PROMOTIONAL TOOLS AND CONSUMER PREFERENCE (A CASE STUDY OF SEVEN UP BOTTLING COMPANY IBADAN, OYO STATE)

CHAPTER ONE

1.0 INTRODUCTION
In performing marketing function, promotional activities can not be over emphasized. Promotion as one of the marketing mix can not be undermined because of the functional and benefit that could be derived from it. After producing a product, the new product as to get to the final consumer who may not be aware of the existence of such new product.
The next task or job for a marketer or management is to find ways through which the product can be furnished with certain information the would be of help to the consumer and prospective buyers as a whole.
The information includes, where to get product, the product and majority the satisfaction that could be derived in buying the product. All these could effectively be carried out by the use of promotional tools. The promotional tools are, advertising, personal selling, sales promotion, publicity and public relation. The promotional tools are used for various functions and they perform different functions.
Basically, all or one the promotional tools perform the following functions, getting information to consumer about the existence of a product, it is also to remind and persuade prospective buyer to buy a product or its brands.

1.1 BACKGROUND OF THE STUDY
This research report is basically a comparative study of a well known competitor in beverage industry of Nigeria which seven-up bottling company.
The primary purpose of report is to find out which company is leading the market i.e. what are the market share of both company’s and what are the tactics used by the leader which make than able to control and influence the market.
This research require us to conduct the consumer research, retail survey and interview the marketing manager of seven-up, bottling company.

1.2 STATEMENT OF THE PROBLEM
The most promotion campaigns comprise a combination of two or more promotion method and seldom is any one effectively used alone. It is also not unusual for marketers to vary the composition of the mixes, however management faces the difficult task of determining the most effective input especially where more than one promotional tools are involved.
In developing an effective promotional tools and intensity of usage, a variety of factors must be considered among which following.
1. Characteristics of the product
2. Nature of the customer
3. Promotional resources objectives and policies
4. Availability of promotional methods
5. Nature of the company
6. Stage in life cycle (stage in demand)

1.3 OBJECTIVE OF THE STUDY
The objective of the research work as follows to find out the primary problem in evaluation promotional mix of product and to examine established the current level of performance of promotional mix all to meet the consumer preference.
To analysis the sale performance in the light of predetermine goods and set standard the finding from records of past performance of sale. Also to find the cause of positive and negative deviation on consumer taste in performance of the actual promotional activities being used and recommend corrective measure.
Finally to reinforce past attitude that are the likely cause of change in the attitude behaviour of the organization target market.

1.4 RESEARCH QUESTIONS
i. What constitutes the greater development to seven-up plc products to satisfy consumer’s expectation.
ii. What do you consider to be main objective good promotional tools?
iii. How do you think the effectiveness of the promotional tools could be measure on evaluated.
iv. How can wrong use or application of promotional tools have negative effective the sales?

1.5 RESEARCH HYPOTHESIS
Ho: That promotional tools has a major impact on consumer preference test.
Hi: The promotional tools has a major impact on the consumer.
Ho: What type of media do your use to advertise its product.
Hi: What type of media do your company used to advertise its product.

1.6 SIGNIFICANCE OF THE STUDY
Nearly, if not all, the organizations are set up to make profit and few of them know what quality the consumer are expected from them.
Some organization are established to provide essential services to the populace and mainly financial by the government. In other to make its profits, sales, or rate of turnover must be set which serves as revenue for the organization for many companies like seven-up bottling company plc. To make sales, it must make it know to the right consumer and let its consumer be aware of their product in the market as well as the utility they are going to derived from it, to make a distinct preferred product among others in the market.
This project works, will like to explain state and prove how effective promotional tools could be combined to achieve the set objective of the organization. In doing these, it will gather and analysis the past sale performance in relevance to the market share of seven-up bottling company in the light of the predetermined goals and set of standards.
The findings from record of past performance of sales as effected by the sales promotion employed will be used to determine its effectiveness on consumer taste.

1.7 SCOPE OF THE STUDY
Geographical area covered by the research on the consumer will be limited to the south western part of Nigeria with main focus on the consumer satisfaction of seven-up bottling company while that of the company will be limited to the marketing and sales department of seven-up company plc. Ibadan, their activities stimulate the consumer interest on its product.

1.8 LIMITATION OF THE STUDY
The following problems were encountered in preparation of this research work. They are:
Time: Research is a time consuming exercise in view of the time needed for collection and analysis of research time to be used. Circumstances might have to make their valueless.
Cost: research is very costly to plan and implement, this assertions is in view of the fact marketing research requires the use of human resources. Other resources and considerable time for its execution.
In Exactness Accuracy: Marketing research set out to measure the behaviour at human being. It is impossible to predict such behaviour with absolute exactness or accuracy.
Unreliable Data: Some data are not available and where they are available they may unreliable.
Some primary or secondary data may be unreliable because of :
a. Error in compilation
b. Error in distortion of fact of data
c. Error in interpretation
d. Marketing research are not solve problem by itself expect its report is acted upon by the managements and lead to effectives marketing decisions.
Attitude Toward Privacy: Unwillingness to be interviewed low response rate language differences low literacy.

1.9 DEFINITIONS OF TERMS
Sale Promotion: According to kolter (1997) a renowned marketing expert, say as a wide variety of promotional tools designed to stimulate stronger market response.
Sale Promotion: This can be defined as those marketing activities other than personal setting, advertising and publicity that stimulate and satisfy consumer purchasing and dealer effectiveness, such as display shows and exposition demonstration and advertising, promotional tools, sales promotion, publicity, personal selling, public relation.
Consumer Preference: This can be said as the personal interest that a consumer has over a product may be through the satisfaction the consumer derives from the product which makes him to be the continuous buyers.
Personal Selling: This is the physical exchange personal contract of the salesman and the buyer.
Publicity: This can be defined as non-personal form of message, which are transmitted in the media to large number intended audience. It is the news about product or companies, which appear in the form of editorial materials in the press, television, radio, and cinema or on the stage.
Advertising: This may form of non-personal presentation and promotion of idea, goods or services by an identified sponsor. The message is usually disseminated through one more of the mass communication media, including television, radio, newspaper, magazines, direct mail, bill board e.t.c.
Advertising Agency: This is a independent company set up to render specialized services in advertising and marketing in general. They are marketing specialist forms that assist the advertiser in the planning and preparing its advertisement.
Advertising Campaign: An advertising campaign consist of an analysis of the marketing and communication situation in other to make sound strategic service of advertising media. Every campaign requires the determination of a theme or message.
Mass Market: This is the totality not the whole consumer that purchase a specific brand of a product without segmenting any part of it includes the potential consumer.
Market Share: This is the part of the whole market mass that is loyal to a companies specific brands of a product or the total number of consumers that a company successfully wins out of the total market.

1.10 HISTORICAL BACKGROUND OF THE CASE STUDY
Seven-up Bolting Company plc, was formed in 1959 and negotiated for the franchise to produced and bottling the product from seven-up international limited of New York. The founder, a well know and respected figure both the business and wider community at large.
Mr. Mohammed El-Khalil is the chairman and he takes a lively interest in the affairs of the company and its employs. He laid the foundation and the traditional has been carried on to build up the fabric of the organization with sixties. This built to the company on its courses, as we know it today. The ideal of raising other plan to supplement and the introduction of the company and its product throughout the world due to the interest. It was introduced into Nigeria on the 27th day of June 1969 with the head quarter Lagos.
The aim is to supply the product to all a part of the country and particularly Lagos state and its environment. Therefore the cost that will be used to carry out this activities are relative too much when compared to the sales volume. Distance is also problem which create a lot difficulty for the company. This necessary the site of another plan in Ibadan which was inaugurated on the 10th of February 1997. With the setting up of Ibadan plant, it reduced from Lagos State plant burdens in that Ibadan plant, since then, is responsible for the supplying of the product to the area within Ibadan and its environment, such as Shaki, Oyo, Ogbomosho etc. The activities where also carried out effectively by setting up of some seven-up, where the product are being supplies to the place for distributing and reduces cost of transportation to and from Ibadan everyday in conveying the good dawn to them. In addition, provision of delivery trucks, lorries were made to quickly and facilitate easy distribution of goods to the consumer whenever they are at a convenient time.
Finally, it was through all these factors that necessitate and encourage the spreading throughout the country and world at large. It is a result of these development that make it again international recognition anywhere any time any day.

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