BRANDING AND PACKAGING ON SALES TURNOVER

IMPACT OF BRANDING AND PACKAGING ON SALES TURNOVER OF NESTLE FOOD NIGERIA PLC

 

 

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CHAPTER ONE

 

1.0     INTRODUCTION

One element that has undergone tremendous change in the past decade is branding and packaging according to Rahim, liberalization by allowing for easy imports of printing technology. Made a vast difference to packaging and branding Simplistic, almost primitive packaging has given way to vibrant, colorful labels with more pictures. Packaging is also no longer meant merely for storage; the label nowadays addresses concerns about the product, ingredients shelf life and so on (Rahim 2002) .

 

According to Rahim, packaging is “now more a component of the brands image than ever” Tins and cartons have given way to sleek pouches, satchets and plastic containers. Therefore, we can define packaging as all activities of designing and producing the container for a product, the container is called the package.

 

Branding is a major issue in product strategy, perhaps the most distinctive skill of professional marketers in their ability to create, maintain, produce and enhance brand. Branding is the art and corner stone of marketing. The American marketing association defines a brand as a name, term, sign, symbol or design, or a combination of them intended to identify the goods or services of one seller or group of sellers and to differentiate them from those of competitors. Thus a brand identifies the seller or maker.

 

Branding has nothing to do with the design of a product which include both the intrinsic and entrinsic qualities of a product, that is packaging, textile, colour, names tastes and so on.

 

Branding is infact the composite of activities in establishing brand names, brand mark, copyright and the like. In the absence of branding, there cannot be any better described marketing situation than confastic marketing.

 

Therefore, when branding and packaging came, it becomes so strong              that today hardly anything goes unbranded. Example salt is packaged in distinctive manufacturers containers or sacks, oranges are stamped with growers names, common belt and nuts are packaged in cellophane with distributors label and automobile companies, spark plugs, tyre, bear separate brand names from the auto makers.

 

The brand name and trade marks provide legal protection of improving product features which will otherwise be copied by competitors. moreover, branding gives the seller the opportunity to attract a loyal and profitable set of customers and also gives sellers some protection from competitors greater control in planning their marketing mix. All these make companies to spend a lot on branding and packaging with the sole aim of product differentiation and identification thereby changing the taste of customers as a result, making good sales turnover.

 

1.1     BACKGROUND OF THE STUDY

Branding and packaging has become an essential motivating factor in the area of sales turnover in any organization, whether manufacturers of industrial or consumer products.

 

The researcher choice of the subject matter was as a result of the keen interest he has on sales turnover especially the packaging and branding involves to identify the level of dependence of customers to this effort and to the organizations.

Hence, the impact of branding and packaging on sales turnover, of Nestle foods Nigeria Ltd.

The researcher also deliberated on the effectiveness, achievement and the results that branding and packaging has brought to the organization in terms of sales volume and profitability.

 

Nestle Plc began simple trading operation in Nigeria in 1961 and ha today grown in to a leading food manufacturing and marketing company. It is a publicly quoted company listed, since 1978, on the Nigeria stock exchange (now known as Lagos stock exchange) the main production units were designed in line with modern manufacturing method which ensure efficient production of the following products. NESTLE NUTREND, NESTLE CERELAC MAIZE AND NESTLE CERELAC CHOCOLATE, NESTLE GOLDENMORN, NESTLE MILO, CHOCOMILO, MAGGI CUBES, etc. nestle Nigeria Plc has its regional sales office in Lagos region, east region North-West region and north east region. It has its depot in Ibadan, Benin, Kaduna, Makurdi Kano, Aba and Jos.

 

1.2     STATEMENT OF THE PROBLEM

The issue of branding and packaging of food products in the Nigeria context can not be over emphasized, some are of the view that food product branding and packaging will constitute a problem to the society at large while other disagree with this issue. To be more precise, an example is that we have different types of soft drinks which, when consumed by the customers will give the

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