The Effect Of Packaging On Customer Satisfaction: The Case Of Crown Beverages Company Kampala, Uganda

ABSTRACT

The aim of the study was to establish the effects of packaging on customer satisfaction. The study dealt with Crown Beverages Company in Kampala Uganda. This company was selected because of its products and the fact that it was among the leading soft drink companies having started in 1903.It was established in Uganda as a franchise with its headquarter in New York. The market did not recognize it as expected as they were used to its rival company Coca-cola. it started by producing Pepsi-coal alone but as years went by it introduced Mirinda Fruity and Mirinda Orange. These products have therefore been in the market for long as the company gained recognition but its packaging has been the same. With the changing times and the dynamic environment customers would like a change in the company's packaging to enable them consume the product at their own convenience. Most customers would like plastic bottles and a different product line of the soft drinks for a change. The question as to whether customers get the satisfaction they deserve from the packaging of the products is yet to be answered. These important studies have led to the development of theories and these theories the researcher has sought to review. Ferell (1985) states that packaging involves the development of a container and a graphic design for a product. Cox (1989) observes that customers who complain are usually complaining either about products or employees. According to Appelbam etal(l990)the main purpose of packaging was protection against damages, spoilage and theft. Well designed packages can create convenient value for the consumer and as a marketing tool. The researcher used descriptive design that involved a survey of certain factors related to the problem and to explore the variables used. The factors include:

Size of the package.

• Maximizing brand value.

• Lack of different product lines.

Relationship of packaging and customer satisfaction.

After a careful consideration and literature search, a purposive sample of 40 people among the target group was considered appropriate using proportionate random sampling. Having received the data from various respondents, the information was added to facilitate easier analysis. Findings were presented in frequency tables, pie charts and bar charts. The aim of the research was to find out if the size of the packaging was a factor affecting customer satisfaction the researcher wanted to know whether the size of the packaging would lead to effective customer satisfaction. Another aim of the research was to find out if the company's product maximizes the brand value. The research wanted to know whether Crmvn Beverages company products maximizes the brand value hence leading to an increase in sales. The researcher was to determine whether there is a relationship between packaging and customer satisfaction. The research was to identify whether the different product lines would lead to customer satisfaction. The researcher wanted to know whether having different product lines would contribute to an increase in sales as customers derive satisfaction.


TABLE OF CONTENTS

Page

Declaration ........................................................................... . 1

Approval ............................................................................. . 11

Dedication ............................................................................ . lll

Acknowledgement. ................................................................. . IV

Table of Contents .................................................................... . V

List ofTables ........................................................................ . Vll

List of Figures ........................................................................ . Vlll

Definition of Terms ................................................................. . lX

Abstract ............................................................................... . X

CHAPTER ONE: INTRODUCTION ......................................... . 1

1.0 Background of the study ..................................................... . 1

1.1 Statement of the problem ..................................................... .

1.2 Purpose of the study. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . ....... .

1.3 Objective of the study ........................................................ .

1.4 Research Questions ........................................................... .

1.5 Scope of the study. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ....... .

1.6 Research Hypothesis .......................................................... .

1. 7 Significance of the study ..................................................... .

CHAPTER TWO: LITERATURE REVIEW ............................... .

2.0 Introduction .................................................................... .

2.1 Packaging ...................................................................... .

2.2 Customer satisfaction ......................................................... .

2.3 Objectives of Packaging ..................................................... .

2.4 Types of Packaging Design .................................................. .

2.4.1 Forms of Packaging ................................................... .

2.4.2 Essentials of a Good Package ........................................ .

2.4.3 Factors Affecting Packaging ......................................... .

2.5 Invisible Sales Person ........................................................ .

2.6 Packaging as a Marketing Tool. ............................................ .

2.7 Packaging and Customer Satisfaction ....................................... .

CHAPTER THREE: INTRODUCTION ...................................... .

3.0 Introduction .................................................................... .

3 .1 Research Design .............................................................. .

3 .2 Study Area ..................................................................... .

3.3 Target Population ............................................................. .

3.4 Sample Size .................................................................... . 14 

3 .5 Data Collection .................................................................. .

3.6 Data collection instruments .................................................. .

3.6.1 Interview ................................................................. .

3.6.2 Questionnaire ........................................................... .

3.6.3 Observation ............................................................. .

3.7 Data processing and analysis ................................................ .

3.8 Limitation of the study ....................................................... .

CHAPTER FOUR: PRESENTATION, ANALYSIS &

INTERPRETATION OF FINDINGS ............................................ .

4.0 Introduction ....................................................................... .

4.1 General Information ofRespondents .......................................... .

4.2 Type of Soft Drink Taken Frequently ......................................... .

4.3 How the Soft Drink Is Taken ................................................... .

4.4 Whether the Customer Derive Satisfaction from the Brands of Pepsi Cola in Form of Packaging .......................................... .

4.5 Whether Packaging Is a Factor Affecting Customer Satisfaction ........ .

4.6 Whether Customers Are Satisfied With the Sizes in Which the Company Products Are Packaged ............................................ .

4.7 Type of Soft Drink Is Preferred By Customers ............................. .

4.8 Qualitative Analysis ............................................................ .

4.9 Conclusion ....................................................................... .

CHAPTER FIVE: SUMMARY OF THE FINDINGS, CONCLUSIONS

& RECOMMENDATIONS ........................................................ .

5.0 Introduction ...................................................................... .

5.1 Summary .......................................................................... .

5.2 Conclusion ........................................................................ .

5 .3 Recommendation ............................................................... .

5.4 Room for further study ........................................................ ..

BIBLIOGRAPHY ................................................................... .

APPENDICES

Questionnaires ......................................................................... .

Introductory Letter