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Transcript of Brand Management as a Tool For Product Growth and Development
BRAND MANAGEMENT AS A TOOL FOR
PRODUCT GROWTH AND DEVELOPMENT
(A CASE STUDY OF UNILEVER NIGERIA PLC.)
BY
KAZEEM KAUSARAT TEMITOPE
06/66MC126
A RESEARCH PROJECT SUBMITTED IN PARTIAL
FULFILMENT OF BACHELOR OF SCIENCE B.SC (HONS)
DEGREE IN THE DEPARMENT OF BUSINESS
ADMINISTRATION, FACULTY OF BUSINESS AND SOCIAL
SCIENCES, UNIVERSITY OF ILORIN, ILORIN. NIGERIA.
JUNE, 2010.
CERTIFICATION
This research project has been read and approved as meeting the
requirement of the award of Bachelor of Science B.Sc (Hons.) Degree in
Business Administration of Faculty of Business and Social Sciences,
University of Ilorin.
-------------------------- ----------------------------
Dr U. Gunu Date.(Project Supervisor.)
-------------------------- ----------------------------
Dr. (Mrs) S.L. Adeyemi Date.(Head of Department)
-------------------------------- ------------------------------
Prof. A Adedayo Date.(Dean of Faculty.)
------------------------------- -------------------------------
(External examiner) Date.
ii
DEDICATION
This project is dedicated to Almighty Allah (SW) for whatever I
am is by His grace. Also to my parents Alh. M.O. Kazeem and Mrs. F.M
Kazeem who supported me financially and morally and whose prayer
have nourished my endeavour with divine blessing and whose
encouragement and effort are responsible for where I stand today. Also to
my siblings, Kazeem Abdulsamad Ayobami and Kazeem Abduljelil
Oluwaseun for their support.
iii
ACKNOWLEDGEMENTS
I am very grateful to Almighty Allah (SW) who granted me life
until today and for the wisdom and knowledge he granted me throughout
the period of my course. Glory be to Allah.
I wish to express my profound gratitude to my parents, Alh. M.O.
Kazeem and Mrs. F.M. Kazeem for their care, love and support which has
produced a graduate today.
I am indebted to my supervisor in person of Dr. U. Gunu who
made immeasurable contributions towards the success and quality of this
work. I am very grateful.
Also to my Head of Department Dr. Mrs. S.L Adeyemi, who is
sincerely a mother to all. I pray that God Almighty continue to strengthen
you on his part.
My deep and unreserved appreciation goes to the resourceful
support of department lecturers in person of Dr J.A Adeoti (RIP), DR.
J.O. Olujide, Dr. Lart Badmus (RIP), Dr. J.A. Oladipo, Dr. J.A.
Bamiduro, Dr. D.G Adejumo, Dr. J.O Adeoti (Level Adviser), Dr. R.A
Gbadeyan, Dr. M.A Aremu , Mr. Kadiri, and also Dr. G. Oyeyemi and
Mr. Jamiu Saka of the Department of Statistics, having cooperatively
iv
groomed me in the profession of Business Administration. Also to the
non academic staff of the department, I say “Thank you” to you all.
I sincerely appreciate the effort of my roommates from 100 level to
date for their encouragement and moral support. They also contribute to
produce a graduate.
I also acknowledge the entire executives and members of
NUAMBS for their support to the success of the administration of
2009/2010 excos. And also to the executives and members of Business
Administration Muslim Students (BAMSS) Unilorin chapter for
contributing also to the success of the administration. I, as the Financial
Secretary of NUAMBS and Ass. Sister Coordinator of BAMSS, say
“Thank you” and “Jazakumulahu kairan” to all the students of Business
Administration.
To Fakorede Quadri Adebola and all my classmates, I love you all
and pray that this should be a stepping stone to a greater height.
Finally, I also wish myself good luck in all my endeavours
academically, religiously and other lucrative enterprise task I may wish to
engage myself in both now or later in the future. (AMEN).
v
KazeemKausarat Temitope 06/66MC126 May, 2006.
vi
TABLE OF CONTENTS
Cover page........................................................................................ i
Certification........................................................................................ ii
Dedication .......................................................................................... iii
Acknowledgement ...................................................................... iv - v
Table of contents....................................................................... vi - ix
List of tables...................................................................................... x
Abstract....................................................................................... xi - xii
CHAPTER ONE
1.0Background information 1 - 4
1.1 Statement of the research problem 4 - 5
1.2 Objective of the study 5
1.3 Significance of the study 6 - 8
1.4 Scope of the study. 8
CHAPTER TWO
2.0 Introduction
2.1 Literature review
2.2 Brands: Definition 9
vii
2.3 Brand name 9 - 10
2.4 Brand identity 11
2.5 Brand parity and extension 12
2.6 Roles of brands 12 - 13
2.7 Brand equity 14 - 15
2.8 Brand equity models 15 - 19
2.9 Building brand equity 20
2.10 Measuring brand equity 20 - 21
2.11 Managing brand equity 21
2.12 Choosing brand elements 21 - 25
2.13 Brands audits 23 - 24
2.14 Brand tracking 25
2.15 Brand valuation 25
2.16 Branding 26
2.17 Branding approaches 27 - 28
2.18 Products: Definition 29
2.19 Product classification 29 - 31
2.20 Product levels 32
2.21 Differentiation of products 33 - 34
viii
2.22 Product life cycle 35 - 41
2.23 Product service system 41
2.24 Impact of product service system 42
2.25 Product system and product mixes 46
2.26 Product hierarchy 43 - 44
2.27 Product packaging 45 - 46
2.28 Product labelling 46 - 47
2.29 Product warrantees and guarantees. 47
CHAPTER THREE
Research Methodology
3.0 Introduction 48
3.1 Historical background of Unilever Nig. plc. 48 - 52
3.2 Research hypothesis 52
3.3 Data specification 53
3.4 Sampling including sampling frame 53 - 54
3.5 Methods of data collection 54
3.6 Methods of data analysis 55 - 56
3.7 Methodological limitations 56 - 57
ix
CHAPTER FOUR
4.0 Introduction 58
4.1 Data presentation, analysis and interpretation 58 - 71
4.2 Hypothesis testing 73
CHAPTER FIVE
5.0 Summary, conclusion and recommendations 74
5.1 Summary of the findings 74 - 75
5.2 Conclusion 75 - 77
5.3 Recommendations. 77 - 78
References
Appendix
Questionnaire
Statistical table
LIST OF TABLES
x
Table 2.1: Brand resonance pyramid
Table 2.2: The world’s ten most valuable brands in 2009
Table 2.3: Product life cycle diagram
Table 4.2.1: Demographic characteristics of respondents
Table 4.2.2: Regression analysis between branding and price
Table 4.2.3: Regression analysis between branding and sales
Table 4.2.4: Regression analysis between branding and consumer
satisfaction
Table 4.2.5: Regression analysis between branding and product
distinctiveness
Table 4.2.6: Regression analysis between branding and product growth
and development
Table 4.2.7: Correlations of variables
ABSTRACT
xi
One of the major objectives of manufacturing companies is to
maximize profit and satisfy consumer which guarantee their growth and
survival in the competitive market environment. But customers does not
know the identity of their demand products that will give them the
required satisfaction, firms does not incorporate the needs and wants of its
customers in its products, also firms does not ensure that the prices of
such products and finally, potential and existing customers are not
informed continually about the products.
This research examined the impact of effective brand management
on product growth and development using Unilever Nig. Plc. as a case
study. It also examined the challenges associated with the product and
brand management and the level at which the product represents the
company’s image, competencies and characteristics.
Primary data was required for this research and was controlled
through questionnaire. Convenience sampling technique and exploratory
research design was used to collect data from the wholesalers of Unilever
Nig. Plc. Who are the sample population. Regression analysis and
correlation was used to analyse the data collected from the respondents
and also used to test three hypotheses. The independent variables: price,
xii
sales, distinctiveness, and consumer satisfaction and the findings of the
regression showed that branding affects sales and product distinctiveness
positively and does not affect price and consumer satisfaction. This can be
traced to the effect of economic depression on the Nigerian economy.
Manufacturing companies should assist their wholesalers either in
training/technical support and study well the stages of product life cycle
and ensure that appropriate strategy is applied to each stage in order to
eliminate decline of its products.
Researchers and firms will find the discoveries in this research
work very useful.
xiii
CHAPTER ONE
1.0 Introduction
1.1 Background Information
Successful organisations engage in several action which is aimed at
satisfying the consumers and profit making. Manufacturing industries tends
to make sure that their products are differentiated from other products in a
unique way.
Nowadays, the manufacturing organisations of most developing and
developed countries produces products of high quality to satisfy their
customers. Most of those products has competing products being produced
by other companies.
All manufacturing companies (which produces goods and services)
now see the importance of branding their products and the benefits they are
going to derive from effective and efficient branding. Therefore
manufacturing companies have their products named and uses patent or
trademark to protect it due to the competitiveness of the economy so that
their customers can identify and differentiate their products from other
competing products.
1
Brand management is the method and means by which you propel
your business into the public’s consciousness. It is also the process by
which marketing techniques are applied to a specific product or brand
(Wikipedia, 2010).
Marketers of successful twenty-first century brands must excel at the
strategic brand management process. Strategic brand management involves
the design and implementation of marketing activities and programs to
build, measure, and manage brands to maximize their value. To brand a
product, it is necessary to teach customers “who” the product is by giving it
a name and using other brand elements to help identify it as well as “what”
the product does and “why” customer’s value to be created, consumers
must be convinced that there are meaningful differences among brands in
the product or services category.
Branding can be applied virtually anywhere a consumer has a
choice. It is possible to brand a physical good ( Cadbury Bournvita, Nestle
Milo), a service (Oceanic bank Easy save Account, UBA Halal Savings
account), a store (Shoprite in Lagos, B-System in Ilorin), a person (Deola
Sague, Tiffany Amber), a Place (Lagos City, Federal Capital Territory), an
2
organisation (NACCIMA, World Health Organisation), or an idea (Trade
fair, Sales Promotion, Funfair).
The strategic brand management process involves four main steps:-
1. Identifying and establishing brand positioning.
2. Planning and implementing brand marketing.
3. Measuring and interpreting brand performance.
4. Growing and sustaining brand value.
The value of brand is determined by the amount of profit it generates
for the manufacturer which can result from the combination of increase in
price, reduced cost of goods sold, or more effective marketing instruments.
Companies that has chain of products focus on branding because it
enhance sales and also assists the product from decline in the competitive
market.
Research of McKinsey and co. (2000), suggests that “strong, well -
leveraged brands produces higher returns to shareholders than weaker,
narrower brands”. This means that brands seriously impact on
shareholder’s value and ultimately makes branding the responsibility of the
Chief Executive Officer.
3
The American Marketing Association defines a brand as a “name,
term, sign, symbol, or design, or a combination of them intended to identify
the goods and services of one seller or groups and to differentiate them
from those of other sellers”. These differences may be functional, rational
or tangible, related to the product performance of the brand. They may also
be more symbolic, emotional or intangible, related to what the brand
represents.
Kinnear and Benhard (1990) defined brand name as “a part of a
product that can be vocalized including letters, words, or numbers”.
Conclusively, most manufacturing companies only put their
products in the market after it has been adequately branded, packaged and
labelled.
1.2 Statement of the research problem.
Brand management is very important to every firm that has an array
of products. This research work provide answers to the following
questions:
(a) Does customers know the identity of their desired product that will
give them the required satisfaction?
4
(b) Has the firm incorporated the needs and wants of its customers in
the products?
(c) Has the firm ensured that the prices of such products are
commensurate with the forecasted value of the product?
(d) Are the customers informed continually about the products?
In summary, companies that involves in the production of chains of
products gives their products their own identity that will be used by the
customers to identify them in other for the business to achieve its generic
purpose of existence.
Finally, the firm should ensure that the strategies above, which is
used to actualize its objectives, must be applied to all activities in the
organisation from time to time and also the firm must be conscious of its
external environment. These will help the company to keep moving.
1.3 Objectives of the study.
The main objectives of this study are:
To examine the impact of effective brand management on product growth
and development.
To examine the effect of brand management on product sales volume.
5
To access the challenges associated with product brand management.
To examine if the brand represents the company’s image, competencies,
and characteristics.
To access if the brand have more influence in the competitive market to
motivate customers to purchase.
To suggest likely solutions to the identified problems.
1.4 Significance of the study.
This research project suggests how product brand can be efficiently
and effectively planned, managed and used in achieving the firm’s growth
and development.
Brands identify the maker of a product and allow consumers to
assign responsibility to a particular manufacturer, consumers evaluates the
identical products differently depending on how it is branded. consumers
learn about brands through past experiences with the product and its
marketing program (finds out which product satisfy their needs and which
do not).
To firms, brands simplify product handling or tracing. it also helps
to organize inventory and accounting records. A brand also offers the firms
6
legal protection for unique features or aspect of the product since the brand
name can be protected through patents and packaging can be protected
through copyrights and designs. These property rights ensure that the firm
can safely invest in the brand and reap the benefits of valuable assets.
Brand loyalty provides predictability and security of demand for the
firm and creates barriers to entry that makes it difficult for other firms to
enter the market. Loyalty can translate into a willingness to pay a higher
price.
Branding can be seen as a powerful means to secure a competitive
advantage because competitors, despite duplicating manufacturing process
on the product designs, cannot easily match lasting impressions on the
minds of consumers.
This study reveal that sound and effective brand management will
have an impact both on the product and the organisation because brands
today plays important role that improves consumers life and enhance the
financial value of firms.
Brand management enables the product to be well known and well
differentiated from other competing products by the wholesalers, retailers
and consumers. This helps to increase the level of sales of those products,
7
enable the product to maintain its peak stage in the competitive market. It
also help the product to build positive image for the company.
The research also show how branding is making customers feel
confident about the whole product range. Branding is not about getting the
organisation’s target market to choose it over its competitors, but it is about
getting the organisation’s prospects to see it as the only one that provides a
solution to their problems.
Finally, the research focused on the effect of brand management on
product growth and development in increasing sales, increasing the
acceptability of a brand, brand loyalty and commitment of the customers.
1.5 Scope of the study.
This research is based on entity scope because Unilever Nig. Plc. has
a portfolio of investment and produces many products like toothpaste, body
cream, margarine, soap, detergents, to mention a few. The scope of this
research considered how effective brand management has been on the
products of Unilever Nig. Plc.; how well the wholesalers, retailers and
consumers respond to the effect of brand management on the products of
Unilever; how well the products can represent and protect the image of the
8
company, how well the consumers can differentiate the products of
Unilever from that of other competitors. This research covered 5 years time
frame i.e. from 2005 to 2010; because the later the period, the more current
the data and lesser the variability.
9
CHAPTER TWO
2.0 Introduction
This chapter is a review of relevant literature for the research
work. It is the account of library work for this research. Literatures on
various aspects of the research area were collected and were analysed here
to enhance the content of the work. The chapter is grouped in sections and
sub-sections which are linked with one another to make sense out of the
various issues involved in this work. The chapter is concluded with a
conceptual framework derived from various issues, concepts and theories
that are relevant to t he research work.
2.1 Literature Review
2.2 Brand: Definition
From Wikipedia, the word “brand” was derived from the old Norse,
brands, meaning “to burn”. It refers to the practice of producers burning
their marks into their products. It then defined “brand” as a distinguishing
name and/or symbol intended to identify a product or producer. Kotler
2006, defined a brand as a name, term, sign symbol or design, or a
combination of them intended to identify the goods and services of one
10
seller or group of sellers and to differentiate them from those of the
competitors”. This definition implies that a brand is a product that adds
dimensions that differentiates it in some way from other products designed
to satisfy the same need. These differences may be functional, rational or
tangible, related to the product performance of the brand and may also be
symbolic, emotional or intangible, related to what the brand represents.
That act of creating and maintaining a brand is called brand management.
2.3 Brand Name
The online dictionary defines a brand name as a name that denotes
specifically, written or spoken linguistic elements of any product.
(Wikipedia, 2009.)
Types of Brand Name
Brand names comes in many styles or forms it includes:
1. Acronym: A name made of initials such as UPS or PZ.
2. Descriptive: Names that describes a product benefit or function like
”so klin”
3. Alliteration and Rhyme: Names that are fun to stay in consumers’
minds e.g. “chokie chokie”.
11
4. Evocative: Names that evoke a relevant vivid image e.g. “Amazon”.
5. Neologism: Names that are completely made up of words like
“KODAK, NOKIA”
6. Foreign word: Adoption of another language like “Samsung”.
7. Founder’s name: Using the names of real people like “Hewlett-
Packard”.
8. Geography: Names from regions or landmarks like “ Fuji Film”.
9. Personification: Names taken from myth or from the minds of
advertising executives like ”Nike”.
The psychological aspect of brand can be distinguished from the
experimental aspect. The experimental aspect consist of the sum of all point
of contact with the brand which is known as brand experience while the
psychological aspect is a symbolic construct created within the minds of
people and consists of all the information and expectations associated with
a product.
2.4 Brand Identity.
They are the attributes that the owner associates with the brand; how
the owner want the consumers to perceive the brands, a product brand
12
identity may acquire, gaining new attributes from consumer perspectives.
Therefore, brand association becomes handy to check customers’
perception of the brand, Brand identity needs to focus on authentic
qualities, real characteristics, of the value of brand promise being provided
and sustained by organisational or production characteristics. (Online
Source, 2009).
2.5 Brand Parity and Brand Extension
It is the perception of the consumers that all brands are equivalent.
Brand extension means that existing strong brand names can be used for
new or modified products. For instance, Evans Cipla extended their brands
to Antiulcerants, Antiretroviral, and others. Keller 2006, explains multi
brands as a situation where a producer launch new brands with his existing
strong brands to gain a market share for the new products.
2.6 Roles of brands
Brands identify the source or maker of a product and allow
consumers to assign responsibilities to a particular manufacturer or
distributor. Consumers may evaluate the identical products differently
13
depending on how it is branded. Consumers learn about brands through
past experiences by finding out which brand satisfies their needs and which
brand does not.
To firms, brand simplify product handling or tracing. Brand helps to
organize inventory and accounting records. Brands also offers the firm
legal protection for unique features of the product. This can be done
through registered trademark; manufacturing process can be protected
through patents and packaging can be protected through copyrights and
designs. These rights ensure that the firm can safely invest in the brand and
reap the benefits. (Online source, Wikipedia; December, 2009).
Brand show the quality of the product so that buyers can buy the
products again. Brand loyalty provides predictable and security of demand
for the firm and creates barriers to entry that make it difficult for other
firms to enter the market. It also can translate into a willingness to pay a
higher price.
To firms, brands represents valuable prices of legal property that can
influence consumer behaviour, be bought or sold, and provide the security
of sustained future revenues to their owner.
14
Features of a Brand
1. Be easy to pronounce, spell or remember.
2. It must be distinctive or unique.
3. It must be acceptable to new products that may be added to the
product line.
4. It must be capable of being registered and legally protected.
2.7 Brand equity.
Brand equity is the added value endowed to products. This value
may be reflected in how consumers think, feel, act with respect to the
brand, as well as the prices, market share and the profitability that the brand
commands for the firm. Brand equity is an intangible asset that has
psychological and financial value to the firm.
Brand equity can be seen from various perspectives.
1. Consumer-based Brand Equity: It can be defined as the
differential effect that brand knowledge has on consumer response to the
marketing of that brand. A brand is said to have positive customer-based
brand equity when consumers react more favourably to a product and can
15
also be said to have negative consumer-based equity if consumers react less
favourably to marketing activity for the brand under the same circumstance.
Consumer-based brand equity lies in what customers have, seen, read,
heard, learned, thought, and felt about the brand. (Kotler and Keller, 2006).
This means the power of brand lies in the customer (potential and existing)
and what they experience directly or indirectly about the brand.
Brand equity arises from differences in consumer response if no
difference, the brand name product can be classified as a generic version of
the product. Then, competition will be based on price. The differences in
response, also results from consumer’s knowledge about the brand and
consumer’s perception, preferences, and behaviour related to all aspects of
the market of a brand.
2.8 Brand Equity Models
A. Brand Asset Valuator:- This model was developed by the advertising
agency “Young and Rubicam” and according to them, there are four
components of brand equity;
Differentiation: Measures the degree to which a brand is seen as
different from others.
16
Relevance: Measures the breadth of a brand’s appeal.
Esteem: Measures how well the brand is regarded and respected.
Knowledge: Measures how familiar and intimate consumers are
with the brand.
Differentiation and relevance combine to determine the brand
strength i.e. reflecting the brand’s past and future value. Esteem and
knowledge creates brand stature which reports more on past performance.
Brand strength and brand stature can be combined to form a power grid that
depicts the stage in the cycle of brand development. Kotler, 2003.
B. Aaker Model: Aaker 2004, views brand equity as a set of five
categories of brand assets and liabilities linked to a brand that add to or
subtract from the value provided by a product or services to a firm and
customers.
The categories includes:
1. Brand loyalty
2. Brand awareness
3. Perceived quality
4. Brand association
5. Other proprietary assets
17
Aaker sees an important concept foe building brand equity an “brand
identity”. Brand identity is a unique set of brand associations that
represents what the brand stands for and promises to customers. Brand
identity according to Aaker has four perspectives:
i. Brand as a product
ii. Brand as an organisation
iii. Brand as a person
iv. Brand as a symbol.
Aaker also conceptualizes that brand identity includes a core and an
extended identity. The core is most likely to remain constant as the brands
moves to new market while the extended identity includes various brand
identify elements, organized into cohesive and meaningful groups.
C. Brandz: Millward (2004) have developed the Brand Dynamics
Pyramid. According to this model, brand building involves a sequential
series of steps. Each step is contingent upon successfully accomplishing the
previous step and objectives at each step in ascending order is highlighted
as follows:-
Presence: Conforming if customers know about the product.
Relevance: Confirming if the product offers anything at all.
18
Performance: Confirming if the product can deliver .
Advantage: Confirming if the product offers something better than
others.
Bonding: Confirming that nothing else beats the product.
The research shows that those at the top of the pyramid, bonded
consumers, build stronger relationships with the brand and spend more of
their expenditures on the brand than those at the lower levels of the
pyramid.
D. Brand Resonance: This model views brand building as ascending,
sequential series of step, from bottom to top:
1. Ensuring identification of the brand with customers and an association of
brand in customers’ minds with a specific product class or customer need;
2. Firmly establishing the totality of brand meaning in the minds of
customers by strategically linking a host of tangible and intangible brand
association;
3. Eliciting the proper customer responses in terms of brand related
judgement and feelings; and
4. Converting brand response to create an intense, active loyalty
relationship between customers and the brand.
19
This model establishes six “brand building blocks” which can be
assembled in terms of a brand pyramid. The model emphasizes the duality
of brands; the rational route to brand building is the left-hand side of the
pyramid, and the emotional route on the right side.
The creation of significant brand equity involves reaching the top or
pinnacle of the brand pyramid, and will occur only if the right building
blocks are put into place. It includes;
Brand salience: Relates to how often and easily the brand is evoked
under various purchase or consumption situations.
Brand performance: Relates to how the product or service meets
customers’ functional needs.
Brand judgements: Focus on customers’ own personal opinions and
evaluations.
Brand feelings: Are customers’ emotional responses and reactions
with respect to the brand.
Brand resonance: Refers to the nature of the relationship that
customers have with the brand and the extent to which customers
feel that they are “in sync” with the brand.
20
Table 2.1 Brand Resonance Pyramid.
RELATIONSHIP
RESPONSE
MEANING
IDENTITY
INTENSE, ACTIVE
LOYALITY
POSITIVE, ACCESSIBLEREACTIONS
STRONG FAVORABLE &UNIQUE BRANDASSOCIATIONS
DEEP, BROAD BRANDAWARENESS.
RESO
NANC
E
JUDG
EMEN
TS
FEEL
INGS
PERF
ORMA
NCE
IMAG
ERY
SALIENCE
Adapted from:- Kotler and Keller. Marketing Management. Pg.281.
Examples of brands with duality is “Master card” as it has both dual
advantage emphasized to the credit card through its acceptance at
establishments worldwide and an example of brand with high resonance is
apple.
2.9 Building Brand Equity
Brand equity can be built by creating the right brand knowledge
structures with the right consumers. This process depends on all brand-
related contacts (whether marketers initiated or not). Peter 1998,
21
“Marketing Research”. Viewing it from marketing management
perspective, there are three main sets of brand equity drivers:
(1). The initial choices for the brand elements or identifies making up the
brand like brand names, slogan, logos.
(2). The product and services and all accompanying marketing activities
and supporting marketing programs.
(3). Other associations indirectly transferred to the brand by linking it to
some entity e.g. a person, a place or a thing.
2.10 Measuring Brand Equity
There are two basic approaches to measuring brand equity. An
indirect approach assessing potential source of brand equity by identifying
and tracking consumer’s brand knowledge structures and a direct approach
assesses the actual impact of brand knowledge on consumer response to
different aspects of the marketing. The two general approaches are
complementary and both can be employed. Brand audits is essential for the
indirect approach while brand tracking is essential also for the direct
approach. Kotler and Keller; 2009.
22
2.11 Managing Brand Equity
Brand Reinforcement:-
A brand needs to be carefully managed so that its value does not
depreciate. Many brand leaders of years ago are still brand leaders today
(Coca-Cola, Heinz) by constantly striving to improve their products,
services and marketing.
Reinforcing brand equally requires innovation and relevance
throughout the marketing program. Marketers must introduce new products
and conduct new marketing activities that satisfy their target market. The
brand must always be moving forward in the right direction. Brands that
fail to do this loose their market leadership. Like Levi status, Kmart, what
to consider in reinforcing brands is the consistency of the marketing
support that the brand receives in kind and in cash. Failure to reinforce the
brand will diminish brand awareness and weaken brand image. Wikipedia,
2009.
2.12 Choosing Brand Elements
Brand elements are those trademarkable devices that serve to
identify and differentiate the brand. Most strong brands employ multiple
23
brand elements. Like Nike has a distinctive logo “swoosh”, the
empowering slogan “Just do it” and the mythological name “Nike” based
on their victory. Brand elements can be chosen to build as much brand
equity as possible. Wikipedia 2009.
Criteria for Choosing Brand Element
1. Memorable: Knowing how easily the brand element is recalled,
how it is easily recognized. Short brand names can be useful here
e.g. Omo.
2. Meaningful: Knowing to what extent is the brand element
credible, knowing if it suggests something about a product
ingredient or considering the meaning of the brand name.
3. Likeability: Knowing how appealing the consumers find the
brand element. Knowing if the product is visually or verbally
likeable.
4. Transferable: Determining if the brand element can be used to
introduce new products in the same or different categories.
Knowing to what extent does the brand elements add to brand
equity across market segments.
24
5. Adaptable: Getting to know how adaptable and updatable in the
brand element.
6. Protectable: Knowing how legally protectable is the brand
element, how competitively protectable
The above six criteria can be classified into two. The first three can be
characterized as “brand building” in terms of how brand equity can be built
through the judicious choice of a brand element. The latter three are more
“defensive” and are concerned with how the brand equity contained in a
brand element can be leveraged and preserved in the face of different
opportunity and constraint.
2.13 (A) Brand Audits
Brand audits are conducted to better understand the brand. A brand
audit is a consumer-focused exercise that involves a series of procedures to
access the health of the brand, uncover its sources of brand equity and
suggest ways to improve its equity. (Laurel “Brand Audits Reshaping
Images”, pg 38 - 41, 1996 revised 2003).
The brand audit can be used to set strategic direction for the brand
and such strategic analysis can be used by the marketer to develop a
25
marketing program to maximize long-term brand equity. A brand audit
requires the understanding of sources of brand equity from the perspective
of both firm and the consumer. From the perspective of the firm, it is
necessary to understand what kinds of products are currently being offered
to consumers and how they are being marketed and branded. From the
perspective of the consumer, it is necessary to reveal the true meaning of
brands and products to the consumer. Brand audits consist of two steps:-
(1) Brand Inventory: The purpose of brand inventory is to provide a
current profile of how all the products sold by the company are
marketed and branded. This information should be accurate,
comprehensive and timely, and summarized in both visual and
verbal form. Kotler and Keller, 2006 “Marketing Management”
Pg. 289.
(2) Brand Exploratory: It is a research activity conducted to
understand what consumers think and feel about the brand and its
correspondent product category to identify sources of brand
equity. Brand exploratory can also be used to interview company
personnel to know their beliefs about consumer perceptions.
26
The preliminary research may yield useful findings and suggest certain
hypothesis but they are often incomplete until when additional research
may be required to better understand how customers use the product and
what they think about the different brands.
For instance, “Duracell” learned that people had trouble when removing
a tab from its hearing aid batteries and it introduced a new product “Easy
tab”.
2.14 (B) Brand Tracking
Tracking collects information from consumers on a routine basis
overtime. Tracking employs quantitative measures to provide marketers
with current information about their brands and marketing programs are
performing. Tracking is a means of understanding where, how much, and
what ways brand value is being created.
Tracking helps managers by providing consistent information to
facilitate their operational decisions.
2.15 (C) Brand Valuation
Brand valuation deals with the job of estimating the total financial
value of the brand. Companies like Nestle base their growth on acquiring
and building rich brand portfolios in the world’s largest food company.
27
Table 2.2 displays the world’s most valuable brands in 2009
according to Interbrand Ranking.
The world’s ten most valuable brands in 2009
RANK BRAND 2004 BRAND VALUE (BILLIONS)
1. Google $101.4
2. Microsoft $77.3
3. Coca-Cola $68.5
4. IBM $67.5
5. McDonald $67.3
6. Apple $63.9
7. China Mobile $62.2
8. GE $59.9
9. Vodafone $50.2
10. Marlboro $50.1
Table 2.2 Adapted from; Online source; Google, 2009
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2.16 Branding
Kotler and Keller (2006) explains branding as endowing products
and services with the power of a brand. It is all about creating differences.
For branding strategies to be successful and brand value to be created,
customers must be convinced that there are meaningful differences among
brands in the product category. Consumers must not think that all brands in
the category are the same.
Branding can be applied everywhere a consumer has a choice.
Physical goods, a service, a store, a person, a place, an organisation, or an
idea, can be branded.
2.17 Branding Approaches
1. Company name : Using only the company name for branding in this
case, a very strong brand name is given to a range of products e.g.
Mercedes-Benz or a range of subsidiary brands e.g. Cadbury Dairy
Milk.
2. Individual branding : Each brand has a separate name which may
even compete against other brands from the same company e.g.
Omo, Surf by Unilever.
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3. Attitude branding : Naomi 2000, describes attitude branding as a
fetish strategy. it is the choice to represent a larger feeling, which is
not necessarily connected with the product or consumption of the
product. e.g. Apple Inc, Nike.
4. Iconic brands : Having aspect that contribute to consumers’ self
expression and personal identity. Identity brands are those whose
value to consumers comes primarily from having identity value.
Some of these brands have strong identity that they become “cultural
icons” which makes them “iconic brands” e.g. Nike.
Holt 2004 states four key elements to creating iconic brands:-
1. Necessary conditions: The performance of the product must be
preferably with a reputation of having a good quality
2. Myth taking: A meaningful story must be fabricated and these must
be seen as legitimate and respect by customer for stories to be
accepted.
3. Cultural contradictions: A difference with the way consumers are
and how they wish they were.
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4. The cultural brand management process: Actively engaging in the
myth-making process making sure the brand management its
position as an icon.
5. “No brand” Branding: this means “No Label”. Here product are
branded. It means that little is spent on advertisement or classical
branding is therefore actually branding as the brand is made
conspicuous through its absence.
6. Derived brands: In this case, supplier of key component used by a
number of suppliers of the end-product may wish to guarantee its
own position by promoting the component as brand in its own right.
The most recent example is Intel which secures its position in the PC
market with the slogan “Intel Inside”.
2.18 Product: Definition
A product is anything that can be offered to a market to satisfy a
want or need. Product includes physical goods services, experiences,
events, persons, places, properties, organizations, information and ideas.
Wikipedia, 2009.
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2.19 Product Classification
Marketers have traditionally classified products on the basis of
characteristics.
(1) Durability and Tangibility: Products can be classified under these
characteristics into three groups:
(a) Non-durable goods: They are tangible goods normally consumed
since these products are consumed quickly and purchased frequently, they
should be made available in many locations, charge a small price and
advertise heavily.
(b) Durable goods: They are tangible goods that normally require more
personal selling, command a higher margin and require more seller
guarantees.
(c) Services: They are intangible, inseparable, variable and perishable
products. They require more quality control, supplier credibility and
adaptability e.g. legal advice.
(2) Consumer Goods: This can be distinguished by convenience
shopping, specialty and unsought goods.
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(a) Convenience Goods: Consumers usually purchase convenience
goods frequently, immediately and with a minimum effort e.g. soap.
Convenience goods can be subdivided into:-
- Staples: are goods consumers buy on regular basis.
- Impulse goods: are purchased without any planning or search effort
e.g. magazines
- Emergency goods: are goods purchased when the need is urgent e.g.
umbrellas.
Manufacturers of impulse and emergence goods will place them in
those places where consumers are likely to have an urge or need to
purchase.
(b) Shopping goods: are goods that the consumer, in the process of
selection and purchase, compares on the basis of suitability, quality, price
and style e.g. furniture. Shopping goods can be further subdivided into:-
Homogenous Shopping goods: They are goods that are
similar in quality but different in price to justify comparism.
Heterogeneous Shopping goods: They are goods that differ in
product features and services that may be more important
than price.
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Sellers of heterogeneous shopping goods ensure satisfying individual tastes
and must have well-trained sales people to inform and advise customers.
(c) Specialty goods: are goods that have unique characteristics or brand
identification for which a sufficient number of buyers are willing to make a
special purchasing effort e.g. men’s suit.
(d) Unsought goods: they are goods that the consumer does not know
about or does not normally think of buying e.g. life assurance, unsought
goods requires advertising and personal selling.
(3) Industrial Goods: They can be classified in terms of how they are
used in production process and their relative costliness. Industrial goods
can be divided into three:
a. Materials and Part: are goods that enter the manufacturer’s
product completely. This subdivision falls into two categories; component
materials and component parts. Price and supplier reliability are key
purchase factors for component materials, component parts enters the
finished product with no further change in form.
(b) Capital items: are long-lasting goods that facilitate developing or
managing the finished product.
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(c) Supplies and business services: are short-term goods and services
that facilitate developing or managing the finished products.
2.20 Product Levels: The Customer Value Hierarchy
Marketers need five product levels in planning its marketing
offering. Each level adds more value and the combination of all the five
levels constitute a customer value hierarchy (Kotler, 2006).
(1) Core benefit: It is the fundamental level. It means the benefit of
the service the customer is really buying. A core product is a
tangible product. For instance, the benefit of a car is convenience
and speed.
(2) Basic product: In this second level, the marketer has to turn the
core benefit into a basic product. For instance, the benefit of
getting a hotel is rest and sleep and the basic product is what is
contained in the hotel like bed, bathroom e.t.c.
(3) Expected product: Here, marketers prepare an expected product.
A set of attributes and conditions buyers normally expect when
they purchase this product. For instance hotel guests expects
clean facilities and a degree of quietness since many hotels can
35
render this service, the traveler will settle for whichever hotel is
most convenient or least expensive.
(4) Augmented product: At the fourth level, marketer prepares an
augmented product that exceed customers expectations.
2.21 Differentiation of Products
Products must be differentiated to be branded. Some products allow
little variation e.g. aspirin and some are capable of high differentiation such
as automobiles. Kotler, 2006.
Product differentiation includes:-
(1) Form: Products can be differentiated in form of the size, shape or
physical structure of the product. Like aspirin can be
differentiated by dosage, size, colour, action time e.t.c.
(2) Features: Many products have varying features that supplement
its basic functions. A company can identify and select new
features by surveying recent buyers and then calculating
customer value versus company cost for each potential features.
(3) Performance quality: It is the level at which the product’s
primary characteristics operate. The manufacturer must design a
36
performance level appropriate to the target market and
competitor’s performance levels. A company must also manage
performance quality through time. Continuous improving of the
product can produce the high returns and market share.
(4) Conformance quality: It is the degree to which all the produced
units are identical and meet the promised specifications. In low
conformance quality, the product will disappoint some buyers.
(5) Durability: It is a measure of the product’s expected operating
life under natural conditions. Buyers will generally want to pay
more for a durable product. The extra price charged on such
product must not be excessive and the product must not be
subject to rapid technological obsolescence.
(6) Reliability: It is a measure of the probability that a product will
not malfunction or fail within a period of time. Buyers will be
willing to pay more for reliable products.
(7) Repairability: It is a measure of the ease of fixing a product when
it malfunctions or fails. Ideal repairability would exist if users
could fix the product themselves with little cost in money or
time.
37
(8) Style: It describes how the product looks and feel to the buyer.
Style creates distinctiveness that is difficult to copy but strong
style does not mean high performance. For instance car buyers
pays more to buy Jaguars because of their extraordinary look but
it does not mean the car is reliable or durable.
2.22 The Product Life Cycle
A company’s positioning and differentiation strategy must change as
the product, market and competitors change. The product life cycle is to
assert four things:-
(1) Product have a limited life.
(2) Product sales pass through distinct stages, each giving different
challenges, opportunities and problems to the seller.
(3) Profits rise and fall at different stages of the product life cycle.
(4) Products require different marketing, financial, manufacturing,
purchasing and human resource strategies in each life-cycle stage.
38
Table 2.3: Adapted from Marketing Management, Kotler and Keller,
2006.
Product development is the incubation stage of the product life
cycle. There are no sales and the firm prepares to introduce the product. As
the product progresses through its life cycle, changes in the marketing mix
are required.
Introduction Stage
When the product is introduced, the sales will be low until
customers become aware of the product and its benefits. Advertising costs
are high during this stage in order to increase customer awareness of the
39
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----
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----
--- -
--- -
----
----
- ---
- ---
- ---
Pro
duct
Sal
es
Introduction Growth Maturity Decline
Product Life Cycle Diagram
product. Firms’ incures additional costs and sales volume is usually low.
This makes the introduction stage a period of negative profits.
The goal of the introductory stage is to establish a market and build
primary demand for the product.
Some of the marketing mix implications of this stage include:
(1) Product: One or few relatively, undifferentiated product.
(2) Price: Generally high, assuming a skin pricing strategy for a high
profit margin as the early adopters buy the product and the firm
seeks to recoup development costs quickly. In some cases a
penetration pricing strategy is used and introductory prices are
set low to gain market share rapidly.
(3) Distribution: Distribution is selective and scattered, as the firm
commences implementation of the distribution plan.
(4) Promotion: Promotion is aimed at building brand awareness.
Samples or trial incentives may be directed toward early
adopters. The introductory promotion also is intended to
convince potential resellers to carry the product. Kotler, 2006,
Online Source, Google 2009.
40
Growth Stages
The growth stage is a period of rapid revenue growth. Sales increase
as more customers become aware of the product and its benefits and
additional market segments are targeted. Once the product has been proven
a success and customers begin asking for it, sales will increase further as
more retailers becomes interested in carrying it. The marketing team may
expand the distribution at this point. When competitors enter the market,
often during the later part of the growth stage, there may be price
competition and increased promotional costs in order to convince
consumers that the firm’s product is better than that of the competitors.
The goal of this stage is to gain consumer preference and increase
sales.
Product: New product features and packaging options, improving product
quality.
Price: Maintained at a high level if demand is high, or reduced to capture
additional customers.
Distribution: Distribution becomes more intensive. Trade discounts are
minimal if resellers show a strong interest in the product.
41
Promotion: Increased advertising to build brand preference. Kotler 2006,
online source, Business news.com 2010.
Maturity Stage
The maturity stage is the most profitable. While sales continue to
increase into this stage, they do so at a slower pace. Because brand
awareness is strong, advertising expenditure will be reduced. Competition
may result in decreased market share and prices. The competing products
may be very similar at this point, increasing the difficulty of differentiating
the product. The firm places effort into encouraging competitors’ customers
to switch increasing usage per customer, and converting non-users into
customers. Sales promotions may be offered to encourage retailers to give
the product more shelf space over competing products.
The primary goal in this stage is to maintain market share and extend
the product life cycle. Marketing mix decisions may include:
Product: Modifications are made and features are added in order to
differentiate the product from competing products that may have been
introduced.
Price: Possible price reductions in response to competition to resellers in
order to avoid losing shelf space.
42
Promotion: Emphasis on differentiation and building of brand loyalty.
Incentives to get competitors’ customers to switch. Kotler 2006, Online
Source, Google 2009.
Decline Stage
Eventually sales begin to decline as the market becomes saturated,
the product becomes technologically obsolete, or customer tastes change. If
the product has developed brand loyalty, the profitability may be
maintained longer, unit costs may increase with the declining production
volumes and eventually no more profit can be made.
The firm has three options in the decline process:
- Maintain the product in hopes that competitors will exist. Reduce
costs and find new uses for the product.
- Harvest it, reducing marketing support and coasting along until
no more profit can be made.
- Discontinue the product when no more profit can be made or
there is a successor product.
The marketing mix in this stage is as follows:-
Product: The number of products in the product line may be reduced.
Rejuvenate surviving products to make them look new again.
43
Price: Prices may be lowered to liquidate inventory of discontinued
products. Prices may be maintained for continued products serving a niche
market.
Distribution: Distribution becomes more selective. Channels that are no
longer profitable are phased out.
Promotion: Expenditures are lower and aimed at reinforcing the brand
image for continued products. Kotler and Keller, 2006; Online Source,
Wikipedia, 2009.
Limitations of the Product Life Cycle
“Life cycle” implies a well defined life cycle as observed in living
organisms, but products do not have such a predictable life and the specific
life cycles curves followed by different products vary. The life cycle
concept is not well-suited for the forecasting of product sales. Furthermore,
the product life cycle may become self-fulfilling if for instance, sales peak
and then decline, managers may conclude that the product is in the decline
phase and therefore cut the advertising budget, thus precipitating a further
decline.
(9) The product life cycle concept helps marketing managers to
plan alternate marketing strategies to address the challenges that
44
their products are likely to face. It is useful for monitoring sales
results over time and comparing them to those of products having
a similar life cycle. Wikipedia, 2009.
2.23 Product Service System
A product service system also known as a function oriented business
model, is a business model, developed in academia, that is aimed at
providing sustainability of both consumption and production. Kotler, 2006,
Google.
Product service system are when a firm offers a mix of both products
and services. Van Halen defined it as “a marketable set of products and
services capable of jointly fulfilling a users needs”. Keller 2003.
Types of Product Service System
(1) Product Oriented Product Service System: Where ownership of
the tangible product is transformed to the consumer but
additional services are provided.
(2) User Oriented Product Service System: Where ownership of the
tangible product is retained by the service provider, who sells the
45
functions of the product through modified distribution and
payment system such as sharing pooling and leasing.
(3) Result Oriented Product Service System: Where products are
replaced by services, such as voicemail replacing answering
machines.
2.24 Impact of Product Service Systems
Product service systems will improve eco-efficiency by enabling
new and radical ways of transforming the “product-service mix” that satisfy
consumer demands whilst also improving the effects upon the environment.
Helen et al (2005), states that the knowledge of product service
system enables both governments to formulate policy with respect to
sustainable production and consumption patterns, and companies to
discover directions for business growth, innovation, diversification and
renewal.
2.25 Product System and Product Mixes
A product system is a group of diverse but related items that
function in a compatible manner. A product mix, also called product
46
assortment, is the set of all products and items a particular seller offers for
sale. The product mix consists of various product lines. A company’s
product mix has a certain width, length, depth and consistency. Wikipedia,
2009.
(1) The width of a product mix refers to how many different product
lines the company carries.
(2) The depth of a product mix refers to the total number of items in the
mix.
(3) The width of a product mix refers to how many variants are offered
of each product in the line.
(4) The consistency of the product mix refers to how closely related the
various product lines are in and use, production requirements, distribution
channels, or some other way. Lines are less consistent as far as they
perform different functions for the buyers.
These four product mix dimensions permits the company to expand
its business in four ways. It can add new product lines, thus widening its
product mix. It can lengthen each product line. It can add more product
variants to each product and deepen its product mix. And finally, it can
pursue more product line consistency.
47
To make any of these products or brand decision, it is useful to
conduct product-line analysis.
2.26 Product Hierarchy
The product hierarchy starts from basic needs to particular item that
satisfy those needs.
The six hierarchy of product is identified below using life assurance
as an example.
(1) Need Family: It is the core need that underlies the existence of a
product family e.g. security.
(2) Product Family: It comprises of all the product classes that can
satisfy a core need with effectiveness e.g. savings and income.
(3) Product Class: A group of products within the product family
that is recognized as having a certain function coherence. It is
also known as product category e.g. financial instruments.
(4) Product Line: A group of products within a product class that are
closely related because they perform a similar function, are sold
to the same customer groups, are marketed through the same
channels, or fall within the same price ranges. Product line may
48
comprise of different brands, or a single family brand or
individual brand that has been line extended e.g. life assurance.
(5) Product Type: A group of items within a product line that share
one of several possible forms of the product e.g. term life
assurance.
(6) Item (product variant): A distinct unit within a brand or product
line distinguishable by size, price, appearance or other attributes
e.g. prudential renewable term life assurance. (Wikipedia, 2009).
2.27 Product Packaging
Most physical products have to be packaged and labeled. Packaging
can be referred to as the activities of designing and producing the container
for a product. Packaging can be classified into primary package (in a
bottle), secondary package (in a cardboard box) and shipping package.
Well packaged products create convenience and promotional value.
The package is the buyer’s first encounter with the product and can turn the
buyer on or off.
The objective of packaging from the perspective of both the firm and
consumers includes:
49
(1) Identify the brand
(2) Convey descriptive and persuasive information
(3) Facilitate product transportation and protection.
(4) Assist at home storage
(5) Aid product consumption
To achieve the marketing objectives for the brand and satisfy the
desires of consumers, the components of packaging must be chosen
correctly i.e. size, shape, material, colour, text and graphics.
Also, various packaging elements must be harmonized with decision
of pricing, advertising and other marketing program.
After the product gas been packaged, it must be tested. Test may be
in form of engineering test conducted to ensure that the package stands up
under normal conditions, visual test to ensure that the script is legible and
the colour is harmonious, dealer test to ensure that dealers find the
packages attractive and easy to handle and finally consumer test to ensure
favourable consumer response. (Kotler, 2006, Online source; Google,
2009).
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2.28 Product Labeling
Seller must label the products in either a simple tag attached to the
product or a designed graphic that is part of the package. The label may be
only the brand name or with other information.
The functions of labels includes:
(1) Labels identifies the product
(2) Labels might grade the product
(3) Labels might describe the product
(4) Labels might promote the product
The Federal Trade Commission Act of 1914, the Fair Packaging and
Labeling Act of Nigeria (1967), the Food and Drug Administration, are
laws guiding how products are labeled.
2.29 Warranties and Guarantees of a Product
Warranties are formal statements of expected product performance
by the manufacturer. Products under warrantee can be returned to the
manufacturer or designed repair center for repair, replacement or refund.
Warranties can be either express or implied but are legally enforceable;
warranties may be general, specific or extraordinary warrantee.
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Guarantee reduces the buyer’s perceived risk. It suggests that the
product is of high quality and that the company is dependable. This enables
the company to charge higher price than a competitor who is not offering
guarantee. Guarantees are most effective where the company or the product
is not well known and where the product’s quality is superior to the
competition.
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CHAPTER THREE
3.0 Methodology
3.1 Introduction
The focus of this chapter is the research methodology. It highlights
the following subunits; research design, research hypothesis, data
specification, sampling including sampling frame, methods of data
collection and analysis,and limitation of the study.
The problem under research determines the appropriate
methodology for any research. The main focus of this research is the impact
of brand management as a tool for product growth and development with
emphasis on Unilever Nig. Plc. as a case study.
The population of the study is the wholesalers of Unilever Nig. Plc.
in Kwara State and exploratory research design is used to obtain vital
information from the respondents.
3.2 Historical Background Of Unilever
Unilever Nig. Plc. was incorporated as Lever Brothers (West Africa)
Ltd. on 11th April, 1923 by Lord Leverhulme, who has since the 19 th
53
century, been greatly involved with the soap manufacturing organisations
in Nigeria.
After several mergers and acquisitions, the company diversified into
manufacturing and marketing of foods, non-soapy detergents and personal
care products. These mergers brought in Lipton Nigeria Ltd. on 1985,
Cheese rough Ponds Industries Ltd in 1988. The company changed its
name to Unilever Nigeria Plc. in 2001. Unilever Nig. Plc. is a public
liability company quoted on the Nigerian Stock Exchange since 1973 with
Nigerians currently having 49% of equity holdings. The long-term success
of this business stems from the strong.
Unilever is a Dutch-British multinational corporation that owns
many of the world’s consumer product brands in foods, beverages, clearing
agents and personal care products. Unilever employed 174,000 people and
had a worldwide revenue of £40.5 billion in 2008.
Unilever is a dual-listed company consisting of the Netherlands and
Unilever Plc. In London, United kingdom. Both Unilever companies have
the same directors and effectively operate as a single business. The current
non-executive chairman of Unilever Plc is Michael Treschow while Paul
Ploman is group Chief Executive Officer (CEO).
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Unilever’s main competitors include Procter and Gamble, Nestle, Danone
Kraft foods, S.C Johnson and son, Reckitt Benckiser, and Hankel.
Unilever was created by the amalgamation of the operations of
British soap market Lever Brothers and Dutch margarine producer,
margarine line, a merger as palmoil was a major raw material for both
margaines and soaps and could be imported more efficiently in larger
quantities.
By 1980, soap and edible fats contributed just 40% of profits,
compared with an original 90%. In 1984 the company bought the brand
BrookeBond (maker of PG Tips tea).
In 1987, Unilever strengthened its position in the world skin care
market by acquiring Chesebrough ponds, the maker of Ragu Ponds,
Aquanet, Cutex Nail Polish and Vaseline. In 1989, Unilever bought Calvin
Klein cosmetics, Faberge, and Elizabeth Arden, but the latter was later sold
(in 2000) to FFI Fragrances.
In 1996 Unilever purchased Helene Curtis Industry, giving the
company “a Powerful new presence in the limited states shampoo and
deodorant market”. the purchase brought Unilever the ruave and finesse
hair care product brands and degree deodorant brand.
55
Unilever owns more than 400 brands as result of acquisitions,
however , the company focuses on what are called the “Billion Dollar
brands”, 13 brands which each achieve annual sales in excess of € 1billon.
Unilever’s top 25 brands account for more than 70% of sales. The brands
fall almost entirely into two categories: food and beverages, and home and
personal care.
Unilever is the world’s biggest ice cream manufacturer with an
annual turnover of € 5 billion . In 2000, the company absorbed the
American Business Bert Foods, strengthening its presence in North
America and extending its portfolio of foods brands. In April 2000, it
brought both Ben & Jerry’s and Slimfast. the company is fully
multinational with operating companies and factories on every continent
and research laboratories at Colewort and Port sunlight in England,
Mardinge in the Netherlands; Trumbull, Connecticut, and Eaglewood cliffs,
Newjersey in the United States; Bangalore in India and shanghai in China.
The US division continued to carry the “Lever Brothers” name until
the 1990s, when it adopted the parent company’s moniker. The American
unit now has headquarters in Newjersey and not in New York city.
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The company is said to promote sustainable agriculture programme
in 1998. In may 2007, it became the first tea company to commit to
sourcing all its tea in a sustainable manner , employing the Rainforest
Alliance, an international environmental Non-governmental organisation,
to certify its estates in East Africa, as well as Third-party suppliers in
Africa and other parts of the world it declared its aim to have all Lipton
yellow label and PG Tips tea bags sold in Western Europe Certified by
2010, followed by all Lipton tea bags globally by 2015.
3.3 Research Hypothesis
Hypothesis is explained as the statement created by a researcher
when they speculate upon the outcome of a research. (Encyclopaedia,
2009). There are basically two types of hypothesis which are; null and the
alternative hypothesis. The null hypothesis predicts no difference between
comparison groups or association among tested variables while the
alternative hypothesis predicts either a simple difference or a difference in a
particular direction.
In other to achieve the objectives of the research, the underlisted null
hypothesis were subjected to empirical testing:-
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(1) Ho :- Brand management is not essential for product growth and
development.
(2) Ho :- Brand management does not affect the satisfaction of
consumers positively.
(3) Ho :- There is no positive relationship between branding and sales
of products.
3.4 Data Specification
In this research, primary is required and collected. Primary data is
collected through the issuance of questionnaire administered to the
wholesalers of Unilever Nig. Plc. And this data is suitable for the statistical
analysis involved. The questionnaire obtained information about dependent
and independent variables. The dependent variable is ‘product growth’
while the independent variable is ‘branding’. The variables as examined in
this research that will imply that a product is growing includes sales,
product distinctiveness, consumer satisfaction, and price. These variables
are measured against ‘branding’ in this research to know the level of
relationship.
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Also, books and periodicals, published reports, magazines, library
researches are used where necessary.
3.5 Sampling Including Sampling Frame
In this study, the wholesalers of Unilever Nig. Plc. are the target
population . The three strategic areas where wholesalers dominate in Ilorin,
Kwara state are:- Oja Titun, Oja Oba and Yoruba road market.
Questionnaire drawn for 100 respondents (for the sample to be
representative) is used for the research.
Hence, 50 respondents was selected at Oja Oba, because the market
has the largest number of wholesaler, 30 at Oja Titun and 20 at Yoruba
road market.
Convenience sampling technique is used to gather information from
the respondents which means all the units of the population had equal
chance of selection. This technique is preferred from others because it
saves time, cost, it is convenient, and it is free from bias.
5 years time frame is examined in the research because the cost of
gathering information is prohibitive and for the accuracy of information to
be justifiably enhanced. The selected markets chosen for the research are
59
due to large number of wholesalers of Unilever Nig. Plc. present in
compare to other markets.
3.6 Methods of Data Collection
The instrumentation used in this research is questionnaire. A
questionnaire is a series of relevant questions which is usually used to elicit
information from the target population of a given study (Oxford Dictionary
2006). The questionnaire contained structured and non-distinguished
formal list of direct questions, that is closed ended and classified into two
sections. The first section is used to gather the personal data of the
respondents and is titled ‘Personal Data’ while the second section which is
titled ‘Branding as a tool for product growth and development’, contained
questions related to the research work. The questionnaire was distributed to
the wholesalers of Unilever Nig. Plc. to generate data that is used for the
statistical analysis involved in this research . This technique was adopted
because of its reliability and ease of response from the respondents.
Theoretical background information was collected through review of
related literature on management and product growth and development.
Online source is also used where necessary.
60
3.7 Methods of Data Analysis
Simple regression analysis is used to analyse the obtained data from
the study. Regression analysis is the technique used to analyse the
relationship between dependent and independent variable(s). It helps to
explain how the value of the dependent variables changes when the
independent variable vary.
In this research work, ‘branding’ is the independent variable while
the level of sales, price, distinctiveness, and consumer satisfaction are the
dependent variables. Therefore, this research examined how effective
branding of a product will affect the level of sales of the wholesalers of
Unilever Nig. Plc.
Conclusively, regression analysis and correlation is used to ascertain
whether or not brand management is a tool for product growth and
development. The regression equation includes:
Y = a + bx
r = n∑xy – ∑x∑y
[n∑X2- (∑X)2) (n∑y2-∑y)2]
where r = the correlation coefficient.
x = the independent variable.
61
y = the dependent variable
n = the number of years under observation.
3.8 Methodological Limitations
A good brand serves to enhances a sound infrastructure with a solid
reputation. Branding cannot provide a quick fix to a company’s problems
or compensate for any shortcomings. Branding will help very little if the
company’s internal operation and cultural personality are opposite what the
company is trying to convey to the outside audience. The company’s
internal personality is as important as its external message. The average
customer is not going to purchase a product or service without feeling
comfortable with a company offering it.
Consumers are on the look out for companies that outright lie. If the
public finds out that it has been achieved, the company in question will
have to deal with a blackmail and the damage may be permanent. The best
way to maintain good public relations during the branding process is to run
an ethical business. Public relation involve sharing information with the
public, and that creates problems when the company have something to
hide.
62
The company should make sure that it is running its brand in a way
that requires it not to keep secretes from any of its company does not live
up to consumer expectation negative words of mouth will eventually be its
undoing. An eye-catching logo that represents an uninspired company or a
substandard product will be quickly sniffed out by buyer, in this case,
branding can work to drive customer away.
63
CHAPTER FOUR
4.0 Data Presentation Analysis And Interpretation
4.1 Introduction
This chapter shows the presentation interpretation and analysis of
the data collected in the field survey by the means of questionnaire
administration to show the effectiveness and impact of brand management
as a tool for product growth and development.
A set of hypothesis is tested using the result of the regression
analysis and analysis of variance. Due to the limitation which hindered a
proper application of the required methodology, 100 copies of the
questionnaire is administered and 91 copies were duly completed and
returned. Data analysis is then done on the completed questionnaires.
4.2 Data analysis and presentation frequency.
SECTION A:- Demographic characteristics of respondents
1 SEX SEX
Male
Female
FREQUENCY
36
55
%
39.5
60.5
64
Total 91 100
2 AGE RANGE
21-30yrs
31-40 yrs
41-50yrs
51and above
Total
FREQUENCY
10
17
45
18
91
%
11.5
19
49.5
20
100
3 MARITAL
STATUS
STATUS
Single
Married
Divorced
Widowed
Total
FREQUENCY
14
60
10
7
91
%
15.5
65.4
11
8
100
4 EDUCATIONAL
STATUS
LEVEL
SSCE
Diploma or
GCE
HND
FREQUENCY
32
22
19
18
%
35
24
21
20
65
Others
Total
91 100
5 FREQUENCY OF
OPENING STORE
RANGE
1-5hrs
6-10hrs
More than 10
hrs
Total
FREQUENCY
17
59
15
91
%
18
65
17
100
Table 4.2.1 Source: Questionnaire Administered, 2010.
The data in table 4.2.1 is obtained from the questionnaire collected
from the wholesalers of Unilever Nig. Plc.
Table 4.2.1 shows that the majority of the respondents were female
who were 55 in number and 60.5 in percentage while the remaining 39.5%
were male who were 36 in number. It further shows that 10 (11.5%) fall
within the age range of 21-30 years, 17 (19%), in the age range of 31 to 40
years, 45 (49.5%) fall into the range of 41 to 50 years, and 18 (20%) falls
into the range of 51 years and above. Table 4.2.1 also reveals that majority
66
of the respondents are married who were 60 in number and 65.4 in
percentage. 14 respondents were single which constitutes 15.5%, 10 (11%)
were divorced while 7 were widowed which is 8%. The table further
explains the education qualification of the respondents. 32 (35%)
respondents have SSCE, 22 respondents have HND qualification, while the
respondent that has other different qualification equate 20% of the
population. The frequency the wholesalers open their store shows that 59
respondents opens their store for 6 to 10 hours which constitutes 65% of the
population, 17 (18%) respondents opens their store for 1 to 5 hours while
15 (17%) respondents open their store for more than 10 hours .
The illustration about the qualification of respondents in table 4.2.1
of the questionnaire. The second section is analysed using regression
analysis, analysis of variance, and correlation and is explained in the tables
below.
Regression
67
Model Summary
.109a .012 .001 .841Model1
R R SquareAdjustedR Square
Std. Error ofthe Estimate
Predictors: (Constant), Brandinga.
ANOVAb
.756 1 .756 1.070 .304a
62.914 89 .707
63.670 90
Regression
Residual
Total
Model1
Sum ofSquares df Mean Square F Sig.
Predictors: (Constant), Brandinga.
Dependent Variable: Priceb.
Coefficientsa
1.939 .215 9.008 .000
-.122 .118 -.109 -1.034 .304
(Constant)
Branding
Model1
B Std. Error
UnstandardizedCoefficients
Beta
StandardizedCoefficients
t Sig.
Dependent Variable: Pricea.
Table 4.2.2 Source: SPSS
Table 4.2.2 shows the summary of the fitted models (branding and
price) with r2 value of 0.012 or 12%. This gives 12% variability in price as
being explained by branding. The small percentage value of 12% shows
that the relationship between price and branding is not adequate.
68
Also, the test of significance is done through ANOVA table. The
“F” calculated is 1.070 and from the statistical “F” table, the “F” value,
F1,89,0.05 = 3.95. This means that the relationship between branding and
price is not significant at 0.05 level of significance. The implication is that,
for this research work, it is concluded that branding does not affect the
price of products of Unilever Nig. Plc.
The coefficient of the fitted model branding and price shows price =
1.939, -0.122 branding. This means that branding is negatively related to
price meaning that price decrease even at a level of increase in branding.
Regression
Model Summary
.411a .169 .159 .823Model1
R R SquareAdjustedR Square
Std. Error ofthe Estimate
Predictors: (Constant), Brandinga.
69
ANOVAb
12.250 1 12.250 18.074 .000a
60.322 89 .678
72.571 90
Regression
Residual
Total
Model1
Sum ofSquares df Mean Square F Sig.
Predictors: (Constant), Brandinga.
Dependent Variable: Salesb.
Coefficientsa
3.468 .211 16.450 .000
.493 .116 .411 4.251 .000
(Constant)
Branding
Model1
B Std. Error
UnstandardizedCoefficients
Beta
StandardizedCoefficients
t Sig.
Dependent Variable: Salesa.
Table 4.2.3 Source: SPSS.
Table 4.2.3 shows the summary of the fitted model (branding and
sales) with the r2 value of 0.169 or 16.9%. This gives 16.9 percent
variability in sales as being explained by branding. The percentage value of
16.9% shows that the model is adequate meaning that as gathered from the
research, branding affects the level of sales. The test of significance of the
fitted model shows that the “F” calculated is 18.074 and the “F” tabulated
F1,89,0.05 = 3.95. Since the calculated “F” value (18.074) is greater than
“F” tabulated (3.95), this implies that branding affects sales of products of
70
Unilever Nig. Plc. The coefficient of the fitted model shows (sales = 3.468,
0.493 branding). This implies that at 0.493 increase in the level of
branding, it affects sales by 3.468 increase which means that sales is
significantly related to branding.
Regression
Model Summary
.088a .008 -.003 2.191Model1
R R SquareAdjustedR Square
Std. Error ofthe Estimate
Predictors: (Constant), Brandinga.
ANOVAb
3.356 1 3.356 .699 .405a
427.369 89 4.802
430.725 90
Regression
Residual
Total
Model1
Sum ofSquares df Mean Square F Sig.
Predictors: (Constant), Brandinga.
Dependent Variable: Consumer Satisfactionb.
Coefficientsa
12.088 .561 21.542 .000
.258 .309 .088 .836 .405
(Constant)
Branding
Model1
B Std. Error
UnstandardizedCoefficients
Beta
StandardizedCoefficients
t Sig.
Dependent Variable: Consumer Satisfactiona.
71
Table 4.2.4 Source: SPSS
Table 4.2.4 shows the summary of the fitted model (branding and
consumer satisfaction) with r2 value of 0.08 which gives 8% variability in
consumer satisfaction as being explained by branding. The small
percentage shows that the relationship between branding and consumer
satisfaction is not adequate. The ANOVA table shows the level of
significance of the model. “F” calculated value is 0.699 and from the
statistical “F” table, the “F” tabulated” F1,89,0.005 = 3.95. Since the “F”
calculated is less than the “F” tabulated, the null hypothesis will be
accepted and the alternative hypothesis will be rejected. The coefficient of
fitted model (brand and consumer), from the table, the model is consumers
satisfaction 12.088:0.258 branding . This implies that at 0.258 level of
branding, it affects consumer satisfaction by an increase of 12.088 which
means that consumer satisfaction is significantly related to branding.
Regression
72
Model Summary
.202a .041 .030 1.273Model1
R R SquareAdjustedR Square
Std. Error ofthe Estimate
Predictors: (Constant), Brandinga.
ANOVAb
6.160 1 6.160 3.800 .054a
144.258 89 1.621
150.418 90
Regression
Residual
Total
Model1
Sum ofSquares df Mean Square F Sig.
Predictors: (Constant), Brandinga.
Dependent Variable: Distinctivenessb.
Coefficientsa
4.140 .326 12.699 .000
-.349 .179 -.202 -1.949 .054
(Constant)
Branding
Model1
B Std. Error
UnstandardizedCoefficients
Beta
StandardizedCoefficients
t Sig.
Dependent Variable: Distinctivenessa.
Table 4.2.5 Source: SPSS
Table 4.2.5 shows the summary of fitted model with r2 value of
0.041 which is 4% variability in distinctiveness as being explained by
branding. The small percentage shows that there is inadequate relationship
between branding and product distinctiveness. It further explains the
73
significance of the fitted model through the ANOVA table. The “F”
calculated is 3.8 and “F” tabulated F1,89,0.05 is 3.95. Since the calculated
“F” value is less than the tabulated “F” value (3.85,3.96), therefore, the
model is not significant at 0.05 level of significance which implies that
based on this research, branding does not affect the level of distinctiveness
of the products of Unilever Nig. Plc.. The table also shows the coefficient
of the fitted model. The model is distinctiveness 4.140: - 0.349 branding
which implies that branding is negatively related to product distinctiveness
in such a way that as the level of branding increases, based on this
research, the level at which the products of Unilever Nig. Plc differs from
other products reduces.
Regression
Model Summary
.075a .006 -.006 2.805Model1
R R SquareAdjustedR Square
Std. Error ofthe Estimate
Predictors: (Constant), Brandinga.
74
ANOVAb
3.923 1 3.923 .499 .482a
700.187 89 7.867
704.110 90
Regression
Residual
Total
Model1
Sum ofSquares df Mean Square F Sig.
Predictors: (Constant), Brandinga.
Dependent Variable: Product growth and developmentb.
Coefficientsa
21.636 .718 30.123 .000
.279 .395 .075 .706 .482
(Constant)
Branding
Model1
B Std. Error
UnstandardizedCoefficients
Beta
StandardizedCoefficients
t Sig.
Dependent Variable: Product growth and developmenta.
Table 4.2.6 Source: SPSS
Combining the four variables together to form product growth and
development, table 4.2.6 shows the summary of the fitted model, branding
and product growth and development in relation to branding. This indicates
that the level of relationship between branding and product growth and
development is not adequate as it is showed in the research. The test of
significance of the fitted model, (branding and product growth and
development) is shown on the ANOVA table. The “F” calculated is 0.499
and from the “F” table, F1, 89,0.05 = 3.95. this means that the relationship
between branding and product growth and development is not significant 75
at 0.05 level of significance. The coefficient of the fitted model is product
growth and development 21.636:0.279 branding. This implies that at 0.279
level of branding, it affects product growth and development positively by
21.636.
Correlations
1 -.109 .411** .088 -.202
.304 .000 .405 .054
91 91 91 91 91
-.109 1 -.135 .063 .066
.304 .204 .554 .535
91 91 91 91 91
.411** -.135 1 .088 -.503**
.000 .204 .406 .000
91 91 91 91 91
.088 .063 .088 1 .089
.405 .554 .406 .401
91 91 91 91 91
-.202 .066 -.503** .089 1
.054 .535 .000 .401
91 91 91 91 91
Pearson Correlation
Sig. (2-tailed)
N
Pearson Correlation
Sig. (2-tailed)
N
Pearson Correlation
Sig. (2-tailed)
N
Pearson Correlation
Sig. (2-tailed)
N
Pearson Correlation
Sig. (2-tailed)
N
Branding
Price
Sales
Consumer Satisfaction
Distinctiveness
Branding Price SalesConsumer
SatisfactionDistinctiv
eness
Correlation is significant at the 0.01 level (2-tailed).**.
Table 4.2.7 Source: SPSS
76
Correlation of the variables.
Table 4.2.7 shows the level of relationship and responsiveness
between all the dependent and independent variables considered in this
research. From the table, branding is seen to be negatively related to price
by -0.109. This means that as the product is branded , price of the product
reduces. There is 0.411 level of relationship between branding and sales.
This means that the relationship between branding and sales is significant
at 0.01 level of significance. Therefore, this research shows that branding
increase as sales increase.
The relationship between branding and consumer satisfaction is
0.088. This means that both variables are not significantly correlated
showing that an increase in the level of branding lead to only just 8.8%
increase in the level of consumer satisfaction. Branding is negatively
related to distinctiveness by 0.202. this means that, as branding increases,
product distinctiveness decreases by 20.2%.
Price is positively related to product distinctiveness by 0.066 or
6.6% also in table 4.2.6 such that, as increase in price leads to 6.6% level at
which the products of Unilever Nig. Plc. differ from other competitor’s
77
product. Sales and consumer satisfaction was correlated and shows that as
sales increase, consumers are satisfied by 8.8% satisfaction.
Sales and product distinctiveness is shown to be significantly and
negatively related at 0.01 level of significance by -0.503, which is -50.3%
this is shown in table 4.2.6 that as sales increases, the level at which the
product of Unilever differs from other competitor’s product reduces by
50.3%. Consumer satisfaction is positively related to product
distinctiveness by 0.089 or 8.9%.
4.3 Hypothesis Testing
1. Ho; Brand management is not a tool for product growth and
development.
Table 4.2.6 is used to test the above hypothesis. The result of the
simple regression analysis is when branding is regressed with product
growth and development. The significance of the variables is buttressed by
the value of calculated “F” which is 0.499 and the “F” tabulated is 3.95 at
0.05 level of significance. The calculated “F” is lower than tabulated “F”,
then we accept the null hypothesis from the result of the simple
regression. It shows that the more a product is branded, the less the level
78
of growth and development in the product. This can be traced to the
current economic situation of the country. Products grow less during
economic recession despite their high level of branding. Because of the
high level of inflation, people does not consider the branding when
consuming a product. The only consumer to satisfy their need.
2. Ho: Brand management does not affect the satisfaction of
consumers positively.
Table 4.2.4 is used to test the above hypothesis. The result of the
simple regression analysis when branding is regressed with consumer
satisfaction shows 8% variability in consumer satisfaction. This shows that
the variability is not adequate. The significance of the variable is shown by
the value of calculated “F” which is 0.699 and the “F” tabulated is 3.95 at
0.05 level of significance. The calculated “F” is lower than the tabulated
“F” then we accept the null hypothesis. From the result of the simple
regression, it shows that despite the fact that products are well branded,
consumers consume the products just to satisfy their needs and not because
of the level of branding.
3. Ho: There is no positive relationship between branding and sales
of products.
79
Table 4.2.3 is used to test the above hypothesis. The result of the simple
regression analysis when branding is regressed with sales of products
shows 16.9 level of variability in sales in respect to branding. This shows a
partially adequate level of calculated “F” which is 18.074 and the “F”
tabulated is 0.95. since the calculated F“ is grater that the tabulated “F”,
this implies that positive relationship exist between branding and sales of
product. Therefore we reject the null hypothesis. From the result of the
regression analysis it shows that the level of branding increase the rate at
which consumer purchase and repurchase the products.
80
CHAPTER FIVE
5.0 Summary, Conclusion and Recommendations
This chapter discusses the summary of the various findings in this
research work, the conclusion of the final words on the entire research work
and recommendations pertaining to areas where further studies can be
carried out were made.
5.1 Summary of the Findings
The research work focused on “brand management as a tool for
product growth and development”. Growth and development of products
deals with creating products with new or different characteristics that offer
new and additional benefits to the consumer. It may involve modification
of an existing product or its presentation, or formulation of an entirely new
81
product that satisfies a newly defined customer want or market niche
(Business dictionary.com 2010).
This research work has been able to examine the term brand
management and all that is involved in it as a tool for product growth and
development.
The result of the study indicates that sales and consumer satisfaction
ranks first as the priority area of manufacturers. Products are manufactured
to satisfy the needs of consumer. This will prompt consumers to purchase
which will increase the sales for such product. The level by which product
satisfy customers and increase in sale indicates the level at which the
product is growing and developing.
The second most important parameter for product growth and
development is the distinctiveness of the product and its ability to represent
the company’s image, characteristics and competencies. When products are
branded in such a way that consumers or prospects can identify them, it
will enhance purchase and repurchase which will lead to the growth and
development of such product.
Next, the third most important parameter is competitiveness.
Branding a product well makes it distinctive and also to survive in the
82
competitive market environment. It is the product offered by the company
that will make it gain way into the competitive market and also to gain
large market share.
Lastly on the findings is that wholesalers of Unilever Nigeria Plc are
predominantly female, married with low income level, low educational
background. In other words, wholesalers of Unilever are semi literate
females who sell as a means of employment in order to earn a living.
5.2 Conclusion
Based on the research findings, brand management is a tool for
product growth and development. Brand management involves series of
component aimed at satisfying the consumer needs with a view of making
profit. If products are effectively branded, it will make the company’s
product distinctive among other competing products that satisfy the same
want. This will make such product to gain large market share for the
company and also increase the company’s productivity.
From the findings of the research, branding increases the sales of the
product in the market. When products are well branded, it makes
83
consumers purchase it. Well branded product satisfies one of the objectives
of establishing a business which is increased sales.
Furthermore, the research shows that price has no effect on the
consumption of well branded products. Effective branding tends to increase
the price of such product. From the research, consumers only consume
products not because of the price but because of the satisfaction they derive
from such product. Gaining satisfaction is a key to keeping existing
customers and attracting prospects. Satisfaction depends on how well a
purchase performs and how well the products satisfy consumers. Marketers
should focus on reducing the gap between expectation and performance
thereby working towards consumer satisfaction. By so doing, the business
aim of increased profit and market share can be achieved.
Continuous research about customers and close monitoring of
competitive products could bring about rebranding and repackaging of
products where necessary.
Products are expected to grow, expand and develop, both in size,
quality and profitability if the branding of the product is based on
customers’ need.
84
5.2 Recommendations
It is a known fact that companies are concerned about their market
share and by implication their profit margins. Branding is typically a task of
making the company’s product unique, distinct and being able to be
differentiated.
Manufacturing companies must assist their wholesalers to raise their
scope of operation so that they can see their work as a permanent means of
employment. The assistance can be in the area of loans, training / technical
support and advice. This is because, if they remain just wholesalers, other
opportunities may occur that will increase their earnings which can make
them seize to be the wholesaler to the company by learning the business.
Thus the first strategy is to retain the existing wholesalers and the next is to
manage their value for brand.
On quality, since the study had advised that management concentrate
their strategy on the services of wholesalers and consumers, government
should do more on the code of operation of companies to achieve a good
conformance quality. Consumers and customers needs to be protected.
Already established agencies like National Agency for Drug
Administration and Control (NAFDAC), Standard Organization of Nigeria
85
(SON) and other health related institutions should be encouraged and
empowered to be more dedicated, sincere and committed. There is need for
these agencies to enforce compliance in order to protect the customers.
Competition should be encouraged because it would lead to greater
innovation and the growth and development of the economy.
Conclusively, considering the services offered, companies must give
attention to the demographic factors. Initiatives must be centered on
married women and men with equal economic profile, particularly with
small holdings since their job mobility is inelastic and when encouraged
with the proper service offerings, their commitment to the company will be
guaranteed.
Firms should also study well, the stages of product life cycle to
ensure that appropriate strategy is applied to each stage in order to
eliminate sudden decline of its products.
86
REFERENCES
Aaker A.D. (1996) Managing Brand Equity (New York Press).
Aaker A.D. (1996), Building Brand Equity (New York Press).
Bennett P. 1995, Dictionary of Marketing Terms (Chicago: American
Marketing Association).
Http//www.Business dictionary.com (updated 2010) accessed on sat. 13th
February, 2010.
Interbrand Group (2010), World greatest brands- An International Review
Newyork
Keller K.L. (2008), Strategic Brand Management, 2nd ed. (upper saddle
river, New Jersey :Prentice Hall,).
Kotler P. and Keller K.L. (2007), “Marketing Management, 12th ed.
Prentice Hall. Hall of India private limited, new Delhi (2007).
87
Olujide J.O. (2009) Research Methodology, lecture note AMT 307 and
AMT 407, unpublished.
Oxford advanced learner English Dictionary 5th ed. (2005).
Statistical “F” table.
T. Randall, Ulrich K. and Reibstein D. (1998) Brand Equity and Vertical
product line extent, “Marketing Science” pg. 356-359
Tulin E. (1998), “Brands Equity as a Signaling Phenomenon”, Journal of
consumer psychology. Pg. 131 – 157.
www.unilever.com (updated 2010) accessed on Sat. 13th February, 2010.
88
APPENDIX
QUESTIONNAIRE ON BRAND MANAGEMENT AS A TOOL FOR PRODUCT GROWTH AND DEVELOPMENT. A CASE STUDY OF UNILEVER NIGERIA PLC., OREGUN, IKEJA LAGOS STATE.
Department of Business Administration,Faculty of Business and Social Sciences,University of Ilorin,P.M.B. 1515.Ilorin.Kwara State.
Dear Sir/Madam,I am an undergraduate student of the Department of Business
Administration, University of Ilorin, Ilorin, carrying out a research on “Brand Management as a Tool for Product Growth and Development”. I would like you to respond to the questionnaire in good faith.
All information supplied would be exclusively used for the purpose of the research and shall be treated with confidentiality.
Yours faithfully,Kazeem Kausarat T.
SECTION A: Personal Data of the Respondents
89
Please tick the appropriate options
What is your
i.) Sex: Male [ ] Female [ ]
ii.) Age: 21-30 yrs [ ] 31-40 yrs [ ] 41-50 yrs[ ] 51 and above
[ ].
iii.) Marital Status Single [ ] Married [ ] Divorced [ ] Widowed
[ ].
iv.) Qualification: WASC, GCE, NECO, SSCE [ ] Diploma or
NCE [ ] HND [ ] Others [ ].
v.) Frequency of opening the store: 1-5 hrs [ ] 6-10 hrs [ ]
More than 10hrs [ ].
SECTION B: Brand Management as a Tool for Product Growth
and Development.
6. Annual sales of the wholesaler.
(a) Below N 100,000 [ ] (b) N 100,000 – N300,000 [ ]
(c) N 300,000 – N 500,000 [ ] (d) N 500,000 and above [ ].
90
7. How long have you been a wholesaler to Unilever Nig. Plc.?(a) About
a year [ ] (b) 1-3yrs [ ] (c) 4-6yrs [ ] (d) 6-10yrs [ ] (e)
Above 10 yrs [ ]
8. Has the introduction of new products of Unilever Nig. Plc. increased
your sales?(a) Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ].
9. Do you see Unilever Nig. Plc. products distinct from other products in
the market? (a) Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ].
10. Do you think that the products of Unilever Nig. Plc. attract more
customers? (a) Strongly Agree [ ] (b) Agree [ ] (c) Undecided [
] (d) Disagree [ ] (e) Strongly Disagree [ ].
11. Do your customers complain of any of the products of Unilever Nig.
Plc.? (a) Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ].
12. Do you think the products of Unilever Nig. Plc. satisfy its
customers? (a) Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ].
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13. Can effective branding lead to high sales of Unilever Nig. Plc.
products? (a) Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ].
14.Has the availability of variety of Unilever products in the market
affected your business positively ? (a) Strongly Agree [ ] (b) Agree
[ ] (c) Undecided [ ] (d) Disagree [ ] (e) Strongly Disagree [ ].
15. Do you think the products of Unilever represents the company’s image
and competencies? (a) Strongly Agree [ ] (b) Agree [ ] (c)
Undecided [ ] (d) Disagree [ ] (e) Strongly Disagree [ ].
16. Does the products of Unilever have more influence in the market to
motivate customers to purchase. (a) Strongly Agree [ ] (b) Agree [ ]
(c) Undecided [ ] (d)Disagree [ ] (e) Strongly Disagree [ ].
17. Does the challenges associated with the products’ brand management
affect the demand for the demand for the products of Unilever Nig.
Plc.? (a) Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ]
(d) Disagree [ ] (e) Strongly Disagree [ ].
18. Are the wholesalers, retailers and the consumer informed continually
about the existence of new products of Unilever Nig. Plc.? (a)
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Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ] (d)
Disagree [ ] (e) Strongly Disagree [ ].
19. Do you think Unilever ensure that the price of their product is
commensurate with the forecasted value of their products?(a)
Strongly Agree [ ] (b) Agree [ ] (c) Undecided [ ] (d)
Disagree [ ] (e) Strongly Disagree [ ].
20. Are the needs and wants of the customers incorporated in the products
of Unilever Nig. Plc.? (a)Strongly Agree [ ] (b) Agree [ ](c)
Undecided [ ] (d) Disagree [ ] (e) Strongly Disagree [ ].
93