The Effects Of Packaging On Sales Of Consumer Product

ABSTRACT

This project work focuses on effect of packaging on sales of consumer product with survey of Guinness Nigeria Plc, Benin City. It is aimed at assessing the impact of packaging involved branding a product cover either for enhancing appearance or for preservative purpose. The researches of this work include determine the role of packaging on the firm‘s 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 of data, the following findings were made, packing of consumer products affect their identification, packaging of consumer product serve both promotional and preservation of consumer purpose and finally it has been observed that packaging enhance the marketing force of consumer product. It then concluded that packaging has been a strategic tool employed for easy marketability of consumer products. The following were there after recommended to the producer of consumer products: adequate attention should be given to packaging of product since packaging of product is positively related to sales, company policy should expressly spec z)5’ the goal of packaging so that it would be well understood by the various level of her workforce and finally, companies should ensure that the quality of their product commensurate with the description on the product packaging so as to sustain the confidence of her product consumers 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, place, price and promotion. Most manufacturing industries today employ high technological equipment and techniques in the design and production of product is not deemed complete until a befitting package has design and produced for it. The package here is looked upon the marketing along the channel of production of consumer goods/products.

Packaging has become a potent marketing tool well designed and can create convenience and promotional value. 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 be packaged in some kind of container, if they are to be marketed intensively with its inherent handling procedure and technique along het sales channel. The research study will be justified by seeking to find whether consumer have been recommended for improvement.

Furthermore, a product is basically made up of two distinct parts, the product content and the package itself. But at this junction, more time need to be focused to the important part which is packaging is presently playing the sales of consumer products. 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 for the fact that a product needs to be adequately packaged, an organization needs not to over package their product. The packaging of a product does not perform protective function but it also provides promotional function.

The influence of packaging on the sales of consumer 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. Formally, most firms saw packaging as only a container for physical product without realizing the other marketing importance of product packaging especially its importance as a promotional function.

Due to increase importance, which is presently attached to packaging, this particular function in marketing has stopped to be regarded as any person’s job. The job of product packaging now rest on the hands of qualified product managers or marketing specialist in most organization. Besides, the influence of packaging on sales of consumer product can as well as ascertained if on tries to see the adverse effect of a poor packaging 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 also create dissatisfaction along the channel of intermediaries

1.2   STATEMENT OF RESEARCH 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 application, Guinness Nigeria Plc, Benin City has been chosen as a study unit. To this end, the following questions are relevant.

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

Does it require high level of expertise to make an effective product packaging of consumer product?

What effect has packaging on the value of consumer product?

1.3   OBJECTIVE OF THE STUDY

The following objectives are set to be achieved with this research work.

i.            To determine whether packaging has any influence on the sales of consumer goods.

ii.          To know if packaging determine the price of a product

iii.        To determine of packaging has any role to play in promotion and protection of a product.

1.4   RESEARCH QUESTIONS

The aim of this project is to assess the effect of packaging on the sales ‘of consumer product. The research question is to evaluate the efficiency and effectiveness of packaging in the following ways:

i.            Does packaging has any influence on the sales of consumer goods?

ii.          Is packaging a determinant of product price?

iii.        Has packaging any role to play in promotion and protection of a product?

1.5   STATEMENT OF HYPOTHESIS

The following are the statement of the hypothesis from the project work:

HO:   Packaging does not have any significant influence on the sales of consumer product

HO: Packaging does not affect the price of consumer products.

HO:   Packaging does not play important role in the promotion and protection of the company’s product.

1.6   SCOPE OF THE STUDY

The study is mainly concerned on 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 overemphasized since consumers make quick judgments about product based on packaging. The packaging of a product communicates brand, image and usage having realized the present dynamics and the human want/need. It becomes essential for Guinness Nigeria Plc to know the importance of packaging as manufacturing organization.

1.8   LIMITATION OF THE STUDY

In the course of carrying out this study, the researcher was constrained by the following.

Nonchalant attitude of respondents in providing vital answers or information to the questions asked.

The case study used in this study may not be a true representative of other firms, as generalization of the result in this study may not replicate the true position of things.

1.9   OPERATIONAL DEFINITION OF TERMS

Packaging: Packaging is the general group of activities in product planning that involves designing and producing the wrapper for a product. Packaging is also the material used to wrap or produce goods that are sold in shop/ stores.

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

Person Selling: This is the interaction of the seller and buyer for the purpose of facilitating exchange for mutual satisfaction of both parties (buyer and seller). It may also be defined as oral presentation in a conversation with one or more prospective purchase for the purpose of making sales.

Marketing: Marketing is the management process responsible for identifying, anticipating and satisfying customers wants profitably. Marketing is looking at the business through customer’s eye profitably. Marketing is the human activity directed at satisfying needs and wants through exchange process.

Consumer: Aconsumer is an individual who buys a product from the retail outlet and use them at their different homes while the individual business or institutional consumers generally buy for resale or for further production to be later sold to ultimate consumers.
Product: A product is anything that can be offered to a market for attention, acquisition or consumption. It includes physical objects, services, personalities, places, organization and ideas.

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