A STUDY ON THE EFFECT OF PACKAGING ON CONSUMER BUYING HABITS

A STUDY ON THE EFFECT OF PACKAGING ON CONSUMER BUYING HABITS

(A case study of Paterson Zouchonis (PZ) Cussons Nigeria Plc. Abuja)

ABSTRACT

This research work sought to identify the reaction of consumers towards a well-designed packaged product. The researcher highlighted the facts associated with the objectives of this study. The introductory part discussed the statement of problems that affects designing packages, the effect of new changes in the package design and also to know the impact of technology in packaging. The research instrument used for data collection was mainly questionnaires, personal interviews and personal observations. The needed data were collected from staff and customers of Paterson Zouchonis (PZ) Cussons Nigeria Plc, Abuja. Also talk about the data presentation and how it was analyzed, the method of testing the hypothesis and the finding of the research that package should be designed in such a way to motivate and convey the intended message about the product which can be a promotional tool in enticing consumers to purchase product and also enhance decision making of an organization.

CHAPTER ONE: INTRODUCTION

1.0     BACKGROUND OF THE STUDY

The world as it is now is full of changes and we are living in an era of rapid changes, they are changed in all works of life, the well-being of the population has changed drastically, our beliefs, values, culture, technology have also undergone some form of changes as well. There are more indications to show that these changes will continue to take place in future and even in a faster rate.

The behavior of the consumer also changes in line with the modern change of the world and as such there is need for producer to drastically change in line with consumer taste and fashion in other not to be pushed out of the market and to meet with consumer demands at all levels.

In other for manufacturers and marketers to meet the demand of the consumers and also compete favorable with competitors, they have to take into consideration the controllable variables, which are the marketing mix that are within the control of the market and the marketing mix modification is quite appreciable, nevertheless, more attention should also be laid on packaging which is quite part of the consumer   product and also the first to appeal to the eyes of the consumers before the real product.

Packaging is extra marketing activities that demand variable consideration and allocation of funds as well as long time innovation/ideas. Packaging handles the designing of packs of a product which in recent times is considered as market techniques and packaging of a product have the ability to capture the eye and mind of consumers at sight before even the product in question.

Packaging is a dynamic, complex and controversial business area. The dynamism of packaging is opting to produce corresponding change in production and marketing system. Packaging can be thought of producing three basic functions: as protection, containment and also a competitive tool against competitors, as a result the behavior of consumers towards attractive packs should be checked and corrections made immediately. Packaging was not always thought of in this way; it was only recently that it has been used as extended marketing tool of an organization.

Packaging and expenditures remain valid for a long time providing the pack receives a wide acceptance by being so attractive to the consumers, unlike advertising which is constantly paid for in any chance booked. Packaging is a silent salesman of any company’s goods. The complexity of modern marketing with emphasis on self- service place a tremendous responsibility on packaging and it is achieving the target result to the companies that understand its fall potentials and problems and equally use it properly.

If precisely the role of packaging in marketing is understood by the management, then there will be effective decision of funds allocated to packaging with just little advertisement to introduce the product to the market and allowing the packaging of the product to sell the product. To some organization, since the packaging of the product influences consumer behavior, there should be continuous change of pack to suit the consumer’s requirement and also packs should be made to look more attractive to consumers at all time.

PZ Cussons Nigeria Plc. engaged in the manufacturing and marketing of wide range of product such as detergents, soaps, pharmaceuticals, toiletries, cosmetics, medicament, hair care, baby care, skin care, perfumes, confectionaries, electrical goods and nutritional product, with its headquarters located at town planning way Illupeju, Ikeja Lagos and their manufacturing unit in Illupeju, Ikorodu and Aba.  The company sells its products under the following brands:

Detergents: Elephant, Jet, Morning Fresh Temp, Zip

Soap: Duck, Canoe, Premier Antiseptic, Drum, Imperial leather,                         Camel and Joy Soap.

Hair Care: Venus Hair Food Dress, Venus Hair Styling, Venus Hair

Shampoo and Conditioner, Venus Hair Treatment, Venus Hairnolye Relaxer, Venus Hairlye Fortify

Baby Care: Nigeria Baby Care, Cussons Baby Range, Cussons Powder and Pears Baby Oil.

Confectionaries:  Minta, Superminta, Cough Sweets, Flourish, Mint Fresh.

Skin Care:  Venus, Venus Lotion, Stella Pomade, Joy, and Carex.

Perfumes:  Joy Colognes, Dan Duala, Venus Perfume Gold.

Pharmaceuticals:  Super Atlas, Maladrin, Zubes.

The major concern of this project work will be on premier antiseptic, which is a new product that was introduced into the market to compete with other antiseptic soaps in the market. The packaging was the first to sell before the product because the pack was very attractive to the eyes. 

1.1    STATEMENT OF THE PROBLEM

It is believed that an effective product package entails the acceptability by customers and constitutes one of the determinants of consumers buying habits. However, a large share of the company’s sales has dropped as a result of consumer’s low patronage and poor product packaging which made the product unattractive to consumers.

A primary complain by consumers is that certain product are not well packed (citing Zip 10kg detergent bags to be none water resistant). They complain that the company’s system for handling materials during supply also reduce value of certain products packaging as well as some product possessing unattractive treatment compared to competitors brands. Thus there is need to examine this situation critically in providing an improved product that will appeal to its large customers.

1.2     OBJECTIVE OF THE STUDY

The main objective of this study is:

1. To critically access or examine the effectiveness of packaging on consumers buying habit.
2. To determine whether the company‘s image is being projected through its packaging policy.
3. To find out the impact of change in the package of a product.

1.3     RESEARCH QUESTIONS

1. How can the company access or examine the effectiveness of packaging on consumers buying habit?
2. How can the company’s image be projected through its packaging policy?
3. What is the impact of change in the package of a product?

1.4     STATEMENT OF HYPOTHESIS

A hypothesis is a statement of fact that has been empirically tested. It is also a tentative statement that must be tested if tested will lead to either acceptance or rejection of the null hypothesis. It can also be seen as the relationship that existed between two variables used to understand a problem of study.

In this research the following hypothesis statement will be used, the alternative hypothesis statement will be used, the alternative hypothesis and null hypothesis.

Hypothesis 1

H: Product package has no influence on consumer buying habits.

H1: product package has influence on consumer buying habit

Hypothesis 2

Ho: packaging has no effect on consumers buying habits

H1: packaging has no effect on consumers buying habit

1.5     SIGNIFICANCE OF THE STUDY

This research work is a wide area of study considering the segmented consumers and their behaviors shown to different types of products.

1.6SCOPE OF THE STUDY

The research work is restricted to the packaging of consumer’s product only using De-United foods Limited, Abuja.The researcher choose premier antiseptic as a product to be used for the study. So any product outside this, even though good to study will be cut of the scope of the study.

1.7  LIMITATION OF THE STUDY

Generally speaking all areas of human endeavor are characterized by some limiting factors. The successful completion of this work might be faced with the following limitation: time and cost could be major limiting factors, the limited time that was used to carry out this research work. That is the duration of four months mixed with academic studies might not provide room for accuracy and reliability of results. One has to make return visits to respondents before getting the questionnaire answered, which will involve increased transportation costs.

The small amount of sample taken also is a limiting factor in this research work because large sample leads to more reliability and ensure sound validity of the result.

1.8     OPERATIONALDEFINITION OF KEY TERMS

1. Packaging: This is the general group of activities in planning that involves designing and producing the container or wrapper for the products.
2. Package: This is the product container that is designed to hold a product and appear in different style and sizes. Examples are drum, cartoons, and buckets.
3. Labeling: This is simply an integral part of packaging, whether the label is a separate element attach to the package or part of the container it serves to identify a brand. That is part of package and can carry the brand name and the information about the product or package content.
4. Competition: Simply means people or firms competing with each other to gain a fair share of the market or an event.
5. Promotional mix: This can be defined as a specific combination of promotional methods used for one product or a line of products. Elements of promotional mix may include print or broadcast advertising, direct marketing, personal selling, and point of purchase display and/or merchandizing.
6. Promotion: The co-ordination of all seller initiated effort to set-up channels of information and persuasion to facilitate the sales of goods and services.
7. Consumer behavior: Is the study of when, why, how and where people do not buy a product. It also deal with the various stages a consumer goes through before purchasing a product or services for his end use.