ROLE OF PACKAGING ON CONSUMER GOODS MARKETING (A STUDY OF NESTLE NIGERIA PLC)

ABSTRACT

The study investigated on the role of packaging on consumer goods marketing. The objective of the study are to examine the extent to which packaging size affects consumer goods marketing, to examine the extent to which packaging logo affects consumer goods marketing and to examine the extent to which packaging design affects consumer  goods marketing. To achieve the objectives of the study, correlational research design was adopted. The researcher adopted primary data in getting the required information. In testing the hypothesis correlation coefficient was used. The findings revealed that that there is a significant relationship between the packaging size and consumer goods marketing. The findings also revealed that there is a significant relationship between packaging logo and consumer goods marketing. The researcher recommends that the marketing and business should be pay the proper attention toward the good packaging. If they use, accept, launch/introduce the poor packaging then they will face cause of the product failure. So it is necessary for the marketing manager that they should focus on the packaging standard and implement the strategy that product packaging are consider factors and dimensions of marketing.

TABLE OF CONTENTS

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

1.2 Statement of the Problem

1.3 Objectives of the Study

1.4 Research Questions

1.5 Research Hypotheses

1.6 Significance of the Study

1.7  Scope of the Study

1.8  Limitations of the study

CHAPTER TWO

REVIEW OF RELATED LITERATURE

2.1 Conceptual Framework

2.2 Costs of Packaging

2.3 Packaging Planning

2.4 Influence of Packaging and Consumer Buying Decision Making

Process

2.5 Element of packaging 

2.6 The Strategic Importance of Packaging

2.7 Criticism of Packaging

2.8 Qualities of Packaging

2.9 Purchase Intention

CHAPTER THREE

RESEARCH METHODOLOGY

3.1 Research Design

3.2 Area of the study

3.3 Method of Data Collection

3.4 Population of the study

3.6   Validity of the Instrument

3.7 Reliability of the Instrument

3.8 Method of Data Analysis

3.9 Model Specification

CHAPTER FOUR

DATA PRESENTATION, ANALYSIS AND DISCUSSION ON

FINDINGS

4.1 Data presentation

4.2 Hypothesis Testing

CHAPTER FIVE

SUMMARY OF FINDINGS, CONCLUSION RECOMMENDATION

5.1 Summary of Findings

5.2 Conclusion

5.3 Recommendations

References

Appendix: Research   Questionnaire

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study

Packaging means the dish, the container and the system coordinated that not only ensure desired good health during the production process to consumers, but attempts to create a strong connection, between the producer and the consumer in a way to create higher added value for supply chain in the process of transportation, distribution, storage and sale (Soroka, 2002). Today, packaging is not considered a foreign element, but is considered part of the product and it is one of the main factors influencing the minds of consumers when purchasing products. Products packaging must be in such a way that is able to communicate with customers and is seen among other similar products available in stores and even attract (Rundth, 2005).

In recent environment, there are large numbers of companies which also deliver the identical product in market. Consumers see thousands of brands in a single visit to the market. In this competitive environment packaging has become an effective tool to capture the consumer purchase intention (Bloch, 1995). In this competitive environment packaging helps to differentiate the product or achieve competitive edge (Karbasivar & Yarahmadi, 2007). Graphic includes name, typography and structure design include size of packaging or products. All packaging dimension have positive effect on consumer brand experience and purchase decision, it lead toward the brand loyalty. Packaging becomes useful tool to convenience marketers to capture the customer attraction and get competitive advantage or competitors.

Packaging performs the important rule for attracting the customers. Due to enhanced competition in our daily lives, product packaging has come to play a more important role as a brand communication vehicle. Packaging decision is to be considered first marketing plan in total marketing strategy (Lewis, 1991), Taleghani et al (2011) noted that service, quality, usage & storage also have impact on consumer satisfaction. When consumer is satisfied then they repurchase the product of that brand. Rentie & Brewer (2000) believe that more than 73% of purchase decision is depend on the product storage, selling place.

Mustafa (2007) says that consumer purchase of product is highly depending on the product environmental safety. The most important aspect of the product is the packaging and often to the critical factor in the success of failure of the given product (Schoell, 1985). According to the silayoi and speece (2007) following are the element of the packaging (shape, color, symbol, graphics patterns, pictures, size). Images are important since they may serve as a diagnostic piece of information in some product purchase situations (underwood et al., 2001). Color selection is also one of the most important components of the packaging and brand design that further increase the visual stimuli, also considered important tool for creating and sustaining the brand and make the corporate image in the consumer mind. And also strongly associated with the different brand (Madden et al. 2000). Packing shape and size have an impact on a consumer’s purchasing decision. Mostly consumers are attracted with that product which can use easily and carry (Silayoi and Speece 2004). 

1.2 Statement of the Problem

Package attracts consumer’s attention to particular brand, enhances its image, and influences consumer’s perceptions about (Rundth, 2005). Also package impacts unique value to products (Underwood, Klein & Burke, 2001; Silayoi & Speece, 2004), works as a tool for differentiation, i.e. helps consumers to choose a product from wide range of similar products, stimulates customers buying behavior (Wells, Farley & Armstrong, 2007). Thus package performs an important role in marketing communications and could be treated as one of the most important factors influencing consumer’s purchase decision. In spite of the importance of packaging, there are still challenges facing product packaging. However, the major problem associated with product packaging includes; cost of packaging. While packaging can do a lot to get customer attention, and even add value to a product, it also adds to the cost of production. New packaging can be expensive to develop, adding to the cost of products. Another problem is lack of packaging strategy. Lack of packaging strategy can affect organizational objective towards packaging. Decision making is also a problem facing product packaging. There are different types of product packaging. So the decision to adopt a particular package may be a problem to an organization (Severin, 2007).

1.3 Objectives of the Study

The general objective of the study is to examine the role of packaging on consumer goods marketing. However, the specific objectives include; to:

(i)            examine the extent to which packaging size affects consumer goods marketing.

(ii)          examine the extent to which packaging logo affects consumer goods marketing.

(iii)        examine the extent to which packaging design affects consumer  goods marketing.

1.4 Research Questions

The research question for this study include:

(i)            to what extent does packaging size affect consumer goods marketing?

(ii)          to what extent does packaging logo affect consumer goods marketing?

(iii)        to what extent does packaging design affect the marketing of consumer goods?

1.5 Research Hypotheses

The hypotheses to be tested in the course of this study will be stated as follows:

H0₁: there is no significant relationship between packaging size and consumer goods marketing.

H0₂:  there is no significant relationship between packaging logo and consumer goods marketing.

H0₃:  there is no significant relationship between packaging design and the marketing of consumer goods.

1.6 Significance of the Study

This study will be of great significance to marketers of consumer goods, this is because the knowledge of this work will help them in their planning and control strategies to achieve effective sales. Secondly, Consumers will also benefit from the work because with effective packaging, consumer satisfaction could be achieved. The study will also help students in upgrading their knowledge on product packaging, elements of product packaging and the importance of product packaging. Finally, the research will serve as a reference material to researchers in their future research.

1.9 Scope of the Study

The focus of this study to examine the roles of product packaging on consumer goods marketing. The study will be carried out in Aba, Abia state using Nestle Nigeria plc for data generation.

1.10      Limitations of the study

Perceived limitations to this study include the following;

(i) Behaviour of the respondents: Most respondents are reluctant to provide the information that could researcher during research. This could affect the researcher in achieving his goal.

(ii) Non-availability of records: This is one of the most important limiting factors in the course of the study. This includes the problems of easily getting the appropriate data due to bureaucracy which hinders the information flow in the country.

 (iii) Inflation:  High cost of research instrument affects researchers in their researcher work. Due to high cost of research material the researcher may be limited to some certain materials.

(iv) Weather: Weather condition is another limiting factor that affects researchers in their research work. Harsh weather may not be comfortable for the researcher during his research work.

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