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EFFECTIVENESS OF PERSONAL SELLING IN THE MARKETING OF TOBACCO PRODUCTS

ABSTRACT

The study is to identify the effectiveness of personal selling on the Marketing of Tobacco Products in Enugu Metropolis a case study of British American Tobacco. The main aim of this research work is to find out the problems particularly in the marketing of tobacco products using personal selling. Hypothesis were formulated and tested in the course of the research work. Questionnaires were constructed and administered to a selected sample. The collected data were sorted analysed statistically and result interpreted. The study revealed that personal selling create urge in the customers to purchase the tobacco from B.A.T. and benefit from services rendered. Personal selling generally creates positive effect on the product of British American Tobacco (B.A.T) by creating awareness and increasing of sales. In addition, findings reveal that B.A.T. limited has personal selling department in their firm. Based on the findings made, the following were recommended. British American Tobacco Company should aim at products and service through honest personal selling otherwise, customers will not be able to make the most rational choice of a product or service from where to buy them. The accurate assessment and properly conceived plan will be needed and much hard work as well as good judgement in determine how best to meet these needs. A justification body with adequate capacity should be established in Nigeria and charged with enforcing a strict code, in the practice of personal selling, such body should also act of this body would be to trace out all forms of deception in personal selling.

CHAPTER ONE

1.1 INTRODUCTION

The major purpose of this paper is to direct attention to the phenomenon of effectiveness of personal selling in Enugu Petropolis and to introduce simple possible ways of improving personal selling whi8le attention has been deliberately restricted to the British American Tobacco (B.A.T.) Enugu. There are other Promotional Mix variables such as Advertising, Sales Promotion and Publicity. It is argued that Personal selling is the most effective in Marketing. Personal selling has contributed a lot to boost a better image on both major and minor industries in any part of the world. In Nigeria for example, many industries have made impressionable image nationally and the praises goes to personal selling that have heralded their various characteristics, class placement status to the general public. Personal selling reflects at the individual customer and is a vital part of successful marketing plans (Donalson 1990) without communication through personal selling, the image of these industries would not be so diffused to the public. Personal selling at times is defined as “coordinated seller initiated effort to establish channel of information and persuasion to foster ideas or point of view”. Besides, personal selling gives amplified colour to the various environmental factor that sum up to the business.

Today, many industries try to add cultural impression into their product and industry, merely to portray history of the company to people. Personal selling therefore gives simple interpretation of not only the product but also the industry that manufactured it. However, the impact of personal selling in the marketing of consumer goods is so noticed that it can not be overemphasized. The case of Nigeria is very vivid. “Personal selling is the critical link between the firm and the customers. Second, sales persons are the company in the customers eyes. Third personal selling may play a dominate role in a firms marketing programmes especially if a firm is using push marketing strategy”.

In other words, it makes no sence to build on better mouse trap and keep it secret”. That is, it will make no difference if a nice product is manufactured and kept “Secret” but personal selling provides a better ground for its publicity to the public, the qualities of services accorded to customers and recommendation about production processes. Secondly any industry that undertakes personal selling will cut down on the cost of using Advertising and sales promotion. “There is more personal contact in personal selling than in advertising, hence wastage coverage can be reduced with personal selling”. (Edeoga P.10 1997) furthermore, personal selling enables customers to know various industries and their products in Enugu metropolises and to know which to patronize. In such cases, personal selling may not necessary be to catch new customers but are designed to the existing customer.

Inspite of the fact that personal selling promotes the image of the industry before the public, it also have other advantages over other promotional mix variables. Cohen (1988) enumerated six major advantages of Personal selling over other promotional methods.

1. MOVE FLEXIBILITY: It is easier to vary and tailor the sales Presentation made by your sales people to individual customer’s need, behaviour, motives and special situation.

2. IMMEDIATE FEEDBACK: Unlike other promotional methods, sales people obtain immediate feedback on their presentation and they vary what they say afterward depending upon the reaction to the presentation.

3. TARGET MARKETING: Personal selling enables greater pinpointing of the target consumers or industrial buyer than is possible with any other promotional methods such as advertising and publicity.4. INSTANT RECEPT: In many types of personal selling your representative can sell the product and receive the money immediately.

5. RENDERING OF ADDITONAL SERVICES: Your sales people can perform other services as required while making sales calls.

6. FLEXIBLE TIME TO MAKE THE SALE: Hence, in all circumstances there are some major impact of personal selling on the marketing of Tobacco Products. Every entrepreneur Project requires early study on some process of informing the public of its existence, it is now “Make what we can sell, not sell what we can make”. Personal selling stimulates the sale of a good product. Industries, which have good qualities, will be enhanced using personal selling and be destroyed if they did not live up to expectation of the target market.

Personal selling knows how to create brand image and by undertaking personal selling an industry can create a better image before the public. Personal selling is also very vital because it helps to raise the standard of our locally manufactured products. If personal selling is continuous, it wills extent an irresistible force. It is a game which you cannot sit on the sideline if you hope to run a successful business.

Personal Selling contributes to the economy by contributing to volume sales and making it cheaper operations. It helps to raise the standard of living of the masses and creates awareness. It also plays an information role. Personal selling provides more credible information about brand and qualities. It creates durable brand loyalties that cannot be tested. Finally, it is convenient to say that industries has to see personal selling to grow information with particular reference to its impact on Marketing of Tobacco Products and good image.

1.2 STATEMENT OF THE PROBLEM

Personal selling has had a lot of impact on marketing development of the country. Although many of the personal selling programme were unrealized due to many variables. Hence it has led to the shout down of most of the industries. This paper will be investigating into the

1. Impact of personal selling on marketing

2. The flow of personal selling in Enugu Metropolis

3. The major constraint of personal selling

4. Reasons why some industries have not adopted personal selling

5. The study of economical circle of British American Tobacco and where they have problems in their personal selling programme.

1.3 OBJECTIVES OF THE STUDY

With regard to the points enumerated above in the statement of the problem, the objective of the project will be as follows:

1. To recommend the best ways to scrutunize the problem of fund acquisition of British American Tobacco Company.

2. To make recommendation on the best and most economical way to improve the managerial skill and techniques.

3. To determine the appropriate time, and schedule for personal selling.

4. To determine the features of personal selling to be used in other to attract attention.

5. To find ways of improving the sales persons performance.

6. To acquaint students with knowledge of effects of personal selling on Marketing.

7. To serve as a reference to decision makers on personal selling programme.

8. To encourage industrialists to embark on personal sellings.

9. To serve as the study of British American Tobacco Company.

1.4 SIGNIFICANCE OF THE STUDY

The study is primarily aimed at helping other researchers, the management of British American Tobacco Company Enugu and students in the business field, as the project will add to the knowledge of the discipline. The study is also aimed at exposing the dangers of not embarking on personal selling as far as tobacco products are concerned. Finally, the study will help in pointing out weakness in their managerial techniques and skills which hinders the rate of profit they make from customers.

1.5 SCOPE OF THE STUDY

This study will cover just British America Tobacco Company Enugu. The work will also cover the impact and effectiveness of personal selling in the Marketing of Tobacco Products with regard to British American Tobacco Company Products in Enugu Metropolis.

RESEARCH HYPOTHESIS

This work is predicted on the following assumptions:

i. Personal selling in Tobacco Marketing make people fed need, which they would not have, otherwise felt.

ii. Tobacco consumers have more confidence in personal selling than Advertising.

iii. Personal selling can make members of some family to like different brands of cigarette.

The Hypothesis Postulated are therefore as follows:

a. Hi: Personal selling make people feel need which they would not have otherwise felt.

Ho: Personal selling does not make people feel need which they would not have otherwise felt.

b. Hi: Consumers of tobacco have more confidence in personal selling tan advertising.

Ho: Consumers of tobacco do not have confidence in personal selling than advertising.

c. Hi: Personal selling can make members of same family to like different brands of tobacco.

Ho: Personal selling cannot make members of some family to like different brands of cigarette.

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