This study was carried out by the researcher to examine and ascertain the role
product advertising plays on sales volume of companies.
The study examines the twin problems of inconsistency and inflexibility in the
advertising policy of companies.
The researcher used the survey research design to execute this study.
The population used by the research or for this study consisted of all the
workers of the Nigerian Breweries Plc. At 9th mile
corner, Ngwo in Enugu State.
The researcher used the systematic simple random sample techniques to select
the sample used for the study.
The researcher used the Yaro Yainene’s formular for sample size determination
to determine the sample size for the study
The researcher used the
measurement tool (the questionnaire) as the major data collection instrument
for this study.
Out of the 119 questionnaires
administered by the researcher, 112 were returned and percentages to present
and water interpret the data they generated for this study while they used the
test for questionnaire content.
TABLE OF CONTENTS
BACKGROUND OF THE STUDY
STATEMENT OF PROBLEM
OBJECTIVE OF STUDY
SIGNIFICANCE OF THE STUDY
SCOPE OF T HE STUDY
LIMITATION OF STUDY
DEFINITION OF TERMS
DESIGN OF THE STUDY
POPULATION OF THE STUDY
SELECTION AND CONSTRUCTION OF
ADMINISTRATION OF RESEARCH
METHOD OF DATA ANALYSIS
PRESENTATION, ANALYSIS AND
INTERPRETATION OF DATA
TEST OF HYPOTHESES
SUMMARY OF FINDINGS
BACKGROUND OF THE STUDY
Advertising is one of the four promotional tools companies use to direct
persuasive communications to consumers or buyers and the general public.
Advertising policy constitutes such an important strategy in the marketing
programme of companies that its negligence could spell down for companies.
Generally speaking, companies exist to produce and market products. This
objectives cannot be actualized if the manufactured products are not brought to
the knowledge of the consuming public. If the consumers and the general
public are not informed and educated on the needs and wants, some products
could satisfy; they will definitely stay clear of the products.
Against this background, product advertising focuses on projecting the image
and marketability of products in such manner that will make them acceptable to
the customers and buyers. Odunsi (1998:19) noted the important of product
advertising when he stressed that growth being recorded in the advertising
field is connected with its potentiality to enhance the acceptability and
marketability of companies’ products. Product advertising has helped so
many companies to revive and reposition some of their products which have
almost reached the decline stage in their life cycle.
Furthermore, the continuous existence, survival and growth of companies to some
extent depend on the performance of their products and the level of their sales
volume. The fact still remains that for a company to declare profit and
possibly grow, its sales volume must be high. For its sales volume to be
high, its product must be acceptable to the consumers hence giving rise to
their high demand.
These can only be achieved when
these products are made known to the buyers through advertising.
Product advertising as stressed by Udeagha (1995:219) is an effective
promotional tools that will not only inform and educate buyer or consumers
about a company’s products, but highly significant in achieving the targeted
sales volume of the company.
The Nigerian Breweries Plc. Is one of the leading breweries for over 50 years
of existence, operating in Nigeria today.
The company has a wide range of products that include alcohol, malt and soft
drinks. The notable products in the companies product mix include,
Gulder, Star, Amstel malt, Maltina and Schweppes.
The company has a large factory at Agbana, Lagos and a brewering plant at 9th Mile Corner, Ngwo in Enugu.
The company has already started
constructing what seems to be the largest factory and brewery in Africa between
Eke and Ngwo in Enugu State.
The Nigeria Breweries Plc. Has depot inmost state capital of the federation to
facilitate the distribution of its products.
The products of the company are
seen and known in every mook and cranny of the southern part of this country,
as well as in some northern states.
STATEMENT OF THE PROBLEM
The objective of every company is to achieve its sales volume target, because,
if achieved, other performance indicators like growth and totally committed to
Niger curse e.g. Entertainment.
As a company that has been in the business of leisure, pleasure and fun for
over 50years; Nigeria Breweries Plc has been a major force in the entertainment
industry through a vigorous music sponsorships programmes.
The underlying philosophy is to bring world classes entertainment to Nigeria to
support the role of out brands. International stars like Naught Nature,
Usher; shaggy and Awilo have thrilled Nigerians live in recent time courtesy
Breweries star mega join and legend fun Rampage Nigeria breweries is also
involve in discovering and promotional local and budding artistes through the
star Quest and star Trek (star sponsored music programmes). This is to
give Nigeria entertainers presence in the international science, Nigerian
brewery totally committed to Nigeria curse
Foreign investors: over 50 millo Euros (N706) was invested in Nigeria by
To support educational in Nigeria: help in dunding of educational and research
facilities in institution of high learning e.g. Edu, TCR Fund
Health: they are the major facilitators in the building of sickle cell antive
by the sickle cell foundation. Again they also support various health
institutions through the donation of Blood Bank equipment, child incubators,
Sports: They sponsor sports like football, chess cycling, athletics, Golf,
Table tennis, Law tennis.
Increase in profitability index would be assured. This could be possible
or achieved if the company’s product are acceptable to the target market.
Product advertising therefore
plays the invaluable role of informing and educating buyer or consumers about
some products, what the products do and how they can satisfy their needs and
In addition, product adverting enhances the response of potential buyers to an
organization and its offerings. This it does by providing information,
channelizing desires and by supplying reasons for preferring the product being
In spite of the invaluable role of product advertising in achieving the sales
volume target of companies, it still grapples with some problems that need to
It is sad to observe that most companies operating in Nigeria are still
inflexible and reluctant to be doing or courageous in their advertising
policy. They are so scared of contracting advertising agency acting
advertising agency to handle their adverts that at the end of the day they fail
to achieve their sales volume target. Now with the commissioning of its
new ultra-modern brewery in Ama Enugu State, unique for its size design and
they are still set to impact eve3n more positively in the lives of
Nigerian. Besides, most companies are inconsistent with their advertising
They contract more than one
advertising agency at any given point in time. This makes it difficult to
spend same reasonable money on advertising. This is now becoming a common
feature in the brewery industry. For instance, one hardly hears of advert
concerning old beautiful product like maltex and vita malt. This should be
affecting their sales volume target.
Finally, the product
advertising policy of some companies are not so effective as to enable it have
some impact on their sales volume. Some companies do choose some wrong
and ineffective media to execute the advertising policy, hence achieving
nothing a the end of the day.
All these afore-discussed problems deserve to be addressed through the
provision of appropriate information, because, it si only when effective
information, concerning a problem is provided, will its solution be sought.
OBJECTIVE OF THE STUDY
The broad objective of this study is to examine the major effect and the role
of product advertising on sales volume. Other operational objective of
the study include the following:
To identify the common form of advertising being used in the brewery industry;
To identify the common media of advertising used in the advertising industry
To identify how committed breweries are towards advertising their products;
To examine the impact of product advertising on the buying attitude of buyers
To examine the effect of product advertising on the growth and profitability of
To examine the relevant of product advertising in product survival and
To identify some problems militating against the effective implementation of
product advertising in brewing companies; and
To make some recommendations based on the findings of the study.
The following hypothesis formulated by the researcher will be tested in this
Ho: product advertising has no significant rote to play in
sales volume determination;
product advertising has a significant role to play in sales volume
Ho: Effective product advertising cannot lead to significant
increase in profitability level of a company
Effective product advertising can lead to significant increase in profitability
level of a company.
SIGNIFICANCE OF THE STUDY
As earlier pointed out in this study, product advertising is one of the vital
tools used by companies to promote the sale of their products. Its
importance in creating immediate impact on the buying attitude of the consumers,
as well as in generating demand cannot be over-emphasized.
Again this background, therefore, this study will be of some immense
significance to companies, especially breweries, advertising agents, consumers
The information contained in this study will disclose some important functions
of advertising to companies. It will further unveil some unique qualities
of advertising, its types and its objective to companies. These vital
issues on advertising will help companies design or articulate an effective
product advertising policy which can achieve their target sales volume.
To companies with chequered
advertising policy the information contained this study will help them
restructure and reformulative it with a view to achieving their objective of
increasing demand for their products, actualizing their sales volume target.
More so, brewing companies will appreciate the information content of
this study, because it will help them to choose appropriate forms of advertising
and media to use in implementation their advertising policy.
Further, advertising agents will equally benefit from the information contained
in this study, if not for any other thing, it will help them to fashion out
more effective ways or means of liaising with companies in order to formulate
and implement effective product advertising policy of them.
In addition, consumers will find information contained in this study good
enough to enable them gain some insight in the concept of product advertising,
since they are the main focus of companies advertising policy. Besides, they
will realize the need to always listen and or pay attention to adverts in the
media because these may reshape and redefine their buying attitude and decision.
Finally, other researchers and academicians will derive some benefits from the
information content of this study. This will help them carry out further
research on the subject of this study.
SCOPE OF THE STUDY
This focuses on the role of product advertising in sales volume of
breweries. It is carried in using the Nigerian Breweries Plc as its case
brewing company. In other words, the study focuses on the advertising
policy of the company as it affects it sales volume.
Other issues discussed in the study include the types of advertisement and
media used by the Nigerian Breweries Plc in carrying out its product
advertising policy, the level of commitment of the company towards advertising
its products, the impact of the company’s advertising policy on its growth and
profitability, and the problems militating against the company’s efforts to
implement its advertising policy. The study equally discloses the
recommendations made by the researcher.
DEFINITION OF TERMS
This is nay paid form of non-personal presentation of ideas, goods and services
by identified sponsor. This involves the use of mass medium.
This is defined as a boundle of benefit that tend to satisfy the individual
needs and wants, it can be tangible or intangible product.
Strategy: This spell out the
game plan for attaining the business objectives of product market objective.
Marketing strategy is also the
broad principles or comprehensive plan of action by which the business unit
expect to achieve its marketing objective in a target market.
Promo tools: This is called
promotional mix variable, they are the communication mix that helps “to push
forward” to advance on idea in such a way as to gain acceptance and approved
it. This includes advertising, personal selling, sales promotion and
Advertising: This refers
to as either direct action or indirect action of advertising. Product
advertising is a direct action when the advertisement makes a strong bid for
buyers immediate action and is indirect action advertising when the
advertisement designed is to push the product or service over a longer period
Mix: Is the set of al products
items that a particular sellers offer for sale. Kotler said that product
mix consist of two strong product lines:
In information product and
TERMS AND CONDITIONS APPLY
For more informations on project materials and more