PACKAGING AND CONSUMER BUYING CHOICE OF SELECTED CONSUMER GOODS IN PORT HARCOURT

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Abstract

The study examines the relationship between packaging and consumer buying choice of selected consumer goods in Port Harcourt. The survey design was employed. The population of this study constitute all distributors of Oral B Toothpaste, 7up, Closeup Toothpaste and Indomie Instant Noodles which was unknown. The judgmental sampling technique which is a non-probability sampling technique was used for selecting the sample size. The sample size of this study is judgmental sample of 60 respondents. In this study both the primary and secondary data were used. Questionnaire on product packaging and consumer buying choice of selected consumer goods in Port Harcourt was used and administered for the collection of data from the respondents. The data collected were processed electronically using Statistical Packages for Social Sciences (SPSS Version 22). The statistical test used in the testing of the hypotheses was Pearson Product Moment Correlation Coefficient. The study found a significant relationship between packaging colour, packaging material and packaging font style and consumer buying choice of selected consumer goods in Port Harcourt. Based on the findings of the study, we recommended that consumer goods manufacturing firms should focus much of their attention on Colour and Labelling of their products so that their market share can be increase, because colour and label call the attention of market people, it is recommended that the organization should not relent in its packaging material efforts as these have been found to be very useful in attracting customers for purchase trials and organizations should pay attention to the font style used. The font style used on the label and its value has to be highlighted while promoting the product in the market and must also be more useful technically.

Table of Contents

Cover Page ii

Declaration iii

Certification         iv

Dedication  v

Acknowledgement         vi

Abstract      vii

Table of Contents viii

List of Tables       x

List of Figures      xi

CHAPTER 1        1

INTRODUCTION         1

1.1 Background of the Study  1

1.2 Statement of the Problem  3

1.3 Purpose of the Study         4

1.4 Research Questions 5

1.5 Research Hypotheses        5

1.6 Significance of the Study   5

1.7 Scope of the Study  6

1.8 Limitation of the Study     7

1.9 Definition of Terms 7

CHAPTER 2        8

REVIEW OF RELATED LITERATURES 8

2.1 Conceptual Review  8

2.1.1 Concept of Packaging     8

2.1.2 Dimensions of Product packaging     10

2.1.3 Consumer Buying Choice        14

2.1.4 Measures of Consumer buying Choice        16

2.1.5 Packaging and Consumer Buying Choice    18

2.2 Theoretical Frameworks    19

2.2.1 Consumer buying behaviour (Alfred Marshall, 1994).   19

2.3 Review of Related Empirical Studies    20

2.4 Summary of Review of Related Literature     22

CHAPTER 3        24

RESEARCH METHODOLOGY      24

3.1 Research Design:     24

3.2 Population of the Study    24

3.3 Sampling Techniques Used         24

3.4 Sample Size    24

3.5 Sources of Data       25

3.5.1 Primary Source (s) of Data      25

3.5.2 Secondary Sources of Data      25

3.6 Research Instrument for Data Collection       25

3.7 Validity and Reliability of Instrument  26

3.8 Techniques for Data Analysis/Test of Hypotheses  27

CHAPTER 4        28

DATA PRESENTATION AND ANALYSIS       28

4.1 Questionnaire Distribution and Retrieval       28

4.2 Data Analysis and Presentation  29

4.4 Hypotheses Testing 33

4.5 Discussion of Findings      35

CHAPTER 5        37

SUMMARY, CONCLUSION AND RECOMMENDATIONS         37

5.1 Summary       37

5.2 Conclusion     37

5.3 Recommendations   38

References  39

Appendix I 44

Appendix II          45

Questionnaire       45

List of Tables

Table 4.1: Questionnaire Administration and Retrieval 28

Table 4.2: Age      29

Table 4.3: Sex      29

Table 4.4: Academic Qualification    30

Table 4.5: Packaging colours and Consumer Buying Choice  30

Table 4.6: 2.Packaging Material and Consumer Buying Choice       31

Table 4.7: 3.Packaging font Style and Consumer Buying Choice     32

List of Figures

Fig. 1.2: A Conceptual Framework showing the relationship between Product Differentiation and Sales Performance   8

CHAPTER 1

INTRODUCTION

1.1 Background of the Study

In modern marketing, the study of consumer buying behaviour helps the manufacturers to know what to provide and also the marketer whom to sell the products to. Consumer buying choice is the assessment processes and acts of customers involved in buying and using goods or services. Consumer buying choice enables them segment the market and serve it satisfactorily and profitable. Marketers or organization must appreciate the importance of studying the behaviour of consumers in its target market, asserting that this may enable them to reasonably predict the consumer’s purchasing power.

Consumer buying behaviour thinks about studying individuals, groups or organization and every one the activities related to purchase, use and disposal of products and services, including the consumer’s emotional, mental and behavioural response that precede or follows these activities. Consumer behaviour includes all those activities or decisions through which a consumer passes for obtaining, consuming and taking away products and services (Shamsi, 2018).

It is important that each marketer must have relatively complete knowledge about the patron behavior normally. Consumer buying behavior is often influenced by a leading brand. This value is created by generating demand (via repurchases) and securing of future earnings for the organization (Sullivan & Oliveira, 2003).

Packaging today has grown in importance in the face of stiff competition clamouring for the consumer’s attention. This is buttressed by Underwood, Klein and Burke (2001) who said packaging is also utilized as a marketing tool to get the consumer’s attention, to promote and convey messages about the products attributes to consumers whilst still on the shelf or at the point of sales. Packaging is considered as the fifth ‘p’ of marketing after product, price, promotion and place (Ladipo and Rahim, 2013) and as the fifth ‘p’ of marketing. Kotler (2000) cited in Nayyar (2012) defined packaging as the activities of designing and producing the container or wrapper for a product. This means that companies must monitor and change product packaging on a regular basis to ensure its continuous and increasing appeal to target audiences (Ladipo & Rahim, 2013). Packaging has developed into one of the most sophisticated, holistic and influential examples for those who design it and for those people who are considered intermediates for selling products from manufacturers to the end consumers (Nayyar, 2012). Packaging of a product is therefore, an important issue in the growing use of packaging as a marketing tool for self-service, since 73% of products are sold on a self-service bases at the point of sale (Silayoi & Speece, 2004). Packaging plays a major role when products are purchased; after all, it is the first thing seen before making purchase choices (Kamaladevi, 2010; Galdeano, Ahmed, Fati,  Rehan, & Ahmed, (2019). There is huge competition in the business world, both locally and globally, and businesses are competing with other businesses for consumers. Organizations now engage in good packaging and repackaging of their product making it difficult for consumers to make choices among different competing product. This business world is changing also. As trends change, the desires of the consumers are changing as well. Product packaging in general is intended to protect the product but as at now, it is also intended to increase sales.

According to Ladipo & Rahim, (2013) package attracts consumer’s attention to particular brands, enhances its image, and influences consumer’s perceptions about products, thus packaging a certain product based on your consumer needs, the producer can use labeling or image description to arouse the interest of the consumer to purchase that product, when the consumer is moved by the image or label used to package the product he or she desires or makes a purchase for that product that is needed. A lot of firms in the industry have embarked on one strategy or the other in order to gain more market share for their products. In an attempt to get more customers to purchase their products, companies have engaged in different innovations so as to make their product compete with that of competitors, the packaging form is one way to gain consumer notice (Oladele, 2012). Best (2002), opined that attractive packaging creates value by helping consumer decision process, which mean that Attractive packaging calls for repeated patronage from consumers, which enable the firm to generate profit. Scot (2008) stated that attractive packaging can attract customers to try product at first sight.

1.2 Statement of the Problem

Now, packaging has become itself a sales promotion tool for the organizations. The consumer’s patronage also is stimulated by the packaging quality, color, wrapper, and other characteristics of packaging. Packaging is a whole package that becomes an ultimate selling proposition, which stimulates impulse buying behavior. Packaging increases sales and market share and reduces market and promotional costs. According to Rundh (2005) package appeals consumer’s attentiveness towards a certain brand, increases its image, and stimulates consumer’s perceptions about product.

Furthermore, packaging conveys distinctive value to products (Silayoi, & Speece, 2007), packaging works as an instrument for differentiation, and helps consumers to decide the product from wide range of parallel products, packaging also stimulates customer’s buying behavior (Wells, Farley & Armstrong, 2007).

Previous researches show that there is no agreement on overall classification of packaging material and package elements. There is also disagreement regarding the methods of packaging impact on consumer’s patronage. In order to increase sales and improve competitive advantage, these companies have been using various products packaging mix (Oladele, 2012). However, factors have been identified in literature to contribute to the frequent review of products packaging so as to be in tune with the changing society (Rundh, 2005). Nevertheless, each packaging tools has advantages and disadvantages, therefore it is expedient for every organization to continue to review their packaging techniques (Nayyar, 2012). Hence, the study seeks to examine the relationship between product packaging and consumer buying choice of selected consumer goods in Port Harcourt.

1.3 Purpose of the Study

The main purpose of the study is to examine the relationship between product packaging and consumer buying choice of selected consumer goods in Port Harcourt. The specific objectives were as follows;

1.       To examine the relationship between packaging colour and consumer buying choice of selected consumer goods in Port Harcourt.

2.       To examine the relationship between packaging material and consumer buying choice of selected consumer goods in Port Harcourt.

3.       To examine the relationship between font style and consumer buying choice of selected consumer goods in Port Harcourt.

1.4 Research Questions

1.       How does packaging colour associate with consumer buying choice of selected consumer goods in Port Harcourt?

2.       How does packaging material associate with consumer buying choice of selected consumer goods in Port Harcourt?

3.       How does font style associate with consumer buying choice of selected consumer goods in Port Harcourt?

1.5 Research Hypotheses

The following hypotheses were postulated to guide the study

H01: There is no significant relationship between packaging colour and consumer buying choice of selected consumer goods in Port Harcourt.

H02: There is no significant relationship between packaging material and consumer buying choice of selected consumer goods in Port Harcourt.

H03: There is no significant relationship between font style and consumer buying choice of selected consumer goods in Port Harcourt.

1.6 Significance of the Study

Packaging is often the only promotional material available at the point of purchases which inform remind and also stimulate the buyers. Lack of adequate packaging is a concern for cosmetics products in Nigeria. Specifically, the finding of this study is expected to benefit the following stakeholders; to the government, the study would provide greater insight into the relationship between packaging, consumer behavior and patronage of cosmetic products. This may aid in formation of policies and regulation that can help improve Sales Volume, profitability and market shares and by extension increase job creation. Companies may benefit from the study as they could better understand the underlying product packaging activities influencing consumer behavior of companies and they may be better placed to deal with hurdles that impede successful packaging performance. Based on these observations, this study may perhaps propose some future directors in order to make Nigeria companies competitive with world class best strategies. The study could also benefit the academic community as it may contribute to the increasing body of literature on product packaging.

1.7 Scope of the Study

The study is delimited under the following heading: content scope, geographical scope and unit of analysis.

Content Scope: The content scope of this study involves an investigation to ascertain the relationship between product packaging and consumer buying choice of selected consumer goods in Port Harcourt. The dependent variable is consumer buying choice, measured by beliefs, motives and life style. While independent variable is product packaging measured by packaging colour, packaging materials and font styles.

Geographical Scope: This study is delimited to Port Harcourt Metropolis with reference to selected consumer goods in Port Harcourt which include Oral B Toothpaste, 7up, Closeup Toothpaste and Indomie Instant Noodles.

Unit of Analysis: The unit of analysis in this research involves distributors of the selected consumer goods and their customers at the time of the study.

1.8 Limitation of the Study

In course of carrying out this research, the researcher met with a lot of constraints. Among these constraints were: The time frame which this research was expected to be completed which was too short.

Secondly, the cost in carrying out this research work which acted as a barrier and the researcher was not financially buoyant to cope with all the cost.

Finally, assembling the relevant materials needed for this work was a problem. It was difficult due to the fact that some of the respondents were not willing to give us the required coorperation.

1.9 Definition of Terms

Packaging: The container or wrapper that holds a product or group of products.

Marketing: The activity of presenting, advertising and selling a company’s products in the best possible way.

Consumer: The buyer of goods and services.

Products: Anything tangible or intangible that can be offered to the market for attention, acquisition and consumption.

Branding: This process involves creating a unique name and image for a product in a consumer’s mind.

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