THE EFFECT OF PACKAGING ON SALES OF GOODS

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THE EFFECT OF PACKAGING ON SALES OF GOODS

ABSTRACT

While examining in detail, “The Effect of Packaging on Sales of Goods”. The extended essay style was used and the need for manufacturers to improve the package of their product, so as to aid the differentiation of their product from that of their competitors was emphasized. The reasons for packaging/package with an overview of the element of packaging were looked into to identify the ways firms should embark on decision making of package and to make suggestions and recommendations.

TABLE OF CONTENTS

Title Page i

Declaration ii

Approval page iii

Dedication iv

Acknowledgement v

Abstract viii

Table of Contents ix

Chapter One

1.0 Introduction 1

Historical Background of the Study 3
1. Objective of the Study 5
1. Significance of the Study 6
1. Scope of the Study 7
1. Limitation of the Study/Delimitation 7

Chapter Two

Literature Review

2.0 Introduction 9

2.1 What is Packaging/Package 9

2.2 Elements of Packaging 15

2.3 Levels of Packaging 19

2.4 Reasons and Benefits of Packaging 20

2.5 Roles and Importance of Packaging 23

2.6 Packaging Decision 28

2.7 Influence of Product Features on Packaging 30

2.8 Packaging Policies 31

Chapter Three

3.1 Summary 33

3.2 Conclusion 34

3.3 Recommendations 35

Bibliography/Reference 38

Appendix

CHAPTER ONE

1.0 INTRODUCTION

Packaging is a marketing tool and it is closely interwoven with the performance of marketing functions. It is concerned with the wrapping of materials and the process used. Well designed packaged can create convenience value for the consumer and promotion value for the producer.

Packaging as a promotional tool has been an important marketing consideration, all over the world. It is one of the marketer’s most vita tools for selling. It is basically the general activities in product planning which involves designing and producing container or wrapper for a product. Many products have a distinct image in the consumers’ mind through their packaging, thus, creating awareness. Packaging performs some important function which failure in any way may destroy the general utility of package. Some of these functions are of vital relevance through the life of the product packaged.

First, it constrains the product in such a way that the product can be moved safely from one place to another. Second, if protect the content from spoilage or deterioration. It also communicates and give out necessary information about the product and lastly, it serves as a silent sales man which tend to attract the attention of consumers and move them to buy the product. Packaging as function considers, convince, economy and promotion.

A package may include up to three levels of material. The primary package, which is the product immediate container e.g. bottle holding old spice after shave lotion, is a primary package, secondary package refers to material that protects the primary package and it is discarded when the product is about to be used.

The cardboard containing the bottle of after shave lotion is a secondary package and it provides additional protection and promotion. Packaging necessary for storage, identification and transportation; thus a carriage box carrying six dozens of old spice after shave is a shipping package.

Conclusively, necessary measures should be taken against the criticism of packaging of package, such defect as mis-heading health hazard, depleting natural resources and the expensiveness of packaging product. The packager should see to these criticisms and take the possible preventive steps against them and to see to the effective development of packaging.

1.1 HISTORICAL BACKGROUND OF THE STUDY

Packaging could be traced back to the history of man because no man knows for sure when used, principally to hold liquids wild barriers and other foods provided by nature. Later, as man began to cultivate, they were probably employed to hold his crops. Primitive people had to carry hold barrier and other fruits from the forest to the caves and as a result to this, they used animal skin and grass basket as containers.

Shells, leaves, hollowed piece of wood, earthen wares and animal skin probably made up the earliest packaging materials. Earthen wares was developed over eight thousand years ago in China and was shaped into a variety of container for holding solid and liquid objects. Glass appeared in ancient Egypt and became a major container for liquids.

The early trade involves the movement of agricultural products from Egypt to Mesopotamia and the movement of manufacture items from Mesopotamia along with some from India and possibly China.

By the middle age, packaging materials included leathers, cloths, woods earthen wares, stone or those made of clay or woven natural fibres. For centuries, main role was to hold protect and transport good.

At this same time, the Egyptians using sand and clay, invent the mould. This days or in recent time, packaging has taken an additional role of a product marketing tool.

1.2 OBJECTIVES OF THE STUDY

The objective of this project work is to examine the effect and importance of packaging on sales and protection of goods. To also know to which extent packaging could be used in product differentiation and identification.

It intends to identify the importance of packaging as a promotional tool to the sales of product. To know the problems and prospects of packaging, to identify and possible to suggest way of enhancing improved package product.

1.3 SIGNIFICANCE OF THE STUDY

This study is meant to be reference material for other subsequent researches who might be interested in delivering into similar or related subject topic.

It will also assist the manufacturers in principles and methods of packaging concept, which is the definition of what packaging should basically be or do for a particular product and compatible with public policy. It will also benefit them in designing packages for their products to suit the taste and preference of the target market and to enable them know what consumers except on the package.

The study will emphasize the promotional aspect of packaging to the producers. It will also assist them in packaging their products to perform the function of product differentiation and identification.

To the consumers, the study will help them on what they should expect on the product packaged. Such as brand, name, product content and ingredients with safety warning manufactured and expiry date and how to use the product etc.

1.4 SCOPE OF THE STUDY

This study shall deal extensively with “The Effect of Packaging on Sales of Good” to the consumers as well as the manufacturer. The research will cover the effect of packaging from the general perspective hence, a case of a particular firm will not be required in a study like this.

1.5 LIMITATION OF THE STUDY/DELIMITATION

In the process of writing this extended essay, one of the problem encountered was inadequate funds i.e. lack of finance which forced the researcher to limit the scope of the study.

Another constraint was having to travel a number of time to source for information, this was not easy because it was done along side my lectures and study.

In other words, time was not on my side. The difficulty of laying my hands on current journals and magazines also did not heel matter. The writer had to rely mostly on information gleaned from practitioners.

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