MARKETING MIX AS TOOL FOR SURVIVING BUSINESS ORGANIACZATION

Abstract: The major thrust of this work is to examine marketing mix as tool for surviving business organization with a case study of Nigerian Bottling Company (NBC). The impact of marketing mix cannot be overemphasized in profit oriented organization that is why company like NBC budget heavily to meet the needs. This study was divided into five chapters while quantitative research design was used in which cross-sectional survey method was adopted while the data collection instrument was questionnaire, 100 copies of questionnaires were administered to respondents within Nigerian Bottling Company. Findings show that Nigerian Bottling Company Plc is effectively integrating her marketing mix to a large extent with 80% subscribed to this which has helped increase the company market share to a large extent. It is clear that of all the four marketing mix, promotion (55.6%) and products (33.3%) attracted high efforts. Also, marketing mix of NBC has helped the company to compete with rival brand; create brand awareness; helped increased the company sales to a large extent. It is recommended that NBC should adopt the use of indigenous language, celebrities and novelty strategy when planning its marketing mix campaign. While NBC is also expected to moderate its price in order to make common men to purchase the product rather than going for the rival products.

Keywords: Marketing Mix

CHAPTER ONE

1.0 Introduction

1.1 Background of the Study

The essence of being in business by any commercial organisation is to produce for sales and profits. For an organisation to continue to be in business such organisation must generate enough sales from its products or services to cover operational costs and reasonable profits. For many organizations, sales estimate is the starting point in budgeting or profit planning. It is so because it must be determined, in most cases before production units could be arrived at.

Similarly, of all marketing weapons, advertising has leading impact on viewers mind, as its exposure is much felt (Katke, 2007). Marketing mix has four subsets i.e. product, price, place and promotion/advertising is a component of promotional mix, which is used to create awareness about product and services for taking purchase decisions (Akinrosoye, 2004).

Therefore, before a product can be promoted/advertised or marketed it must first be produce that is where the concept of production comes in. A production process can be defined as any activity that increases the similarity between the pattern of demand for goods and services, and the quantity, form, shape, size, length and distribution of these goods and services available to the market place.

Production is a process of combining various material inputs and immaterial inputs (plans, know-how) in order to make something for consumption (the output). It is the act of creating output, a good or service which has value and contributes to the utility of individuals.

After production comes other 3ps including promotion (advertising) and no company can become a market leader unlessthey invest lots of their investment in promotional purposes (Hussainy et al., 2008). The major aim of advertising is to impact on buying behavior; however, this impact about brand is changed or strengthened frequently people’s memories.

Memories about the brand consist of those associations that are related to brand name in consumer mind. The major objective of consumer behavior analysis is to determine the factors that influence consumers’ behaviour in a particular circumstance. Consumer behavior analysis is helpful for advertiser to understand the behaviour of consumer in buying different situations.

Advertising as a concept, can be defined as a form of communication through the media about product, services, ideas, personalities or organizations, paid for by an identified sponsor Alide in Okunna (2002). Bovee and Arens (1985) cited in Awofadeju (2013) gives a more widely accepted definition of advertising as the non-personal communication of information, usually paid for any usually persuasive in nature about products (goods and services) or ideas by an identified sponsor through various media. It is an exciting, dynamic, and challenging enterprise.

Its often a persuasive communication in that it tries to persuade the reader, the listener or the viewer to take to the sponsor’s own point of view and also to take some appropriate action. It is not personal or face to face communication rather it is directed to a group of people.

According to the understanding of Advertising Practitioners Council of Nigeria (APCON) “advertising is a form of communication through the media about products, services or ideas, paid for by an identified sponsor”. The terms advertising was coined from the Latin word “advertere” which mean literally means to draw attention. This is when you are getting the evidence mind in a product, notifying or informing somebody/people of something.

However, while planning advertising campaign one of the strategies is to determine the language and the targeted public (consumers /customers)for the campaign because advertising messages will be encoded in a particular language that the targeted consumer/customer understand and that is why the issue of indigenous language comes in.

Since indigenous language is a native language speak by a particular people in a particular community so it is very common now that the encoding language for advertising campaign in that area should be the native language. Research show that people tend to appreciate their cultural valves at all time which language is one.

From the foregoing certain words of elaboration, advertising is “non personal” it is directed towards a large group of anonymous people, even direct mail advertising, which may be addressed to specific person, is prepared by a computer and signed by a machine.

Overview Nigerian Bottling Company Plc

Nigerian Bottling Company Plc bottles and sells alcohol free beverages in Nigeria. The company offers carbonated and non-carbonated soft drinks, fruit drinks and juices, bottled water, and energy drinks. It bottles various brand name products, including Coca-Cola, Fanta, Sprite, Schweppes, Eva Water, and Five Alive. The company was incorporated in 1951 and is based in Lagos, Nigeria. Nigerian Bottling Company Plc is a subsidiary of Coca-Cola Hellenic Bottling Company S.A (Bloomberg, 2017).

The Coca-Cola Company, which is headquartered in Atlanta, Georgia, but incorporated in Wilmington, Delaware, is an American multinational beverage corporation, and manufacturer, retailer, and marketer of nonalcoholic beverage concentrates and syrups.

The company is best known for its flagship product Coca-Cola, invented in 1886 by pharmacist John Stith Pemberton in Columbus, Georgia. The Coca-Cola formula and brand were bought in 1889 by Asa Griggs Candler (December 30, 1851 – March 12, 1929), who incorporated The Coca-Cola Company in 1892. The company has operated a franchised distribution system since 1889, wherein The Coca-Cola Company only produces syrup concentrate, which is then sold to various bottlers throughout the world who hold exclusive territories. The Coca-Cola Company owns its anchor bottler in North America, Coca-Cola Refreshments(Wikipedia, 2017).

It is against this background that the research examines marketing mix as tool for the survival of a business organization with a case study of Nigerian Bottling Company with a view to the extent which marketing particularly advert and sales promotions have enhanced and increased the sale thereby surviving the industry.

1.2 Statement of the Problem

For business to yield profit and survive in any competitive environment it needs the help of advertising. The problems that lead to study of marketing mix as tool for the survival of a business organization with a case study of Nigerian Bottling Company can be well perceived from the role which marketing particularly advertisement is playing in promoting and boosting the turnover of an organization including it success. Nowadays, most business organization could not identify the purpose of advertising their product. Some believed that its and irrevocable expenses which should be minimized.

While many entrepreneurs or companies indulge in illegal advertising so as to get what they want in business. By so doing, they introduce fraudulent and unethical practices that mislead the public, customers, or consumers into leaving the better brand to the worse brand and also into buying the wrong products known as imitations.

Adeagbo (2011). This practice makes advertising profession lose its good essence, credibility and interest. It also discourages consumers from paying attention to advertising messages. Also, many advertised products and services unable to perform its functions as advertised to the consumers. However, this project will examine the extent which marketing mix especially advertising campaigns have served as tool for the survival of Nigerian Bottling Company.

1.3 Objectives of the Study

To examine the extent at which the Nigerian Bottling Company Plc has effectively employed good marketing mix.
To evaluate whether the effective marketing mix has increased market share of the NBC

1.4 Research Questions

To what extent has Nigerian Bottling Company Plc effectively employed good marketing mix?
To what extent has effective marketing mix has increased market share of the NBC

1.5 Significance of the Study

It is the belief of the researcher that this study will be useful to lots of students, scholars, consumers of goods and services, business organization, advertisers, advertising agencies and advertising researchers would stand to gain a lot from the facts contained in this work.

The study will help brand owners especially the existing and new companies to understand the importance of marketing mix to their general survival in order to appeal in order to improve sales and lead to better performance.
This study will give a clear insight into how marketing mix especially advertising can influence consumers buying behaviour which will encourage companies to market their products.
Above all, this study will serve as an addition to existing literature on the topic.
Government through her agencies will see the need to enforce truthfulness, fairness and non- deceit contents in advert message in order to safe guide the public interest.

1.6 Scope of the Study

The scope of this study is based on Nigerian Bottling Company of Nigeria. This research work will look into the role of marketing mix and particularly advertising on the survival of the company.

1.7 Operational Definition of the Terms

Some effect terms used in this study are as follows;

Marketing Mix: These are the 4Ps i.e product, price, place and promotion that are used by the Nigerian Bottling Company.

Advertising: – This is the paid form of non-personal presentation and promotion of idea, goods or services by an identified sponsor. The message is usually disseminated through one or more of the mass media.

Tool for the survival: This is the use of the 4Ps strategies to survive business competitions.

Nigerian Bottling Company: This is one of the frontline business firm in Nigeria that started as Coca Cola.