ABSTRACT

This research focused on Effectiveness of Sales Promotion on Consumer Decision Making. The specific objectives of the study include determining the effect of sales promotion on customer patronage, examining the effect of sales promotion on increase in sales volume, to determine the effect of sales promotion on organizational profitability and to assess the effect of Sales Promotion on increase in Market Share. Primary data was collected from respondents in Abia state on their views about Sales Promotion and Consumer Decision making with the help of a well-structured questionnaire from 135 valid respondents. Results from the correlation analysis on the Effect of Sales Promotion on Customers’ Patronage showed a satisfactory positive relationship between Sales Promotion and Customer Patronage. The result of the analysis implies that the higher the Sales Promotion, the greater the Customers’ Patronage. The Effect of Sales Promotion on Sales Volume was tested using bivariate regression analysis the result shows that there is a strongly positive association between Sales Promotion and Sales Volume. The value of the correlation coefficient between Sales Promotion and Organizational Market showed that r = 0.667**, N = 135, Sig <0.05. This implies that a 1% increase in Sales Promotion will lead to 66.7% increase in Organizational Market Share. Therefore, Sales Promotion and Organizational Market Share are correlated positively. As a recommendation, Organizational firms should know that market Share, Sales Volume and Customer Patronage cannot be effectively achieved if there isn’t efficient Sales Promotion. Sales Promotion plays a vital role in Sales Volume and Customer Patronage. Thus, adequate Sales Promotion strategies need to be formulated and implemented to optimize profit. Marketing research that focuses on the Sales Promotion, Customer Patronage, and Sales Volume that can be desired by consumers should be conducted.

TABLE OF CONTENTS

Title page i

Declaration ii

Certification           iii

Dedication iv

Acknowledgements v

Table of contents vi

List of tables ix

Abstract x

      References

CHAPTER ONE

INTRODUCTION

1.1   Background Of The Study 1

1.2 Statement Of The Problem 3

1.3     Objectives of the study 4

1.4 Research Questions 4

1.5 Research Hypotheses 5

1.6 Significance of the Study 5

1.7 Scope of the study 6

1.8     Limitations of the study 6

CHAPTER TWO

2.0      REVIEW OF RELATED LITERATURE

2.1     Conceptual Framework 7

2.1.1   Definitions of Sales Promotion 8

2.1.2    Effect of Sales Promotion on Organizational Performance 9

2.1.3    Major Types of Sales Promotion techniques 10 

2.1.4      Relationship between Sales Promotion and Organization  Effectiveness 

2.1.5      Consumer behavior  19

2.1.6      Sales promotion and consumer behavior  19

2.2 Theoretical Framework 20

2.2.1    The Push Theory 20

2.2.2      The Pull Theory 21

2.2.3        The Combination Theory  21

2.3 Empirical Review 22

CHAPTER THREE

3.0  RESEARCH METHODOLOGY 25

3.1 Research Design 25

3.2 Area of the Study 25

3.3 Sources of Data/Method of Collection 26

3.4 Population of the study 26

3.5 Sampling Procedure and Sample Size 26

3.6 Validity of instrument 27

3.7 Reliability of the instrument 27

3.8    Method of Data Analysis 27

CHAPTER FOUR

4.0  RESULTS AND DISCUSSION 28

4.1 Effect of Sales Promotion on Customers’ Patronage 28

4.2 Effect of Sales Promotion on Sales Volume 29

4.3 Effect of Sales Promotion on Organizational Profitability 31

CHAPTER FIVE

5.0       SUMMARY, CONCLUSION AND POLICY RECOMMENDATION

5.1      Summary of Findings 35

5.2      Conclusion 36

5.3     Recommendations 38

References