Analysis on contribution of promotion to sales performance of soft drink companies in Uganda
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This study was about establishing the effect of promotion on sales performance whereby particularly it focused on different promotional tools used at Aqua Pure Ltd and assessing the effect of tools on sales according to worker’s opinion as well as assessing the relationships between promotion and sales performance at Aqua Pure Ltd. The study objectives were; to examine the contribution of promotion to sales performance of soft drink companies in Uganda ,to find out the different sales promotional tools used and their effect on sales performance in Aqua pure Ltd company, to find out whether management factors such as whether sales promotional tools are properly applied, there is an officer in charge of periodic reviews, post-sales promotion feedback and communication influence the sales performance of Aqua pure Ltd, to find out the trend of sales at Aqua pure Ltd company and to find out whether market prices affect sales of Aqua pure Ltd products. The descriptive research designs were opted to help achieve the objectives. This included the distribution of questionnaires to 50 employees and using observation method in order to obtain first-hand primary data. The chi-squares test to answer the research hypothesis of categorical variable. The general findings were; the study was comprised of 50 respondents of whom 60% were male and only 40% were females. Their level of level of education included 36% of the respondent reached secondary, 26% had no qualification, 24% stopped in primary and 14% reached college level, The 36% of the employees were above 35years of age, followed by 28% between 31and 35 years, 26% between 25 and 30 years and lastly 10% were below 25years.Most of the employees 60% were single, 28% were married and 12% were divorced. The findings further showed the majority of the respondents 44% were in sales & marketing department, 38% were in operation and production department, 12% were in Accounts department and the least 6% were in Administration department. The study found 50 percent who reported that target performance is not always met to a much extent and more still (60 percent) reported that increased demand has increased company’s sales performance. It was revealed that promotion affects sales performance and this effect is found to be significant since p=0.000<0.05 and more so a significant positive relationship between the variables as being(r= .788**, sig.=.000) as showed in table 4.10 and table 4.11 in chapter four. The conclusion; there was a relationship between promotion and sales performance. The study recommends that Aqua Pure Ltd should use sales promotion tools to increase sales and those tools should be well packaged as well as train the promotion team to acquire better skills so as to attract more buyers and increase company sales and profits.