APPROVAL PAGE
This is to certify that this research work was carried out as required for the award
of National Diploma (ND) in the department of Marketing, School of Business and
Management Technology, Federal Polytechnic Nekede, Owerri.
                               DEDICATION
This research work is dedicated to God Almighty who gave me life and the grace
to write this work.
                             ACKNOWLEDGEMENT
It is impossible to accomplish an academic task of this nature without the strength
from God and assistance from people. Based on this fact therefore, I thank the
Almighty God for his strength and also the authors whose their books I read in
order to generate ideas on this topic.
I also appreciate the effort of my parents for their financial and moral support
throughout my stay in school. My profound gratitude goes to my able lecturer and
supervisor, Mr. Okere U.S. for his valuable assistance and directives toward the
accomplishment of this research work.
Finally, to all who collaborated in one way or the other, towards making this
project work a reality especially the typist for her painstakingly typeset, I say,
thank you all.
                                     ABSTRACT
This study investigated the relevance of packaging in marketing activities of retail
institutions in Imo Sate, thus some problems associated with packaging were
emanated also the objective which the study tries to achieve was also noted, further
more, the studs received some theoretical framework of past scholars and authors
in the view of enlightening the subject matter. Moreover, the study the adopted
quasi- experimental research design, due to the descriptive nature of the study, the
population of the stud’, comprises of management and staff of the retail institutions
under investigation which was 23 in number and also some of their loyal
customers, the sampling techniques was based on judgmental procedure because
the research assumed that he can cover the sampling unit effectively, questionnaire
used to coiled relevant data for analysis and also the validation of the research
instrument was ensured. The study recorded the following findings, that there is a
significant relationship between packaging and profit growth. Also packaging
contributes to sales growth, finally packaging was noted to have a significant
contribution to customers desires to buy product. Based on these findings, the
study preferred the following recommendations: that retail institution should look a
packaging as a silent salesman that sales the produce and the firms. Hence, ensure
good packaging goods an made available for customers. Also, packaging an
assessment attention by retail institutions.
TABLE OF CONTENT
Title page - -
Certification page
Dedication -
Acknowledg ment
Abstract - -
Table of contents
CHAPTER ONE
Introduction -
1.1 Background of
Statement of problem
Objective of the study
Research questions -
Sign ificance of the study
Scope of the study -
Limitation of the study
the study
1.8 Operationel definition of terms-
References - - - -
CHAPTER TWO
Literature review - - - -
2.1 Introduction - - - -
2.2 Overview of packaging - -
Packaging has some functions - - - 20
Marketing executives must consider - - 24
Factors to consider in packaging development 25
2.6 Packaging policies and strategies - 26
2.7 Types of packaging materials - -
Reference - - - - -
CHAPTER THREE
3.0 Research methodology - - -
3.1 Research Design - - - - -
3.2 Population of the study - - -
3.3 Sampling procedure and technique-
3.4 Data collection method - - -
3.5 Questionnaire design and administration -
3.6 validation of research instrument -
3.7 Description of data analysis tools -
References - - -
CHAPTER FOUR
4.0 Presentation and interpretation of
4.1 Presentation and analysis of data-
4.2 Data Analysis - - - -
4.3 Discussion of findings- - -
CHAPTER FIVE
5O Summary of findings, Conclusion
and Recommendation - - - - 44
5.1 Restatement of problem - - - 44
5.2 Summary of findings - - - 44
5.3 Conclusion - - - - - - 46
5.4 Implication of the study - - - - 47
5.5 Recommendations - - - - - 48
5.6 Bibliography - - - - - 49
Appendices - - - - - - 51
                                 CHAPTER ONE
                                INTRODUCTION
1.1 BACKGROUND OF THIE STUDY
Traditionally, in the past packaging is seen as a simple wrapper for a product.
Companies consider more the protective function of the packaging than other
functions. In the past most packaging is normally designed in a block form or
rectangular or square shapes. The colours for the packaging are not choosing for
attraction or promotional functions.
Modern marketers see packaging as the series of activities involved in providing a
wrapper for a product. Busch and Houston (1985) defined packaging as the
contained or wrapper for the product item. New developments in packaging,
occurring rapidly and in ht seemingly endless flow, require management’s constant
attention to packaging design. We see new packaging materials replacing the
traditional ones, new shapes and sizes, new closures, and other new features
(measured portions, metered flow). All these make for increased convenience for
consumers and additional selling points for marketers. Stanton W. J. (sixth
edition). The level of technological advancement today has given room for
management of firms to give reasons for considering package innovations in other
to combat a decrease in sales and to expand the market a share of companies and
institutions. Today marketing is seen as a strong competitive force in the struggle
for market share. It is not a simple task for manufacturers to get their products
placed side by side with either product in inclined to producers who have used past
studies revealed that packaging performs the following functions:
• It enables prospects to differentiate one product from another.
It enhances self service in retail outlets
• It protects the materials form dust and contamination
• Restrain them from undesirable movement in the container.
• It enhances product advertisement.
• It makes the product clean and convenient for ca rn age.
• It provides instruction so that the food is used correctly and has sales appeal.
1.2 STATEMENT OF THE PROBLEM
Recent findings on packaging are mostly based on big companies and foreign
companies. In our country today a lot of multinational companies have established
their marketing networks, since they are big companies with well designed,
effective packages for their product, the small scale business in our country is
suffering from the competitive advantage the bigger firms has over them.
So I feel that is needed to study the relevance of packaging to the marketing
objectives of retail institutions. Small business should find out the packaging that
can appeal to their prospects or target market. They should consider the variables
that make effective package for a product. For instance, variable like colour,
shapes, information that facilitates promotions the quality of the material used for
the package should be considered when designing a package or when retailers are
buying company’s products for resell.
1.3 OBJECTIVES OF THE STUDY
The purpose of this study is to work into the importance of packaging to the
marketing objectives of retail institution in Imo Sate, and Nigeria at large.
Some of these objectives are:
- The colour of the package determines the rejection and acceptance of a product.
An attractive colour aids advertising because it will go a long way to attract and
arouse the interest of prospect to take decision to buy a product. A beautiful colour
on a package posses competitive advantage for the company or retail shop and can
also increase market share.
- To that a quality material for a package is by consumers as revealing the quality
of the content in a package.
— To show that the shape of a product gives meaning to consumers concerning a
product, small businesses and retailers should design and choose packages that has
no negative meaning, for instance, different colours and shapes gives either
negative or positive meaning to people’s culture.
1.4 RESEARCH QUESTIONS
o To what extent has packaging contributed in achieving the marketing objectives
of retail institutions?
o Do colours on a package have anything to do with the buying decision of
consumers?
o Can the quality of a package material convince the consumer of the quality of the
product content?
o Can a consumer read any meaning from the shape or the colour of a package?
o Do information written on a product packages attract a buyer to buy more?
o Do the size of the product package have anything to do with the sales growth of a
business?
o Can the variables inherent in a package attract sales and increase profit?
o The label as part of the product should have information that will help satisfy
both individuals and the firm or the business.
o Small business and retail outlets should learn to design and stock products that
has the right proportion to satisfy different needs. For instance, they should have
small size, medium sizes and big sizes. This is the reason for adopting packaging
policies like family branding, multiple branding etc.
o Small business should endeavour to design and choose packages that will go a
long way to increase market share, raise profit, and give a competitive advantage to
the business.
1.5 SIGNIFICANCE OF THE STUDY
The marketing significance of packaging has to be recognized by small business
and retail institutions in Imo State and Nigeria at large. The convenience,
protection and promotional functions of packaging must be bore in mind before
designing a package or buying a product form the company for reseH by retail
institutions marketers should see packaging as a competitive advantage in a market
environment.
They should know that packaging is a silent sales person in the retail shelf and
facilitates the activities of self service and automotive vending methods of selling
in retail institutions. Small businesses and retail institutions should know that
customers are ready to pay more dust to get a special package. They should
understand that some features of the package may serve as a sales appeal this study
ill positively effects expert’s readers and students on how to choose and deign a
package effectively.
1.6 SCOPE OF THE STUDY
The extent of coverage of this study is defined within the frame of the research
topic. As such the study will extensively examine the concept of packaging as it
affects the marketing objective of the retail industry in Imo State.
1.7 LIMITATION OF THE STUDY
For this study, the minor limitations encountered by the researcher in the course of
carrying out this research were time constrains, finance and locations of some
stores. Also, the major constraints encountered as well were non-responses error,
appropriateness of data analysis and uncompromising attitude of some
respondents.
1.8 OPERATIONAL DEFINITIONS OF TERMS
- Packaging: Packaging is a process of designing a popular wrapper, container or a
cover for a product.
- Marketing: This is the performance of business activities that direct the flow of
goods and services from producers to consumers.
- Effective Packaging: These refer to the use of the right material right colours
and the right label with the right information or package.
- Competitive Force: This refers to any activities in marketing operations that can
give an organization a competitive advantage.
- Market Share: Is the proportion of consumers or buyers and organization is able
and ready to satisfy at a particular point in time.
- Retail Institutions: These are the middlemen that sell directly to consumers.
- Legal Phrase: This is a phrase that is written on a package that is backed by
business law.
                                CHAPTER TWO
2.1 LITERATURE REVIEW INTRODUCTION
In order to provide an enlightening background for the project work, the writer
searched extensively for the contribution of many authors on related topics to, the
same field of study. Packaging traditionally is consciences as a protective device,
marketers and contemporary writers sees packaging as a promotional tool.
2.2 OVERVIEW OF PACKAGING
Stanton W.J. (1981), he sees packaging as a general group of activities in product
planning that involves designing and producing a wrapper for a product. Hence
package should be able to induce buying and subsequently lead to an increase in
sales and also satisfy the need at consumers profitably. He also said that the
utilitarian reason for packagincj a product is to protect i on its route from rhe
manufacturer to the final consumer thereby preventing it from evaporation, spilling
and spoilage.
Marketing he said also helps an organization to implement its marketing
programme and in differentiating a company’s product from that of its competitors.
According to him, at the point of purchase the package serves as a silent sales
person. Good packaging is expected to communicate the products brand,
ingredient, method of usage and legal phrase. The package of a product is usually
important as a marketing tool for advertisement.
In introducing new product into the market, packaging assumes additional
importance in creating awareness for the product. The package it well designed can
persuade consumers to try the new product and convince them of the quality and
suitability of the product. He sees packaging as having the quality of attraction in
such way that can make customers to pay more just to get the special package.
Frank (1985) observed that a good package apart from protecting the product
contributes to good display and advertising purpose. The package can provide
symbols that communicate instantly with the buyer. This symbols both verbal and
non verbal can appeal to rational and emotional motives of buyers packaging is an
important motivating force, its importance has compelled many markets or
marketing managers to call it (packaging) the fifth “P” of marketing.
According to Adediran (1982), the package can be made to shout for attention in
the shelf of supermarket and the soft sell approach for specially shops. He also said
that a well designed package can appeals to the intended mind. According to Philip
Kottle (1998) he defined packaging as the activities of designing and product to
save it from damage or spoilage. On the other hand he sees it as a potent marketing
tool. He made us to understand that we/I designed packaging can create
convenience value for the consumer and promotional value for the product. He also
observed that various factors account for the growing recognition of packaging as
an independent and potent selling tool. Such factors include: Self service
increasing number of products are sold on a self service basis as a result of the
growth of supermarkets and discount houses. The package periorms many of the
selling task. It must attract attention, describe the product features, given the
consumer confidence and make it a favourable overall impression.
The rise in consumer affluence has made consumers willing to pay a little for the
convince, appearance, dependability and prestigious better package. He also
understood that companies are reorganizing the power of a well developed package
to contribute to the in start consumer recognition of the company’s and brand.
There is hardly a firms buyer who does not immediately peak milk as an example
innovation packaging can bring about large scale gain for instance the first
company to move into pop top cans and acrosable can attract many brand
switchers.
In the work N.G. Nwokoye (1984) the basic functions of the package is to protect
the product hence it must be durable for easy handling during distribution. He went
further to add that packaging fulfill important functions in a product. He
maintained that it should be aesthetically pleasing and distinctive enough to
standout when placed side by side with competing brands on the retail shelf. In
addition he observed that some product classes, such as cosmetics packaging and
brand naming are major items of promotional strategies.
According to Gils (1974) he said that package of a product must be easy to arrange
on shelves or racks and at the same time should attract the potential customers. He
stressed that when buying depend on shapes or colour it may be the major means
of creating product preference. For instant vigimilk has different colours and
different flavours and it is the basis for buyers preferences. Wright, Warner,
Wristler as an important part of consumer acceptance and therefore, vital to the
marketing success of consumer products.
In addition they also said that products are often judged by the package e.g.
perfumed or body s[ray. In the real sense the package is the product. Research has
revealed that a well functional package often remains in the shelf of the seller. As
regards t this, it has been confirmed that eye catching bright colour packaging
adorning the display space of the shop and stores promotes sales at a set speed.
No wonder Fulmer (1976) said that packaging is an important factor for the simple
reason that the consumer do not hke to make decisions especially decisions that has
been made before or once. If advertising and catching product name can help
convince buyers to make first trial purchase and the quality level ranges from non
offensive to satisfactorily, and the price is attractive, then the natural inertia of
consumer’s laziness will make the brand a repeat seller.
In furtherance, he observed that there are psychological differences in products
packed in different colours. He added that colours can warm people up, excite
them and even stimulate their thinking.
According to Peter Chrisnal (1975: P. 190) he said that a bag is not merely a handy
container for a product. It also contributes to the personality and influences
acceptability of the product of many types. He added that packaging is not an
indispensable part of the product mix of some products like cosmetics.
2.3 PACKAGING HAS SOME FUNCTIONS THAT IS BEYOND THE
TRADITIONAL PROTECTION AND SOMETIMES ECONOMY
The package of a product adds glamour and excitement to product e.g. lipsticks,
face powder etc. gives psychological satisfaction. He also added that with the
modern method of distribution, many products have to “sell themselves” when in
self service stores. Hence the package design and labeling can help shopper to
identify the brand among competing brands.
In addition he gave four useful guidelines in designing packaging attention.
Four Guidelines in Designing a Package
a. Arrest the shopper’s attention.
b. Arouse interest.
c. Readily impark the brand and suggest the nature of the product.
d. Invite action via purchase.
The goal of many firms according to the author is to form a pattern of shape and
colour for product which may be effective in attracting the attention of the shopper,
therefore, the design of any packaging should be capable of drawing attention of
any buyer. Features of a design should give mass display strong visual appeal.
In the contribution of AJ. Okafor (1989) said that two traditional function of
protection and economy has been joined by a third and fourth conveniences and
promotional functions. He added that the various factors of packaging as an
independent and potent selling
   1) Tool.
   2) Self service.
   3) Consumer affluence
   4) Innovation opportunity
Self Service: An increasing number of products are sold on a self service basis as a
result of the growth of supermarkets and discount houses. The package of a
product must now perform many of the sales tasks.
• It must attract attention, describe the product features, give the consumer
confidence, and make a favourable overall impression in the mind of the buyers.
Consumer Affluence: The rise in consumer affluence has meant that consumers are
willing to pay a little more for the convenience appearance dependable and
prestige of better packaging.
Innovational Opportunity: Innovational packaging can bring about large scale
sales gains. The first company to move into pop top, cans and Gerosol can attract
many brand switches.
Good design of package should be able to attract buyers or shoppers attention. If
there are three or more brands are placed side by side in the sample retail shelf, the
attention of most buyers is drawn to the best designed package. Therefore a
marketer or the marketing manager has to confront the issue of packaging in such
way as to achieve this goal.
MARKETING EXECUTIVE MUST CONSIDER MANY FACTORS AS
THEY DEVELOP PACKAGE AND THESE FACTORS ARE:
1. Cost: Some packaging materials processes and design are expensive.
2. Multiple Packaging: Multiple packaging is likely to increase demand available
in the point of consumption; however, it is appropriate for infrequently use
products since buyers do not like their money or store product for a long time.
3. Fairly Packaging: To promote an overall company image firm may decide that
all packages are 1:0 be similar.
4. Promotional Role: A package should be able to attract customer’s attention and
encourage them to examine the product. This can be achieved through the use of
verbal and non verbal symbols to inform potential buyers about the products
content features, uses, advantages and hazards.
5. More over desirable images can be created by the use of good colour design,
shapes and feature. He made special references to cosmetics by saying that many
cosmetics manufacturers design their product packages to create impression of
richness, luxury and exclusiveness. Hence a package may perform a promotional
function when it is designed to be safer or more convenient to use, such
characteristics helps stimulate demand.
2.6 PACKAGING POLICIES AND STRATEGIES
Packaging policies are concerned with the formulation determination and
identification of the will and purpose of the e packaging department of an
organization while strategies fundamental packaging logic in which a company
intend to achieve its packaging objectives or goal. The ultimate goal of a firms
packaging policies in strategies include increasing sales, reducing product cost,
attracting more users, stimulating repeat purchase correcting a poor features in the
existing package.
Changing the packaging
In general there are two purposes for considering a change in package to expand a
market by attracting new group of customers to combat a decrease in sales, the
question is whether changing a package will create an impact on the sales volume
of the product. The trend today is to change the package and it is gaining
momentum.
More especially, changing a package may be intended to correct poor features in
the existing package or alternative the company may want to take advantage of
new materials. Some companies change their package may show up well on an
advertisement.
Re-use packaging
Should a company change and promote a package original contents have been
consumed. Most of the package of products are attractive and often double or
revisable containers such as mugs or soft and pepper shaker. Many containers have
become collection item. Re-use packaging also should stimulate repeat machine set
of containers.
                                CHAPTER THREE
                         RESEARCH METHODOLOGY
INTRODUCTION
Research methodology is a frame work that provides the steps and strategies to be
used in a research study. Thus for the purpose of this study, this chapter will
explain in details the research design used and why, the population of the study,
sampling procedures, method of data collection, questionnaire design and as well
as the description of data analysis.
3.1 RESEARCH DESIGN
Research design according to Ezirim (2004) is a blue print that guides a research in
the process of carrying out a finding. Hence, there are two types of research design
namely, experimental and quasiexperimental research design. The former consists
of empirical laboratory procedure / method of collecting data, while the later
consists of field survey / non empirical method, thus for this study; the quasi-
experimental design was adopted based on the human activities involved.
3.2 POPULATION OF THE STUDY
The population of this study consists of the management and staff of the firms
under investigations, as well as their customers they are presented thus:
Table 1
Due to the fact that, all the population are relevant for the study, the whole
population was adopted for sampling. Hence, they are 23 in number.
3.3 SAMPLING PROCEDURES
Since the sampling unit is not too large and the research can effectively reach out
to them, the whole number that made up the population was adopted as sample for
the study. Also on this basis were questionnaire distributed to the firms under
investigations. Consequently, since the research does not know who the loyal
customers are, he gave out 20 questionnaires each to their loyal customers in all
100 questionnaires was given out unbehaf of the customers.