along with its overview.
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