THE INFLUENCE OF SALE PROMOTION ON EMPLOYEES PERFORMANCE IN AN ORGANIZATION
(A CASE STUDIES OF SOME BANKS)
The study examined the influences of sales promotion of an employee in an organization. The research problem involves an investigation of the extent of which sales promotion influences an employee performances.
The extant literatures were reviewed, directly look at inducing retailers, consumers and sales persons by offering incentives or adding value for a product of interest, sales promotion encompass all promotional activities and materials excluding personal selling, adverting and public relations and publicity.
The method of analysis used in this research include descriptive analysis and nonparametric statistical methods, suchas percentages, chi-square test (X2) spearman rank order correlation were logically tested and interpreted with the support of most relevant questions inthe table accepted.
The result of the findings indicate that there is a significant relationship between sales promotion and sales performance and overall growth of the organization.
In conclusion, it was recommended that for any companies to-break even or make profits, such organizationmust intensify efforts on promotional activities achieve high sales.
TABLE OF CONTENTS
Title page i
Table of content vii-ix
1.1 Background of study 1-3
1.2 Statement of the problem 3
1.3 Purpose of the study 3
1.4 Research questions 3 – 4
1.5 Research hypothesis 4
1.6 Scope of study 4
1.7 Significance of study 5
1.8 Plan of study 5
1.9 Operational definition of terms 5 – 6
2.0 Introduction 8
2.1 Overview of the study 8-9
2.2 Promotional practices 9-16
2.3 Depressed Economy 16-17
2.4 Relating marketing to economic depression 17
2.5 Definition of sales promotion 17-18
2.6 The nature of sales promotion 19-22
2.7 Purpose of sales promotion 22-25
2.8 Importance of sales promotion 25-28
2.9 Demerits of sales promotion 28-29
2.10 Designing sales promotion programmes 29-30
2.11 Major decision involved in sales promotions 30-32
2.12 Sales promotion tools 32-37
2. 13 Sales promotion method of retails 37-40
2.14 Major decisions involved in sales promotion 40-44
2.15 Review of banking industry in Nigeria References 44-45
3.1 Introduction 48
3.2 Restatement of the research question 48-49
3.3 Restatement of research hypothesis 49
3.4 Population of the study 49-50
3.5 Sample size 50
3.6 Sample design and procedures 50
3.7 Sources of data collection 50-51
3.8 Data collection instrument 51
3.9 Questionnaire administration 51-52
3.10 Procedure for processing and analyzing collected data 52-53
3. 11 Method of data analysis 53-54
3.12 Limitation of study 54
1.1 BACKGROUND OF THE STUDY
Sales promotion is important in marketing as away of increasing the demand for products or services. It is a substitute for price competition and as a way of differentiating similar products or services, Achumba (2000). Sales promotion is used frequently to improve the effectiveness of other promotional mix elements, especially advertising and personal selling.
Sales promotion along with advertising and salesmanship are the major techniques used in merchandising products/services to the public. Within the banking arena, sales promotion can be sued as an incentive to encourage potential and current customers to patronize different services/products offered by the banks.
Sales promotion is not only applicable in the product sector but equally useful in the service sector and the banking sector is no exception. Sales promotion is important, considering the ever increasing competitive banking atmosphere where "aggressive marketing strategy" is the order of the day.
Sales promotion devices are usually irregular. They make valuable contributions to marketing effectiveness by supporting advertising, personal selling and public relations activities and thereby increasing sales volume.
It's often attracting brand switchers, who are primarily looking for low price, good vale or premiums. This is commonly seen in banks because of the competitive banking arena where banks have in their marketing strategy a policy attracting and retaining their customers.
Sales promotion are all around us as we are constantly faced with coupons, sweepstakes and prize-cuts that try to make products ever more appealing and induce us to make a purchase. These promotions can have dramatic effects. Firms’ sales promotions have been on a steady increase over the last decade, while a advertising expenditures have Shrunk by almost half. Tellis (1998) noted that sales promotion is any time bound program of a seller that tries to make an offer more attractive to buyers and requires their participation in the form of an immediate purchase or some other action.
Particular emphasis is laid on three (3) key banks relevant to the case study. The banks include: Access Bank PLC, Zenith Bank Plc and Standard Trust Banks, now United Bank for Africa Plc. The banks were used in analyzing the impact of sales promotion as a marketing strategy.
1.2 STATEMENT OF THE PROBLEM
Sales promotion ash been defined as short term incentives to stimulate selective demand for a product or brand. Thus, it is one of the promotional mix tools employed by an organization to boost or enhance sales of a rand.
Thus, the major problem of this research study is to find out the impacts or influences of sales promotion on the performances of employees on an organization.
Moreso, another problem of the study is to know whether sales promotion have effects on both the short term and long term performances of an organization.
1.3 OBJECTIVES OF THE STUDY
Ø To find out whether sales promotional activities as a marketing strategy can improve the banks performance in terms of customer base.
Ø To find out the best sales promotional tools as a marketing strategy relevant in the banks.
Ø To find out whether a sales promotional action can be sustained for a long time as a marketing strategy in the three selected banks.
Ø To effectively make recommendations on findings.
1.4 RESEARCH QUESTION
· What are the best sales promotional tool (s) used as a marketing strategy in the case study?
· What are the objectives of sales promotion in the three (3) case studies?
· Are the sales promotional tools used currently in the three (3) case studies improving the level of sales and actualizing the marketing objective desired?
1.5 RESEARCH HYPOTHESES
H0: Sales promotion does not improve sales/customer patronage.
Hi: Sales promotion improve sale/customer patronage
H0: Sale promotional efficiency does not result in improved profitability.
Hi: Sales promotional efficiency result in improved profitability.
1.6 SCOPE OF THE STUDY
This research work will be limited to the :impact of sales promotion as a marketing strategy, case study of three (3) selected banks (Access Bank Plc, Zenith Bank Plc and United Bank for Africa Plc)
1.7 SIGNIFICANCE OF THE STUDY
This research will be of great value to the management, personnel of rims within and outside the industry. It will assist them to determine the most effective sales promotional tools for not only the sake of improving customer patronage but also to improve on the level of profitability within the industry.
Additionally, this work will be immense value to student who are interested in carrying out research on related topics as far as the issue under investigation is concerned.
1.8 PLAN OF THE STUDY
The research will cover key participants in decision making in the respective banks. Here both primary and secondary data will be used. The primary source of data will constitute responses form questionnaire to be administered while secondary data is to be obtained through available material, relevant literature text books and other secondary data.
1.9 OPERATIONAL DEFINITION OF TERMS
Promotion: Promotion an element in the marketing mix (4Ps of marketing) is a set of marketing activity designed to boost sales condition. Within promotion there exist promotional mix such as:
Advertising, personal selling sales promotion, publicity and public relations.
Sales promotion: This is a program that makes a firm's offer more attractive to buyers and require buyer's participation.
Product: The term product is sued generally to refer to any good, service, idea, time or candidate that an individual or organization offers to another individual or organization.
Advertising: Advertising is the act of communicating a firm's offer to customers by paid media, time or space.
Coupons: Coupons are certificates entitling the bearer to a stated saving on the purchase of specific product.
Price cuts: This is also called prize off deals. They are offers to consumers of saving off the regular prize of a product, a flagged on the label or package.