THE EFFECT OF PACKAGING ON CONSUMER PATRONAGE (A STUDY OF PZ CUSSONS PLC, ABA)
ABSTRACT
This research is on the relevance of packaging in the marketing of consumer goods in Nigeria. We try to find out the packaging strategies, understand the meaning, possibilities, advantages and effect of modern packaging structure in modern Nigeria market. This work covers five chapters, chapter one deals with the introduction, background of the study, statement of problems, objective of the study, research questions, statement of hypothesis etc. Chapter two originated with a literature review, which talks about various approaches to the definition of packaging, importance strategy, social influence etc. Chapter three deals with the research methodology, research design, population of the study etc. Chapter four explained the presentation analysis of data and discussion of the findings. While chapter five is all about summary of the findings, restatement of the problem, recommendations, implication of the study and bibliography.
CHAPTER ONE
1.1 BACKGROUND OF THE STUDY
In the world marketing, packaging of product is a very and vital name of no doubt, play a significant role in effective marketing of product especially consumer goods. In marketing, a consumer is said to be king and as such, much effort is made to draw the attention of this king through packaging. Many firms have confirmed that packaging has been playing an estimable role on consumer perception and selective retention. According to Kotler (1980) many marketers thus have product, pricing, promotion and packaging that make up the marketing elements of the firms. Onuoha and Egbuta (2007) maintained that packaging involved designing and manufacturing of the container or wrapper for a product and it performs the protective/promotional functions. Also, technology and civilization have their own impact as regards to the state of the product packaging. Core Product Company like PZ PLC, Unilever, etc employs high technology, equipment and techniques in the design and production of product package. Packaging is the external features of a particular product. It includes branding, labeling and literature insert. It is also referred to as a silent salesman as good packaging tends to play some promotion roles.
The importance of packaging is any customers oriented business organization cannot be over emphasized as it is powerful setting tools which propel consumer into buying of the product unlike a salesman who goes around societies purchases packaging will adequately perform its function provided the package of the product attractive. Most companies now see packaging from the protection and promotional perspective. The purchases of non purchases of the product may be related. Its packaging as it influences customer decision. Packaging can be defined as the general group of activities in product planning that involves designing and producing the container or wrapper for a product. Many physical products of various industries are offered to the market in facts of various sizes, colour and designs like the brand name and brand mark. A pack also adds value of the product as well as influences the acceptability of the product. When a product is not properly packaged, the product will certainly cease to have the attention and glamour associates with it hence the attention and glamour associates with it hence a cost to its market value. Though packaging adds forms utility to a product. The promotional significance is usually regarded as a dominant factor.
According to Johnson and woods (1997) in his decision on protective functions of packaging said that “for a package to have performed a protective unction, the package must: Retain the product from undesired movement. Protect the contents from outside violation and shock. Provide sufficient exterior surface so that identification and shopping labels can applied along with specific instruction such as the side up. Enclose the material both to product them and protect other items from them. Support the weight in the identified container that will be stacked above it as part of building block concept. Protection of the product against damages through handling and distribution process and also is used to reduce contamination by dust and dirty e.g bread. The promotional functions of packaging include: It should be made useful in self services retailing by performing the functions of salesman as the consumer. Just sampling enters a store goes to the shelves inspects and decides by reading the description and the useful of the items. Packaging should add to the image prestige and beauty of a product this could lead to impulse buying purchases. It should establish product differences as could be evidenced in the art of design, the shape or the materials used. It should atleast to be quality of the product good packaging is a moral booster and increases the confidence of the customer in the company. The customer should be able to remember the brand through it.
PRODUCT AND PACKAGING PROCESS
Joy toilet soap and elephant blue detergent is two different product altogether, although they do almost the same work. The product of toilet soap or soaps generally is known as specification, which is the reaction between caustic soda and oil to produce soap, which has been processed with chemicals like titanium dioxide that make it soft, skin mild, gentle on both the suitable packaging for them to undertake further market research to identify more packaging materials and process PZ industries plc incorporated in England in (1884) was established in Nigeria in (1899). A multinational public liability company with 60% of its equity share held by Nigerians and 40% by foreigners. It started initially as a trading company across western coast of Africa. They started with the marketing of palm-produce, cocoa, seeds, groundnuts and other cash crops. Today, they have expanded so much that they are into several forms of business. Companies under it include; Pz Pharmaceutical and Pz thermo cool. Pz industries today are principally engaged in the manufacturing of soaps and detergents. It brands of laundry soaps include Canoe, premier, green duck, tempo bar/tablet soap. While its toilet soap brand includes Eva, Imperial leather, cussons soap, Venus, joy, premier, robber etc. The company has its sulphonation plant in Lagos where elephant temp and jet brands of detergents are manufactured. Also, at Lagos is the pharmaceutical and perfume plant. Its brand of pharmaceutical include Alagbin, Robb, ointment, Heated Chinese balm, maladrin, Roberts paracetamol, superadin, disinfectants etc.
1.2 STATEMENT OF THE PROBLEM
The depressed economic situation of Nigeria has really imposed problem to every operating firm in Nigeria. And these problems include: How appropriate packaging strategy would be able to minimize damages along channel of distribution. How to effectively use packaging as a tool to increase sales volume. The appropriate strategy a firm should use to create the impression of inches through packaging. The right material to be most appropriately used for packaging and be able to withstand competition. Historically, packaging of product were greatly ignored by manufacturing companies. The companies has failed to recognize the vital vote packaging played towards their survival. However, not withstanding the important role packaging plays in a firm, it poses some problems to firms and the society in general. The greatest challenge confronting packages is how to dispose of used containers which are major contribution of sold waste disposal problem as consumers desire for convince conflict with desire for clean environment health hazard occurs from some from of plastic, bottled and some metal cans. This study aims at/identifying the problems with manufacturing which is consistent with packaging within the cusson for a long period.
1.3 OBJECTIVES OF THE STUDY
The purpose of the study is to examine the purpose and analyze the relevance of packaging in the marketing of consumers goods in Nigeria. (Case study of PZ Cussons Plc Aba) the other specific objectives of this study are as follows: To verify whether packaging plays a significant role on sales volume and profitability. To identify if packaging serve the objective or purpose of appeal to consumers. To determine the relationship between effective packaging programmes and increased market share in PZ cussons plc Aba. To determine how effective packaging programme by PZ cussons plc Aba, Abia improve customers service and increase customer’s patronage. Finally to recommend the most appropriate packaging strategies that should be adopted by PZ Cussons plc Aba to them to achieve better customer’s service.
1.4 RESEARCH QUESTIONS
The questions stated below were postulated for verification in this study. What influence has packaging on sales volume and profitability?
What is the role of packaging creating utility, product definition, storage and dispensing?
Does packaging solve the mutual interest of both products and consumers?
Does packaging ease the problem of identification during purchase?
What is the most appropriate packaging strategies that should be adopted by PZ Cussons plc Aba to enable it achieve better customer?
1.5 SIGNIFICANCE OF THE STUDY
The significance of this study is that, it made the firms and marketers to understand that one of the most vital packaging strategies today in supermarket and drug stores is the visual effects of the package (i.e. self selection). It was gathered that information on product packages is on higher demand as it is through these information that consumers can make their choices. Students and academic will find the time spend in going through this study rewarding as the meaning of packaging, importance, concepts in packaging are elaborately discussed. The work will all serve as a plus to the body and existing knowledge in the area of packaging as new angels to the subject.
1.6 SCOPE OF THE STUDY
The research work is centered around Aba in ABIA state where pz plc, the case study is operating a plant. The study embraces consumer behaviour around Aba. Because of constraint of time allowed completing the research work and inadequate fund available to finance the work. The areas of emphasis include the relevance of packaging and its contribution to the organization (PZ plc, Aba). In the other hand, packaging has become so important to the marketing effort of companies that some scholars are calling for it be included as a fifth “p” in the “4” “PS” of marketing mix.
1.7 LIMITATIONS OF THE STUDY
This study was confirmed with some constraint below are some of the factors that delayed the progress and early completion of this work.
TIME: This work would have been better that what it is if enough time was given to travel to different part of the country and companies for collection of data.
TRANSPORTATION: Due to the high cost of transportation fares caused by bad roads, fuel scarcity, it was not possible to travel to different parts of the country in collection of more data.
LACK OF MATERIALS: The unavailability of goods and up to-date textbooks, journals etc libraries and in accessibility of the internet to the common man also hampered the progress of this work.
1.8 DEFINITION OF TERMS
For clarity of purpose, the following terms are defined
PACKAGE: This means the activities of designing and producing container or wrapper for a product identification and protection against damage spoilage and theft.
PERCEPTION: This is a complex process by which people select organize and interpret sensory stimulation into meaningful and coherent picture.
MARKETING: As human activities directed as satisfying human ness wants through exchange process (at a profit)
STRATEGY/STRATEGIC PALNNING: Is the process of determining the objective of organization, the adoption of course of action and the allocation of resumes necessary to achieve this objective like packaging objectives.
GOING CONCERN: Study, mastery and utilization of manufacturing methods and industrial acts, systematic application of knowledge to practical task in industry.
TECHNIQUE: Method of doing something expertly, technically or mechanically skill in art.
INDUSTRY: This is being employed in trade manufacturing, distribution and commerce. Put differently, its firms producing a similar product.
THE EFFECT OF PACKAGING ON CONSUMER PATRONAGE (A STUDY OF PZ CUSSONS PLC, ABA)