THE EFFECTIVENESS OF PERSONAL SELLING STRATEGY ON THE MARKETING OF INDUSTRIAL PRODUCTS (A CASE STUDY OF THE NIGERIA BREWERIES AS A COMPANY)
1.1 BACKGROUND OF THE STUDY
Personal selling is simply to make a sale on individual’s basis, sales personal service as the link between the selling and buying system. Today, sales personal are to have more education and technical at their disposal and are better equipped to develop long term relationship with buyers. They are team of specialist including market researchers, financial experts and engineers. Salesman, of today are very good diagnosticians of customer needs and they are also problem consultants who make well considered recommendation. They (sale people) are at home to fact of a prospective customer business that will in anyway relate to the goods and services to be sold. Personal selling is an important component of overall marketing strategy of an organization.
According to Adamu (200) personal selling is the presentation of persuasive message by selling to a potential customer, personal selling can also take place through personal correspondent telephone conversation or email personal selling is an effective communication with potential buyers of a product with the intention of promoting sales. Personal may focus initially on developing relationship with the consumer and potential buyers of a product. This relationship ultimately ends with an attempt to “close the sales” (Okoh, 2009).
The oldest form of promotion is personal selling. It involves the use of a sales force to encourage intermediaries to buy the product or a pull strategy where an organization may be limited to supporting retailers and providing after sales services. personal selling is designed to present a form of face communication, personal correspondence, or a persona telephone conversation, unlike advertising, a personal sales can be justified. For example, the market of a sophisticated computer system may be require the use of personal selling, while the introduction of a new products core door to door selling and demonstration parties. These two tow personal selling methods are primarily cosmetic used for personal care products kitchen, books, toys food and other items of special interest to home market. Ideal, personal selling should be supported by advertising to strengthen utensils its impact. Delivery of a specially desired message to a prospect by a seller usually in the form of face to face communication, personal correspondent, or a personal telephone conversation, unlike advertising, a personal sales message can be more specifically targeted individual prospect and easily altered if the desire behavious does not occur.
However, inspire of the importance of personal selling to the overall marketing strategy of an organization, previous studies have indicated that organization do not hold it to a high esteem like other promotion tool. For example Emena (2006) in her studies of problem and prospect of personal selling in business enterprise, to observe that most companies in Nigeria seldom use personal selling to promote their product or do not channel the require resource to it. It is against the background that the researchers sees the subject matter worthy of investigation.
1.2 STATEMENT OF THE PROBLEM
Most time, most companies are at large or small do not of realize that personal is part of the marketing team and that, identify them. It is the key to continues consistence any organization. Also, it was observed that this problem is worsened by the fact that some of the sales personal lack the ability to express their sales properly not only that it was observed that the sales people are not good listener. The sales people do not allow the customer to talk with them.
Furthermore, it was observed that sales person’s do not listen to customer complaints. They do not consider the customer analysis and handling of objection are ignored. Nigeria breweries plc in not an exemption amongst the company, each started very well, is now faced with competition that is fierce and cult through coupled with the income at the customer of Nigeria breweries Nigeria limited, thus not doubt have impacted negatively on sales of the company. This research work is focused on the marketing of industrial product by personal selling specifically Nigeria breweries Nigeria limited.
1.3 OBJECTIVE OF THE STUDY
The main purpose of the study is to appraise the effectiveness of personal selling strategy on the marketing of industrial product using Nigeria breweries as company. Other objective are
1. To find out if personal selling actives of Nigeria breweries create customer awareness of their product.
2. To determine the impact of personal selling on increasing the sales volume of Nigeria breweries.
3. To be aware whether the sales forces of Nigeria breweries company are properly motivated
4. To what extent selling on the profit at the company
1.4 SIGNIFICANCE OF THE STUDY
The researcher consider the study very significant on the following bases.
The consumer and customer of Nigeria breweries will benefit from the study since if the recommendations of the researcher are carried out, it will help company serve them better.
Furthermore, the significance of this study is that it helps the researchers to understand and be able to different between the ordinary sales person and the professional sales person and another research as a topic for continue research work in the filed of study.
The finding the study will enable the industries especially breweries plc to slave their sales problem and correct whatever mistakes the have made or are still making have additional information on personal selling as a channel or sales of industrial products.
1.5 SCOPE OF THE STUDY
Scope of the study simply means the study’s areas of coverage. The scope of this study is thus expressed as follow:
THE CONCEPTUAL SCOPE: The concept covered by this study is personal selling which is one of the promoting mixes usually employed by marketer or enterprise.
THE INDUSTRIAL SCOPE: This simply means the industrial cover by the study. However, this study cover Nigeria breweries, Lagos State branch Nigeria.
THE TERRITORIALS SCOPE: This simply means the geographical location covered by the study. This study however cover Lagos state which is one of the longest state in Nigeria.
TIME SCOPE: This implies the period of time use to carry out the study. The period use to do this study is the time between the periods of 2012-2014.
1.6 LIMITATIONS AND CONSTRAINT TO THE STUDY
To carry out the research successfully is a grate achievement, because it is faced with several constrains or set back. Some at the problem encountered are as follow:
a. The attitude of some workers in the reception was intuitive and frustrating just to see the manager to discus out mission to the organization. The reception will look at the researcher to sit and wait and wait for the manager endlessly.
b. In distributing the questionnaire and to point of collection. It tool is many weeks and even we could not retrieve all.
c. Yet, despite and letter of introduction and the presentation of our identification caves to them as final year studies carrying out a research work, some of the staff could not release get to the hand of their rival or competitor.
d. A large proportion of time was taken away by lecturers other important school assignment, which limited the time that would have been sued in concentrating on the research work.
e. Finally, the most important problem was finance due to the distance of the enterprise chosen as case study a list of amount was spent on transportation.
1.7 DEFINITION OF THE STUDY
Some terms used in the study are defined for purpose of understanding.
INDUSTRIAL GOOD: These are goods destined to be sold for the purpose of output for further production of other goods and service.
INDUSTRIAL MARKETING: This is the marketing of industrial goods and services to industries users OZO & ODO (1999: 141).
MARKET SHARE: This is a firm’s percentage of the industries total sales,
MARKET POTENTIAL: This is the maximum sales potential for all sellers of a product or service over a fixed period (UDEAGHA 1999:224).
PERSONAL SELLING: This is just a direct personal contact will present and prospective customers for the purpose of selling customer need to goods and services (UDEAGGHA 1999:214).
SALES QUOTA: This is a share of the company’s overall sales job that is assigned to some marketing unit as a means of evaluation of sales activates; it’s planning and controls (EDOGA 2000:115).
SELLING: This is the act of persuading prospective buyers to buy goods and services from which they can drive suitable benefit thereby increasing their total satisfaction (EDOGA 2000: 18).
5.0 SUMMARY, RECOMMENDATION AND CONCLUSION
5.1 SUMMARY OF FINDINGS
Personal selling is an important marketing tool for small business particularly those that sell complex or high value products and services to other business, rather than consumer. Company can undertake personal selling hiring sales representative companies selling to consumers may find it uneconomically to deal with individual customers, unless they are selling face to face in a small, marketing high-value products such as cars or selling product that require demonstration, such how it help to increase sales volume in an organization.
It is a matter of important that advertisement is quiet necessary for an organization to in crease its profits.
The effect of promotion on Nigeria breweries is to motivate prospective customer to patronize their product and services and it’s also provide a necessary medium to remind customer of the extent of the organization.
Advertisement in valves financial commitment by the organization but the relevance and important that promotion those to the image of the organization consequential to increase on profit for out ways the cost of promotion involved.
In conclusion, the enormous publicity generated by an organization through advertisement creates awareness of their goods and services, boost sales make product and service available to the customer and also increase the profit margin of the company.
Therefore, promotion should be seen as an indispensable needs of increasing sales of goods and services in an organization.
This research work is design to assess the impact of personal selling on the sales volume, the organization should be more involved in making use of advertisement like print media such as newspaper, advertisement, bill board advertisement, television electronic media such as radio advertisement, television advertisement and also celebrity advertisement etc. All these will result in instantaneous increase in the profit of the organization at each promotion in compares to non-promotion period.
The necessary funds that will be require for successful participation of the company to advertised their products and services to the potential customer should readily provided by the management of the organization.
They will facilitate adequate planning by the organization so as to have effective representation at the venue which should be consequential to increase response for customers. The proper and adequate training to of start an advertisement use should be taken more seriously since the organization is involved in promotion of goods and services.
Lastly, Nigeria breweries limited should see advertizing of is numerous goods and services as an important means of promoting its image that will increase sales and not a waste of scare financial resources..