ECONOMIC IMPACT IN PACKAGING AS A PROMOTIONAL STRATEGY IN MARKETING COMPANY’S PRODUCT

ABSTRACT

This study is on economic impact in packaging as a promotional strategy in marketing company’s products. The total population for the study is 200 staff of Berger paint Nigeria limited, Lagos 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

Marketing is a key aspect in business since it contributes greatly to the success of the organization. Production and distribution depend largely on marketing. Many people think that sales and marketing are basically the same. These two concepts are different in many aspects. Marketing covers advertising, promotions, public relations, and sales. It is the process of introducing and promoting the product or service into the market and encourages sales from the buying public. Sales refer to the act buying or the actual transaction of customers purchasing the product or service. Since the goal of marketing is to make the product or service widely known and recognized to the market, marketers must be creative in their marketing activities.

At the heart of business, nowadays, is the competition to attract consumers’ attention towards products or services. Consequently, each producer needs to build a more attractive strategy and action plan than its competitors. One prominent tool of attracting consumers’ attention towards products is promotion. According to Chaharsoughi and Yasory (2012) Promotion is one of the key factors in the marketing mix and has a key role in market success. Promotion is used to ensure that consumers are aware of the products that organization is offering. It is the process of establishing communication relationship between a marketer and its publics. Marketing promotions is quite different from mass communication, in which an organization addresses largely undifferentiated mass audience for non-commercial purpose by such means as press editorials, radio news, and television. Under marketing promotions, an organization would be aiming at a deliberately differentiated audience for a commercial purpose and would employ such means as advertising, personal selling, sales’ promotion, publicity and public relations.

Promotion involves disseminating information about a product, product line, brand or company. It is one of the four key aspects of the marketing mix. Adetayo (2006) opined that promotion seeks to inform, remind and persuade target consumers about the organization and its products. He further argued that promotion is often used to help an organization differentiate its products from rivals. A promotion campaign is an inter-related series of promotion activities designed to accomplish a specific objective. The obvious goal of promotion management is to ensure that all the individual elements of promotion mix work together to accomplish the organization’s overall promotion activities.

An Organization adopts different processes or strategies to disseminate information about its product, product line, brand or company. These various processes are described as the promotion strategy.

A Promotion strategy can be considered as a process whereby information about the organization’s products or services is encoded into a promotional message for delivery to the customer. In effect, firms have a variety of alternative information delivery system available to them, which can be used to construct an appropriate promotional mix strategy. This portfolio of alternative delivery mechanism includes majorly; advertising, personal selling, public relations, publicity, direct marketing and sales’ promotions.

Marketing decision makers are increasingly aware of the importance of the shareholder’s value maximization, which calls for an evaluation of the long term effects of their actions on product-market response. (Amit and Dominique, 2010). The quest of the decision makers to determine the influence of their strategic relations with their environment together with having sustained competitive edge in the market has called for the evaluation of the influence of promotional strategy on market share and profitability. Marketing literature to date has focused on the sales results of marketing actions. (Amit and Dominique, 2010). The relative importance of marketing strategy on market share and profitability of companies have not been focused. It is therefore the objective of this paper to examine the impact of marketing strategy on market share and profitability of the selected companies.

• STATEMENT OF THE PROBLEM

An Organization adopts different processes or strategies to disseminate information about its product, product line, brand or company. These various processes are described as the promotion strategy. On this background the researcher wants to investigate economic impact in packaging as a promotional strategy in marketing company’s product.

• OBJECTIVE OF THE STUDY

The objectives of the study are;

1. To ascertain the relationship between economic impact in packaging and promotional strategy
2. To ascertain the impact of promotional strategy in marketing company’s products
3. To ascertain the economic impact in packaging as a promotional strategy in marketing company’s product
   • RESEARCH HYPOTHESES

For the successful completion of the study, the following research hypotheses were formulated by the researcher;

H₀: there is no relationship between economic impact in packaging and promotional strategy

H₁: there is relationship between economic impact in packaging and promotional strategy

H₀²: there is no impact of promotional strategy in marketing company’s products

H₂: there is impact of promotional strategy in marketing company’s products

1.5 SIGNIFICANCE OF THE STUDY

The study will be very significant to students and organization for promoting their products. The study will give a clear insight on economic impact in packaging as a promotional strategy in marketing company’s product. The study will also serve as a reference to other researchers

• SCOPE AND LIMITATION OF THE STUDY

The scope of the study covers economic impact in packaging as a promotional strategy in marketing company’s product. 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.
3. c) Organizational privacy: Limited Access to the selected auditing firm makes it difficult to get all the necessary and required information concerning the activities.

1.7 DEFINITION OF TERMS

PROMOTIONAL STRATEGY: Product promotional strategies inform, persuade and influence the consumer’s decisions. Through product differentiation, a business is able to differentiate its good and service from those of the competitors. The main objective of a promotional strategy is to increase sales value.

MARKETING: Marketing is the study and management of exchange relationships. Marketing is the business process of creating relationships with and satisfying customers. With its focus on the customer, marketing is one of the premier components of business management.

PACKAGING: Packaging also refers to the process of designing, evaluating, and producing packages. Packaging can be described as a coordinated system of preparing goods for transport, warehousing, logistics, sale, and end use.

1.8 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.