Marketing Science emphasizes understanding customer needs and developing approaches to fulfilling them by using scientific methods rather than using tools and techniques that are common to arts and humanities research. It emphasizes understanding customer needs and developing approaches to satisfying them. As a field of study searching for truths in marketing, marketing science is related to, yet more general than marketing research, which is focused on specific campaigns, products, and services.In the marketing framework, It appeared as management science before its formal labeling.A 1961 foundation of the Marketing Science Institute allowed academics and practitioners to interact in marketing science. As electronic point-of-sale data increased and barcode readers led to a “marketing information revolution” in the late 1980s and early 1990s, marketing science became increasingly popular.
It was the Institute of Management Sciences and the Operations Research Society of America that sponsored four “Market Measurement and Analysis” conferences between 1979 and 1982, before conferences with a “marketing science” label became common. UCLA’s School of Management hosted the first Conference in 1983.
What is the gist of Marketing Science?
The aim of this approach is to approach marketing through the scientific method, and to apply it to solving marketing problems. It is increasingly relying on machine learning methods like Bayesian networks and random forests as the amount of data piles grows. Despite all the information and numbers, it’s still important to keep business aspects in mind.
What is it in layman’s terms?
To use the scientific method, you first make a hypothesis based on your observations and intuition. In this case, “TV is an effective marketing channel for chocolate bars”. The process entails gathering data, such as sales and marketing data, analyzing the data, creating a model of reality, and testing the hypothesis. Then you repeat the process with a new hypothesis. Experiencing, learning, and building on your experiences is key to success.
How can a marketing approach be scientific?
At the end of the day, it’s all about adhering to the scientific method. The key is making sure the hypothesis you propose can be confirmed with the data you have available.
A model should also be understood so that you can be aware of any possible biases that may occur during the application and development process. Keeping your model tractable is especially important in the business world, as Einstein famously said “Everything should be as simple as possible, but not simpler”.
The scientific method relies on collaboration: you study other people’s findings and present them to others. No scientist is an island!
How does Marketing Science help marketers?
Market Science helps you find out which half of your marketing budget is wasted and which isn’t, based on John Wanamaker’s famous quote.
The thing is, it is nothing new as far as helping with Customer Service development, Marketing Mix Optimization, or Sales Force optimization. During the last few years, there has been an explosion in the availability and amount of data and tools, enabling more accurate and granular insights with fewer efforts.