The Effect of Marketing Mix Tools on Customer Satisfaction Case Study for Zenith Gebs-Eshet Ethiopia Ltd
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Date
2020-06
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Addis Ababa University
Abstract
In the modern marketing environment marketers must understand their target customers more than ever before and have to change their usual practices because they are not sufficient for traditional marketing solutions. Moreover, they are facing high competition and also customers are becoming choosier. Thus they must study, update and develop their marketing mix tools in conformity with the fast moving environment in order to maximize the level of customer satisfaction. It is most commonly executed through the 4 P’s of marketing: price, product, promotion, and place. Thus it is vital for any company to focus equally on all elements of the marketing mix to highly satisfy its customers and gain its competitive advantage that creates a clear position in the market.
This study attempts to examine the relationship and the effect of marketing mix tools (4p’s) on customer satisfaction towards personal and home care products of Zenith Gebes-Eshet company Ltd .A survey was conducted to collect data from customers, 341 structured questionnaires were collected and analyzed as sample size for the study. The results are investigated in terms of descriptive statistics followed by inferential statistics on the variables. The study indicated that majority of the respondents were female (64.2%) and 75% of the customers are aged below 35 years. The validity of the instrument was checked and internal consistency of the instrument was measured using Cronbach Alpha and the result was statically good.
The finding obtained indicated that there are positive and significant relationship between factors of customer satisfaction (product, price, place and promotion) and customer satisfaction. The finding further indicates that the highest relationship is found between price and customer satisfaction. However, the lowest relationship exists between promotion and customer satisfaction. Hypothesis result disclosed that all the marketing mix tools are positively associated with customer satisfaction of the company, Results of the regression depicts that 74.5% of the effect on customer satisfaction can be accounted for by the influence the four elements of the marketing mix and the rest 25.5% by extraneous variables.
Furthermore, it provided suggestionsnecessary to achieve marketing goals that enable to focus equally on all elements of the marketing mix to maximize the level of satisfaction and gain its competitive advantage
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marketing mix, price, product