Effect of Sales Promotion Benefits on Customer Loyalty of Beer Brands in Addis Ababa
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Date
2016-05
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Addis Ababa University
Abstract
The benefits that is associated with sales promotion is becoming an issue for many buyers even to loyal customers of specific brand. This study was conducted to examine the Effect of sales promotion benefits in creating loyal customer. These benefits are broadly divided as to utilitarian (convenience, quality, saving) and hedonic (value expression, exploration, entertainment). A descriptive and causal research design was employed as a study design. Multistage sampling technique was used to select sub-cities (Arada sub city and Kirkos sub city) and the population of the study. 384 consumer where selected as a sample size by considering (Corbetta, 2003). The results from the study clearly show that sales promotion is capable of influencing customers to be loyal to specific brand in general. As to the findings of study, two of sales promotion benefits (saving and entertainment) are positively related to customer loyalty. Companies in the beer industry are recommended to exert their sales promotion efforts on differentiation created through the entertainment aspects and monetary saving in order to create loyal customers
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brand, loyal customer, loyal