THE IMPACT OF INTENSIVE DISTRIBUTION STRATEGY ON MARKETING OF CONSUMER GOODS

(A CASE STUDY OF DOTMALL NIGERIA LIMITED)

ABSTRACT

The aim of this research study is to examine The Impact of Intensive Distribution Strategy on Marketing of Consumer Goods using Dotmall Nigeria Limited as a case study.

To achieve the above stated objective both primary and secondary sources or data collection which include the use of questionnaires to elicit information, and review of textbooks, journals, internet sources etc. were used. Statistical tools such as frequency distribution, simple percentage tables and the Chi-Square (x2)were used.

The findings in the hypotheses tested showed that; the company uses an intensive distribution strategy for the distribution of its products. Convenience goods must be made available at every point where they can get them, and at all times; bad roads and poor storage facilities are factors that impede effective distribution of goods and services.

Based on these findings, organizations should ensure a proper definition of roles, right and responsibilities of channel members as the conflict of interest among these members could greatly affect the marketing of the company's products; Careful study must be carried out by organizations to ensure the right distribution strategy is selected for the tight type of product(s) to avoid putting a square peg in a around hole.

TABLE OF CONTENTS

Title Page                                                                                                       i

Certification                                                                                                  ii

Dedication                                                                                                     iii

Acknowledgement                                                                                       iv

Abstract                                                                                                         v

Table of Content                                                                                          vii

CHAPTER ONE:  INTRODUCTION

1.1       Background of the Study                                                                1

1.2       Statement of the Problem                                                                3

1.3       Objectives of the Study                                                                   4

1.4       Significance of the Study                                                                5

1.5       Research Questions                                                                         6

1.6       Research Hypotheses                                                                      7

1.7       Scope of the Study                                                                           8

1.8       Limitations of the Study                                                                 8

1.9       Definition of Terms                                                                         9

CHAPTER TWO: LITERATURE REVIEW

2.0       Introduction                                                                                      11

2.1       The Conceptualization of Distribution                                         11

2.2       The Objectives of Distribution                                                      14

2.3       Choosing A Channel of Distribution                                            16

2.4       Distribution Strategy/Intensity of Channel                                  19

2.5       Distribution Channel for Consumer Goods                                 23

2.6       Importance of Physical Distribution                                             27

2.7       Major Components of Physical Distribution                               28

            References                                                                                        37

CHAPTER THREE: RESEARCH METHODOLOGY

3.0       Introduction                                                                                      38

3.1       Research Design                                                                               38

3.2       Sources of Data                                                                                39

3.3       Data Collection Instrument                                                                        39

3.4       Sampling Method                                                                             40

3.5       Population and Sample Size                                                           40

3.6       Method of Data Analysis and Procedure                                     41

3.7       Restatement of Hypotheses                                                                        42

3.8       Administration of Questionnaire                                                   43

CHAPTER FOUR:  DATA PRESENTATION AND ANALYSIS

4.1       Introduction                                                                                      44

4.2       Analysis of Personal Data from Questionnaire                           45

4.3       Analysis of Data from Questionnaire                                           49

4.4       Test of Hypotheses                                                                          56

CHAPTER FIVE: SUMMARY, CONCLUSION AND

RECOMMENDATIONS

5.1       Summary                                                                                           66

5.2       Conclusion                                                                                        69

5.3       Recommendation                                                                             69

            Bibliography                                                                                     71

            Questionnaire                                                                                   73

CHAPTER ONE

INTRODUCTION

1.1    BACKGROUND OF THE STUDY

The aim of marketing as a set of individual and organizational activities is to ensure that consumer wants, needs and preferences are appropriately and properly satisfied in order toensure customer/consumer satisfaction and at the same time achieve the goals of the individual or organization. Marketing ensures that goods and services are not only produced, but also ensure that these goods are made available to the consumers at the right time, place and in the right quality.

The goal of marketing is achieved through the marketing mix elements - Product, Price, Promotion, and Place (distribution). Marketing ensures that these marketing mix elements combined in the right proportion, at the right time, and in the right sequence in order to meet the requirement of the target market.

Distribution which is one of the marketing mix elements is the subject of this study. The major aim of distribution is to ensure that goods and services move from the points of production to the points of consumption. This involves not only the physical move