Sales promotion and consumer response: evidence from customers of Kinapharma Limited in the Sekondi Takoradi Metropolis

Abstract

The study was to assess Sales promotion as an effective tool in influencing consumer buying decisions in the Ghanaian market. The study used a quantitative and descriptive design of which customers of Kinapharma Company Limited were targeted. Two hundred and forty-Six respondents were chosen with the aid of convenience sampling technique. Questionnaire was the main data collection instruments. The data was analyzed by using frequencies and percentages of the Statistical Product for Service Solution (SPSS version 21.0) software. The data was presented by using tables and graphs. The study found out that common sales promotion tools used by Kinapharma Limited included discount/price-off offer, free samples, bonus pack and buy one get one free and discount/price –off offer was the preference of the respondents. 197 of the 240 respondents agreed that Buy one get one free affects their buying decision making it the most effective promotional tool. It was closely followed by Free Sample, Discount/price-off offer and Bonus pack having 184, 182 and 128 respondents agreeing respectively. Premiums, Refunds and Rebates, Fairs and Exhibitions and Coupons fairly influence the buying decisions of consumers. Exchange schemes had the least influence with 94 of the respondents disagreeing to it. Factors that affect respondents’ decision to purchase a product were the price of the product, the brand and service loyalty, and quality service. It is recommended that Kinapharma Limited add premium as sales promotion tool in order to influence customers’ preference and buying behaviour.