EFFECTIVE MARKETING STRATEGIES FOR ROAD TRANSPORT SERVICES
A CASE STUDY OF ABC TRANSPORT NIGERIA LIMITED ENUGU, ENUGU STATE
The aim of this research work is to evaluate the marketing strategies for road transport services, especially those of ABC transport limited Enugu branch.
The data for this study were collected through primary and secondary sources and questionnaire was the instrument used for data collection.
The populations of the study include all the workers of ABC transport limited Enugu branch and all the consumers of their services in Enugu.
The data collected from the respondents were analyzed statistically, after which findings and recommendations were made respectively.
The important findings in the study include:
1. The company advertises its services through radio, television and print media to their customers.
2. The company has enough vehicles to convey its numerous customers.
3. The promotional strategies adopted by ABC transport limited has led to increased customers awareness.
4. The fare charged by ABC transport limited has led to increased customers patronage.
5. ABC transport limited offer quality services to its customers.
The researcher recommended that ABC transport should seriously embark on advertising in order to attract more customers towards their company. ABC should try as much as possible to always make use of marketing strategies that will impact positively in their company. They should not relent in the use of advertising so as to create more awareness of its services.
In conclusion, it was recommended that ABC transport limited should see that the marketing strategies of their company should always match with the quality of their services.
TABLE OF CONTENTS
Title page - - - - - - - i
Approval page - - - - - - - ii
Dedication - - - - - - iii
Acknowledgement - - - - - - - iv
Table of content - - - - - - - v
Abstract - - - - - - - - vii
CHAPTER ONE: INTRODUCTION
1.1 Background of the study - - - - 1
1.2 Statement of the problem - - - - 3
1.3 Purpose of the study - - - - - 4
1.4 Hypothesis formulation - - - - - 5
1.5 Significance of the study - - - - 5
1.6 Scope of the study - - - - - 6
1.7 Limitation of the study - - - - 6
1.8 Definition of terms - - - - - - 7
CHAPTER TWO: LITERATURE REVIEW
2.1 What is marketing strategy - - - - 9
2.2 Pricing strategies - - - - - - 11
2.3 Product strategies - - - - - 12
2.4 Marketing strategy on transport industry - 14
2.5 Distribution strategy - - - - - 15
2.6 Promotion strategy - - - - - 16
2.7 Marketing strategies for service industry - - 21
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Source of data - - - - - - 25
3.1.1 Primary data - - - - - - 25
3.1.2 Secondary data - - - - - - 26
3.2 Population of study - - - - - 26
3.3 Sample size determination - - - - 26
3.4 Sampling technique - - - - - 28
3.5 Research instrument uses - - - - 28
3.6 Method of data analysis - - - - 28
3.7 Method of questionnaire administration
or distribution - - - - - - 29
CHAPTER FOUR: PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA
4.1 Data presentation and analysis - - - 31
4.2 Test of hypothesis - - - - - 41
CHAPTER FIVE: DISCUSSION OF FINDINGS, RECOMMENDATIONS AND CONCLUSION
5.0 Introduction - - - - - - - 48
5.1 Summary of findings - - - - - 48
5.2 Recommendation - - - - - - 50
5.3 Suggestion for further studies - - - 51
5.4 Implication of the study - - - - 51
5.5 Conclusion - - - - - - - 52
References - - - - - - - 53
Appendix - - - - - - - 55
1.1 BACKGROUND OF THE STUDY
Transportation is the means by which goods and people are moved from one point to the other in order to create time and place utilities. It helps to bridge the gab between producer or supplier and the consumers or industrial users of their products. The mobility of people and materials has today become one of the greatest needs that have to be adequately satisfied in our economy without a good transport system, the economy would suffer stagnation, hence transportation is popularly refereed to as the engine of the economy.
It is as a result of the great importance attached to transportation that man has over the ears developed various mode of transportation in other to facilitate the evacuation of people and materials. These include road, water, air and pipeline. In spite of the importance of transportation, the guest for a good transport system remains an illusion. This is as a result of ineffective marketing strategies adopted by its operators.
Marketing strategies is seat of determination that guides or directs the manager of an enterprise to reach their devised long-term market positions. It comprises the objective that are sought and the idea or strategies to accomplish it. This is according to Adirika (1997.p. 12).
In the view of Kotler (1984, p. 18) the task of the organisations is to determine the needs, want and value of target market adopted by the organisation in delivering the desired satisfaction more efficiently than its competitors.
Further more, Kolter (1984, p.19) stated that firms must market themselves in a way that the customer will not just be satisfied with their product and services, infact be delighted. Therefore it is necessary for transport operators within the nation and Enugu metropolis in particular to seek and understand customer preferences, habits, must research into those things that will reduce the effect of ineffective marketing practices.
ABC transport limited has made a giant stride in the transport industry. The company within few years of operation has left no one in doubt as to their capacity and reliability to perform in transport industry. It is in the light of importance attached to marketing that the researcher sought to find out how to improve its effective operation in ABC transport limited.
1.2 STATEMENT OF THE PROBLEM
ABC transport Nigeria Limited is one of the leading transport companies operating in the country today. But it is no exaggeration to say that some transport companies in Enugu are performing below expectation. However, this is to say that they do not get the required or necessary patronage by numerous travellers and ABC transport is no exception.
Notwithstanding, one may be inclined to suggest that the reason for low performance and ineffective performance is non application of effective marketing strategies or ignorance of it. ABC transport Nigeria limited in an attempt to increase the rate of patronage by customers offers rich services engages in strong promotional activities to boost its performance and makes its transport service customer oriented.
However, the fact still remain that customers will decrease drastically and low profit will be achieve if ABC transport company fails to utilize its marketing strategies to boost performance and customers satisfaction what then, does the future hold for our transportation companies? These are the problems that need to be solved.
1.3 PURPOSE OF THE STUDY
1. To determine if the promotion effect of ABC transport has an impact in marketing its services to customers.
2. To find out if ABC transport is preferred to competing transport companies like Izuchukwu, Ifesinachi etc.
3. To determine the impact of marketing strategies used by ABC transport Nigeria limited on its operations.
4. To ascertain the quality of service offered to their customer.
5. To determine the impact of the fare charged in ABC transport on customer patronage.
1.4 HYPOTHESIS FORMULATION
Ho: ABC transport does not offer quality services to its customers.
Hi: ABC transport offers quality services to its customers
Ho: The fare charged by ABC transport has not led to customer’s patronage.
Hi: The fare charged by ABC transport has led to customer’s patronage.
Ho: The promotional strategies adopted by ABC transport has not led to increased customers awareness.
Hi: The promotional strategies adopted by ABC transport has led to increase customer’s awareness.
1.5 SIGNIFICANCE OF THE STUDY
(a) The study will also be useful for further research in the field of business management and other related disciplines.
(b) The research work will help operators of transport service not only in Enugu metropolis but also Nigeria in general.
(c) It will also help marketers to choose the best medium to advertise their transport service to its customer.
(d) The study will help marketing mangers to adopt appropriate strategies in transport services to enhance performance.
1.6 SCOPE OF THE STUDY
This work which is on the effective marketing strategies for road transport service, concentrated on four major areas of marketing strategies which are product, price, promotion and place. With regards to the area to be covered the research work concentrated on case study of ABC Transport Nigeria Limited Enugu.
1.7 LIMITATION OF THE STUDY
The problems faced during the course of the research work include:
1. Time: The time limit for this research work is relatively short and would not give the researcher enough time to do an excellent work.
2. Finance: Finance is a major contributor in every research work, but the research does not have enough finance (money) to move from one Transport Company to other.
3. Attitude of respondents: The respondent includes the customers and the staff and management. The attitude of the respondent towards the question asked were not encouraging, because they think they are revealing the secret of the company.
1.8 DEFINITION OF TERMS
a) Promotion Strategies
Promotion strategies consist of all communication efforts aimed at generating sale and or building a favourable attitude for an organisation and its goods or services.
b) Marketing Strategies
Marketing strategies is a plan identifying what basic goals and objective will be pursued and how they will be achieve in the time available.
Marketing can be defined as the performance of all business activities that direct the flow of goods and services from the producer to the customers.
Marketing can also be seen as putting the right goods and services to the people at the right place at the time and at the right price with the right communication channel.