The impact of sales promotion and advertisement on customer retention in the Brewery Industry of Ghana
Abstract
The purpose of this study was to examine the impact of sales promotion and effective advertisement on customer retention in the brewery industry of Ghana and to ascertain if customer loyalty mediates the relationship between sales promotion and effective advertisement and customer retention. Additionally, the study also sought to ascertain the impact of customer demographic features such as age, gender, education, marital status, and religion on customer retention. Using a well-designed questionnaire, the study sampled the relevant data from one hundred final consumers of beer within the Kumasi Metropolitan Area. The study used partial least square as the analytical technique to examine the hypothesized relationships between the variables. The study found that sales promotion does not directly and significantly influence customer retention. It however indirect influence customer retention through customer loyalty. Customer loyalty significantly mediates the relationship between sales promotion and customer retention. The study also found that, effective advertisement both directly and indirect influence customer retention. The indirect effect however outweighs the direct effect and that the mediation in this case was a partial mediation. The demographic features such as age, gender, marital status, and religion did not significantly influence customer retentions. Education however negatively and significantly influences customer retention.
Description
A thesis submitted to the Department of Marketing and Corporate Strategy,
Kwame Nkrumah University of Science and Technology in partial fulfillment of the requirements for the degree of Master of Business Administration (Marketing Option),