This study examines merchandising and its impact on organizational effectiveness in the Nigerian manufacturing industry. This study focuses on how promotions can be used to generate higher sales, higher profitability, and greater market share. The study focused on promotional tools and how Nestlé Nigeria Plc implements promotions to increase their effectiveness.

Promotions are an important part of an organization’s overall marketing strategy alongside advertising, public relations, and personal sales. This research is important because it contributes to new knowledge by filling in and narrowing gaps in the understanding of manufacturing executives and other stakeholders about merchandising. It also serves as a reference for other researchers in this field. A descriptive research study design was applied to describe the organization’s promotional activities. The sample size used was her 205 respondents from Nestlé Food Nigeria Plc. A questionnaire was administered to the sampled respondents to collect the primary data used for this study. However, the survey design and targeted sampling techniques were used in selecting respondents comprised of Nestlé Nigeria management and employees. The survey found that beverage companies are increasingly taking promotional measures. A chi-square test of independence was used to test the hypotheses made. Results show that the implementation of promotional strategies has a significant impact on the effectiveness of the beverage industry. It was concluded that management may be regularly involved in more promotional mix strategies and tend to be creative with consumers. This will improve and increase your sales revenue.

chapter One


1.1 Introduction

Marketing today is more than just having great products, attractive prices, and accessibility. Businesses and individuals also need to communicate with current and potential stakeholders and the general public. For most businesses and individuals, the question is not whether to communicate, but what, how, with whom and how often. But as more companies struggle to engage an increasingly fragmented consumer, communication becomes more difficult. To reach target markets and build brand equity, holistic marketers creatively employ multiple forms of promotion.

In Nigeria, companies and individual service providers have struggled for years to improve their advertising creativity in order to meet global standards and regain the necessary recognition that their products demand. 1.2 Research Background

Advertising is a form of communication designed to induce action in a viewer, reader, or listener. It usually includes the name of the product or service and how that product or service will benefit consumers by persuading potential consumers or customers to purchase or consume that particular brand. Modern advertising evolved with the advent of mass production and increased competition in the late 19th and early 20th centuries.

Advertising can also be considered an element of a marketing communications program. It’s usually not the only or most important thing in building brand equity. The promotional communications mix consists of six primary communication channels.

1.3 Problem Description

The purpose of this study is to thoroughly evaluate the strategies and tools companies use to successfully promote their goods and services, and to assess how this aligns with increased sales from the use of various tools. is to A narrow definition of promotion as an essential means of increasing awareness of the existence and characteristics of a product, as well as positive and psychological associations that can increase buyer satisfaction and increase the true value of a company’s offer. Despite its gender, little attention has been paid to promoting it by many business organizations in the country, and it is seldom fully marketed.

Many companies pay little attention to promotions, believing that they can sell their products with little or no promotion. Similarly, despite the effectiveness of sales promotions, research and decision-making models were insufficient to address them. Additionally, many companies have established a negative perception of the cost of business support. In addition, the constant disregard for proper recording of sales and advertising expenditures and the introduction of some promotional programs at the wrong time result in lower levels of business sales and profitability, as well as promotions across communities and countries. becomes less important.

1.4 Purpose of the survey

The goals of this research work are:

Identify different promotional strategies to help management decisions.
Evaluate promotional strategies that increase sales revenue.
Find out if your ads have a positive or negative impact on sales.
See how Unilever Nigeria Plc decides on its advertising model
1.5 Research question

The following research question was created.


What advertising strategies are employed by the Nigerian beverage industry? RQ2

What impact does the beverage industry’s promotional strategy have on organizational effectiveness?

1.6 Description of Hypothesis

Kerlinger F. (1976) defines a hypothesis as an estimating statement of the relationship between two or more variables. A hypothesis is usually derived from a research question/problem and can be viewed as a preliminary solution to the research question. Therefore, the researchers test the following hypothesis.

Hypothesis I

Null Hypothesis (H0):
The beverage industry uses promotional strategies to achieve set goals. Alternative hypothesis (H1):
The beverage industry does not use promotional strategies to achieve set goals.

Hypothesis I1

Null Hypothesis (H0):
The implementation of promotional strategies greatly affects the effectiveness of the beverage industry.

Alternative hypothesis (H1):
The implementation of promotional strategies does not significantly affect the effectiveness of the beverage industry.

1.7 Importance of research

This research paper has many significances, some of which are:

This research enhances and expands the researcher’s knowledge and understanding of topics surrounding or related to advertising.
To provide information relevant to the management of the organization when making advertising-related decisions.
It helps you find solutions to all the problems that arise from bad advertising. Specifically, educate your advertising staff on how advertising actually impacts your company’s products, services, and sales.
It serves as a reference for scholars/students willing to experience or increase their knowledge and insight into what the real impact of advertising is.

1.8 Scope of investigation

Despite the pervasiveness of advertising, the purpose of this study is limited to examining the strategies used by Nestlé Nigeria Plc to promote its products.

1.8 Historical background of the research

Nestlé Nigeria Plc began its foray into Nigeria with the first sale of Nestlé products in Nigeria dating back to the early 20th century. This was done through a local importer who ordered directly from a British trading company operating in the country. Imports were sporadic at first, but became regular from the 1920s, when Nestlé decided to formally organize the importation and distribution of its products, a year after Nigeria’s independence in 1961. , Nestlé Products (Nigeria) Limited was officially established. This meant the start of the Nestlé operations in Nigeria as a locally based subsidiary of Nestlé.

Today, Nestlé’s activities in Nigeria amounts to around 59 billion Naira (CHF 457 million) with over 3,300 employees working from 2 factories:
Agbara Manufacturing Complex and Flowergate. It has 1 Distribution Centre in Otta, Ogun State and produces a wide range of products:

Infant cereals:
Nestlé NUTREND, Nestlé CERELAC (Maize).

All Family Cereal:

Beverage drink:
Nestlé MILO


MAGGI cube, MAGGI Chicken, MAGGI Crayfish, MAGGI MIX’PY

Table Water:

NESCAFÉ Classic, NESCAFÉ Creme 3-in-1, NESCAFÉ Breakfast

Full cream milk:
Nestlé NIDO

Nestlé Nigeria is part of Nestlé’s Central and Africa Region (CWAR) which is headquartered in Accra (Ghana)

Nestle Nigeria Plc continues to heavily invest in the development and improvement in the nutritional profile of all its products, using science-based solutions, to improve quality of life through food and diet, contributing to the health and wellbeing of consumers, including those with specific nutritional needs and those at the ‘base of the income pyramid’ offering products with accessible portion sizes and higher nutritional value, at lower prices.

Nestle has been creating Shared Value by creating long-term value for shareholders and the society, through Nutrition, Water and Rural Development. 1.10 Definition of terms

sales promotion:
Promotions can be defined as broad labels that apply to specific types of promotional activities, not necessarily classified as advertising and direct sales.
A firm can be easily defined as the sum total of all economic activities carried out within the framework of the production and distribution of goods and services with the aim of making a profit.
Robine (1987) states that an organization is a consciously coordinated social entity with relatively identifiable boundaries that functions relatively continuously to achieve a common goal or set of goals. said.
This is the job of creating, promoting, and offering goods and services to consumers and businesses.
Anything that the market can offer to satisfy a desire or need. Price/price:
This is the amount a business chooses as the final price from that price range to offer or sell the goods or services.
The act of sending and receiving messages from people. This includes newspapers, magazines, radio, television, etc.
A form of communication intended to persuade a viewer, reader, or listener to take action on a product or service.
These are plans designed to help you reach your long-term goals and objectives.
This is the rate at which the goods are sold. consumer:
The person who buys the product or service, i.e. the person who will end up using the product.


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