Advertising On Sales Volume: A Case Study Of Coca Cola ' Products In Kampala District

TABLE OF CONTENTS

DECLARATION .................................................................................................. I

APPROVAL. ...................................................................................................... II

DEDICATION ................................................................................................. III

ACKNOWLEDGEMENT ..................................................................................... IV

TABLE OF CONTENTS ...................................................................................... V

LIST OF TABLES ............................................................................................. VI

LIST OF FIGURES .......................................................................................... VII

ABSTRACT ................................................................................................... VIII

CHAPTER ONE ................................................................................................. 1

1.0 INTRODUCTION .............................. , ........................................................... 1

1.1 BACKGROUND OF THE STIJDY .......................................................................... 1

1.2 STATEMENT OF THE PROBLEM ......................................................................... 1

1.3 PURPOSE OF THE STIJDY ............................. ,, ................................................. 2

1.4 THE SPECIFIC OBJECTIVES ARE; ...................................................................... 2

1.5 RESEARCH QUESTIONS .................................................................................. 2

1.6 SCOPE OF THE STIJDY ................................................................................... 2

1. 7 SIGNIFICANCE OF THE STIJDY ......................................................................... 3

1.8 LIMITATIONS OF THE STIJDY ........................................................................... 3

1. 9 CONCEPTUAL FRAMEWORK ............................................................................. 4

CHAPTER TWO ............................................................................................. 5

LITERATURE REVIEW ................................................................................ 5

2. OINTRODUCTION ........................................................................................... 5

2.1 CONCEPTS OF ADVERTISING .......................................................................... , 5

2.2. THE TYPES OF ADVERTISEMENTS .................................................................... 6

2. 2.1 PRINT ADVERTISING .................................................................................. 6

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2.2.2 ONLINE ADVERTISING ................................................................................ 7

2.2.3 MEDIA ADVERTISIN_G ................................................................................. 8

2. 2.4 OU1DOOR ADVERTISEMENTS ....................................................................... 9

2.3. fEATIJRES OFA GOOD ADVERT ..................................................................... 11

2.3.1. CREATIVE APPROACHES TO A GOOD ADVERT .................................................. 11

2.3.2. STEPS INVOLVED IN DEVELOPING EFFECTIVE ADVERTISING MESSAGE .................... 12

2.4. CRffiCISMS OF ADVERTISING ...................................................................... 12

2.5. FACTORS AFFECTING SALES VOLUME .......................................................... : ... 13

2.5.1 MARKET SEGMENTATION .......................................................................... 13

2.5.2 BUYER BEHAVIOR ................................................................................... 14

2.5.3. PRODUCT PERSONALITY AND PERCEPTIONS ................................................... 14

2.5.4 5!1UATIONAL FACTORS ............................................................................ 14

2.6. BENEFITS OF ADVERTISING ON SALES VOLUME .................................................. 14

2.6.1 INFORMATION ....................................................................................... 15

2.6.2 BRAND IMAGE BUILDING .......................................................................... 15

2.6.3 INNOVATION ......................................................................................... 15

2.6.4 NEW PRODUCT LAUNCH ............................................................................ 15

2.6.5 GROWrn OF MEDIA ••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••• 15

2.6.6. BENEFIT ON ECONOMIC PERFORMANCE •••••••••••••••••••••••••••••••••••••••••••••••••••••••• 16

2.6.7. FOR PERSUASION .................................................................................. 16

2.6.8. CONTRIBUTION TO ECONOMIC GROWTii ••••••••••••••••••••••••••••••••••••••••••••••••••••••• 16

2.6.9. CATALYST FOR CHANGE ........................................................................... 17

2.7. WAYSmIMPROVESALESVOLUME ................................................................ 17

2.8. RELATIONSHIP BETWEEN ADVERTISING AND SALES VOLUME .................................. 18

CHAPTER THREE ........................................................................................ 19

METHODOLOGY ...................................................................................... 19

3.0 INTRODUCTION ........................................................................................ 19

3.1 RESEARCH DESIGN .................................................................................... 19

3.2 5TuDY POPULATION .................................................................................. 19

3.35AMPLE DESIGN ........................................................................................ 19

3.4. METHODS OF DATA COLLECTION .................................................................. 19

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ABSTRACT The study was to establish the effects of advertising on sales volume of coca products

In Kampala district and it was guided by the following objectives; to examine the

features of a good advertisement, to determine factors affecting sales volume and to

determine ways to improve sales.

Unfortunately, however, sales in Coca-cola, Kampala has consistently been reported to

be low because of the competition it faces from other soft drinks on the market such as

Pepsi Cola products, mineral water, safi, mention but a few. failure to have best sales

productivity from coca cola, leads to several undesirable outcomes such as poor service

delivery, poor company performance and consequent failure. Further coca-cola's

competitors have aggressively embraced on the idea to get best sales from

performance, which puts coca-cola's survival at risk, hence the need for this study to

examine the effects of advertising on sales volume in Coca cola-Kampala.

The findings of the study shows that, there are a number of effects of advertising on

sales, that is, consumers awareness, it gives favorable images which help in generating

brand loyalty and help in new product launch.

Also sales volume was affected by factors like; careful market segmentation,

the perception of the product, brand in the mind of the customers and market situation

like competition, price position among others.

from the findings sales volume can be improved by; building customer and brand

loyalty, by use of aggressive advertising, by stressing unique features of the product, by

creating goodwill for the product, brand or company and by motivation of the

customers. The research concluded that there was a close relationship between

advertising and sales volume and when advertising is done efficiently and effectively it

leads to increase in sales volume. Therefore, companies need to advertise efficiently

and effectively to increase sales volume, survive and thrive in today's competitive

market.

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