the role of branding in consumer decision making

THE ROLE OF BRANDING IN CONSUMER DECISION MAKING:

(A CASE STUDY OF CADBURY NIGERIA PLC)

BY

SALAUDEEN, ISHOLA JAMIU MATRIC NO: 06/66MC208

A RESEARCH PROJECT SUBMITTED TO THE DEPARTMENT OF BUSINESS ADMINISTRATION, FACULTY OF BUSINESS AND SOCIAL SCIENCES, UNIVERSITY OF ILORIN, KWARA STATE

IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD OF BACHELOR OF SCIENCE DEGREE IN BUSINESS

ADMINISTRATION

JUNE, 2010

CERTIFICATION

This research work entitled “The role of branding in consumer

decision making, a case study of Cadbury Nigeria Plc, has been

read and approved as meeting the requirement of the department of

business administration university of Ilorin for the award of B.Sc

(Hons).

……………………………… ……………………..

Mr. I. B. KADIRI Date

Project Supervisor

……………………………… ……………………..

Dr. (MRS) S. L. ADEYEMI Date

Head of Department

……………………………… ……………………..

PROF. A. F. ADEDAYO Date

Dean of Faculty

……………………………… ……………………..

External Examiner Date

ii

DEDICATION

This project is dedicated to Almighty Allah for making it

possible for me to come for this first degree programme (i.e. BSc)

despite all obstacles and to my noble mother MISS SALAUDEEN

SIKIRAT. Who have supported both financially and morally in

always.

iii

ACKNOWLEDGEMENTS

I give every thanks and glory to Almighty Allah for given me

the opportunity to scale through the programme without any hitch.

No human endeavour can succeed without love, support and

encouragement from certain people.

To my beloved mother Mrs. Salaudeen Sikirat you are

wonderful to the parent, i say thank you mum. My gratitude to my

supervisor Mr. I. B. KADRI, who has taken his time to read through

my roughly written scripts and made useful suggestions and

corrections that have led to the production of this work.

No statement of indebtedness would be complete without

paying tribute to my father Alhaj Nasir Salaudeen and my uncle Mr.

Ralph Bello,

I highly value the goodwill, help and cooperation of Mr.

Muhammed Malik (Baba), Mr Salau olabode, Mr. Bakare Abdullahi

and my course mates, Mustapha Ibrahim, Gbadegenshin Wasiu,

Salau Omotayo, Rasheed Olukosi, and others.

iv

Finally, my thanks goes to all who have assisted me both

morally, financially and spiritually to achieve this dream. God bless

you all (AMEN).

v

TABLE OF CONTENTS

PAGE

TITLE I

CERTIFICATION II

DEDICATION III

ACKNOWLEDGEMENTS IV

TABLE OF CONTENTS VI

CHAPTER ONE

1.1 Introduction 1

1.2 Objective of the Study 6

1.3 Scope of the Study 6

1.4 Research Question 7

1.5 Research Hypothesis 7

1.6 Statement of Research Problem 8

1.7 Limitation of the Study 9

1.8 Study Plan 9

vi

1.9 Definition of Terms 10

CHAPTER TWO

LITERATURE REVIEW

2.0 Literature of Review 12

2.1 Branding Decision 13

2.2 Manufacturer’s Brand 14

2.3 Consumer Behaviour 17

2.4 Consumer Buying Motives and Habit 18

2.5 Consumer Buying Decision Process 19

2.6 Reasons for Branding 23

2.6.1 To the Consumer 23

2.6.2 To the Marketer 24

2.7 Research for Consumer Behaviour 24

2.8 Promotional Strategies of Cadbury Nigeria PLC, Products 27

2.9 Advertising 29

2.10 Personal Selling 30

2.11 Brands as Consumer Protection 31

2.12 Defining Brand Expectation 34

vii

2.13 The Role of Brand Awareness 36

2.14 How Does Brand Awareness Benefit The marketing 37

CHAPTER THREE

RESEARCH METHOLOGY

3.0 Introduction 41

3.1 Research Design 41

3.2 Population of The Study 42

3.3 Sample And Sampling Technique 42

3.4 Research Instruction 43

3.5 Method of Data Analysis 44

3.6 Data Collection Procedure 46

3.7 Question Assumption 48

3.8 Validity 49

3.9 Reliability 50

3.10 Historical Background of Cadbury Nigeria Plc 51

CHAPTER FOUR

PRESENTATION AND ANALYSIS OF DATA

4.1 Introduction 53

viii

4.2 Data Presentation and Analysis 54

4.3 Hypothesis Testing 71

CHAPTER FIVE

SUMMARY, CONCLUSION AND RECOMMENDATIONS

5.0 Summary 74

5.1 Conclusion 75

5.2 Recommendation 76

References 78

Appendix: Questionnaire 80

ix

CHAPTER ONE

1.1 INTRODUCTION

Marketing managers have realized the importance of

branding, while more others yet to be convinced. It is very vital

however to point out that branding has not only come a long way but

also has way to go. Cadbury Nigeria PLC is a leading manufacturing

concern in the Food and Beverages industrial sector. Its core

manufacturing business is divided into three strategic business units

namely, Food, Drinks and Confectionery.

A fourth business unit is the Industrial Materials Unit (IMU)

which comprises our intermediate products businesses notably, the

Cereal Conversion Plant in Lagos the Tomato Puree factory in Jos.

This business unit manufactures key inputs - glucose syrup,

sorghum extract and tomato puree to feed the three mainline

businesses, and for sale to third parties, especially in the food and

pharmaceutical industries. The heartland of this unit, the Cereal

Conversion Plant is an enduring example in technological

innovation. The Company also owns a subsidiary business, Stan

1

mark Cocoa Processing Company, Ondo. A fully integrated export

oriented unit with a singular mission to be the preferred supplier of

cocoa butter, cocoa liquor and cocoa powder to select user

customers around the world. Stan mark has been granted the Export

Processing Factory status by the Federal Government which no

doubt is a major boost to its future success. The Stan mark

investment was clearly a strategic move to generate foreign

exchange earnings and to understand the vagaries and discipline of

international markets.

The Company wide portfolio of high quality branded products

are heavily supported with strong advertising. On-going investments

in the development of route-to-market has ensured a nation-wide

distribution coverage, and a key source of competitive advantage.

With the network of 19 depots, consumers in all 36 states of the

country are served products that offer real value for the money

spent. An increasing proportion of our brands are now being offered

to the export markets as well.

The Food Drinks:

2

The Food drinks range consists of Bourn vita (the nourishing

food drink fortified with extra vitamins and minerals for total vitality)

Pronto (Nigeria’s favorite chocolate drink) Richoco (a rich, tasty food

beverage) These brands have collectively maintained market

leadership in their category.

Confectionery:

The Confectionery range features such household names as

Tom Tom, Goody Goody, Butter mint, The Trebor range (Luckies,

Trebor Peppermint Original (TPO), Malta Sweet Fruities, Ginger

Orange, Koffstick, Tofi Chocolate Éclairs Jollies Lollipos (in banana,

orange and Malta Lollipops). This range straddles principally the

hard candy, compressed sweets and lollipop segments in which they

have a distinctive leadership.

Foods:

The Food range comprises Tomapep (a choice blend of pure

tomato puree and ground pepper) and Dadawa (the first and only

wholly Nigeria seasoning cube made from locust beans). Others are

Cheff Tomato (the rich red puree for extra delicious taste) Knorr

3

cubes (premium quality seasoning cubes in beef and chicken

flavours) and Cheff Peppersoup cubes (easy, tasty, convenient

pepper soup in double quick time) another pioneering effort by the

Company. They are strong number two position in this category.

Aside from the unwavering commitment to making whenever

possible with locally sourced raw materials, (exemplified by

Tomapep, Cheff, Dadawa and Cheff pepper soup cubes) there has

been a deliberate effort to re-invent the various brands to position

them for market leadership in their various segments.

The past two years have witnessed major improvements in the

packaging and product delivery of Bourn vita, Trebor Peppermint

Original and lately Chocolate Éclairs. The company’s brands now

come with a Quality Guarantee, a demonstration of our commitment

to product quality standards. It is worthy of note that no other

company in Nigeria carries this guarantee on their brands. The

Company’s corporate social responsibility policy is expressed

through generous donations to and sponsorship of meaningful

endeavours in the Arts, Education, Health and Sports, and the

important needs of the society. The policy and structure of 4

Cadbury’s corporate giving is directed by the Board.

Beyond this, we have maintained a policy of attaining the highest

standards in environmental management. Our Approach to our

corporate social responsibility spans several facets, beginning with

the creation of healthy and nutritious products for consumers.

Several exemplary activities are undertaken as well. In 1998, Bourn

vita provided free rides for school children under the Bourn vita

Scholars’ Free Bus Ride. Also, over 100 children were sponsored on

an excursion to the Federal Capital City, Abuja under the Bournvita

ADC Children’s Magic Flight. And in its pioneering effort towards

sports development in nigeria, the company recently sponsored The

Cadbury Cup quadrangular golf tournament, the first ever inter-club

gold competition among top golfs clubs in Nigeria - the essence of

which is to raise existing standards of the game, just as it did with

football with the pioneering of the Professional Football League, and

Table Tennis. Our Primary objective is to grow the value of the

business for our shareholders. Managing for Value to the business

philosophy which unites all our activities in pursuit of this objective.

Our approach is necessarily holistic, galvanizing the energies of our

5

http://www.winne.com/nigeria2/co26.html

http://www.winne.com/nigeria2/co26.html

managers and staff in a single-minded fashion. In line with the

objectives of MFV, the Company has taken the following strategic

medium and long term quantitative targets are:-

Grow economic profit by 15% per annum.

Raise Operating profit Return to 26% by 2002

Secure a significant positive cash flow of 3% of NSV annually.

1.2 OBJECTIVE OF STUDY

The main objective of this study is to examine the role of re-

branding in consumer decision making.. Other objectives will be to:-

i. Investigate the sales and profit level as a result of Re-branding in

Cadbury Nigeria Limited.

ii Examine other benefit o Re-branding consumer products in

Nigeria.

1.3 SCOPE OF THE STUDY

6

The scope of this study focuses and centers around Cadbury

Nigeria PLC being one the largest in the beverage productions

business. It has also in particular focuses in public affairs

department responsible is dealing with the company’s communities.

It is very important to note this department will be the only arm of the

company’s that will save to a large extent the purpose of this

research.

1.4 RESEARCH QUESTION

The study seek to answer the following question;-

i. Will the branding of Cadbury Nigeria plc, product (i.e. Bournvita)

influence buying decision of consumers?

ii. Why do the organizations engage on Re-branding of their

products?

iii. How does branding influence buying decision of consumers?

iv. What are the effects of Re-branding of products?

7

1.5 RESEARCH HYPOTHESIS

Hypothesis statement will provide a logical scientific condition to my

statistical estimate. To achieve objectives stated above, the

following hypothesis will be tested.

HYPOTHESI 1:

Null Hypothesis (Ho): Branding has not influence the purchase level

of Cadbury products.

Alternative Hypothesis (Hi): Branding has influence the purchase

level of Cadbury products.

HYPOTHESIS 2:

Null Hypothesis (Ho): Branding has not improved consumer decision

making on Cadbury Nigeria plc, products.

Alternative Hypothesis (Hi): Branding has improved consumer

decision making on Cadbury Nigeria PLC, products.

8

1.6 STATEMENT OF RESEARCH PROBLM

The study seeks to address the influence of branding on buying

decision of Cadbury’s products which militate against the ability of

the beverages industry to fulfill their branding decision. Among these

problems and militating factors are:-

i. Inadequate sourced to generate required funds

ii. Weak economic or financial base

iii. Shortage of technical staff

iv. Miss- Management of Marketing Resources

v. Low effort to generate revenue from the consumers

1.7 LIMITATIONS OF THE STUDY

9

There is some evident limitation of the study such as

Unwillingness on the part of management to give information s

regards the company in order to guard against espionage from

competitors; this is a major difficulty.

Also, the busy schedule of the workers is another limitation which

makes it a bit difficult to carryout interviews with a many relevant

people as possible. Another limitation of the study is the fact that

the information provided in the study will only be limited to the case

study (Cadbury Nigeria plc) and as such cannot be applicable in

another organization.

1.8 STUDY PLAN

The research work is made up of five chapters. The first chapter

consists of the introduction i.e. Background to the study, The

statement of the research problem, objectives of the study, research

questions, scope of the study, limitation of the study, the study Plan,

and the definition of key terms.

10

Chapter Two is the Limitation Review While Chapter Three involves

the research Methodology which consists the Historical profile of the

case study, Method of the data collection, Population and Sample

size, Sampling techniques Hypothesis and The method of data

Analysis. Chapter Four of the study is the Data Analysis and

Interpretation and Chapter Five consists of the Summary,

Conclusions and Recommendations.

1.9 DEFINITION OF KEY TERMS

In carrying out survey on a particular project some of the

following key term has to be designed and it has follows:-

i.. BRANDING:- This is the use of a distinctive name and / or mark

on a project to differentiate it from similar competitive products. It is

a major tool used by marketer to distinguish their product from

competitor’s products.

11

ii. CONSUMER BEHAVIOUR:- This has been defined as the

decision process and physical activities that an individual are

engaged in where they evacuate, compare, acquire and use or

dispose of products and services.

iii. BUYING DECISION:- This is defined as the ability of the

consumers to conclude and purchase a specific products and

services.

iv. MARKET SHARE:- This is the percentage of total market that

accrues to a particular company.

12

CHAPTER TWO

2.0 LITERATURE REVIEW

Perhaps the most distractive skill of professional marketers is

their ability to create, maintain, protect and enhance brands.

Marketers say that “branding is the art cornerstone of marketing”.

The American Marketing Association (A.M.A) defines a brand as

follow:-

13

A brand name, term, sign, symbol or 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. (America

Marketing Association). In essence, a brand identifies the sellers or

marketers. It can be a name, Trade mark, Logo, other symbol.

Under trade mark Law the seller is granted exclusive rights to the

use of brand name in perpetuity. This brand differ from other assets

such as patent and copy right, which have expiration dates. A brand

is essentially a seller’s promise to consistently deliver a specific set

of features, benefits and services to the buyers. The best brand

conveys a warranty of quality. Aaker (1991).

2.1 BRANDING DECISION

One of the basic tasks of Cadbury PLC is decision making on

branding. The variety decision options ope to management of

Cadbury plc covers branding and non-branding, manufacturer’s

branding and private branding, family and individed.

This can be diagrammed as:- 14

Aaker [1991] managing Brand Equity

2.2 MANUFACTURER’S BRAND

15

This identifies producer with the product as the point of

purchase. The Manufacturer initiates branding and becomes

involved in the distribution; promoting and pricing decision Examples

of manufacturer’s brands are Goldee, Burn vital e.t.c. Many

distributors (Whole sales and Retailers) rely on Cadbury Plc brands

because they are too small to develop their own. Such as

distributors derive some benefit from Cadbury Plc branding which

include:-

i Promoting by Cadbury Plc helps to re-sell products and develops

strong customers loyalty.

ii Cadbury Plc brands attract new customers and thereby enhance

dealer’s prestige.

iii Dealer’s carry fewer inventories as a result of efficiency of

manufacturers.

16

A. FAMILY BRANDS

Cadbury Nigeria plc markets several different product product

under the same brand names. Cadbury Nigeria PLC benefits from

using a family whenever it is possible and such benefit includes.

i It is facilitate the introduction of new products as less money is

required to promote the new product (Goldee) with and already

family name.

ii It improves market share of Cadbury Nigeria PLC, Since it is

safe to buy a new product with an established family name than

buying a product with a new name.

B. INDIVIDUAL BRANDS

This is an alternative strategy used by Cadbury PLC where all

products do not lend themselves to sale under a family name.

17

C. TERMS IN BRANDING DECISION OF CADBURY NIGERIA

PLC.

According to Stanton (1984), the following are the terms used in

branding decision;

i. A brand is a name, term, symbol, design or combination

therefore that identifies a Cadbury PLC product and differentiates

them from competitor’s products.

ii. A brand name is that part of a brand that can be spoken include

letters, words, and numbers

iii. A brand mark comprises of the element that cannot be spoken

because it is not made up of words rather than it is symbol or

design.

iv. A brand mark; This is a legal term , indicating the owners

exclusive right to use the brand or part of the brand , and that others

are prohibited by law from using without permission.

18

v. A trade name; This is the fuel and legal name or an organization

such as Cadbury Nigeria PLC rather than the name of specific

product.

2.3 CONSUMER BEHAVIOUR

19

Stanton (1984) sees consumer behavior as the decision,

process and physical activities that individuals engaged in which

they evaluate, compare, acquire ad use or dispose of product

service. Consumer behavior can be describe as the behavior

exhibited by people in planning, purchase and using economic

goods and services. It is determined by economic, physical and

sociological consideration. The study of consumer behavior is

central to marketing management because success or features

depends importantly on target customers, individual and group

reactions expressed in the form of buying patterns. The behaviour of

consumer can be determined through behavioural research. As a

result human behaviour is influence by complexity of factors among

which is branding. The variables involved can sometimes be so

many and inter meshed that it is possible to identify them separately.

Olusanya (1985) asserts that any attempt at interpreting or

explaining consumer behaviour, in which data analysis is involved is

therefore, potential hazardous since the explanation are related to

the phenomenon under investigation.

2.4 CONSUMER BUYING MOTIVES AND HABITS20

According to Stanton (1984) consumer has been defined as he

decision process and physical activities that individuals are engaged

in when they evaluate, compare, acquire and use or dispose of

products. They study of consumer therefore, is the study of what

consumers buy, where they buy it, why they buy it, how often they

buy it, and how often they use it.

A motive by W,J, Stanton (1984) is defined as an internal energizing

force that orients a person activities toward satisfying a need or

achieving a goal. It is the driving force that cause a person to take

action to satisfying a need or achieving a goal. It is driving force that

causes a person to take action to satisfy specific needs. This as a

result, is what makes Cadbury PLC to recognize forces that affect

consumer’s purchase action like branding product quality etc.

Consumers buying motives can be generally classified as:-

i. Rational (which, involves deliberation reasoning and self-

approval)

ii Emotional (Non-rational or involving with reasoning)

iii Conscious (without being aroused)21

iv Dormant (Aroused by marketing operation)

v Primary (which is influential in buying a particular brand)

vi Selective (which involved decision to buy a particular brand)

vii Patronage (which involves decision to regularly buy from a

particular source)

2.5 CONSUMER BUYING DECISION PROCESS

According to Stanton (1984), consumer buying decision process

is a major aspect of consumer behaviour. It implies that buying does

not just happen, rather it follows a step by step process of which

actual buying is stages. It is also true that not all decision process

lead to purchases as the individual way end the process at any

state. Stanton (1984). Basically a consumer buying decision process

involves five stages illustrated below:-

22

A. PROBLEM RECOGNITION

This is the starting point in the buying process and involves the

buyer recognizing a problem or need. This stage occurs where the

buyer becomes aware of the gap between his actual condition and

the desired state.

This can be triggers by internal and external stimuli. The task of

companies such as Cadbury PLC is therefore to identify those

stimuli that trigger a particular need and then develop strategies that

trigged consumers’ interest. Also, where consumers are unaware of

a need, marketer can trigger of recognition of such needs through

appropriate strategies like branding, advertising etc. Stanton (1984)

B. INFORMATION SEARCH

23

After recognizing the problem or need, the buyer continues in the

buying decision process by searching for more information about

products that will help to solve the problem or satisfy the need. This

information search makes him to more receptive to information

and /or actively searching or information.

Information search can take the form of:-

i. Internal search is where buyers search their memory for

information about product branding that might solve the problem.

ii External search involves collection of information from personal

source (family, friend, neighbour acquaintances) commercial

sources (advertising, sales person, branding, packaging etc), public

sources (mass media consumers rating organization) and

experimental sources (handling, examine and using the product ).

Stanton (1984)

C. EVALUATION OF ALTERNATIVES

24

Information search leads to the awareness of the availability of many

competitive brands. These alternative brands most be evaluated on

criteria for evaluation include need of the buyer, benefits expected

from the product, attributes and abilities of the alternatives to deliver

the benefit sought. Stanton (1984)

D. PURCHASE DECISION

The result of the evaluation stage guides the buy in choosing the

product or brand to be bought. he also chose the seller from whom

he buys. The brand that is eventually chosen most met the buyer’s

expectations terms of product characteristics and ability. The

availability of the product also affects its choice and if the choice is

not available the next board that is available will be chosen. Family,

the actual buying takes place at this stage. Stanton (1984)

25

E. POST PURCHASE EVALUATION

This stage occurs after the product has been purchased. The

product has to be assessed to ascertain whether its actual

performance meets buyers expectation. The result of this evaluation

is an experience of satisfaction and dissatisfaction. The task of

marketing does no end at the purchase stage rather, it continues

into the post purchase stage. Marketer must therefore monitor post

purchase stage as it determines whether buyer complains about the

product, tell other about the product or purchase the product again.

Stanton (1984)

2.6 REASONS FOR BRANDING

Kotler (1997) shows numerous reasons for branding a product. An

understanding of these reasons brings about the importance of

branding to bout the consumer and to the marketer.

2.6.1 TO THE CONSUMER

26

i. Branding assure the consumer of he uniformity of the product is

buying in term of quality and performance.

ii It assists him in identify the product desire.

iii It serves as a source of information to consumers.

iv It identifies the form behind the product.

v It offers consumers to opportunity to compare products and

make a choice among available alternatives.

vi It assists consumers during repeat purchase.

vii It gives the consumers certain psychological satisfaction.

viii It bridges the gap between the manufacturer’s promotional

programmes and consummation of sales to customers.

ix It enhance consumer welfare as consumers can get new or

improved product that come as a result of branding.

2.6.2 TO THE MARKETER

i. Branding afford a company the opportunity to control sale of its

products.27

ii It aids advertising and display programme as a manufacturer can

now build his promotional company round his products.

iii It stimulate repeat purchase and other protection against product

substitution by consumers.

iv It reduces competition based on prices, rather products

development and improvement, promotion, and distribution etc are

use to competitive tools.

2.7 REASONS FOR CONSUMER BEHAVIOUR

Stanton 1984 shows the important involve predicting human

behaviour is a laborious task. This notwithstanding however, the

study is important because of each certain important functions it

performs as it can be seen form three different perspectives.

28

2.7.1 The knowledge of consumer behaviour can be valuable to an

individual in making decision concerning his purchases. This will

save consumer from making unwanted or unsatisfactory purchase

arising from the influencing of some deceptive slogans. It is very

common in our society today to see sales man going around to

convince people to purchase their product, thus they usually used

big promotional activities like using a slogans that will arouse the

interest of the people. As a result of all these consumers find

themselves buying goods and services of prices that are often

higher than those available for similar or identical items in a buying

store.

2.7.2 A potential marketer will find the knowledge useful as he

approaches the problem of developing and implementing a

marketing strategy. The related advantage can be derived by

studying consumer behaviour are as follows:

(a) Marketer gain better understanding of consumer needs leading

to a more effective implementation of the marketing concept.

29

(b) The marketer are able to know consumer needs through the

consumers communication.

(c) The profit position of the company may be improved by turning

real consumer needs into effectives product appeal.

(d) Marketer could be effectively segmented into sub-groups

depending on common behaviour characteristics.

(e) The cost and resources wastage associated with new products

features are minimized.

2.7.3 The knowledge of consumer behaviour will have a significant

impact of the marketers and executors of public policies dealings

with marketing practices. A number of public policies have been

instituted to regulate the selling and buying procedures. Some of

these are essentially to protect the consumers while other are in the

interest of manufacturers of products and services. Therefore, he

study of consumer behaviour will benefit the public policy markers in

the following ways:

30

i. The gain better insight into how to provide and protect free

consumer choice.

ii They understand ways of encouraging marketer to provide better

production information.

iii They understand techniques for encouraging all consumers to

use available information to make better decision.

31

2.8 PROMOTINAL STRATEGIES OF CADBURY PLC PRODUCTS

Promotion and selling are synonymous terms although

promotion is normally preferred. Selling suggest only does not

include advertising or other methods of stimulating demand.

Stanton (1984) defines promotion as following: “Promotion includes

the function of Advertising, Promotion selling, all other selling tools”.

Promotion is the one of most important aspect of marketing

management. The buyer would have to be informed about the

existence of the product. The information concerning the quality,

price and after sales services of a products can only be made known

to including buyers through promotion. In the past advertising,

personal selling publicity, and sales promotion were viewed as the

only elements of promotion mix, but today, marketers are becoming

more aware of the fact that everything an individual or an

organization does or says has promotional impact.

32

Horper 1977, in is write-up explained that “ more and more, it is

appeared that marketing is most entirely communications, the

product communicates, the price communicate, the package

communicates, the prospects, to management and each other.

Also, prospects, dealer’s management, competitors communicates

Cadbury plc, in carrying out its promotion, normally takes into

consideration the following:-

i. The nature of the market as it true in most problem areas in

marketing, decision in the promotional mix will be greatly influence

by the nature of the market this influence is felt in least three ways.

ii Geographical scope of the market- personal selling may be

adequate in a small market broaden geographical, greater stress

must be placed on advertising.

iii Types of consumers. The promotional strategy is influenced by

whatever the business is aimed at ultimate consumers.

iv Concentration of the market. The total number of prospective

buyers is one consideration. The former potential buyers there are

the more effective personal selling is compare to advertising.33

v Funs available. Regardless of what may be the most desirable

promotion mix, the amount of money for personal is the real

determination of mix. Therefore, with the above the methods in the

promotional mix use by Cadbury PLC will be fully discussed.

2.9 ADVERTISING

As defined by American Marketing Association committee on

definitions, advertising can be said to be: “Any paid form of

promotional presentation and promotion of deal goods and services

by identified sponsor”

it assists all activities involved in presenting to a group a non-

personal oral or usual openly sponsored message regarding a

product service or idea. The message called advertisement is

discriminated through one or more media and paid for by an

identified sponsor. Their reasons for advertising include:

A. To support personal selling to open customer door for sales

people an acquaint prospects with seller company.

34

B. To increase the sales for the products.

C. Expend the market share.

D. To build goodwill for the company and improve its reputation.

2.10 PERSONAL SELLING

Personal selling according to Evans and Berman 1978 is: “An oral

presentation in a consideration with one more prospective purchase

for the purpose of making sales” Cadbury PLC salesmen are

involved with order getting personal. They are involved with

informing and persuading customer for the company products like

Goldee. The main objectives of using the personal selling by the

company is:

A. To create awareness for the company’s product.

B. To provide adequate level of sales

C. To provide feedback information to company

D. To improve and maintains customers satisfaction.

35

The advantages derived by the company from the use of personal

selling include:

i. provision of mandate feedback by the salesman organized o

electoral allotment for effective coverage in order to mistune

wastages

ii. Flexibility I analyzing. Alternative solution to customers needs.

iii. Alternation of message by sales persons to the need of individual

customers.

iv The attention span of the customer to be made high.

2.11 BRANDS AS CONSUMER PROTECTION

A century ago, branding was in its infancy. At that time, people still

made most of the products that they consumed (such as Goldee,

Bournvita, Chocolate) or purchased them directly from producers

who were their friends and neighbors. People had faith in the quality

and safety of the products because they knew the people who made

them.36

As our economy became more specialized a trend that, as

Adam Smith predicted, created an unprecedented degree of wealth

consumers were more removed by both distance and time from

producers. The introduction of labor-saving machinery, which

increased productivity markedly, also dictated the concentration of

producers in a manufacturing area. Thus, the village silversmith or

baker or cobbler was replaced by a factory that produced a high

quality product at a more competitive price. Consumers valued the

potential quality consistency and savings, but they no longer knew

the people who made their products. Similarly, as individual

consumers became more specialized in their roles as producers,

they themselves made even fewer of the products they consumed

and relied increasingly on other specialists to meet their material

needs.

37

In a large market, consumers do not care who makes their

products. In this sense, the market is the great equalizer, as

producers of all races, ethnic origins, religions, and genders unleash

their creative energies to meet the needs of consumers, While

consumers do not care who makes the products, they care very

much how the products perform. They want to know that the product

they purchase will meet their expectations.

In this consumer environment, brands play a critical role.

When consumers first started purchasing more food and raising less

themselves, they purchased items from a bulk bin. They had no

information about what ingredients the products contained, how safe

they were, and how they would perform. Branding created the

protection that consumers demanded. The brand name signified a

level of quality and consistency consumers could trust. Thus,

Bournvita, Chocolate, Éclair, and Tom Tom, instilled in consumers a

degree of confidence that their unbranded competition did not.

38

2.12 DEFINING BRAND EXPECTATIONS

Brands are effective only when the product delivers a

consistent level of quality from product to product. McDonald’s

delivers the same level of quality regardless of location or time of

visit. A consumer may choose not to dine there for a particular meal,

but that decision is not a rejection of branding. Rather, it is an

informed decision not to consume that expected level of quality on a

particular occasion.

39

Consumer confidence in brands varies with the type of

product. Typically, confidence in branded goods such as

automobiles, detergents, movies, and clothing runs extremely high.

After all, standards can be defined and controlled strictly when the

product is produced entirely in one central location and can be

inspected before being presented to consumers. These brand

names deliver the highest level of consumer confidence. The

consumer may accept or reject the product; in either case, the

decision is made with a clear expectation about the performance or

level of quality of the goods.

Confidence in a product that is composed of a combination of both

good and service is somewhat reduced because part of the output

cannot be controlled in advance. A McDonald’s hamburger, bun,

lettuce, and tomato can be inspected before they arrive at a

particular franchise, but other inputs the actual cooking.

40

2.13 THE ROLE OF BRAND AWARENESS

41

Rossiter and Percy (1987) describe brand awareness as being

essential for the communications process to occur as it precedes all

other steps in the process. Without brand awareness occurring, no

other communication effects can occur. For a consumer to buy a

brand they must first be made aware of it. Brand attitude cannot be

formed, and intention to buy cannot occur unless brand awareness

has occurred Rossiter & Percy (1987); Rossiter et al. (1991). In

memory theory, brand awareness is positioned as a vital first step in

building the “bundle” of associations which are attached to the brand

in memory (Stokes 1985). The brand is conceptualized as a node in

memory which allows other information about the brand to be

“anchored” to it Aaker (1991b). The conceptualization of a network

of brand associations in memory with the brand as a central core

has been put forward by many others e.g. Keller 1993; Holden

(1993); Holden & Lutz (1992).

42

2.14 HOW DOES BRAND AWARENESS BENEFIT THE

MARKETING MANAGER?

Brand awareness should be an important goal of the marketing

communications efforts of a firm as it have a number of important

functions. It is widely acknowledged that without brand awareness

occurring, brand attitude and brand image cannot be formed.

However, equally important but less widely recognized is the

importance of brand awareness as a heuristic which can affect

inclusion in the consideration set, and in many situations may be

sufficient by itself to determine choice from the consideration set.

According Aaker (1991a, b) argues strongly the case for brand

building and maintaining brand equity; he cites brand name

awareness as one of four major brand assets which add value to the

product or service and/or its customers. Investments in brand equity

and in particular brand awareness can lead to sustainable

competitive advantages and thus to long term value. Brand

awareness can add value by Aaker (1991a,b.)

1. Placing the brand in the consumer's mind.

43

2. Acting as a barrier to entry to new unestablished brands.

3. Reassuring the customer of the organization’s commitment and

product quality, and

4. Providing leverage in the distribution channels (between

intermediaries and customers too, and are just as suspicious as

consumers are of unknown products) Aaker (1992)

44

However, there is difficulty in demonstrating the value of

assets such as brand awareness to managers. Aaker (1991a)

complains the problem is that, firstly, enormous pressure exists for

organizations and their brands to demonstrate short-term profit

results. Brand managers are often given a one to three year time

horizon and little incentive to make strategic brand building

investments. And secondly, demonstrating the long-term value of

brand building is "exceptionally difficult" Hogarth (1980), Aaker

(1991a). Even managers, who claim that they are concerned with

the brand building activities of their firm, find difficulty in gaining

support and resources for these activities. In the light of Aaker's

findings, a study by Kelly (1991) is very interesting. Kelly carried out

a series of interviews with Australian marketing managers. Many of

the managers he interviewed “maintained that their advertising was

directed towards building the longer term effects of favourable brand

image and strong brand loyalty”. Other managers were quoted as

saying that they “were not looking for short-term results” but that

advertising provides them with the opportunity “for corporate

branding and image building which is very much oriented to the

45

longer term” Kelly (1991 p.5.). In other words, these managers

claimed the long-term

goals of brand-building and brand image to be of greater interest to

them than short-term objectives such as sales. However this

research was based on discussion with managers, and might

obviously suffer from managers saying what they felt they should do,

rather than what they actually do, especially when talking to a

marketing academic.

46

CHAPTER THREE

RESEARCH METHODOLOGY

3.0 INTRODUCTION:-

This chapter deals with Research Design, Population of the

Study, Sample and Sampling Techniques, Research Instrument,

Method of Data Analyses, Data Collection Procedure, Questionnaire

Assumption, Validity, Reliability and Historical Background of

Cadbury Nigeria Plc.

3.1 RESEARCH DESIGN

This research design adopted for this study is correlation

design. Correlation survey studies include all research projects in

which an attempt is made to discover or clarify relationship through

47

the use of correlation statistical method. According to Francis (2004)

it is a technique use to describe relationship between two variables

in mathematical terms. It is the descriptions of the degree of which

the variables under study are relate to predict each other in a

chosen population.

3.2 POPULATION OF THE STUDY

The study population consists of staff of Cadbury Nigeria plc

and the categories of workers in the population are: - Top Managers,

Executive Staff, Senior Staff and Junior Staff. Population in each

category is one hundred and one (101), two hundred and thirty six

(236) nine hundred and forty six (946) four hundred and six (406)

respectively. This amounts to one thousand six hundred and eighty

nine (1,689) staffs altogether.

Source: Cadbury Nigeria Plc (2010)

3.3 SAMPLE AND SAMPLING TECHNIQUE

48

These subjects are selected using deliberate sampling

technique or purposive technique. This is because motivation

process is typically administrative function.

According to Olusanya (2004), purposive selection of a

population, there are some elements that have certain

characteristics which are considered crucial to the study at hand and

this is of vital importance to the investigation to include those

elements in the sample.

In the light of this, sample is not restricted to a particular

category of staff. Hence, staffs that are capable of providing the

needed information for the study are selected. Thus, sample for the

population comprises (5) Top Managers, Eleven (11) Executives

Staff, Twenty Five (25) Senior Staff and Thirty Nine (39) Junior Staff.

Thus, total sample for the population is Eighty (80).

3.4 RESEARCH INSTRUMENT

49

The research measurement instrument used for this research

work is employee’s motivation questionnaire and personal interview.

The employee’s motivation questionnaire is in two sections one deal

with respondent bio- data while section two deals with research

oriented questions. Both sections are Eighteen (18) simple scale

questions on how staffs are being motivated in their present job.

There responses are range from: - Strongly Agree, Agree,

Undecided, Disagree, and Strongly Disagree.

Personal interview was also used to gather information that is

not covered by employee’s motivation questionnaire. This is to

complement the information needs of the research work.

3.5 METHOD OF DATA ANALYSIS

The data analysis that will be used in this research involves

the processing of the data from the questionnaire so as to make

meaningful in interpretation. The tables were used to give a clear

view of the distribution of the responsiveness give by our respondent

to each question in the questionnaire. The data will be analyzed with

the following:-

50

- Descriptive analysis:- This involve table and percentage. The

reason for using this kind of method is un availability of value

to be assigned to consumer decision.

- Statistical Technique which will be added by statistical

package for the social science (SPSS). This technique is

restricted to some inferential statistical technique which

include ordinary least square of regression analysis using a

simple regression model in the form:-

Y= ao + ai x + u

Specially the following functional relationships.

To access the application of information technology does not

significantly affect the achievement of organization objection.

OB= F (Cd, Cs, Mi, Qos)

Where:- OB= Organization objectives.

CD= Consumer decision

CS= Commitment of service

M= Motivation51

QOS= Quality of service by the employee.

The following linear equation were generated from the above

functional relationship.

OB= ao + a1 + cd + u1 ---------------------------------- 1

OB= bo + b1 cs + u2 ------------------------------------ 2

OB= co + C1m + U3 ----------------------------------------3

OB= do + d1 + QOS + U4 -----------------------------------4

Similarly:-

OB=go = g! cd + g2 cs + g3m + g4QOS + Ut

Ut = Error term.

It represents other factors that may influence dependent

variable Y apart from salary, working condition and skill that are

specifically inculcated in the model.

3.6 DATA COLLECTION PROCEDURE

52

The accuracy of any useful information depends largely on the

primary source of information. So this study depends mainly on the

collection and analyses of the results of records on effect if branding

in influencing buying decision from the journal published annuals

reports of Cadbury Nigeria PLC, News paper and the Nigeria trade

journals are other basis sources of data for the project.

To construct a good projects of this natural, the following

features of basic data deserve some consideration namely

Accuracy, Availability, Reliability consistence timeless adequate and

stability of the various data source. The basic aim of the data

collection procedure is to get worthwhile data for the problems as

defined. Data collection is consists presenting a structure to a

respondent and recording his or her respondent. The classification

of data is the primary and the secondary data.

a. PRIMARY DATA:- These are the date collected for first time for

their source to solve specific and current marketing problems under

study.

53

b. SECONDARY DATA:- These are the data previously and

published either from the current investigation. Primary data should

always be used in order to prevent the use of inadequate and

absolute data which are normally associated with secondary data.

Above principle was clearly spell out by Azika (2008) in which he

said “when satisfaction secondary data are not available the

researcher must collected primary data”. In a study a combination of

both respondents and secondary data were used. Questions were

asked and response got various respondent and books were

checked for some other facts. Azika (2008), a researcher has two

options to choose from in seeking information they either choose

questionnaire or observation method. According to Taylor, “There

are two principle method of obtaining data from respondents

Communication and Observation.

54

Communication requires their respondents to actually provide

the data verbal respondent while Observation requires the recording

of the respondent passive behaviour. “The most common source of

marketing is communication with respondent”. In the adopted

questionnaires method because it is appropriate in this situation

since factors which influence the analysis cannot observed.

3.7 QUESTIONNAIRE ASSUMPTION

The following assumption was held as regards the questionnaire

drawn up from the purpose of gathering information for further

analysis.

1. That respondent is willing to complete the questionnaire.

2. That information supplied on the questionnaire is true and

uncaused.

3. That the information, this gathered is the true representation

and could be conveniently used to generalized about the whole

population.

55

4. That such information are supplied with maximum of external

influence.

3.8 VALIDITY

Validity of a measure refers to the extent to which the

measurement process is free from both systematic and random

error. Validity is concern with questions that is the researcher

measuring which suppose to measure. There are four types of

validity. These are:-

1. CONTENT VALIDITY: - This involves accessing the

representatives of the response elected by the measuring

instrument.

2. CONSTRUCT VALIDITY: - This involves understanding the

measuring of the obtained measurements.

3. CONCURRENT VALIDITY: - This involves accessing the extent

to which the obtained score may be used to estimate an individual

represent standing with respect to some other variables.

56

4. PREDICTIVE VALIDITY: - This involves accessing the extent to

which the obtained score may be used to estimate in individual

future standing with respect to the criteria variable standing with four

above, I will use content validity to ascertain the extent to which the

information fought from the research work.

According to DANALD Et al “Conduct validity estimate are

essentially systematic, but subjective evaluation of the

appropriateness of the measuring instrument for the task at hand” I

have to evaluate the degree to which the items of the instruments

(Questionnaire) sample the contents of the attitude domain that is

the ideal of the researcher topic.

3.9 RELIABITY

57

Reliability of measurement refers to the extent to where the

measurement process is free from random errors. Reliability is

concerned with the consistency, accuracy, and predictability of the

researcher findings. There are three major methods of measuring

reliability, they are Test-Retest: Alternative forms and split half

method. For the purpose of this research, Test-Retest methods have

been employed. This method involves repeated measurement of the

same person or group using the same device under condition which

are judged to be very similar. the result of these findings is

compared to determine their similarity.

This method assures that the greater the discrepancy in

scores, the greater the random error present in the measurement

process and the lower the reliability.

3.10 HISTORICAL BACKGROUND OF CADBURY NIGERIA PLC

Cadbury Nigeria PLC operations started in the very early 50s;

in fact, it started, more or less like a trading outpost, sourcing Cocoa

as an input into chocolate factories in Birmingham. But that project 58

soon opened the way for an extensive market and by the end of the

decade we had already setup a packing operation for imported

manufactured goods. So Chocolate beverages, Bournvita and

pronto started being packed here in Nigeria. This operation went on

for about four years and it exposed the potential even further. As a

result, in the early 60s, 1964 more precisely, this factory was built

and started operations in January 1965. It started off as a company

wholly owned by Cadbury Schweppes.

The shareholding structure has changed overtime. Today,

Cadbury owns 40 percent of the company as the remaining 60

percent is owned by Nigerians of the 60 percent; about a third of it is

held by institutional investor while the rest is owned by individual

shareholder’s participation. These are insurance companies,

pension funds, fund managers. e.t.c.

The historical development of the business reflects the

evolution of the strategy. The focus in the early years was import

substitution. The economy was a planned economy, foreign

exchange was limited and controlled, licenses wee required for most

59

operations, and soon. The growth path then was import substitution

which meant that new product development and research where

focused on the utilization of local raw materials. In addition, that

strategy resulted in the creation of the cereal conversion facility

which uses sorghum grain in place of barley customer base and

channels to guarantee low cost service chains, with enhanced

consumer relations interphase.

CHAPTER FOUR

PRESENTATION AND ANALYSIS OF DATA

4.1 INTRODUCTION

60

In the previous chapter, attention was focused on the method

of obtaining data from related customer at Oja Tun Tun market

Ilorin. This Chapter introduce the result of survey conducted in the

topic “ the role of branding in consumer decision making, using

Cadbury Nigeria PLC as a case study. The main instrument for data

collection is questionnaire, while statistical technique were used to

analyse the dat based on the hypothesis and some other relevant

themes given in the earlier chapter.

A covering letter introduced the questionnaire and out of

eighty (80) questionnaire, fifty (50) were returned by the respondent.

Hypothesis is tested using simple percentage. Interpretation,

comment were also reacted at the end of the mathematical

presentation.

4.2 DATA PRESENTATION AND ANALYSIS

61

TABLE 4.2.1 AGE DISTRIBUTION OF THE RESPONDENTS

Frequency Percent Valid

Percent

Cumulative Percent

Below 20

yrs

6 12.0 12.0 12.0

21-30 yrs 24 48.0 48.0 60.0

31-40 yrs 2 4.0 4.0 64.0

41-50yrs 10 20.0 20.0 84.0

51yrs and above

8 16.0 16.0 100.0

TOTAL 50 100.0 100.0

Source: Field Survey 2010

Table 4.2.1 shows that 6 respondent constituting 12% of the

population are below 20 years, 24 respondent which constituting 4

%of the population are between 31 – 40 years, 10 respondent

constituting 20% are between 41-50years and 8 respondent which

constitute 16% are above 51 years.

62

TABLE 4.2.2 SEX DISTRIBUTION OF THE RESPONDENTS


Percent

Cumulative Percent

MALE 22 44.0 44.0 44.0

FEMALE 28 56.0 56.0 100.0

TOTAL 50 100.0 100.0


Table 4.2.1 shows that 22 respondent which constitute 44% of the

population are Male, and 28 respondent which constitute 56 ٪ of the

population are Female.

63

TABLE 4.2.3 MARRITAL STATUS DISTRIBUTION OF RESPONDENT


Percent

Cumulative Percent

Single 24 48.0 48.0 48.0

Married 16 32.0 32.0 80.0

Divorced 4 8.0 8.0 88.0

Window 6 12.0 12.0 100.0

TOTAL 50.0 100.0 100.0


64

Table 4.2.3 above indicate that 24 respondent which constitute 48%

of the population are Single, 16 respondent which constitute 32%

are Married, 4 respondent which constitute 8 % are Divorced and 6

respondent which constitute 12 % of the population are Widow.

TABLE 4.2.4 WHAT TYPE OF PRODUCT DO YOU PURCHASE


Percent

Cumulative Percent

Bournvita 22 44.0 44.0 44.0

Goldee 8 16.0 16.0 60.0

65

Eclaire

Sweet

14 28.0 28.0 88.0

Other 6 12.0 12.0 100.0

TOTAL 50 100.0 100.0


Table 4.2.4 above, it shows that majority of the respondent produce

bournvita which constitute 44٪of the population, 8 respondent

produce Goldee which constitute 16 ٪ of the population, 14

respondent which constitute 24 ٪ of the population produces Eclaire

Sweet, while 6 respondent which constitute 12٪ of the population

produce other products.

TABLE 4.2.5 FAMILY SIZE AND PRICE AFFORDABILITY INFLUENCE YOUR BUING

DECISION.

66


Percent

Cumulative Percent

Strongly Agree

10 20.0 20.0 20.0

Agree 26 52.0 52.0 72.0

Undecided 4 8.0 8.0 80.0

Disagree 8 16.0 16.0 96.0

Strongly Disagree

2 4.0 4.0 100.0

TOTAL 50 100.0 100.0


Table 4.2.5 above, it shows 26 respondent which constitute 52.0٪of

the entire, population Agree the family size and price affordability

influence your buying decision, 4 respondent which constitute 8 ٪ of

the population are not certain with their option, while no respondent

are Strongly Disagree that family size and price affordability

influence your buying decision.

67

TABLE 4.2.6 YOU HAVE ESTABLISHED BRAND LOYALTY TO CADBURY BEVERAGES

PRODUCTS.


Percent

Cumulative Percent

Strongly

Agree

18 36.0 36.0 36.0

Agree 16 32.0 32.0 68.0

Undecided 4 8.0 8.0 76.0

Disagree 12 24.0 24.0 100.0

Strongly Disagree

- - - -

TOTAL 50 100.0 100.0


Table 4.2.6 above indicate that, 34 respondent which constitute 68 ٪

of the population, Agree the establishment of brand loyalty to

cadbury beverage product, 4 respondent which constitute 8 ٪ of the 68

population are not certain with their option, while 12 respondent of

the population Disagree, and No respondent Strongly Disagree.

TABLE 4.2.7. CADBURY PROCUCTS ARE ALWAYS BROUGHT TO YOUR ATTENTION

THROUGH PROMOTIONAL MEANS.


Percent

Cumulative Percent

Strongly

Agree

10 20 20 20

Agree 20 40 40 60

Undecided 10 20 20 80

Disagree 10 20 20 -

Strongly Disagree

- - - 100

TOTAL 50 100.0 100.0

69


Table 4.2.7 above, it shows that 30 respondent which constitute 60٪

of the population Agree that Cadbury products are always brought to

attention through promotional means, 10 respondent which

constitute 20 ٪ of the population are Undecided, while 10

respondent also which constitute 20 ٪ of the population Disagree

that Cadbury Product are not always brought to your attention

through promotional means.

TABLE 4.2.8 BRANDING OF A PRODUCT INFLUENCE THE TYPE OF A PRODUCT TO BUY.


Percent

Cumulative Percent

Strongly

Agree

8 16 16 16

Agree 38 76 76 92

Undecided 2 4 4 96

Disagree 2 4 4 -

70

Strongly Disagree

- - - 100

TOTAL 50 100.0 100.0


Table 4.2.8 above indicate that majority of the population 46

respondent which constitute 92 ٪ of the population Agree that

branding of a product influence the type of a product you buy, 2

respondent which constitute 4 ٪ of the entire population are no

certain about their option, and only 2 responden which constitute 4

٪ of the population disagree, that branding of a product influence

the type of a product you buy.

TABLE 4.2.9. CADBURY NIGERIA PROVIDES SALES SERVICE TO ITS CUSTOMER.


Percent

Cumulative Percent

Strongly

Agree

8 12.0 12.0 12.0

Agree 10 20.0 20.0 32.0

71

Undecided 18 36.0 36.0 68.0

Disagree 12 24.0 24.0 92.0

Strongly Disagree

4 8.0 8.0 100.0

TOTAL 50 100.0 100.0


Table 4.2.9 above, shows that 18 respondent which constitute

32.0٪of the Agree that Cadbury Nigeria provides after sales services

to its customer, 18 respondent which constitute 36 ٪ of the

population are not certain above the option and 16 respondent which

constitute 32 ٪ of the population Disagree that Cadbury Nigeria

provide after sales service to its customer.

TABLE 4.2.10. CADBURY NIGERIA PLC, CENTERS ON THE PROVISION OF GOOD BRAND

DECISION.


Percent

Cumulative Percent

72

Strongly

Agree

4 8.0 8.0 8.0

Agree 30 60.0 60.0 68.0

Undecided 8 16.0 16.0 84.0

Disagree 4 8.0 8.0 92.0

Strongly Disagree

4 8.0 8.0 100.0

TOTAL 50 100.0 100.0


Table 4.2.10 above, indicate that 34 respondent which constitute

68 ٪ of the population Agree that Cadbury Nigeria centers on the

provision of good brand decision, 8 respondent which constitute 16

٪ of the population Disagree that Cadbury Nigeria PLC center on the

provision of good brand decision.

73

TABLE 4.2.11. CADBURY NIGERIA PLC, LAID MORE EMPHASIS ON THE

PROVISION OF GOOD QUALITY TO CUSTOMERS.


Percent

Cumulative Percent

Strongly

Agree

4 8.0 8.0 8.0

Agree 30 60.0 60.0 68.0

Undecided 8 16.0 16.0 84.0

Disagree 4 8.0 8.0 92.0

Strongly Disagree

4 8.0 8.0 100.0

TOTAL 50 100.0 100.0


Table 4.2.11 Table above, shows that 34 respondent which

constitute 68٪ of the population Agree that Cadbury Nigeria Plc laid

more emphasis on the provision of good quality to customers, 8

74

respondent which constitute 16 ٪ of the population are not certain

about the option and 8 respondent which constitute 16 ٪ Disagree.

TABLE 4.2.12. BRANDING AFFECT CUSTOMER PURCHASING DECISION.


Percent

Cumulative Percent

Strongly

Agree

4 8 8 8

Agree 42 84 84 92

Undecided - - - -

Disagree - - - -

Strongly Disagree

4 8 8 100

TOTAL 50 100 100


75

Table 4.2.12 branding affect customer’s purchasing decision, all the

respondent are some about the option and only 4 respondent which

constitute 8٪ of the population Disagree, that branding affect

customers purchasing decision.

TABLE 4.2.13 CUSTOMER REALLY ENJOY THE QUALITY OF CADBURY NIGERIA PLC.


Percent

Cumulative Percent

Strongly

Agree

6 12 12 12

Agree 25 56 56 68


Disagree - - - -

Strongly 2 4 4 10076

Disagree

TOTAL 50 100 100


Table 4.2.13 above shows that 36 respondent which constitute 56٪

of the population Agree that customers really enjoy the quality of

Cadbury Nigeria Plc, 14 respondent which constitute 28 ٪ are not

certain about the option and only 2 respondent which constitute 4 ٪

Disagree.

TABLE 4.2.14. CUSTOMERS RATE THE QUALITY OF THE CADBURY NIGERIA PLC

PRODUCTS.


Percent

Cumulative Percent

Strongly

Agree

4 8 8 8

77

Agree 24 48 48 56


Disagree - - - -

Strongly Disagree

4 8 8 100

TOTAL 50 100.0 100.0


From Table 4.2.14 above shows that 28 respondent which

constitute 48٪ of the population Agree that customer rate the quality

of the Cadbury Nigeria Plc product, 18 respondent which constitute

36 ٪ are not certain about the option, and 4 respondent which

constitute 8 ٪ Disagree.

TABLE 4.2.15. CUSTOMERS IMPROVE REAPT BUYING BECAUSE

OF GOOD BRANDING METHOD OF A CADBURY NIGERIA PLC.

78


Percent

Cumulative Percent

Strongly Agree

14 28 28 28

Agree 18 36 36 64


Disagree 2 4 4 -

Strongly Disagree

- - - 100

TOTAL 50 100.0 100.0


Table 4.2.15 above indicate that 32 respondent which constitute

64٪ of the population Agree that customer improve repeat buying

because of good branding method of a Cadbury Nigeria Plc, 16

respondent which constitute 32 ٪ of the population are not certain

about the option, and only 2 respondent which constitute 4 ٪ of the

population Disagree that customers improve repeat buying because

of good branding method of a Cadbury Nigeria Plc.

79

REGRESSION:-

TABLE 4.3.1

Model Summary

.301a .091 .072 .80352Model1

R R SquareAdjustedR Square

Std. Error ofthe Estimate

Predictors: (Constant), BRANDINGa.

source :- computer print out 2010

Table 4.3.1 shows the summary of the fitted model customer

branding and consumer decision, with R square vale of 0.91 or 91٪

or 91% This given the percentage variable in consumer decision

value explained by branding. This small percentage value of 9.1٪

shows that the model is not adequate.

The Test of significant is shown through ANOVA Table. It

shows that the fitted model, brand and consumer decision is

significant at 0.05 level of significant because from the table. The

significance at 0.034 and it is les than 0.05. the “F” calculated is

4.084 and from the “F” is less than 0.05 the “F” calculated is 4.084

and from the “F” table, the “F” tabulated is 4.08. since the “F”

80

calculated is equal, the implication in that branding improve the

consumer decision making in Cadbury Nigeria Plc product. The

coefficients of the fitted model (branding) (is 0.415; 3.004 consumer

decision making) shows that the fitted model is negatively related.

Table 4.3.2

Model Summary

.278a .077 .058 .86276Model1

R R SquareAdjustedR Square

Std. Error ofthe Estimate

Predictors: (Constant), PURCHASEa.

Table 4.3.2 shows the summary of the fitted Model (Branding

and Purchase) with the R square value of 0.077. this gives the

percentage variability in purchase as being explained by variability in

purchase as being explained by branding the small percentage

value of 7.7% shows that ha relationship between purchase and

branding unit adequate.

The ANOVA table gives the test of significance and it shows

that the fitted model purchase and branding is significant since our

81

volume calculated 0.058 is equal to 0.05. Also the “F” calculated is

4.018 and the “F” tabulated is 4.08. since the “F” calculated is

greater than the “F” tabulated, the Null hypothesis will be rejected

and the alternative hypothesis will be accepted. The implication is

that branding has influence the purchase level of Cadbury products.

The coefficients of the fitted model from table 4.2.3 shows the fitted

model (Branding 1. 694; 0.224 purchase).

4.3 HYPOTHESIS TESTING

i Ho:- Branding has not influenced the purchase level of Cadbury

products.

Hi :- Branding has influenced the purchase level of Cadbury

product.

Table 4.3.1

82

ANOVAb

2.991 1 2.991 4.018 .051a

35.729 48 .74438.720 49

RegressionResidualTotal

Model1

Sum ofSquares df Mean Square F Sig.

Predictors: (Constant), PURCHASEa.

Dependent Variable: BRANDINGb.

Table 4.3.1 is used to test the above hypothesis the result of the

regression analysis when branding is regressed with purchase

shows 7.7% inadequate variability. The significant of the variable is

shows by the value of calculated “F” which is 4.018 and the value

of “F” tabulated is 4.08.

The tabulated “F” is equal to the calculated “F” therefore, the

alternative hypothesis will be accepted and the Null hypothesis will

be rejected. From the result of the regression, it shows well branded

products increase the purchase level of such products.

ii Ho:- Branding has not improve consumer decision making in

Cadbury Nigeria Plc products.

Hi: - Branding has improve consumer decision making on Cadbury

Nigeria Plc products.

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Table 4.3.2

ANOVAb

3.089 1 3.089 4.784 .034a

30.991 48 .64634.080 49

RegressionResidualTotal

Model1

Sum ofSquares df Mean Square F Sig.

Predictors: (Constant), BRANDINGa.

Dependent Variable: CONSUMER DECISIONb.

Source :- Print out 2010.

Table 4.3.2 is used to test the above hypothesis. The result of the

regression analysis when branding is regressed with consumer

decision shows 9.1% level of variability consumer decision in

respect to branding. This shows that relationship between the two

variable is not adequate. The “F” tabulated is 4.08 and the “F”

calculated 4.084. since the “F” calculated is equal to the calculated

“F” tabulated, the alternative hypothesis will be accepted and the

Null hypothesis will be rejected.

84

CHAPTER FIVE

5.0 SUMMARY

The purpose of this research was to find out and examine how

branding has influence buying decision of the brands of Cadbury 85

products. It is also aimed at finding out how the branding has

improve the sales of Cadbury product such as bournvita, goldee etc.

Summarily, the research is out to find pertinent answers to questions

like:

- To determine whether branding has influencing buying decision at

Cadbury products.

- To determine whether branding has improved the sales of Cadbury

product.

In chapter two, experts view sought in different areas of

marketing that were relevant to the research. Moreover, lot of books

and journals were stitched to discover the views of various authors.

Chapter three explains the method used in data collection and best

of reliability and value ability. Two hypothesis were tested and their

result are analyzed and interpreted in chapter four. Chapter five

consists of the summary, conclusion and recommendation.

5.1 CONCLUSION

86

This project studied the role of branding in consumer decision

making. The study also shows how branding improve the sales of

Cadbury products. Having carefully, interpreted the findings this

researcher is convinced that consumer are happy and accept

Cadbury products. These love for the products has enabled them

single it out of many products are even calling others attention to

new ones that might benefit them within Cadbury product products.

That consumer in most cases insists on the type and specific

product they want. That the brand name contributes significantly and

it serves as instruments to stimulate the consumer’s demand of

(bournvita) products of Cadbury Nigeria.

In the past, majority of consumers would not bother

themselves about a particular brand but for many similar product

that are tested and found not suitable in the market has now

necessitate the need to concern about a particular brand and hence

the brand selection. This development has made consumers to keep

on evaluate the quality of products on brand name or producer

image as a yardstick for quality.

87

Consequently, the researcher believes that the Cadbury

products has to a very reasonable extent meet the branding needs

of its consumer which result enabled its consumers to have a

favorable buying decisions. There is no doubt that that branding as

one of the tool used in marketing to stimulate consumers

acceptance of product have contributed immensely to the buying

decision of consumers of Cadbury products especially bournvita.

Moreover, in the area of beverages, where there are many

competitors which has led to over floating of market with different

types of similar products Cadbury have continued to maintain high

quality in branding of its products.

5.2 RECOMMENDATIONS

The researcher recommendation would be specifically

focused on the 4ps of marketing tools i.e product, place, price and

promotion since most effective marketing strategies are built around

these tools. Having taken a critical study of the topic, I hereby

recommend as follows;

88

1. That Cadbury Nigeria plc should ensure that their product is

properly branded in not to discourage potential customers and

consumers totally.

2. Cadbury Nigeria plc should improve the quality of their product

in order to encourage consumers in patronizing them. There should

be enough qualified personnel’s to provide this.

3. Cadbury Nigeria plc should embark on an extensive advertising

campaign since most Nigeria are not aware of their bournvita brand.

4. Move focus and work should be done by Cadbury Nigeria plc to

create awareness on her product especially bournvita and this could

be achieved through the following;

(a) Repackaging with solid material and it should be of high quality.

(b) Advertising as one of the communication tools in creating

awareness and introduction of the brand name in marketing strategy

and unique selling proposition.

(c) Sales promotion is another strategy that should be used by

Cadbury effective distribution is also recommended for adequate

89

coverage of the bournvita product. This would make the product

available in all territories.

REFERENCE

Aaker Da (1991): Management Brand Equity, Capitalizing on the

value of a brand name. New York City. Defining Brand

Expectations, Encyclopedia.

Adam Smith and Village Silver Smith (1776): Consumer Behaviour

(3rd Edition) Dryden Press, New York.

Baker, J. Michael; (1977): Marketing an introductory text, McGraw.

Hill inc. 3rd Edition

Evans and Berman (1978): Retail Management Publishing Co.

Aooriach. Macmillan Publishing Co.

Harold, W. B. (1978): Consumer Behaviour (3rd Edition). Dryden

Press, New York City.

Keller and Holden, Lutz (1992): The Role of Branding Awareness.

Kelly (2003): Marketing Research, Encyclopedia.

90

Marketing Bulletin, 2003, 14, Article 2. Reprinted from Marketing

Research On-line, 1996, 1, 1-15.

Olusanya (2004): Defining Consumer Behaviour.

Philip Kotler: (1986): Marketing Analysis Planning and Control 6th

Edition. Marketing Management, McGraw Hill Inc.

4th Edition.

Philip Kotler: (1997): Marketing Management, McGraw Hill inc. 4th

Edition.

Rossiter and Percy (1992): Encyclopedia.

Stanton, W: (1984 & 1986): Fundamental of Marketing, 6th Edition

McGraw Hill.

World Investment News (1999). Published in Forbes Magazine, Oct

18th Issue

http:// marketing-bulletin-massey.ac.nz

91

APPENDIX

QUESTIONNAIRE

Department of Business Administration,

University of Ilorin,

Ilorin,

Kwara State.

Dear Respondent,

92

I am a final year graduating student, Department of Business

Administration, University of Ilorin. I am writing a research on the role

of branding in consumer decision making; a case study of Cadbury

Nigeria Plc.

This research is in partial fulfillment of the award of B.Sc.

Degree in Business Administration. Hence your contribution and

corporation in answering will be strictly confidential and highly

appreciated.

Yours faithfully

SALAUDEEN ISHOLA JAMIU

SECTION A

PERSONAL DATA

Instruction to respondents: Please tick ( ) against the answer of

your choice from the alternatives provided below and fill the blank

spaces where necessary.

93

1. Age: (a) Below 20 years [ ] (b) 21-30years [ ] (c) 31-

40years [ ]

(d) 41-50years [ ] (e) 51 years and above [ ]

2. Sex: (a) Male [ ] (b) Female [ ]

3. Marital Status: (a) Single [ ] (b) Married [ ] (c) Divorced [

] (d) Widow [ ]

4. Educational Qualification: (a) Pry. Sch. Leaving Certificate [

] (b) SSCE [ ]

(c) OND [ ] (d) B.Sc [ ] (e) Illiterate [ ] (f) Others

please specify [ ]

5. Income Level: (a) Less than N5,000 [ ] (b) N6,000 –

N25,000 [ ]

(c) N26,000 – N75,000 [ ] (d) N76,000 – N100,000 [ ]

(e) N100,000 and above [ ]

SECTION B

6. Cadbury product is your favourite. (a) Strongly Agree [ ]

(b) Agree [ ]

(c) Undecided [ ] (d) Disagree [ ] (e) Strongly Disagree

[ ]

94

7. What type of product do you purchase? (a) Bournvita [ ] (b)

Goldee [ ]

(c) Eclaire Sweet [ ] (d) Others please specify

8. Family size and price affordability influence your buying

decision.

(a) Strongly Agree [ ] (b) Agree [ ] (c) Undecided

[ ] (d) Disagree [ ] (e) Strongly Disagree [ ]

9. You have established brand loyalty to Cadbury beverage

product.



10. Cadbury Products are always brought to your attention

through promotional means.



11. Branding of a product influence the type of product you buy.



12. Cadbury Nigeria Plc provides after sales services to its

customer.

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(a) Strongly Agree [ ] (b) Agree [ ] (c)

Undecided [ ] (d) Disagree [ ] (e) Strongly Disagree [

]

13. Cadbury Nigeria Plc centres on the provisions of good brand

decision.



14. Cadbury Nigeria Plc laid more emphasis on the provision of

good quality to customers



15. Does branding affects customer’s purchasing decision?



16. Customers really enjoy the quality of Cadbury Nigeria Plc

Products.



17. Does customer rate the quality of the Cadbury Nigeria Plc

products?

96



18. Customers improve repeat buying because of good branding

method of Cadbury Nigeria Plc.



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the role of branding in consumer decision making

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