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INFLUENCE OF PACKAGING ON THE MARKETING PERFORMANCE OF COSMETICS GOODS MANUFACTURERS IN ABIA STATE (A CASE STUDY OF ZAN COSMETIC AND INTERNATIONAL EQUITABLE ASSOCIATES (IEA) ABA, ABAI STATE)

INFLUENCE OF PACKAGING ON THE MARKETING PERFORMANCE OF COSMETICS GOODS MANUFACTURERS IN ABIA STATE (A CASE STUDY OF ZAN COSMETIC AND INTERNATIONAL EQUITABLE ASSOCIATES (IEA) ABA, ABAI STATE)

ABSTRACT

The topic of this research work is the influence of packaging on the marketing performance of cosmetic goods manufacturers Aba, Abia State was carried out to investigate the influence of packaging on marketing performance of cosmetic goods. To achieve the purpose of this study, the quasi-experimental research design was adopted to study three selected forms of cosmetic goods manufacturers.

The primary data was collected from the respondents using the questionnaire. After a critical analysis of the data collected, the hypothesis were tested using analysis of variance (ANOVA) with the aid of statistical product and service solution (SPSS) packaging and the following findings were realized: There is a relationship between product packaging and the marketing performance of cosmetic goods manufacturers, moderating factors do regulate the relationship between packaging and marketing performance of business firm, based on these findings the following were recommended: packaging should be looked upon as a profit builder or sales innovator rather than as a cost cutting tool or a production problem.

Again,  cosmetics manufacturers should liase with use  of their products package so as to enable them know when there is need for improvement.

CHAPTER ONE

INTRODUCTION

Historically, management has considered packaging significantly only for the purpose of containing the product and had assigned the sole responsibility of packaging to the production department. However, modern managers regard packaging as a supplementary, promotional tool for their product. It has been  shown that in self service stores, it is packaging that does the selling. No wonder it is after regarded as the silent salesman.

Packaging involves enclosing merchandize container for marketing display, sanitation, convenient in handling and use safety and preservation. Sincelites when industry has grown steadly with period of  rapid expansion occurring intermittently. The major revolution merchandizing era when mass-production teaching we were inaugurated and individual sealed packages replaced bulk merchandise.

The most commonly used packaging materials includes: corks, asbestos, robber, plastics, paper and several types of strong materials such as lead and glass. Packaging has gone all the way back to the dawn of history when primitives’ societies carry berries (fruits) and other goods from the forest to the case using animal skin, grass on thatch baskets, palm frosts, etc. as containers for centuries packaging primary role was to hold, protect and transport goods from the manufacturers to the users of industrial goods. A packaging therefore keeps a product intact and available to the final users in its original states. Protecting the quality of the product from physical damage which was the traditional purpose (Stanton 1981).

  • BACKGROUND OF THE STUDY

Kotler (1984) defined packaging as the activities of designing and producing the container for a product. He added that the container is called the package, and it might include three levels, the primary (that contain the contents) the secondary (that covers the primary container) and the tertiary (that protects the entire product during haulage). The type an level of package adopted depends on the type of product  marketed. Promotion on the other hand, represents all those activities embarked upon by the company to communicate its products merits and to persuade  target customers to buy them. That was what Zan cosmetics and TEA did.

  • STATEMENT OF THE PROBLEM

In the last ten years, the packaging industry in Nigeria has grown remarkably making significant penetration into the markets of more conventional packaging materials such as glass, paper, metal and plastics. Traditionally, packaging was used for protection and preservation, but modern managers have discovered new use for packaging –safety, convenient, sanitation and marketing display. This shows the reason behind the rapid growth and increase expenditure recorded in the past few years.

As more firms are becoming aware of the importance of packaging in marketing their products, the cosmetics companies in Nigeria are not left out as new and innovative packages are seen on display all around revealing the intense rivalry existing in the industry.

Nevertheless, organizations have resources that ensure their products and packagings are the best. In achieving this task, firms are confronted with challenges such as high cost of packaging, legal requirement, technological challenges, distributional requirement, consumer requirement and management objectives which affect their packaging effectiveness.

As such, this study is concern with investigating the extent to which product packaging (cost) structure, material, shape, design, style, size, colour and promotional information) affects the marketing performance of small scale cosmetic firms in Aba, Abia State.

  • OBJECTIVES OF THE STUDY

The objectives of carrying out this study is to ascertain the effect of product packaging (cost structure, materials, design, shape, style, size, colour and promotional information) on the marketing performance of cosmetics manufacturers in Aba, Abia State.

  1. To determine the extent to which the cost structure of packaging affects the marketing performance of cosmetic firms.
  2. To find out whether the choice of packaging material affects the marketing growth of cosmetic firms.
  3. To know the relevant of colour in the marketing of cosmetics.
  4. To understand how the promotional information/ label contributes to the marketing objectives of the cosmetic industry.
  5. To determine role of packaging design, shape, style and size in the marketing of cosmetics.
  6. To investigate whether moderating factors (government policies, technology, competition distributors and consumers requirements) affect the marketing performance of cosmetic manufacturers.

INFLUENCE OF PACKAGING ON THE MARKETING PERFORMANCE OF COSMETICS GOODS MANUFACTURERS IN ABIA STATE (A CASE STUDY OF ZAN COSMETIC AND INTERNATIONAL EQUITABLE ASSOCIATES (IEA) ABA, ABAI STATE)

  • RESEARCH QUESTIONS

Below are the research questions which this research work is set to tackle:

  1. Does the cost of packaging affects the marketing performance of cosmetic firms?
  2. How relevance is the colour in the marketing of cosmetics?
  3. Does the choice of packaging materials affects the marketing growth of cosmetics firms?
  4. How did the promotional information/label contribute to the marketing objective of the cosmetic industry?
  5. What does the packaging design, shape, style and size play in the marketing of the cosmetic goods.
  6. Does the moderating factors (government policies , technology, competitors, distributors and consumer requirements) affect the relationship between packaging and the marketing performance of cosmetics manufacturers
  • STATEMENT OF HYPOTHESIS
  1. H0: there is no significant relationship between product packaging and the marketing performance of cosmetic goods manufacturers.
  2. H02: Moderating factors do not regulate the relationship between packaging and marketing performance of business firms.
    • SIGNIFICANCE OF THE STUDY

It has been proven that effective packaging decisions of firms enhance the marketability of their product. This work is relevant in the sense that it will enlighten manufacturers both in industrial goods industry and the entire manufacturing industry of the vital role which packaging has to play in the marketing of their products. It will educate manufacturers on the other measures to be adopted to sustain the effect packaging has on the buyer decision process and in building a loyal customer.

This study will also be of academic value since the content could be used as a basic for other studies on packaging. Moreso, the findings intended research is expected to contribute to the body of existing knowledge in the area of packaging and its influence in the marketing performance of company’s products.

  • SCOPE OF THE STUDY

The research study on the influence of packaging on the marketing performance of industrial goods is intended to investigate and appraise the packaging decisions of firms in the industrial goods manufacturers in Abia State. It will outline the various roles packaging plays in the marketing of industrial goods.

  • LIMITATIONS OF THE STUDY

In carrying out this research, the researcher was confronted with a number of problems and limitations owing to financial and time constraints, the researcher was unable to travel to other parts of the country for effective data collection, hence, the researcher was carried out in Aba, Abia State.

Respondents were equally reluctant to respond to the questionnaires inspite of the fact that assurance was given by the researcher that every information gathered would be held in strict confidence. Finally, some respondents do not have the requisite knowledge or are unwilling to disclose the facts where they are available.

  • DEFINITION OF TERMS
  1. Packaging refers to the general activity of developing wrapper or container for a product.
  2. Supplementary promotional tools refers to supportive means of inducing sales other than advertising personal selling, sales promotions and publicity.
  3. Self-service stores are specialized outlets which have stocks displayed on shaves for customers easy access.
  4. Selling simply means initiating an exchange process through inducement.
  5. Silent salesman refer to the ability of a product packaging to induce an exchange process.
  6. Merchandize refers to goods and service offered for sale by merchant middlemen of (wholesalers and retailers)
  7. Marketing display refers to the exhibition of goods and services to induce sales.
  8. Dissonance means a feeling of dissatisfaction, disagreement or doubt about the quality of a specific product during or after a purchase decision.
  9. Brand mark refers to the aspect of a product that has a legal right and protects the products from imitation.

Loyal customers are the group of people who believe that a company’s product is the best. As such, they develop confidence in the firm which is demonstrated by their patronage.

INFLUENCE OF PACKAGING ON THE MARKETING PERFORMANCE OF COSMETICS GOODS MANUFACTURERS IN ABIA STATE (A CASE STUDY OF ZAN COSMETIC AND INTERNATIONAL EQUITABLE ASSOCIATES (IEA) ABA, ABAI STATE)

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