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Purpose

To design and empirically validate an instrument for measuring the effectiveness of a marketing intelligence system (MkIS).

Design/methodology/approach

A thorough review of the literature of IS in general and MkIS in particular was the foundation for a new conceptualisation of MkIS effectiveness, which was developed into a measuring instrument for experimental application to data collected by a pre‐tested postal questionnaire from 254 five‐star hotels in Greece.

Findings

Exploratory and confirmatory factor analysis show that the proposed measuring instrument meets acceptable criteria of reliability and validity. The effectiveness of MkIS is found to comprise both internal and external components, related on the one hand to the extent to which the user organization improves functional effectiveness and corporate climate and on the other to its adaptability to market conditions and its customer responsiveness. The instrument is capable of integrating these into a holistic measure.

Research limitations/implications

The single‐industry, single‐country sample limits the scope for generalization. Future research should address this through replication in different contexts.

Practical implications

A validated measure of the effectiveness of MkIS has important implications for both users and providers. Conceptually, it permits improved understanding of the components of effectiveness. Pragmatically, it provides an assessment of the effectiveness of existing or new systems.

Originality/value

Until now, there has been no empirically validated instrument integrating the several dimensions of MkIS effectiveness.

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