1. Secondary Data & Databases Chapter Three Copyright © 2004
John Wiley & Sons, Inc.

2. Learning Objectives
1. To understand how firms create an internal database.
2. To learn about building a database from a Web site.
3. To become familiar data mining.
4. To understand the advantages and disadvantages of of using secondary data.
5. To understand the role of the Internet in obtaining secondary data
6. To learn about types of information management systems.

3. The Nature of Secondary Data
To understand the advantages and disadvantages of secondary data.
Secondary Data:
Data that have previously been gathered and that might be relevant to the problem at hand.
Primary Data:
New data collected to solve a particular problem.
Internal:
Information originating within the company
External:
Outside sources of secondary information

4. Advantages of Secondary Data 1. Clarify the problem.
To understand the advantages and disadvantages of secondary data.
Advantages of Secondary Data
1. Clarify the problem.
2. May provide a solution.
3. May provide primary data research method alternatives.
4. May alert the marketing researcher to potential
problems or difficulties.
5. May provide necessary background information
and build creativity

5. Limitations of Secondary Data
To understand the advantages and disadvantages of secondary data.
Secondary Data
Limitations of Secondary Data
Lack of Availability
Lack of Relevance
Inaccuracy
Who gathered the data?
What was the purpose of the study?
What and when was the information collected?
How was the information collected
Is the information consistent with other information?
Insufficiency

6. The Nature of Secondary Data
To understand how firms create an internal database.
Creating An Internal Database
An Internal Database is a collection of related information developed from data already within the organization.

7. The Nature of Secondary Data
To become familiar with data mining.
The Growing Importance of Internal Database Marketing
A large computerized file of customer and purchase patterns.
Internal Databases as Collective Memory Banks
Internal Databases Can Even Be Created From Conversations

8. The Nature of Secondary Data
To become familiar with data mining.
Creating Databases From a Web Site -A Marketer’s Dream
Using Cookies
Data Mining
The use of statistical and other advanced software to discover non-obvious patterns hidden in a database.

9. The Nature of Secondary Data
To become familiar with data mining.
Potential Uses of Data Mining in Marketing:
Customer acquisition
Customer retention
Customer abandonment
Market basket analysis

10. There are 70 federal agencies that publish data Statistical Universe
Finding Federal Government Data on the Internet
To understand the role of the Internet in obtaining secondary data.
There are 70 federal agencies that publish data
Statistical Universe
FEDSTATS
Periodical, Newspaper and Book Databases
Go to
Go to
ABI/Inform Global
Dow Jones Interactive
Electric Library
Lexis-Nexis
Periodical Abstracts Research II (PAR)

11. Information Management
To learn about types of information management systems
Information Management
Development of a system for capturing, processing, and storing data so that it can be readily found and retrieved when needed for management decision making
Geographic Information System (GIS)
Includes a demographic database, digitized maps, and software that enables the user to add corporate data to the mix
Decision Support Systems (DSS)
Designed to support the needs and styles of individual decision makers
Interactgive
Flexible
Discovery-oriented

12. SUMMARY
The Nature of Secondary Data
Secondary Data
The New Age of Secondary Information: The Internet and the World Wide Web
Finding Federal Government Data on the Internet
Information Management

13. The End
Copyright © 2004, John Wiley & Sons, Inc