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Promotion As Strategies Of Manufactures Tools For Consumer Loyalty (A Case Study Of Coca-Cola Company In Ph)

TABLE OF CONTENTS

Abstract

CHAPTER ONE

1.0   INTRODUCTION 

1.1        Background of the study

1.2        Statement of problem

1.3        Objective of the study

1.4        Research questions

1.5        Significance of the study

1.6        Scope of the study

1.7       Limitation of the study

1.8       Definition of terms

1.9       Organization of the study

CHAPTER TWO

2.0   LITERATURE REVIEW

CHAPTER THREE

3.0        Research methodology

3.1    sources of data collection

3.3        Population of the study

3.4        Sampling and sampling distribution

3.5        Validation of research instrument

3.6        Method of data analysis

CHAPTER FOUR

DATA PRESENTATION AND ANALYSIS AND INTERPRETATION

4.1 Introductions

4.2 Data analysis

CHAPTER FIVE

5.1 Introduction

5.2 Summary

5.3 Conclusion

  

ABSTRACT

This study is on Promotion as a strategies of manufactural tools for consumer loyalty (a case study coca-cola company in pH). The total population for the study is 200 staff of coca-cola company in portharcourt state. The researcher used questionnaires as the instrument for the data collection. Descriptive Survey research design was adopted for this study. A total of 133 respondents made production managers, marketers, senior staff and junior staff were used for the study. The data collected were presented in tables and analyzed using simple percentages and frequencies

 

CHAPTER ONE

INTRODUCTION

  • Background of the study

In the previous years, sales promotion has not become popular. But in recent years it has grown so rapidly. It is this rapid increase that has promoted the attention to undertake this research and find out how sales promotion influences the consumer loyalty with special emphasis on coca-cola company. Sales promotion is an indirect form of intended to stimulate quick action. It is one of the variables in the promotional mix that organization uses to stimulate customers purchasing and dealer’s effectiveness such as displaying, shows, exhibition, demonstrations, coupons, contests, premiums,   samples trade allowance and other routines selling effort are usually short term in nature. According to Kotler (2013) sales promotion is one of the promotional activity or material that act as a direct inducement to reseller, sales persons or consumer. It offers added value or incentive to buy or sell the procedure. A range of technique used to engage the purchaser.

The production of coca-cola company in portharcourt is purely through franchising, that is selling its product as it is in all the consumer, and there is no change in marketing, advertising, taste and promotional activities. Also, the study of sales promotion as an element of promotional mix has been sadly inflicted both in the academic study of marketing and in coca-cola. But incidentally, a major factor in the success of marketing of consumer goods it is not encouraging; therefore it is an unavoidable responsibility of this study to address these problems to the notice and comprehension of coca-cola company.

Sales promotion has effects on various aspects of consumer’s purchase decisions such as brand choice, purchase time, quantity and brand switching (Nijs, Dekimpe, Steenkamps and Hanssens, 2001); consumers ’ sensitivity to price (Bridges, Briesch and Yim, 2006).

However, whether the effect of consumer loyalty and purchasing behavior could be moderated by sales promotions has not yet been examined extensively. Regardless of a widespread interest in the relationship between sales promotion and purchasing behavior, most studies of this kind focus on the effect of sales promotions on choice at the time they are offered (DelVecchio, Henard, Freling, 2006). Only a few have investigated the lag effect of sales promotions on brand preference and the resultant buying behavior once the promotion campaign is rescinded.

Sales promotions could be in form of monetary and non-monetary ones. These types provide both utilitarian and hedonic benefits to the consumers. Utilitarian benefits refer to such benefits such as quality, convenience in shopping, saving in time efforts and cost (Luk and Yip, 2008). Hedonic benefits on the other hand refer to value expression, exploration, entertainment, intrinsic stimulation and self esteem (Chandon, Wansink and Laurent. 2000). According to Luk and Yip (2008) monetary promotions are incentive-based and transactional in nature and provide immediate rewards and utilitarian benefits to the customers. However, non-monetary promotions provide hedonic benefits but weaker utilitarian benefits (Kwok and Uncles, 2005).

This study was therefore carried out in order to examine promotion as a strategy of manufactural tool for consumer loyalty.

 

1.2       STATEMENT OF THE PROBLEM

The problem in product planning and strategies for increase market share are as follows.

  1. New product planning and development is a strategy for increase consumer loyalty.
  2. There are other strategies for increase consumer loyalty.
  3. The survival of any manufacturing firm depending generally on strategy of manufactures planning and development.

OBJECTIVES OF THE STUDY

The following objectives were agreed to guide this study:

  1. To know whether coca-cola company embarked on sales promotion.
  2. To know the nature and extent of sales promotion carried out by firm.
  3. To know if sales promotion activities influence consumer loyalty.
  4. To know which promo-tools bring out the desired result in terms of consumer loyalty.
  5. To know if consumers complain about the sales promotion and the nature of such complaint.
  6. To know how the firm addressed consumers complaint if any

1.4 RESEARCH QUESTION

  1. Does coca-cola company embark on sales promotion?
  2. What is the nature and extent of sales promotion carried out by the organization?
  3. Do sales promotion activities influence consumer loyalty?
  4. Which promo-tools bring out the desired result in terms of consumer loyalty?
  5. Do consumers complain about the sales promotion?
  6. How does the firm address organizational complains?

1.5 SIGNIFICANCE OF THE STUDY

A research work of this type is important because it helps in drawing out careful analysis and evaluation on the influence of sales promotion on consumer’s loyalty adopted by coca-cola company and also be of importance to up-coming organization that may like to carryout sales promotion activities, it will help them to actualize their set objectives.

This research also aims at finding out the appropriate sales promotional tools that appear to be most effective in mobilizing and securing customers active participation.

Finally, this research work will be of benefits to the followings

  1. Manufactures
  2. Marketers
  3. scholars

1.6 SCOPE OF THE STUDY

The scope of the study covers Promotion as a strategies of manufacturals tools for consumer loyalty (a case study coca-cola company in pH).

1.7 LIMITATION OF THE STUDY

The researcher encounters some constrain which limited the scope of the study;

  1. a) AVAILABILITY OF RESEARCH MATERIAL: The research material available to the researcher is insufficient, thereby limiting the study
  2. b) TIME: The time frame allocated to the study does not enhance wider coverage as the researcher has to combine other academic activities and examinations with the study.

Financial constraint– Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).

1.8 DEFINITION OF TERMS

Consumer: end user of the product.

Personal selling: Personal selling is a process in which an individual salesperson works one-on-one with a customer to try to match a product to her needs.

Consumer loyalty: is defined as a name, term, sign, symbol, design or combination of them that identifies the goods or service of one seller or group of seller and differentiate them from those of competitors.

Advertising: this is a paid form of non-personal communication of idea, product or services that transmitted to the audience through mass media such as television, newspaper, radio and magazine.

Strategy: Strategy is a high level plan to achieve one or more goals under conditions of uncertainty. In the sense of the “art of the general,” which included several subsets of skills including tactics, siegecraft, logistics etc.

Promotion: In marketing, promotion refers to any type of marketing communication used to inform or persuade target audiences of the relative merits of a product, service, brand or issue. The aim of promotion is to increase awareness, create interest, generate sales or create brand loyalty.

Manufacturing: Manufacturing is the production of products for use or sale using labour and machines, tools, chemical and biological processing, or formulation, and is the essence of secondary industry.

1.9 ORGANIZATION OF THE STUDY

This research work is organized in five chapters, for easy understanding, as follows Chapter one is concern with the introduction, which consist of the (overview, of the study), historical background, statement of problem, objectives of the study, research hypotheses, significance of the study, scope and limitation of the study, definition of terms and historical background of the study. Chapter two highlights the theoretical framework on which the study is based, thus the review of related literature. Chapter three deals on the research design and methodology adopted in the study. Chapter four concentrate on the data collection and analysis and presentation of finding.  Chapter five gives summary, conclusion, and recommendations made of the study

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