THE
ROLE OF BRANDING IN
CONSUMER DECISION MAKING:
(A
CASE STUDY OF CADBURY NIGERIA PLC)
TABLE
OF CONTENTS
PAGE
TITLE
I
CERTIFICATION II
DEDICATION
III
ACKNOWLEDGEMENTS
IV
TABLE
OF CONTENTS VI
CHAPTER
ONE
1.1
Introduction 1
1.2
Objective of the Study
6
1.3
Scope of the Study
6
1.4
Research Question
7
1.5
Research Hypothesis
7 1.6 Statement of
Research Problem 8
1.7
Limitation of the Study
9
1.8
Study Plan
9
1.9
Definition of Terms
10
CHAPTER
TWO
LITERATURE
REVIEW
2.0
Literature of Review
12
2.1
Branding Decision
13
2.2
Manufacturer’s Brand
14
2.3
Consumer Behaviour
17
2.4
Consumer Buying Motives and Habit
18
2.5
Consumer Buying Decision Process
19
2.6
Reasons for Branding
23
2.6.1
To the Consumer
23
2.6.2
To the Marketer 24
2.7
Research for Consumer Behaviour
24
2.8
Promotional Strategies of Cadbury Nigeria PLC, Products 27
2.9
Advertising
29
2.10
Personal Selling
30
2.11
Brands as Consumer Protection
31
2.12
Defining Brand Expectation
34
2.13
The Role of Brand Awareness
36 2.14 How Does Brand
Awareness Benefit The marketing 37
CHAPTER
THREE
RESEARCH
METHOLOGY
3.0
Introduction
41
3.1
Research Design 41
3.2
Population of The Study
42
3.3
Sample And Sampling Technique
42
3.4
Research Instruction 43
3.5
Method of Data Analysis
44
3.6
Data Collection Procedure
46
3.7
Question Assumption
48
3.8
Validity
49
3.9
Reliability
50
3.10
Historical Background of Cadbury Nigeria Plc 51
CHAPTER
FOUR
PRESENTATION
AND ANALYSIS OF DATA
4.1 Introduction
53
4.2 Data
Presentation and Analysis 54
4.3 Hypothesis
Testing 71
CHAPTER
FIVE
SUMMARY,
CONCLUSION AND RECOMMENDATIONS
5.0
Summary 74
5.1
Conclusion 75
5.2
Recommendation 76
References
78
Appendix:
Questionnaire 80
CHAPTER
ONE
1.1
INTRODUCTION
Marketing
managers have realized the importance of branding, while more others
yet to be convinced. It is very vital however to point out that
branding has not only come a long way but also has way to go. Cadbury
Nigeria PLC is a leading manufacturing concern in the Food and
Beverages industrial sector. Its core manufacturing business is
divided into three strategic business units namely, Food, Drinks and
Confectionery.
A
fourth business unit is the Industrial Materials Unit (IMU) which
comprises our intermediate products businesses notably,
the
Cereal Conversion Plant in Lagos the Tomato Puree
factory in Jos. This business unit manufactures key inputs - glucose
syrup, sorghum extract and tomato puree to feed the three mainline
businesses, and for sale to third parties, especially in the food and
pharmaceutical industries. The heartland of this unit, the Cereal
Conversion Plant is an enduring example in technological innovation.
The Company also owns a subsidiary business, Stan
mark Cocoa Processing Company, Ondo.
A fully integrated export oriented unit with a singular mission to be
the preferred supplier of cocoa butter, cocoa liquor and cocoa powder
to select user customers around the world. Stan mark has been granted
the Export Processing Factory status by the Federal Government which
no doubt is a major boost to its future success. The Stan mark
investment was clearly a strategic move to generate foreign exchange
earnings and to understand the vagaries and discipline of
international markets.
The
Company wide portfolio of high quality branded products are heavily
supported with strong advertising. On-going investments in the
development of route-to-market has ensured a nation-wide distribution
coverage, and a key source of competitive advantage. With the network
of 19 depots, consumers in all 36 states of the country are served
products that offer real value for the money spent. An increasing
proportion of our brands are now being offered to the export markets
as well.
The
Food Drinks:
The
Food drinks range consists of Bourn vita (the nourishing food drink
fortified with extra vitamins and minerals for total vitality) Pronto
(Nigeria’s favorite chocolate drink) Richoco (a rich, tasty food
beverage) These brands have collectively maintained market leadership
in their category.
Confectionery:
The Confectionery range features such household names as Tom Tom, Goody Goody, Butter mint, The Trebor range (Luckies, Trebor Peppermint Original (TPO), Malta Sweet Fruities, Ginger Orange, Koffstick, Tofi Chocolate Éclairs Jollies Lollipos (in banana, orange and Malta Lollipops). This range straddles principally the hard candy, compressed sweets and lollipop segments in which they have a distinctive leadership.
The Confectionery range features such household names as Tom Tom, Goody Goody, Butter mint, The Trebor range (Luckies, Trebor Peppermint Original (TPO), Malta Sweet Fruities, Ginger Orange, Koffstick, Tofi Chocolate Éclairs Jollies Lollipos (in banana, orange and Malta Lollipops). This range straddles principally the hard candy, compressed sweets and lollipop segments in which they have a distinctive leadership.
Foods:
The Food range comprises Tomapep (a choice blend of pure tomato puree and ground pepper) and Dadawa (the first and only wholly Nigeria seasoning cube made from locust beans). Others are Cheff Tomato (the rich red puree for extra delicious taste) Knorr cubes (premium quality seasoning cubes in beef and chicken flavours) and Cheff Peppersoup cubes (easy, tasty, convenient pepper soup in double quick time) another pioneering effort by the Company. They are strong number two position in this category. Aside from the unwavering commitment to making whenever possible with locally sourced raw materials, (exemplified by Tomapep, Cheff, Dadawa and Cheff pepper soup cubes) there has been a deliberate effort to re-invent the various brands to position them for market leadership in their various segments.
The Food range comprises Tomapep (a choice blend of pure tomato puree and ground pepper) and Dadawa (the first and only wholly Nigeria seasoning cube made from locust beans). Others are Cheff Tomato (the rich red puree for extra delicious taste) Knorr cubes (premium quality seasoning cubes in beef and chicken flavours) and Cheff Peppersoup cubes (easy, tasty, convenient pepper soup in double quick time) another pioneering effort by the Company. They are strong number two position in this category. Aside from the unwavering commitment to making whenever possible with locally sourced raw materials, (exemplified by Tomapep, Cheff, Dadawa and Cheff pepper soup cubes) there has been a deliberate effort to re-invent the various brands to position them for market leadership in their various segments.
The
past two years have witnessed major improvements in the packaging and
product delivery of Bourn vita, Trebor Peppermint Original and lately
Chocolate Éclairs. The company’s brands now come with a Quality
Guarantee, a demonstration of our commitment to product quality
standards. It is worthy of note that no other company in Nigeria
carries this guarantee on their brands. The Company’s corporate
social responsibility policy is expressed through generous donations
to and sponsorship of meaningful endeavours in the Arts, Education,
Health and Sports, and the important needs of the society. The policy
and structure of Cadbury’s corporate giving is directed by the
Board.
Beyond this, we have maintained a policy of attaining the highest standards in environmental management. Our Approach to our corporate social responsibility spans several facets, beginning with the creation of healthy and nutritious products for consumers. Several exemplary activities are undertaken as well. In 1998, Bourn vita provided free rides for school children under the Bourn vita Scholars’ Free Bus Ride. Also, over 100 children were sponsored on an excursion to the Federal Capital City, Abuja under the Bournvita ADC Children’s Magic Flight. And in its pioneering effort towards sports development in nigeria, the company recently sponsored The Cadbury Cup quadrangular golf tournament, the first ever inter-club gold competition among top golfs clubs in Nigeria - the essence of which is to raise existing standards of the game, just as it did with football with the pioneering of the Professional Football League, and Table Tennis. Our Primary objective is to grow the value of the business for our shareholders. Managing for Value to the business philosophy which unites all our activities in pursuit of this objective. Our approach is necessarily holistic, galvanizing the energies of our managers and staff in a single-minded fashion. In line with the objectives of MFV, the Company has taken the following strategic medium and long term quantitative targets are:-
Beyond this, we have maintained a policy of attaining the highest standards in environmental management. Our Approach to our corporate social responsibility spans several facets, beginning with the creation of healthy and nutritious products for consumers. Several exemplary activities are undertaken as well. In 1998, Bourn vita provided free rides for school children under the Bourn vita Scholars’ Free Bus Ride. Also, over 100 children were sponsored on an excursion to the Federal Capital City, Abuja under the Bournvita ADC Children’s Magic Flight. And in its pioneering effort towards sports development in nigeria, the company recently sponsored The Cadbury Cup quadrangular golf tournament, the first ever inter-club gold competition among top golfs clubs in Nigeria - the essence of which is to raise existing standards of the game, just as it did with football with the pioneering of the Professional Football League, and Table Tennis. Our Primary objective is to grow the value of the business for our shareholders. Managing for Value to the business philosophy which unites all our activities in pursuit of this objective. Our approach is necessarily holistic, galvanizing the energies of our managers and staff in a single-minded fashion. In line with the objectives of MFV, the Company has taken the following strategic medium and long term quantitative targets are:-
Grow
economic profit by 15% per annum.
Raise
Operating profit Return to 26% by 2002
Secure
a significant positive cash flow of 3% of NSV annually.
1.2
OBJECTIVE OF STUDY
The
main objective of this study is to examine the role of re- branding
in consumer decision making.. Other objectives will be to:-
i.
Investigate the sales and profit level as a result of Re-branding in
Cadbury Nigeria Limited.
ii
Examine other benefit o Re-branding consumer products in Nigeria.
1.3
SCOPE OF THE STUDY
The
scope of this study focuses and centers around Cadbury Nigeria PLC
being one the largest in the beverage productions business. It has
also in particular focuses in public affairs department responsible
is dealing with the company’s communities. It is very important to
note this department will be the only arm of the company’s that
will save to a large extent the purpose of this research.
1.4
RESEARCH QUESTION
The
study seek to answer the following question;-
i.
Will the branding of Cadbury Nigeria plc, product (i.e. Bournvita)
influence buying decision of consumers?
ii.
Why do the organizations engage on Re-branding of their products?
iii.
How does branding influence buying decision of consumers?
iv.
What are the effects of Re-branding of products?
1.5
RESEARCH HYPOTHESIS
Hypothesis
statement will provide a logical scientific condition to my
statistical estimate. To achieve objectives stated above, the
following hypothesis will be tested.
HYPOTHESI
1:
Null
Hypothesis (Ho): Branding has not influence the purchase level of
Cadbury products.
Alternative
Hypothesis (Hi): Branding has influence the purchase level of Cadbury
products.
HYPOTHESIS
2:
Null
Hypothesis (Ho): Branding has not improved consumer decision making
on Cadbury Nigeria plc, products.
Alternative
Hypothesis (Hi): Branding has improved consumer decision making on
Cadbury Nigeria PLC, products.
1.6
STATEMENT OF RESEARCH PROBLM
The
study seeks to address the influence of branding on buying decision
of Cadbury’s products which militate against the ability of the
beverages industry to fulfill their branding decision. Among these
problems and militating factors are:-
i.
Inadequate sourced to generate required funds
ii.
Weak economic or financial base
iii.
Shortage of technical staff
iv.
Miss- Management of Marketing Resources
v.
Low effort to generate revenue from the consumers
1.7
LIMITATIONS OF THE STUDY
There
is some evident limitation of the study such as Unwillingness on the
part of management to give information s regards the company in order
to guard against espionage from competitors; this is a major
difficulty.
Also,
the busy schedule of the workers is another limitation which makes it
a bit difficult to carryout interviews with a many relevant people as
possible. Another limitation of the study is the fact that the
information provided in the study will only be limited to the case
study (Cadbury Nigeria plc) and as such cannot be applicable in
another organization.
1.8
STUDY PLAN
The
research work is made up of five chapters. The first chapter
consists of the introduction i.e. Background to the study, The
statement of the research problem, objectives of the study, research
questions, scope of the study, limitation of the study, the study
Plan, and the definition of key terms.
Chapter
Two is the Limitation Review While Chapter Three involves the
research Methodology which consists the Historical profile of the
case study, Method of the data collection, Population and Sample
size, Sampling techniques Hypothesis and The method of data
Analysis. Chapter Four of the study is the Data Analysis and
Interpretation and Chapter Five consists of the Summary, Conclusions
and Recommendations.
1.9
DEFINITION OF KEY TERMS
In
carrying out survey on a particular project some of the following key
term has to be designed and it has follows:-
i..
BRANDING:-
This is the use of a distinctive name and / or mark on a project to
differentiate it from similar competitive products. It is a major
tool used by marketer to distinguish their product from competitor’s
products.
ii.
CONSUMER BEHAVIOUR:-
This has been defined as the decision process and physical
activities that an individual are engaged in where they evacuate,
compare, acquire and use or dispose of products and services.
iii.
BUYING DECISION:-
This is defined as the ability of the consumers to conclude and
purchase a specific products and services.
iv.
MARKET SHARE:-
This is the percentage of total market that accrues to a particular
company.
CHAPTER
TWO
2.0
LITERATURE REVIEW
Perhaps
the most distractive skill of professional marketers is their ability
to create, maintain, protect and enhance brands. Marketers say that
“branding is the art cornerstone of marketing”. The American
Marketing Association (A.M.A) defines a brand as follow:-
A
brand name, term, sign, symbol or combination of them, intended to
identify the goods or services of one seller or group of sellers and
to differentiate them from those of competitors. (America Marketing
Association). In essence, a brand identifies the sellers or
marketers. It can be a name, Trade mark, Logo, other symbol. Under
trade mark Law the seller is granted exclusive rights to the use of
brand name in perpetuity. This brand differ from other assets such as
patent and copy right, which have expiration dates. A brand is
essentially a seller’s promise to consistently deliver a specific
set of features, benefits and services to the buyers. The best brand
conveys a warranty of quality. Aaker (1991).
2.1
BRANDING DECISION
One
of the basic tasks of Cadbury PLC is decision making on branding. The
variety decision options ope to management of Cadbury plc covers
branding and non-branding, manufacturer’s branding and private
branding, family and individed.
This
can be diagrammed as:-
Aaker
[1991] managing Brand Equity
2.2
MANUFACTURER’S BRAND
This
identifies producer with the product as the point of purchase. The
Manufacturer initiates branding and becomes involved in the
distribution; promoting and pricing decision Examples of
manufacturer’s brands are Goldee, Burn vital e.t.c. Many
distributors (Whole sales and Retailers) rely on Cadbury Plc brands
because they are too small to develop their own. Such as distributors
derive some benefit from Cadbury Plc branding which include:-
i
Promoting by Cadbury Plc helps to re-sell products and develops
strong customers loyalty.
ii
Cadbury Plc brands attract new customers and thereby enhance
dealer’s prestige.
iii
Dealer’s carry fewer inventories as a result of efficiency of
manufacturers.
A.
FAMILY BRANDS
Cadbury
Nigeria plc markets several different product product under the same
brand names. Cadbury Nigeria PLC benefits from using a family
whenever it is possible and such benefit includes.
i
It is facilitate the introduction of new products as less money is
required to promote the new product (Goldee) with and already family
name.
ii
It improves market share of Cadbury Nigeria PLC, Since it is safe
to buy a new product with an established family name than buying a
product with a new name.
B.
INDIVIDUAL BRANDS
This
is an alternative strategy used by Cadbury PLC where all products do
not lend themselves to sale under a family name.
C.
TERMS IN BRANDING DECISION OF CADBURY NIGERIA PLC.
According
to Stanton (1984), the following are the terms used in branding
decision;
i.
A brand is a name, term, symbol, design or combination therefore
that identifies a Cadbury PLC product and differentiates them from
competitor’s products.
ii.
A brand name is that part of a brand that can be spoken include
letters, words, and numbers
iii.
A brand mark comprises of the element that cannot be spoken because
it is not made up of words rather than it is symbol or design.
iv.
A brand mark; This is a legal term , indicating the owners
exclusive right to use the brand or part of the brand , and that
others are prohibited by law from using without permission.
v.
A trade name; This is the fuel and legal name or an organization
such as Cadbury Nigeria PLC rather than the name of specific product.
- CONSUMER BEHAVIOUR
Stanton
(1984) sees consumer behavior as the decision, process and physical
activities that individuals engaged in which they evaluate, compare,
acquire ad use or dispose of product service. Consumer behavior can
be describe as the behavior exhibited by people in planning, purchase
and using economic goods and services. It is determined by economic,
physical and sociological consideration. The study of consumer
behavior is central to marketing management because success or
features depends importantly on target customers, individual and
group reactions expressed in the form of buying patterns. The
behaviour of consumer can be determined through behavioural research.
As a result human behaviour is influence by complexity of factors
among which is branding. The variables involved can sometimes be so
many and inter meshed that it is possible to identify them
separately. Olusanya (1985) asserts that any attempt at
interpreting or explaining consumer behaviour, in which data analysis
is involved is therefore, potential hazardous since the explanation
are related to the phenomenon under investigation.
2.4
CONSUMER BUYING MOTIVES AND HABITS
According
to Stanton
(1984)
consumer has been defined as he decision process and physical
activities that individuals are engaged in when they evaluate,
compare, acquire and use or dispose of products. They study of
consumer therefore, is the study of what consumers buy, where they
buy it, why they buy it, how often they buy it, and how often they
use it.
A
motive by W,J, Stanton (1984) is defined as an internal energizing
force that orients a person activities toward satisfying a need or
achieving a goal. It is the driving force that cause a person to take
action to satisfying a need or achieving a goal. It is driving force
that causes a person to take action to satisfy specific needs. This
as a result, is what makes Cadbury PLC to recognize forces that
affect consumer’s purchase action like branding product quality
etc. Consumers buying motives can be generally classified as:-
i.
Rational (which, involves deliberation reasoning and
self-approval)
ii
Emotional (Non-rational or involving with reasoning)
iii
Conscious (without being aroused)
iv
Dormant (Aroused by marketing operation)
v
Primary (which is influential in buying a particular brand)
vi
Selective (which involved decision to buy a particular brand)
vii
Patronage (which involves decision to regularly buy from a
particular source)
2.5
CONSUMER BUYING DECISION PROCESS
According
to Stanton (1984), consumer buying decision process is a major aspect
of consumer behaviour. It implies that buying does not just happen,
rather it follows a step by step process of which actual buying is
stages. It is also true that not all decision process lead to
purchases as the individual way end the process at any state. Stanton
(1984). Basically a consumer buying decision process involves five
stages illustrated below:-
A.
PROBLEM RECOGNITION
This
is the starting point in the buying process and involves the buyer
recognizing a problem or need. This stage occurs where the buyer
becomes aware of the gap between his actual condition and the desired
state.
This
can be triggers by internal and external stimuli. The task of
companies such as Cadbury PLC is therefore to identify those stimuli
that trigger a particular need and then develop strategies that
trigged consumers’ interest. Also, where consumers are unaware of a
need, marketer can trigger of recognition of such needs through
appropriate strategies like branding, advertising etc. Stanton (1984)
B.
INFORMATION SEARCH
After
recognizing the problem or need, the buyer continues in the buying
decision process by searching for more information about products
that will help to solve the problem or satisfy the need. This
information search makes him to more receptive to information and /or
actively searching or information.
Information
search can take the form of:-
i.
Internal search is where buyers search their memory for
information about product branding that might solve the problem.
ii
External search involves collection of information from personal
source (family, friend, neighbour acquaintances) commercial sources
(advertising, sales person, branding, packaging etc), public sources
(mass media consumers rating organization) and experimental sources
(handling, examine and using the product ). Stanton (1984)
C.
EVALUATION OF ALTERNATIVES
Information
search leads to the awareness of the availability of many competitive
brands. These alternative brands most be evaluated on criteria for
evaluation include need of the buyer, benefits expected from the
product, attributes and abilities of the alternatives to deliver the
benefit sought. Stanton (1984)
D.
PURCHASE DECISION
The
result of the evaluation stage guides the buy in choosing the product
or brand to be bought. he also chose the seller from whom he buys.
The brand that is eventually chosen most met the buyer’s
expectations terms of product characteristics and ability. The
availability of the product also affects its choice and if the choice
is not available the next board that is available will be chosen.
Family, the actual buying takes place at this stage. Stanton (1984)
E.
POST PURCHASE EVALUATION
This
stage occurs after the product has been purchased. The product has to
be assessed to ascertain whether its actual performance meets buyers
expectation. The result of this evaluation is an experience of
satisfaction and dissatisfaction. The task of marketing does no end
at the purchase stage rather, it continues into the post purchase
stage. Marketer must therefore monitor post purchase stage as it
determines whether buyer complains about the product, tell other
about the product or purchase the product again. Stanton (1984)
2.6
REASONS FOR BRANDING
Kotler
(1997) shows numerous reasons for branding a product. An
understanding of these reasons brings about the importance of
branding to bout the consumer and to the marketer.
2.6.1
TO THE CONSUMER
i.
Branding assure the consumer of he uniformity of the product is
buying in term of quality and performance.
ii
It assists him in identify the product desire.
iii
It serves as a source of information to consumers.
iv
It identifies the form behind the product.
v
It offers consumers to opportunity to compare products and make
a choice among available alternatives.
vi
It assists consumers during repeat purchase.
vii
It gives the consumers certain psychological satisfaction.
viii
It bridges the gap between the manufacturer’s promotional
programmes and consummation of sales to customers.
ix
It enhance consumer welfare as consumers can get new or improved
product that come as a result of branding.
2.6.2
TO THE MARKETER
i.
Branding afford a company the opportunity to control sale of its
products.
ii
It aids advertising and display programme as a manufacturer can
now build his promotional company round his products.
iii
It stimulate repeat purchase and other protection against product
substitution by consumers.
iv
It reduces competition based on prices, rather products
development and improvement, promotion, and distribution etc are use
to competitive tools.
2.7
REASONS FOR CONSUMER BEHAVIOUR
Stanton
1984 shows the important involve predicting human behaviour is a
laborious task. This notwithstanding however, the study is important
because of each certain important functions it performs as it can be
seen form three different perspectives.
2.7.1
The knowledge of consumer behaviour can be valuable to an
individual in making decision concerning his purchases. This will
save consumer from making unwanted or unsatisfactory purchase arising
from the influencing of some deceptive slogans. It is very common in
our society today to see sales man going around to convince people to
purchase their product, thus they usually used big promotional
activities like using a slogans that will arouse the interest of the
people. As a result of all these consumers find themselves buying
goods and services of prices that are often higher than those
available for similar or identical items in a buying store.
2.7.2
A potential marketer will find the knowledge useful as he
approaches the problem of developing and implementing a marketing
strategy. The related advantage can be derived by studying consumer
behaviour are as follows:
(a)
Marketer gain better understanding of consumer needs leading to a
more effective implementation of the marketing concept.
(b)
The marketer are able to know consumer needs through the consumers
communication.
(c)
The profit position of the company may be improved by turning real
consumer needs into effectives product appeal.
(d)
Marketer could be effectively segmented into sub-groups depending on
common behaviour characteristics.
(e)
The cost and resources wastage associated with new products
features are minimized.
2.7.3
The knowledge of consumer behaviour will have a significant impact
of the marketers and executors of public policies dealings with
marketing practices. A number of public policies have been instituted
to regulate the selling and buying procedures. Some of these are
essentially to protect the consumers while other are in the interest
of manufacturers of products and services. Therefore, he study of
consumer behaviour will benefit the public policy markers in the
following ways:
i.
The gain better insight into how to provide and protect free
consumer choice.
ii
They understand ways of encouraging marketer to provide better
production information.
iii
They understand techniques for encouraging all consumers to use
available information to make better decision.
2.8
PROMOTINAL STRATEGIES OF CADBURY PLC PRODUCTS Promotion
and selling are synonymous terms although promotion is normally
preferred. Selling suggest only does not include advertising or other
methods of stimulating demand.
Stanton
(1984) defines promotion as following: “Promotion includes the
function of Advertising, Promotion selling, all other selling tools”.
Promotion is the one of most important aspect of marketing
management. The buyer would have to be informed about the existence
of the product. The information concerning the quality, price and
after sales services of a products can only be made known to
including buyers through promotion. In the past advertising, personal
selling publicity, and sales promotion were viewed as the only
elements of promotion mix, but today, marketers are becoming more
aware of the fact that everything an individual or an organization
does or says has promotional impact.
Horper
1977, in is write-up explained that “ more and more, it is appeared
that marketing is most entirely communications, the product
communicates, the price communicate, the package communicates, the
prospects, to management and each other. Also, prospects, dealer’s
management, competitors communicates Cadbury plc, in carrying out its
promotion, normally takes into consideration the following:-
i.
The nature of the market as it true in most problem areas in
marketing, decision in the promotional mix will be greatly influence
by the nature of the market this influence is felt in least three
ways.
ii
Geographical scope of the market- personal selling may be adequate
in a small market broaden geographical, greater stress must be placed
on advertising.
iii
Types of consumers. The promotional strategy is influenced by
whatever the business is aimed at ultimate consumers.
iv
Concentration of the market. The total number of prospective
buyers is one consideration. The former potential buyers there are
the more effective personal selling is compare to advertising.
v
Funs available. Regardless of what may be the most desirable
promotion mix, the amount of money for personal is the real
determination of mix. Therefore, with the above the methods in the
promotional mix use by Cadbury PLC will be fully discussed.
2.9
ADVERTISING
As
defined by American Marketing Association committee on definitions,
advertising can be said to be: “Any paid form of promotional
presentation and promotion of deal goods and services by identified
sponsor”
it
assists all activities involved in presenting to a group a
non-personal oral or usual openly sponsored message regarding a
product service or idea. The message called advertisement is
discriminated through one or more media and paid for by an identified
sponsor. Their reasons for advertising include:
A.
To support personal selling to open customer door for sales people
an acquaint prospects with seller company.
B.
To increase the sales for the products.
C.
Expend the market share.
D.
To build goodwill for the company and improve its reputation.
2.10
PERSONAL SELLING
Personal
selling according to Evans and Berman 1978 is: “An oral
presentation in a consideration with one more prospective purchase
for the purpose of making sales” Cadbury PLC salesmen are involved
with order getting personal. They are involved with informing and
persuading customer for the company products like Goldee. The main
objectives of using the personal selling by the company is:
A.
To create awareness for the company’s product.
B.
To provide adequate level of sales
C.
To provide feedback information to company
D.
To improve and maintains customers satisfaction.
The
advantages derived by the company from the use of personal selling
include:
i.
provision of mandate feedback by the salesman organized o
electoral allotment for effective coverage in order to mistune
wastages
ii.
Flexibility I analyzing. Alternative solution to customers needs.
iii.
Alternation of message by sales persons to the need of individual
customers.
iv
The attention span of the customer to be made high.
2.11
BRANDS AS CONSUMER PROTECTION
A
century ago, branding was in its infancy. At that time, people still
made most of the products that they consumed (such as Goldee,
Bournvita, Chocolate) or purchased them directly from producers who
were their friends and neighbors. People had faith in the quality and
safety of the products because they knew the people who made them.
As
our economy became more specialized a trend that, as Adam Smith
predicted, created an unprecedented degree of wealth consumers were
more removed by both distance and time from producers. The
introduction of labor-saving machinery, which increased productivity
markedly, also dictated the concentration of producers in a
manufacturing area. Thus, the village silversmith or baker or cobbler
was replaced by a factory that produced a high quality product at a
more competitive price. Consumers valued the potential quality
consistency and savings, but they no longer knew the people who made
their products. Similarly, as individual consumers became more
specialized in their roles as producers, they themselves made even
fewer of the products they consumed and relied increasingly on other
specialists to meet their material needs.
In
a large market, consumers do not care who makes their products. In
this sense, the market is the great equalizer, as producers of all
races, ethnic origins, religions, and genders unleash their creative
energies to meet the needs of consumers, While consumers do not care
who makes the products, they care very much how the products perform.
They want to know that the product they purchase will meet their
expectations.
In
this consumer environment, brands play a critical role. When
consumers first started purchasing more food and raising less
themselves, they purchased items from a bulk bin. They had no
information about what ingredients the products contained, how safe
they were, and how they would perform. Branding created the
protection that consumers demanded. The brand name signified a level
of quality and consistency consumers could trust. Thus, Bournvita,
Chocolate, Éclair, and Tom Tom, instilled in consumers a degree of
confidence that their unbranded competition did not.
2.12 DEFINING BRAND EXPECTATIONS
Brands
are effective only when the product delivers a consistent level of
quality from product to product. McDonald’s delivers the same level
of quality regardless of location or time of visit. A consumer may
choose not to dine there for a particular meal, but that decision is
not a rejection of branding. Rather, it is an informed decision not
to consume that expected level of quality on a particular occasion.
Consumer
confidence in brands varies with the type of product. Typically,
confidence in branded goods such as automobiles, detergents, movies,
and clothing runs extremely high. After all, standards can be defined
and controlled strictly when the product is produced entirely in one
central location and can be inspected before being presented to
consumers. These brand names deliver the highest level of consumer
confidence. The consumer may accept or reject the product; in either
case, the decision is made with a clear expectation about the
performance or level of quality of the goods.
Confidence
in a product that is composed of a combination of both good and
service is somewhat reduced because part of the output cannot be
controlled in advance. A McDonald’s hamburger, bun, lettuce, and
tomato can be inspected before they arrive at a particular franchise,
but other inputs the actual cooking.
2.13
THE ROLE OF BRAND AWARENESS
Rossiter
and Percy (1987) describe brand awareness as being essential for the
communications process to occur as it precedes all other steps in the
process. Without brand awareness occurring, no other communication
effects can occur. For a consumer to buy a brand they must first be
made aware of it. Brand attitude cannot be formed, and intention to
buy cannot occur unless brand awareness has occurred Rossiter &
Percy (1987); Rossiter et al. (1991). In memory theory, brand
awareness is positioned as a vital first step in building the
“bundle” of associations which are attached to the brand in
memory (Stokes 1985). The brand is conceptualized as a node in memory
which allows other information about the brand to be “anchored”
to it Aaker (1991b). The conceptualization of a network of brand
associations in memory with the brand as a central core has been put
forward by many others e.g. Keller 1993; Holden (1993); Holden &
Lutz (1992).
2.14
HOW DOES BRAND AWARENESS BENEFIT THE MARKETING MANAGER?
Brand
awareness should be an important goal of the marketing communications
efforts of a firm as it have a number of important functions. It is
widely acknowledged that without brand awareness occurring, brand
attitude and brand image cannot be formed. However, equally important
but less widely recognized is the importance of brand awareness as a
heuristic which can affect inclusion in the consideration set, and in
many situations may be sufficient by itself to determine choice from
the consideration set.
According
Aaker (1991a, b) argues strongly the case for brand building and
maintaining brand equity; he cites brand name awareness as one of
four major brand assets which add value to the product or service
and/or its customers. Investments in brand equity and in particular
brand awareness can lead to sustainable competitive advantages and
thus to long term value. Brand awareness can add value by Aaker
(1991a,b.)
1.
Placing the brand in the consumer's mind.
2.
Acting as a barrier to entry to new unestablished brands.
3.
Reassuring the customer of the organization’s commitment and
product quality, and
4.
Providing leverage in the distribution channels (between
intermediaries and customers too, and are just as suspicious as
consumers are of unknown products) Aaker (1992)
However,
there is difficulty in demonstrating the value of assets such as
brand awareness to managers. Aaker (1991a) complains the problem is
that, firstly, enormous pressure exists for organizations and their
brands to demonstrate short-term profit results. Brand managers are
often given a one to three year time horizon and little incentive to
make strategic brand building investments. And secondly,
demonstrating the long-term value of brand building is "exceptionally
difficult" Hogarth (1980), Aaker (1991a). Even managers, who
claim that they are concerned with the brand building activities of
their firm, find difficulty in gaining support and resources for
these activities. In the light of Aaker's findings, a study by Kelly
(1991) is very interesting. Kelly carried out a series of interviews
with Australian marketing managers. Many of the managers he
interviewed “maintained that their advertising was directed towards
building the longer term effects of favourable brand image and strong
brand loyalty”. Other managers were quoted as saying that they
“were not looking for short-term results” but that advertising
provides them with the opportunity “for corporate branding and
image building which is very much oriented to the longer term”
Kelly (1991 p.5.). In other words, these managers claimed the
long-term
goals
of brand-building and brand image to be of greater interest to them
than short-term objectives such as sales. However this research was
based on discussion with managers, and might obviously suffer from
managers saying what they felt they should
do,
rather than what they actually do, especially when talking to a
marketing academic.
CHAPTER
THREE
RESEARCH
METHODOLOGY
3.0
INTRODUCTION:-
This
chapter deals with Research Design, Population of the Study, Sample
and Sampling Techniques, Research Instrument, Method of Data
Analyses, Data Collection Procedure, Questionnaire Assumption,
Validity, Reliability and Historical Background of Cadbury Nigeria
Plc.
3.1
RESEARCH DESIGN
This
research design adopted for this study is correlation design.
Correlation survey studies include all research projects in which an
attempt is made to discover or clarify relationship through the use
of correlation statistical method. According to Francis (2004) it is
a technique use to describe relationship between two variables in
mathematical terms. It is the descriptions of the degree of which the
variables under study are relate to predict each other in a chosen
population.
3.2
POPULATION OF THE STUDY
The
study population consists of staff of Cadbury Nigeria plc and the
categories of workers in the population are: - Top Managers,
Executive Staff, Senior Staff and Junior Staff. Population in each
category is one hundred and one (101), two hundred and thirty six
(236) nine hundred and forty six (946) four hundred and six (406)
respectively. This amounts to one thousand six hundred and eighty
nine (1,689) staffs altogether.
Source:
Cadbury Nigeria Plc (2010)
3.3
SAMPLE AND SAMPLING TECHNIQUE
These
subjects are selected using deliberate sampling technique or
purposive technique. This is because motivation process is typically
administrative function.
According
to Olusanya (2004), purposive selection of a population, there are
some elements that have certain characteristics which are considered
crucial to the study at hand and this is of vital importance to the
investigation to include those elements in the sample.
In
the light of this, sample is not restricted to a particular category
of staff. Hence, staffs that are capable of providing the needed
information for the study are selected. Thus, sample for the
population comprises (5) Top Managers, Eleven (11) Executives Staff,
Twenty Five (25) Senior Staff and Thirty Nine (39) Junior Staff.
Thus, total sample for the population is Eighty (80).
3.4
RESEARCH INSTRUMENT
The
research measurement instrument used for this research work is
employee’s motivation questionnaire and personal interview. The
employee’s motivation questionnaire is in two sections one deal
with respondent bio- data while section two deals with research
oriented questions. Both sections are Eighteen (18) simple scale
questions on how staffs are being motivated in their present job.
There responses are range from: - Strongly Agree, Agree, Undecided,
Disagree, and Strongly Disagree.
Personal
interview was also used to gather information that is not covered by
employee’s motivation questionnaire. This is to complement the
information needs of the research work.
3.5
METHOD OF DATA ANALYSIS
The
data analysis that will be used in this research involves the
processing of the data from the questionnaire so as to make
meaningful in interpretation. The tables were used to give a clear
view of the distribution of the responsiveness give by our respondent
to each question in the questionnaire. The data will be analyzed with
the following:-
- Descriptive analysis:- This involve table and percentage. The reason for using this kind of method is un availability of value to be assigned to consumer decision.
- Statistical Technique which will be added by statistical package for the social science (SPSS). This technique is restricted to some inferential statistical technique which include ordinary least square of regression analysis using a simple regression model in the form:-
Y=
ao + ai x + u
Specially
the following functional relationships.
To
access the application of information technology does not
significantly affect the achievement of organization objection.
OB=
F (Cd, Cs, Mi, Qos)
Where:-
OB= Organization objectives.
CD=
Consumer decision
CS=
Commitment of service
M=
Motivation
QOS=
Quality of service by the employee.
The
following linear equation were generated from the above functional
relationship.
OB=
ao
+ a1
+ cd + u1
---------------------------------- 1
OB=
bo
+ b1
cs + u2
------------------------------------ 2
OB=
co
+ C1m
+ U3
----------------------------------------3
OB=
do
+ d1
+ QOS + U4
-----------------------------------4
Similarly:-
OB=go
= g! cd + g2
cs + g3m
+ g4QOS
+ Ut
Ut
= Error term.
It
represents other factors that may influence dependent variable Y
apart from salary, working condition and skill that are specifically
inculcated in the model.
3.6
DATA COLLECTION PROCEDURE
The
accuracy of any useful information depends largely on the primary
source of information. So this study depends mainly on the collection
and analyses of the results of records on effect if branding in
influencing buying decision from the journal published annuals
reports of Cadbury Nigeria PLC, News paper and the Nigeria trade
journals are other basis sources of data for the project.
To
construct a good projects of this natural, the following features of
basic data deserve some consideration namely Accuracy, Availability,
Reliability consistence timeless adequate and stability of the
various data source. The basic aim of the data collection procedure
is to get worthwhile data for the problems as defined. Data
collection is consists presenting a structure to a respondent and
recording his or her respondent. The classification of data is the
primary and the secondary data.
a.
PRIMARY DATA:-
These are the date collected for first time for their source to
solve specific and current marketing problems under study.
b.
SECONDARY DATA:-
These are the data previously and published either from the current
investigation. Primary data should always be used in order to prevent
the use of inadequate and absolute data which are normally associated
with secondary data. Above principle was clearly spell out by Azika
(2008) in which he said “when satisfaction secondary data are not
available the researcher must collected primary data”. In a study a
combination of both respondents and secondary data were used.
Questions were asked and response got various respondent and books
were checked for some other facts. Azika (2008), a researcher has
two options to choose from in seeking information they either choose
questionnaire or observation method. According to Taylor, “There
are two principle method of obtaining data from respondents
Communication and Observation.
Communication
requires their respondents to actually provide the data verbal
respondent while Observation requires the recording of the respondent
passive behaviour. “The most common source of marketing is
communication with respondent”. In the adopted questionnaires
method because it is appropriate in this situation since factors
which influence the analysis cannot observed.
3.7
QUESTIONNAIRE ASSUMPTION
The
following assumption was held as regards the questionnaire drawn up
from the purpose of gathering information for further analysis.
1.
That respondent is willing to complete the questionnaire.
2.
That information supplied on the questionnaire is true and
uncaused.
3.
That the information, this gathered is the true representation and
could be conveniently used to generalized about the whole population.
4.
That such information are supplied with maximum of external
influence.
3.8
VALIDITY
Validity
of a measure refers to the extent to which the measurement process is
free from both systematic and random error. Validity is concern with
questions that is the researcher measuring which suppose to measure.
There are four types of validity. These are:-
1.
CONTENT VALIDITY: -
This involves accessing the representatives of the response elected
by the measuring instrument.
2.
CONSTRUCT VALIDITY: -
This involves understanding the measuring of the obtained
measurements.
3.
CONCURRENT VALIDITY: -
This involves accessing the extent to which the obtained score may be
used to estimate an individual represent standing with respect to
some other variables.
4.
PREDICTIVE VALIDITY: -
This involves accessing the extent to which the obtained score may be
used to estimate in individual future standing with respect to the
criteria variable standing with four above, I will use content
validity to ascertain the extent to which the information fought from
the research work.
According
to DANALD
Et al
“Conduct validity estimate are essentially systematic, but
subjective evaluation of the appropriateness of the measuring
instrument for the task at hand” I have to evaluate the degree to
which the items of the instruments (Questionnaire) sample the
contents of the attitude domain that is the ideal of the researcher
topic.
3.9
RELIABITY
Reliability
of measurement refers to the extent to where the measurement process
is free from random errors. Reliability is concerned with the
consistency, accuracy, and predictability of the researcher findings.
There are three major methods of measuring reliability, they are
Test-Retest: Alternative forms and split half method. For the purpose
of this research, Test-Retest methods have been employed. This method
involves repeated measurement of the same person or group using the
same device under condition which are judged to be very similar. the
result of these findings is compared to determine their similarity.
This
method assures that the greater the discrepancy in scores, the
greater the random error present in the measurement process and the
lower the reliability.
3.10
HISTORICAL BACKGROUND OF CADBURY NIGERIA PLC
Cadbury
Nigeria PLC operations started in the very early 50s; in fact, it
started, more or less like a trading outpost, sourcing Cocoa as an
input into chocolate factories in Birmingham. But that project soon
opened the way for an extensive market and by the end of the decade
we had already setup a packing operation for imported manufactured
goods. So Chocolate beverages, Bournvita and pronto started being
packed here in Nigeria. This operation went on for about four years
and it exposed the potential even further. As a result, in the early
60s, 1964 more precisely, this factory was built and started
operations in January 1965. It started off as a company wholly owned
by Cadbury Schweppes.
The
shareholding structure has changed overtime. Today, Cadbury owns 40
percent of the company as the remaining 60 percent is owned by
Nigerians of the 60 percent; about a third of it is held by
institutional investor while the rest is owned by individual
shareholder’s participation. These are insurance companies, pension
funds, fund managers. e.t.c.
The
historical development of the business reflects the evolution of the
strategy. The focus in the early years was import substitution. The
economy was a planned economy, foreign exchange was limited and
controlled, licenses wee required for most operations, and soon. The
growth path then was import substitution which meant that new product
development and research where focused on the utilization of local
raw materials. In addition, that strategy resulted in the creation of
the cereal conversion facility which uses sorghum grain in place of
barley customer base and channels to guarantee low cost service
chains, with enhanced consumer relations interphase.
CHAPTER
FOUR
PRESENTATION
AND ANALYSIS OF DATA
4.1
INTRODUCTION
In
the previous chapter, attention was focused on the method of
obtaining data from related customer at Oja Tun Tun market Ilorin.
This Chapter introduce the result of survey conducted in the topic “
the role of branding in consumer decision making, using Cadbury
Nigeria PLC as a case study. The main instrument for data collection
is questionnaire, while statistical technique were used to analyse
the dat based on the hypothesis and some other relevant themes given
in the earlier chapter.
A
covering letter introduced the questionnaire and out of eighty (80)
questionnaire, fifty (50) were returned by the respondent. Hypothesis
is tested using simple percentage. Interpretation, comment were also
reacted at the end of the mathematical presentation.
4.2 DATA
PRESENTATION AND ANALYSIS
TABLE
4.2.1 AGE DISTRIBUTION OF THE RESPONDENTS
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Below
20 yrs
|
6
|
12.0
|
12.0
|
12.0
|
|
21-30
yrs
|
24
|
48.0
|
48.0
|
60.0
|
|
31-40
yrs
|
2
|
4.0
|
4.0
|
64.0
|
|
41-50yrs
|
10
|
20.0
|
20.0
|
84.0
|
|
51yrs
and above
|
8
|
16.0
|
16.0
|
100.0
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.1
shows that 6 respondent constituting 12% of the population are below
20 years, 24 respondent which constituting 4 %of the population are
between 31 – 40 years, 10 respondent constituting 20% are between
41-50years and 8 respondent which constitute 16% are above 51 years.
TABLE
4.2.2 SEX DISTRIBUTION OF THE RESPONDENTS
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
MALE
|
22
|
44.0
|
44.0
|
44.0
|
|
FEMALE
|
28
|
56.0
|
56.0
|
100.0
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.1
shows that 22 respondent which constitute 44% of the population are
Male, and 28 respondent which constitute 56 ٪
of
the population are Female.
TABLE
4.2.3 MARRITAL STATUS DISTRIBUTION OF RESPONDENT
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Single
|
24
|
48.0
|
48.0
|
48.0
|
|
Married
|
16
|
32.0
|
32.0
|
80.0
|
|
Divorced
|
4
|
8.0
|
8.0
|
88.0
|
|
Window
|
6
|
12.0
|
12.0
|
100.0
|
|
TOTAL
|
50.0
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.3 above
indicate that 24 respondent which constitute 48% of the population
are Single, 16 respondent which constitute 32% are Married, 4
respondent which constitute 8 % are Divorced and 6 respondent which
constitute 12 % of the population are Widow.
TABLE
4.2.4 WHAT TYPE OF PRODUCT DO YOU PURCHASE
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Bournvita
|
22
|
44.0
|
44.0
|
44.0
|
|
Goldee
|
8
|
16.0
|
16.0
|
60.0
|
|
Eclaire
Sweet
|
14
|
28.0
|
28.0
|
88.0
|
|
Other
|
6
|
12.0
|
12.0
|
100.0
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.4
above, it shows that majority of the respondent produce bournvita
which constitute 44٪of
the population, 8 respondent produce Goldee which constitute 16 ٪
of
the population, 14 respondent which constitute 24 ٪
of
the population produces Eclaire Sweet, while 6 respondent which
constitute 12٪
of
the population produce other products.
TABLE
4.2.5 FAMILY SIZE AND PRICE AFFORDABILITY INFLUENCE YOUR BUING
DECISION.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
10
|
20.0
|
20.0
|
20.0
|
|
Agree
|
26
|
52.0
|
52.0
|
72.0
|
|
Undecided
|
4
|
8.0
|
8.0
|
80.0
|
|
Disagree
|
8
|
16.0
|
16.0
|
96.0
|
|
Strongly
Disagree
|
2
|
4.0
|
4.0
|
100.0
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.5 above,
it shows 26 respondent which constitute 52.0٪of
the entire, population Agree the family size and price affordability
influence your buying decision, 4 respondent which constitute 8 ٪
of
the population are not certain with their option, while no respondent
are Strongly Disagree that family size and price affordability
influence your buying decision.
TABLE
4.2.6 YOU HAVE ESTABLISHED BRAND LOYALTY TO CADBURY BEVERAGES
PRODUCTS.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
18
|
36.0
|
36.0
|
36.0
|
|
Agree
|
16
|
32.0
|
32.0
|
68.0
|
|
Undecided
|
4
|
8.0
|
8.0
|
76.0
|
|
Disagree
|
12
|
24.0
|
24.0
|
100.0
|
|
Strongly
Disagree
|
-
|
-
|
-
|
-
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.6 above
indicate that, 34 respondent which constitute 68 ٪
of
the population, Agree the establishment of brand loyalty to cadbury
beverage product, 4 respondent which constitute 8 ٪
of
the population are not certain with their option, while 12 respondent
of the population Disagree, and No respondent Strongly Disagree.
TABLE
4.2.7. CADBURY PROCUCTS ARE ALWAYS BROUGHT TO YOUR ATTENTION THROUGH
PROMOTIONAL MEANS.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
10
|
20
|
20
|
20
|
|
Agree
|
20
|
40
|
40
|
60
|
|
Undecided
|
10
|
20
|
20
|
80
|
|
Disagree
|
10
|
20
|
20
|
-
|
|
Strongly
Disagree
|
-
|
-
|
-
|
100
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.7 above,
it shows that 30 respondent which constitute 60٪
of
the population Agree that Cadbury products are always brought to
attention through promotional means, 10 respondent which constitute
20 ٪
of
the population are Undecided, while 10 respondent also which
constitute 20 ٪
of
the population Disagree that Cadbury Product are not always brought
to your attention through promotional means.
TABLE
4.2.8 BRANDING OF A PRODUCT INFLUENCE THE TYPE OF A PRODUCT TO BUY.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
8
|
16
|
16
|
16
|
|
Agree
|
38
|
76
|
76
|
92
|
|
Undecided
|
2
|
4
|
4
|
96
|
|
Disagree
|
2
|
4
|
4
|
-
|
|
Strongly
Disagree
|
-
|
-
|
-
|
100
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.8 above
indicate that majority of the population 46 respondent which
constitute 92 ٪
of
the population Agree that branding of a product influence the type of
a product you buy, 2 respondent which constitute 4 ٪
of
the entire population are no certain about their option, and only 2
responden which constitute 4 ٪
of
the population disagree, that branding of a product influence the
type of a product you buy.
TABLE
4.2.9. CADBURY NIGERIA PROVIDES SALES SERVICE TO ITS CUSTOMER.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
8
|
12.0
|
12.0
|
12.0
|
|
Agree
|
10
|
20.0
|
20.0
|
32.0
|
|
Undecided
|
18
|
36.0
|
36.0
|
68.0
|
|
Disagree
|
12
|
24.0
|
24.0
|
92.0
|
|
Strongly
Disagree
|
4
|
8.0
|
8.0
|
100.0
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.9 above,
shows that 18 respondent which constitute 32.0٪of
the Agree that Cadbury Nigeria provides after sales services to its
customer, 18 respondent which constitute 36 ٪
of
the population are not certain above the option and 16 respondent
which constitute 32 ٪
of
the population Disagree that Cadbury Nigeria provide after sales
service to its customer.
TABLE
4.2.10. CADBURY NIGERIA PLC, CENTERS ON THE PROVISION OF GOOD BRAND
DECISION.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
4
|
8.0
|
8.0
|
8.0
|
|
Agree
|
30
|
60.0
|
60.0
|
68.0
|
|
Undecided
|
8
|
16.0
|
16.0
|
84.0
|
|
Disagree
|
4
|
8.0
|
8.0
|
92.0
|
|
Strongly
Disagree
|
4
|
8.0
|
8.0
|
100.0
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.10 above,
indicate that 34 respondent which constitute 68٪
of
the population Agree that Cadbury Nigeria centers on the provision
of good brand decision, 8 respondent which constitute 16 ٪
of
the population Disagree that Cadbury Nigeria PLC center on the
provision of good brand decision.
TABLE
4.2.11. CADBURY NIGERIA PLC, LAID MORE EMPHASIS ON THE PROVISION OF
GOOD QUALITY TO CUSTOMERS.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
4
|
8.0
|
8.0
|
8.0
|
|
Agree
|
30
|
60.0
|
60.0
|
68.0
|
|
Undecided
|
8
|
16.0
|
16.0
|
84.0
|
|
Disagree
|
4
|
8.0
|
8.0
|
92.0
|
|
Strongly
Disagree
|
4
|
8.0
|
8.0
|
100.0
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.11 Table above,
shows that 34 respondent which constitute 68٪
of
the population Agree that Cadbury Nigeria Plc laid more emphasis on
the provision of good quality to customers, 8 respondent which
constitute 16 ٪
of
the population are not certain about the option and 8 respondent
which constitute 16 ٪
Disagree.
TABLE
4.2.12. BRANDING AFFECT CUSTOMER PURCHASING DECISION.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
4
|
8
|
8
|
8
|
|
Agree
|
42
|
84
|
84
|
92
|
|
Undecided
|
-
|
-
|
-
|
-
|
|
Disagree
|
-
|
-
|
-
|
-
|
|
Strongly
Disagree
|
4
|
8
|
8
|
100
|
|
TOTAL
|
50
|
100
|
100
|
|
Source:
Field Survey 2010
Table
4.2.12 branding
affect customer’s purchasing decision, all the respondent are some
about the option and only 4 respondent which constitute 8٪
of
the population Disagree, that branding affect customers purchasing
decision.
TABLE
4.2.13 CUSTOMER REALLY ENJOY THE QUALITY OF CADBURY NIGERIA PLC.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
6
|
12
|
12
|
12
|
|
Agree
|
25
|
56
|
56
|
68
|
|
Undecided
|
14
|
28
|
28
|
96
|
|
Disagree
|
-
|
-
|
-
|
-
|
|
Strongly
Disagree
|
2
|
4
|
4
|
100
|
|
TOTAL
|
50
|
100
|
100
|
|
Source:
Field Survey 2010
Table
4.2.13 above
shows that 36 respondent which constitute 56٪
of
the population Agree that customers really enjoy the quality of
Cadbury Nigeria Plc, 14 respondent which constitute 28 ٪
are
not certain about the option and only 2 respondent which constitute 4
٪
Disagree.
TABLE
4.2.14. CUSTOMERS RATE THE QUALITY OF THE CADBURY NIGERIA PLC
PRODUCTS.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
4
|
8
|
8
|
8
|
|
Agree
|
24
|
48
|
48
|
56
|
|
Undecided
|
18
|
36
|
36
|
92
|
|
Disagree
|
-
|
-
|
-
|
-
|
|
Strongly
Disagree
|
4
|
8
|
8
|
100
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
From
Table 4.2.14 above
shows that 28 respondent which constitute 48٪
of
the population Agree that customer rate the quality of the Cadbury
Nigeria Plc product, 18 respondent which constitute 36 ٪
are
not certain about the option, and 4 respondent which constitute 8 ٪
Disagree.
TABLE
4.2.15. CUSTOMERS IMPROVE REAPT BUYING BECAUSE OF GOOD BRANDING
METHOD OF A CADBURY NIGERIA PLC.
|
|
Frequency
|
Percent
|
Valid
Percent
|
Cumulative
Percent
|
|
Strongly
Agree
|
14
|
28
|
28
|
28
|
|
Agree
|
18
|
36
|
36
|
64
|
|
Undecided
|
16
|
32
|
32
|
96
|
|
Disagree
|
2
|
4
|
4
|
-
|
|
Strongly
Disagree
|
-
|
-
|
-
|
100
|
|
TOTAL
|
50
|
100.0
|
100.0
|
|
Source:
Field Survey 2010
Table
4.2.15 above
indicate that 32 respondent which constitute 64٪
of
the population Agree that customer improve repeat buying because of
good branding method of a Cadbury Nigeria Plc, 16 respondent which
constitute 32 ٪
of
the population are not certain about the option, and only 2
respondent which constitute 4 ٪
of
the population Disagree that customers improve repeat buying because
of good branding method of a Cadbury Nigeria Plc.
REGRESSION:-
TABLE
4.3.1
source
:- computer
print out 2010
Table
4.3.1 shows the summary of the fitted model customer branding and
consumer decision, with R square vale of 0.91 or 91٪
or
91% This given the percentage variable in consumer decision value
explained by branding. This small percentage value of 9.1٪
shows
that the model is not adequate.
The
Test of significant is shown through ANOVA Table. It shows that the
fitted model, brand and consumer decision is significant at 0.05
level of significant because from the table. The significance at
0.034 and it is les than 0.05. the “F” calculated is 4.084 and
from the “F” is less than 0.05 the “F” calculated is 4.084
and from the “F” table, the “F” tabulated is 4.08. since the
“F” calculated is equal, the implication in that branding improve
the consumer decision making in Cadbury Nigeria Plc product. The
coefficients of the fitted model (branding) (is 0.415; 3.004 consumer
decision making) shows that the fitted model is negatively related.
Table
4.3.2
Table
4.3.2 shows the summary of the fitted Model (Branding and Purchase)
with the R square value of 0.077. this gives the percentage
variability in purchase as being explained by variability in purchase
as being explained by branding the small percentage value of 7.7%
shows that ha relationship between purchase and branding unit
adequate.
The
ANOVA table gives the test of significance and it shows that the
fitted model purchase and branding is significant since our volume
calculated 0.058 is equal to 0.05. Also the “F” calculated is
4.018 and the “F” tabulated is 4.08. since the “F” calculated
is greater than the “F” tabulated, the Null hypothesis will be
rejected and the alternative hypothesis will be accepted. The
implication is that branding has influence the purchase level of
Cadbury products. The coefficients of the fitted model from table
4.2.3 shows the fitted model (Branding 1. 694; 0.224 purchase).
4.3
HYPOTHESIS TESTING
i
Ho:- Branding has not influenced the purchase level of Cadbury
products.
Hi
:- Branding has influenced the purchase level of Cadbury product.
Table
4.3.1
Table
4.3.1 is used to test the above hypothesis the result of the
regression analysis when branding is regressed with purchase shows
7.7% inadequate variability. The significant of the variable is shows
by the value of calculated “F” which is 4.018 and the value of
“F” tabulated is 4.08.
The
tabulated “F” is equal to the calculated “F” therefore, the
alternative hypothesis will be accepted and the Null hypothesis will
be rejected. From the result of the regression, it shows well
branded products increase the purchase level of such products.
ii
Ho:- Branding has not improve consumer decision making in Cadbury
Nigeria Plc products.
Hi:
- Branding has improve consumer decision making on Cadbury Nigeria
Plc products.
Table
4.3.2
Source
:- Print out 2010.
Table
4.3.2 is used to test the above hypothesis. The result of the
regression analysis when branding is regressed with consumer decision
shows 9.1% level of variability consumer decision in respect to
branding. This shows that relationship between the two variable is
not adequate. The “F” tabulated is 4.08 and the “F”
calculated 4.084. since the “F” calculated is equal to the
calculated “F” tabulated, the alternative hypothesis will be
accepted and the Null hypothesis will be rejected.
CHAPTER
FIVE
5.0
SUMMARY
The
purpose of this research was to find out and examine how branding has
influence buying decision of the brands of Cadbury products. It is
also aimed at finding out how the branding has improve the sales of
Cadbury product such as bournvita, goldee etc. Summarily, the
research is out to find pertinent answers to questions like:
-
To determine whether branding has influencing buying decision at
Cadbury products.
-
To determine whether branding has improved the sales of Cadbury
product.
In
chapter two, experts view sought in different areas of marketing that
were relevant to the research. Moreover, lot of books and journals
were stitched to discover the views of various authors. Chapter
three explains the method used in data collection and best of
reliability and value ability. Two hypothesis were tested and their
result are analyzed and interpreted in chapter four. Chapter five
consists of the summary, conclusion and recommendation.
5.1
CONCLUSION
This
project studied the role of branding in consumer decision making. The
study also shows how branding improve the sales of Cadbury products.
Having carefully, interpreted the findings this researcher is
convinced that consumer are happy and accept Cadbury products. These
love for the products has enabled them single it out of many products
are even calling others attention to new ones that might benefit them
within Cadbury product products. That consumer in most cases insists
on the type and specific product they want. That the brand name
contributes significantly and it serves as instruments to stimulate
the consumer’s demand of (bournvita) products of Cadbury Nigeria.
In
the past, majority of consumers would not bother themselves about a
particular brand but for many similar product that are tested and
found not suitable in the market has now necessitate the need to
concern about a particular brand and hence the brand selection. This
development has made consumers to keep on evaluate the quality of
products on brand name or producer image as a yardstick for quality.
Consequently,
the researcher believes that the Cadbury products has to a very
reasonable extent meet the branding needs of its consumer which
result enabled its consumers to have a favorable buying decisions.
There is no doubt that that branding as one of the tool used in
marketing to stimulate consumers acceptance of product have
contributed immensely to the buying decision of consumers of Cadbury
products especially bournvita. Moreover, in the area of beverages,
where there are many competitors which has led to over floating of
market with different types of similar products Cadbury have
continued to maintain high quality in branding of its products.
5.2
RECOMMENDATIONS
The
researcher recommendation would be specifically focused on the 4ps of
marketing tools i.e product, place, price and promotion since most
effective marketing strategies are built around these tools. Having
taken a critical study of the topic, I hereby recommend as follows;
1.
That Cadbury Nigeria plc should ensure that their product is
properly branded in not to discourage potential customers and
consumers totally.
2.
Cadbury Nigeria plc should improve the quality of their product in
order to encourage consumers in patronizing them. There should be
enough qualified personnel’s to provide this.
3.
Cadbury Nigeria plc should embark on an extensive advertising
campaign since most Nigeria are not aware of their bournvita brand.
4.
Move focus and work should be done by Cadbury Nigeria plc to
create awareness on her product especially bournvita and this could
be achieved through the following;
(a)
Repackaging with solid material and it should be of high quality.
(b)
Advertising as one of the communication tools in creating awareness
and introduction of the brand name in marketing strategy and unique
selling proposition.
(c)
Sales promotion is another strategy that should be used by
Cadbury effective distribution is also recommended for adequate
coverage of the bournvita product. This would make the product
available in all territories.
REFERENCE
Aaker
Da (1991): Management
Brand Equity,
Capitalizing on the value of a brand name. New York City. Defining
Brand Expectations, Encyclopedia.
Adam
Smith and Village Silver Smith (1776): Consumer
Behaviour (3rd
Edition) Dryden Press, New York.
Baker,
J. Michael; (1977): Marketing
an introductory text,
McGraw. Hill inc. 3rd
Edition
Evans
and Berman (1978): Retail
Management
Publishing Co. Aooriach. Macmillan Publishing Co.
Harold,
W. B. (1978): Consumer
Behaviour
(3rd
Edition). Dryden Press, New York City.
Keller
and Holden, Lutz (1992): The
Role of Branding Awareness.
Kelly
(2003): Marketing
Research,
Encyclopedia.
Marketing
Bulletin, 2003, 14, Article 2. Reprinted from Marketing Research
On-line, 1996, 1, 1-15.
Olusanya
(2004): Defining
Consumer Behaviour.
Philip
Kotler: (1986): Marketing
Analysis Planning and Control
6th Edition.
Marketing Management, McGraw Hill Inc.
4th
Edition.
Philip
Kotler: (1997): Marketing
Management,
McGraw Hill inc. 4th
Edition.
Rossiter
and Percy (1992): Encyclopedia.
Stanton,
W: (1984 & 1986): Fundamental
of Marketing,
6th
Edition McGraw Hill.
World
Investment News (1999). Published in Forbes Magazine, Oct 18th
Issue
http://
marketing-bulletin-massey.ac.nz
APPENDIX
QUESTIONNAIRE
Department
of Business Administration,
University
of Ilorin,
Ilorin,
Kwara
State.
Dear
Respondent,
I am a final year graduating student, Department of Business Administration, University of Ilorin. I am writing a research on the role of branding in consumer decision making; a case study of Cadbury Nigeria Plc.
This
research is in partial fulfillment of the award of B.Sc. Degree in
Business Administration. Hence your contribution and corporation in
answering will be strictly confidential and highly appreciated.
Yours
faithfully
SALAUDEEN
ISHOLA JAMIU
SECTION
A
PERSONAL
DATA
Instruction
to respondents:
Please tick ( ) against the answer of your choice from the
alternatives provided below and fill the blank spaces where
necessary.
1. Age:
(a) Below 20 years [ ] (b) 21-30years [ ] (c)
31-40years [ ]
(d)
41-50years [ ] (e) 51 years and above [ ]
2. Sex:
(a) Male [ ] (b) Female [ ]
3. Marital
Status: (a) Single [ ] (b) Married [ ] (c) Divorced [ ]
(d) Widow [ ]
4. Educational
Qualification: (a) Pry. Sch. Leaving Certificate [ ] (b) SSCE [
]
(c)
OND [ ] (d) B.Sc [ ] (e) Illiterate [ ] (f) Others
please specify [ ]
5. Income
Level: (a) Less than N5,000 [ ] (b) N6,000 – N25,000 [ ]
(c)
N26,000 – N75,000 [ ] (d) N76,000 – N100,000 [ ]
(e)
N100,000 and above [ ]
SECTION
B
6. Cadbury
product is your favourite. (a) Strongly Agree [ ] (b) Agree [
]
(c)
Undecided [ ] (d) Disagree [ ] (e) Strongly Disagree [
]
7. What
type of product do you purchase? (a) Bournvita [ ] (b) Goldee [
]
(c)
Eclaire Sweet [ ] (d) Others please specify
8. Family
size and price affordability influence your buying decision.
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
9. You
have established brand loyalty to Cadbury beverage product.
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
10. Cadbury
Products are always brought to your attention through promotional
means.
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
11. Branding
of a product influence the type of product you buy.
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
12. Cadbury
Nigeria Plc provides after sales services to its customer.
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
13. Cadbury
Nigeria Plc centres on the provisions of good brand decision.
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
14. Cadbury
Nigeria Plc laid more emphasis on the provision of good quality to
customers
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
15. Does
branding affects customer’s purchasing decision?
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
16. Customers
really enjoy the quality of Cadbury Nigeria Plc Products.
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
17. Does
customer rate the quality of the Cadbury Nigeria Plc products?
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]
18. Customers
improve repeat buying because of good branding method of Cadbury
Nigeria Plc.
(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ]



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