The study examined the impact of promotional activities on
fast moving consumer goods (FMCG), a study of Unilever Nigeria Plc.
The sample frame of the study was made up of consumers of
fast moving consumer goods resident in Ikeja, and the research was limited to
age of 20 and above,
The simple random sampling technique method was use to pick
the respondents and 400 consumers in Ikeja were selected, and a well- developed
questionnaire was designed to elicit information from the respondents.
The data collected were analyzed using the descriptive
statistics technique and the linear regression analysis was adopted to test the
stated hypotheses at .05 significance level.
Result from the study indicated that
there is strong relationship between promotional activities and FMCGs, there is
strong relationship between improvement in promotion strategies on FMCGs and
consumer referrals, and there is strong relationship between health labelling
and consumers’ patronage.
Base on this, the study advised that
FMCGs producing companies especially Unilever Nigeria Plc should ensure that
they meticulously input expiry date on every product they are producing.,
secondly, it should be very careful of misleading advertisement which can take
the interest of consumers away from the product., lastly, it should make sure
the labeling of their products is healthy, along with expiration date, and NAFDAC
registration number for authenticity should also be attached.
Modern marketing calls for more than developing a good product, pricing
it attractively and making it accessible. Companies and individuals must also
communicate with present and potential stakeholders, and the general public.
For most companies and individuals, the question is not whether to communicate
but rather what to say, how to say it, to whom and how often. But communication
gets harder and harder as more and more companies clamour to grab the
consumer’s increasingly divided attention. To reach target markets and build
brand equity, holistic marketers are creatively employing multiple forms of
Sales promotion is an indirect
form of marketing promotion intended to stimulate quick action. It is those
promotional activities other than personal selling, advertising and publicity
that stimulate consumer purchasing and dealers effectiveness such as displays,
shows and exhibitions, demonstration, coupons, contests, samples, premiums,
trade allowance, point of purchasing displays, price cent-off pack and dealer
allowance and other known routine selling efforts that are usually of short
term activities since the aim is to move sales of a particular product or
brand above the existing level. Sales would increase if more customers are
attracted to the shop, if non-brand users are attracted and if brand users are
encouraged to buy more.
According to Ebue (2000) “sales
promotion is that something extra that can arouse interest, creating a buying
desire, sparks an immediate reaction from customers, middlemen or company sales
According to Nnolim (1979) sales
promotions is intended to aid both consumers pull and dealer push. They thus
categorized sales promotions techniques in term of their consumer and dealer
According to Kotler (2003) sales
promotion, a key ingredient in marketing campaigns consists of a diverse
collection of incentive tools, mostly short term design to stimulate quicker or
greater purchase of particular products or services by consumers on the trade.
Based on the sales promotion impact, the researcher used product life cycled
Sales promotion holds a middle
ground between advertising and personal selling. It is usually not directed as
advertising but it is directed at much large groups than a typical personal
Before the sixties, sales promotions had not become popular, but in
recent years they had grown so rapidly between 1967 and 1976, and much more in
the late eighties, nineties and beyond. In Nigeria over the years, companies
and individual service providers have been trying to improve on the creativity
in their promotion so as to meet world standards, and again, create the
necessary awareness that a product needs.
1.2 Background of the Study
Promotion is a form of communication intended to persuade its viewers,
readers or listeners to take some action. It usually includes the name of a
product or service and how that product or service could benefit the consumer,
by persuading potential consumers and customers to purchase or to consume that
particular brand. Modern promotion developed with the rise of mass production
and increased competition in the late 19th and early 20th centuries.
Promotion could also be seen as an element of a marketing communications
program. It is usually not the only one, or even the most important one, in
terms of building brand equity. The promotion communication mix consists of six
major modes of communication.
Advertising: Any paid form of non
personal presentation and promotion of idea, goods or services by an identified
2. Sales promotion: A variety of short term incentives to
encourage trial or purchase of a product or service.
3. Events and Experiences: Company sponsored activities and programs
designed to create daily or special brand-related interactions.
4. Public Relation and Publicity: A variety of programs designed to promote or
protect a company’s image or its individual products.
5. Direct Marketing: Use of mail, telephone, fax, e-mail or
internet to communicate directly with or solicit response or dialogue from
specific customers and prospects.
6. Personal Selling: Face-to-face interaction with one or more
prospective purchasers for the purpose of making presentations, answering
questions and procuring orders.
The above listed are the elements of a promotion communication mix. A
case study of Unilever Nigeria Plc was used to find out how the strategies
employed help the company achieve its promotional goals.
1.3 Statement of the Problem
The purpose of this research work is to
thoroughly evaluate the strategies and tools that companies employ to ensure
promotion of their goods and services and, possibly, find out how that will
commensurate with increased sales due to the use of the different tools.
Inspite of the tight definition of sales promotion as an essential means of
creating awareness of the product’s existence and characteristics and also the
positive, psychological associations that can enhance the buyer satisfaction
which add to the real value of the company's offering, little attention is
being given to it by many business organisations in the country and they rarely
promote their sales to the fullest.
Many firms pay little attention to sales
promotion since they feel they can sell their product with little or no
promotional activities. Likewise, despite the effects of sales promotion, there
had been insufficient research and decision modeling devoted to it. In
addition, there is an established negative perception of many firms as regards
the cost of business promotion especially those whose benefits are not early
and immediately reached.
Also, adequate records of sales and
promotional cost are always neglected and some sales promotion programmes are
introduced at the wrong time, which will therefore hinder the level of sales
and profitability of the firm and thereby render sales promotions less
important in the community and the country as a whole.
1.4 Objectives of the Study
The objectives of this research work are to:
find out the impact of promotional activities on fast moving consumer goods
(FMCGs) of Unilever Nigeria plc products.
know the impact improvement of promotional strategies have on FMCG of Unilever
Nigeria Plc products as a means of referral on various brand.
know the impact health Labeling of fast moving consumer goods (FMCGs) of
Unilever Nigeria Plc products have on consumer patronage.
know how knowledge of expiration date on fast moving consumer goods (FMCGs) of
Unilever Nigeria Plc products can improve consumer satisfaction.
1.5 Research Questions
The following research questions have been developed
are the impact of promotional activities on fast moving consumer goods (FMCGs)
of Unilever Nigeria plc products?
improvement will promotional strategies have on FMCG of Unilever Nigeria Plc
products as a means of referral on various brand?
health Labeling on fast moving consumer goods (FMCGs) of Unilever Nigeria Plc
products Impact consumer patronage?
can the knowledge of expiration date on fast moving consumer goods (FMCGs) of
Unilever Nigeria Plc products improve consumer satisfaction?
1.6 Statement of Hypothesis
There is no significant impact of promotional activities on FCMG of Unilever
Nigeria Plc products.
There is significant impact of promotional activities on FMCGs of Unilever
Nigeria Plc products.
There is no significant impact on the improvement on promotional strategies process
as a means of referral from consumer in their various brands of FMCGs of
Unilever Nigeria Plc products.
There is significant impact on the improvement on promotional strategies as a
means of referral from consumer in their various brands of FMCGs of Unilever Nigeria
H0: Health Labeling has no significant impact on
consumers’ patronage of FMCGs of Unilever Nigeria Plc products.
H1: Health Labeling has significant impact on
consumers’ patronage of FMCGs of Unilever Nigeria Plc products.
H0: Knowledge of expiration date of FMCGs of
Unilever Nigeria Plc products has no significant impact on consumers’
H1: Knowledge of expiration date of FMCGs of
Unilever Nigeria Plc products has significant impact on consumers’ patronage.
of the Research Study
This research work has much significance but some of them are:
- This research work will
improve and expand the knowledge and understanding of the researcher on
issues surrounding or pertaining to promotion with regards to fcmg.
- It will provide relevant
information for management of any organization in making decision related
- It will help in seeking
solution to all problems that arise from poor promotions of fcmg.
- It will educate, especially
advert personnel on how adverts are really impacting to company’s goods
and services, sales revenues.
- It will serve as
reference material to any scholar/student who is willing to know or to add
to his/her knowledge and insight of what the real impact of promotion is.
1.8 Scope of the Study
It is generally known that promotion covers a wide range area, but for
the purpose of this research work, it will be limited to studying the
strategies employed by Unilever Nigeria Plc in promoting its fcmg.
1.9 Definition of Terms
PROMOTION: Sales promotion can be defined as a broad label that applies
special kinds of sales accelerating activity not necessarily classed as
advertising and direct selling.
can simply be defined as the totality of all economic activities that are
undertaken in the process of producing and distributing goods and services for
the purpose of making profit.
MARKETING: This is the task of creating, promoting, and
delivery of goods and services to consumers and businesses.
Anything that can be offered to a market to satisfy a want or need.
This is the amount of money for which goods or services is brought or
sold, as selected by the company as final price from its range of prices.
this is the act of delivering and receiving messages from people. This
includes newspaper, magazine, radio, Television e.t.c.
form of Communication intended to persuade its viewers, readers, or listeners
to take some actions on a product or service.
are plans designed to achieve a long term aim and objectives.
This is the rate at which goods are sold.
CONSUMER: Is a
person who buys goods or services that is, the final person who uses a product.
is a feeling of fulfillment that is gotten from the use of a product.
COMPANY: This is
referred to as a firm. That is, commercial business.
act of managing (i.e planning, staffing, controlling etc) all resources available
to the business for the achievement of goal and objective of a company.
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