Impact of sales promotion on customer brand loyalty for breweries products: a case study of Uganda Breweries Limited, Kamwokya

Abstract

The main objective of this study is to examine the impact of sales promotion on customer brand loyalty for breweries products with a case study of Uganda breweries limited, Kamwokya. The study further had three specific objectives which included; examining the relationship between coupons and consumer buying behavior during sales promotion, finding the effect of price discount on the consumer buying behavior during sales promotion and investigating the relationship between free sample and consumer buying behavior during sales promotion.The design of this study is a quasi-experimental quantitative design. The study population shall comprise of both male and female customers of Uganda Breweries Limited in Kamwokya, Kampala District. This population also included both retailers and wholesalers (depots) around Kampala District. Chi-square test was used by the researcher for bivariate analysis of two categorical variables.Multiple linear regression model was used in this study because it attempts to model the relationship between two or more explanatory variables and a response variable by fitting a linear equation to observed data. Variance of Analysis (ANOVA) was run to find out the relationship between Relationship between coupons, free sample, price discount and consumer buying behavior during sales promotion. Study results also showed that the there is a significant relationship between the sales promotion and the coupons and free sample at 5 percent level of significance since the p-value is less than 0.05. On the other hand, the regression results also showed a statistically significant negative relationship at (at 5 percent level of significance) between the price discount and the sales promotion of Uganda breweries in this study since its P-value is less than 0.05. The results were as postulated and this means that on average, a unit price discount leads to a 5.95 decrease in the discount and the sales promotion of Uganda breweries when the other independent variables are held constant.Furthermore, the regression results also showed a statistically significant positive relationship at (at 5 percent level of significance) between the free sample and the sales promotion of Uganda breweries in this study since its P-value is less than 0.05.The results were as postulated and this means that on average, a unit sample leads to a 080 decrease in the discount and the sales promotion of Uganda breweries when the other independent variables are held constant.The study further recommends that, sales promotions budget should always be adequate in organizations. This would also give sales representatives and consumers alike performance to participate.