ABSTRACT

This project work focuses on the effect of packaging on sales of company’s products with Guinness Nigeria Plc Benin City as a case study. It is aimed at assessing the impact of packaging and involve branding of product cover either to enhance appearance or for preservative purpose. The objectives of the firms market value and how packaging affects the marketing power of a product. Data were collected through the use of questionnaire and oral interview alongside. The data collected were carefully analyzed using statistical method such as Chi-square and simple percentage method. Based on the analysis data, the following findings were made; Packaging of company’s product affect their identification, packaging of company’s product serve both promotional and preservative purpose and finally, it was observed that packaging enhance the marketing force of a company’s product. It was then concluded that packaging has been a strategic tools employed for easy marketability of company’s products. The following were thereafter recommended to the producer of a company’s product; adequate attention should be given to packaging of product since packaging is positively related to sales, company’s policy should expressly specify the goal of packaging so that it would be well understood by the various level of her workforce and finally, companies should ensure that quality of their product commensurate the description on the product packaging so as to sustain the confidence of her product company’s on their product.

CHAPTER ONE

INTRODUCTION

1.1     Background to the Study

Packaging has a great influence or impact in the lives of human and product alike. Most physical products have to be packaged and labeled. Some packages such as the coke bottle and eggs container are world famous. Many marketers have called packaging a fifth “P” along with Product, Price, Place and Promotion (Kotler, 2000). Most manufacturing industries today employ high technological equipment and techniques in the design and production of product’s, is not deemed complete until a befitting package is designed and produced for it. The package here is looked upon as the last marketing mix variable along the channel of production of consumer goods production.

Packaging has become a potential marketing tool well designed and can create convenience and promotional values. It is imperative that any type of packaging should protect the product from damage, pilferage and deterioration through sales channel to its ultimate consumer and in the process of its usage. It is paramount that most consumer products can be package in some kind of container, if they are to be marketed intensively with its inherent handling procedure and technique along with sales channel. The research study will be justified by seeking to find whether consumer have been recommended for improvement.

Further more, a product is basically made up of two distinct parts, “The Product content and the Package” itself. But, at this juncture, more time needs to be focused to the sales of a company’s product. It is important to adequately package a product to protect it against all external forces that may be acting on the product while in transit. Product packaging not only protects the product during transit from the manufacturer to the retailer, but it also prevents damage while the products sit on retail shelves.

The influence of packaging on the sales of company’s product has recently increased tremendously. At times, it becomes very difficult to determine whether greater emphasis should be on the protective function of packaging than on its promotional function.

Due to increase importance, presently attached to packaging, its marketing has stopped to be regard as any person’s job. The job of product’s packaging now rest on the hands of qualified product managers or marketing specialist in most organization.

Besides, the influence of packaging on sales of company’s product can as well be ascertained if one tries to see the adverse effect of a poor package on a product. It will not only kill the product image in the long run but it may also create stigma on the product and create dissatisfaction along the channel of intermediaries (Okafor, 1995).

1.2     Statement of the Problem

The purpose of this research study is to assess the effect of packaging on the sales of consumer products. In order to achieve this purpose and make its findings such more significant in practical applications, Guinness Nigeria Plc, Benin City has been chosen as a study unit.

1.3Research Questions

To this end, the following questions are relevant:

(1)             Does packaging have significant effect on the consumer’s desire to purchase a particular product?

(2)             Does it require high level of expertise to make an effective product packaging of company’s products?

(3)What effects has packaging on the value of company’s product?

1.4              Objective of the Study

          The objective of this project is to assess the effect of packaging in the sales of company’s product. They include the following:

                               i.            Whether there is need for packaging in manufacturing organization.

                             ii.            To determine the effectiveness and efficiency of packaging in the organization.

                          iii.            To determine what should be the correct decision towards packaging.

                          iv.            If there is any form of packaging that is the best for products especially that of Guinness Nigeria Plc, Benin City.

                             v.            To find out the role of packaging on the firms market value.

1.5              Statement of Hypotheses

          The following are the statement of the hypothesis:

(1)             Packaging does not have any significant influence on the sales of company’s product.

(2)              Packaging does not affect the price of a company’s product.

(3)              Packaging does not play importance role in the promotion and protection of the company’s product.

1.6              Scope of the Study

          The study is mainly concerned with the effect of packaging on the sales of consumer product which the researcher limited to Guinness Nigeria Plc, Benin City. Also, the research study is focused on the influence of product acceptance and the effect of prices on packaging of consumer products.

1.7              Significance of the Study

          The effect of packaging on the sales of consumer product cannot be over-emphasized. Since consumers make quick judgments about product’s based on packaging. The packaging of a product communicates brand, image and usage having realized the present dynamic and the human want/need. It becomes essential for Guinness Nigeria Plc to know the importance of packaging as manufacturing organization.

          This study will be of importance to Guinness Nigeria Plc Benin City, because it will lead them to the importance that consumers attach to packaging.

          To the consumers: Packaging is the main way products are advertised and identified. And it’s what attracts the consumer to take a look on the product as its sits on store shelves, and so they purchase the well packaged product. Finally, it serves as a reference material to other researchers who want to make further research into the study.

1.8              Limitation of the Study

In every human endeavor, there is always limiting factors in an attempt to achieve the desired goals of this study, the researcher encountered numerous problem since situations are not constant.

The following are some of the difficulties the researcher encountered. This includes:

Finance: financial problem constitute a major problem in this research work especially with the present trend of the economy and as a student who is dependent. Among the major cost, the cost incurred in printing in an administering questionnaires, cost of writing materials and other miscellaneous expenses.

Time: Time constraints are another major limitation to this work. The fact that the department schedule the programme of sessions and in between determines the deadline of project supervision and submission makes it a fixed variable factor to project writing and to work within this limited means all kinds of adjustment ranging from lecture hours, study hours to travelling hours etc. Another major constraint encountered was the biasness and unwillingness of the respondents to put their information. It took the researcher visit to the respondent before getting the desire information as most of the respondents were not always available. 

Transportation: Increase in bump prices of petroleum product by government as at a time of research affected the cost of this study and increase in the cost of transportation which affected the researcher’s pocket.

1.9     Operational Definition of Terms

Packaging: Packaging is the technology of enclosing or protecting products for distributing, storage, sale and use. It is also the process of design, evaluation and production of packages. Packaging can also be described as a coordinated system of preparing goods for transport, warehousing, logistic, sale and end use. Packaging contains, protects, preserves, transports, informs and sells.

Sales: Sales is the general activities of giving a product to a buyer for exchange for price.

Personal selling: Personal selling is a face to face selling in which a seller attempts to persuade a buyer to make a purchase. It is a strategy that sales people use to convince customers to purchase a product, service or solution.

Marketing: According to the American Marketing Association (AMA) Board of Directors, Marketing is the activity, set of institutions and processes for creating, communicating, delivering and exchanging offerings that have value for customers, clients, partner and society at large.

          According to  Kotler, marketing is the science and the art of exploring, creating and delivering value to satisfy the needs of a target market at a profit.      Marketing identifies unfulfilled needs and desires. It pinpoints which segments the company is capable of serving best and it designs and promotes the appropriate products and services.

Consumers: A consumer is one that consumes, especially one that acquires goods or services for direct use or ownership rather than for resale or use in production and manufacturing. A consumer is the final buyer and  or user of a product for personal consumption or house hold use.

Product: Product is a good, service, or idea consisting of a bundle of tangible and intangible attributes that satisfies consumers and is received in exchange for many or some other unit of values. A product is a good, idea; method, information, object or service created as a result of a process and serve a need or satisfies a want. It is a combination of tangible and intangible attributes (benefits, features, functions, uses) that a seller offers a buyer for purchase.

Target: This is a set of well defined consumer whose needs the company seek to satisfy.

Labeling: Labeling is part of the language of packaging and refers to any printed information appearing on or with the packaging that describes a product.

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