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The impact of Porter's strategy types on the role of market research and customer relationship management

Valos, Michael J., Bednall, David H.B. and Callaghan, Bill 2007, The impact of Porter's strategy types on the role of market research and customer relationship management, Marketing intelligence & planning, vol. 25, no. 2, pp. 147-156.

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Title The impact of Porter's strategy types on the role of market research and customer relationship management
Alternative title The impact of strategy orientation on market research and CRM usage
Author(s) Valos, Michael J.
Bednall, David H.B.
Callaghan, Bill
Journal name Marketing intelligence & planning
Volume number 25
Issue number 2
Start page 147
End page 156
Publisher Emerald Group Publishing
Place of publication Bingley, England
Publication date 2007
ISSN 0263-4503
1758-8049
Keyword(s) marketing strategy
market research
market information systems
customer relations
marketing management
decision support systems
Summary Purpose – This paper seeks to investigate the influence of Porter’s strategy types on the use of customer relationship management (CRM) techniques and traditional market research, against theoretical and empirical evidence that differences in strategy types may result in variation in favoured marketing information sources and procedure.

Design/methodology/approach – Depth interviews generated a series of scale items, which were combined with others derived from the literature in a questionnaire measuring strategy types, the roles of market research, and the characteristics of CRM systems. Responses were obtained from 240 senior marketing managers in Australia, and applied to the testing of five research propositions.

Findings –
ANOVA found no differences in CRM usage among the strategy types. Variation was widespread, however, in four roles of traditional market research: enhancing strategic decision making, increasing usability of existing data, presenting plans to senior management, and achieving productivity and political outcomes.

Research limitations/implications –
Future researchers using the Porter strategic types should separate “marketing differentiators” from “product differentiators” because they function and compete differently.

Practical implications –
All organisations can benefit from CRM systems, but “marketing differentiators” exhibit a relatively higher usage of traditional market research. This is likely to be because they compete by creating softer product differences, while others do so on harder characteristics such as price or product functionality.

Originality/value –
This is the first study to use the Porter types to explain differences between the roles and uses of market research and CRM within organisations.
Notes Reproduced with the kind permission of the copyright owner.
Language eng
Field of Research 150599 Marketing not elsewhere classified
Socio Economic Objective 910403 Marketing
HERDC Research category C1 Refereed article in a scholarly journal
Copyright notice ©2007, Emerald Group Publishing
Persistent URL http://hdl.handle.net/10536/DRO/DU:30007753

Document type: Journal Article
Collections: School of Management and Marketing
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Every reasonable effort has been made to ensure that permission has been obtained for items included in DRO. If you believe that your rights have been infringed by this repository, please contact drosupport@deakin.edu.au.