TABLE OF CONTENTS.............iError! Bookmark not defined.LIST OF TABLES...........................................ivDECLARATION...............................................vDEDICATION...............................................viCOPYRIGHT...............................................viiAKNOWLEDGEMENT.........................................viiiLIST OF ABBREVIATIONS....................................ixABSTRACT.................................................xi

CHAPTER ONE...............................................1

BACKGROUND OF THE COMPANY................................1

SERENGETI BREWERIES LTD..................................1

1.1 BACK GROUND TO THE RESEARCH PROBLEM..................2

1.2 STATEMENT OF THE PROBLEM……………………………………………….4

1.3 RESEARCH OBJECTIVES………………………………………………………..5

1.3.1 GENERAL OBJECTIVE................................5

1.3.2 SPECIFIC OBJECTIVES..............................5

1.4 RESEARCH QUESTIONS...................................5

1.5 SIGNIFICANCE OF THE RESEARCH.........................5

1.6 AREA OF STUDY........................................6

1.7 LIMITATION OF THE STUDY..............................6

CHAPTER TWO...............................................7

LITERATURE REVIEW........................................7

2.1 THEORETICAL LITERATURE REVIEW........................7

i

2.1.1 Re-launching...................................7

2.1.2 Branding.......................................7

2.1.3Promotion ,The key tool in Re-launching...........8

2.1.4 NATURE AND SCOPE OF SALES PROMOTION.............102.1.5 OBJECTIVES OF SALES PROMOTION...................10

2.1.6 SELECTION OF SALES PROMOTION TOOLS..............12

2.1.7 MANAGEMENT OF SALES PROMOTION...................16

2.1.8 DETERMINING SALES PROMOTION BUDGETS.............16

2.1.9 EVALUATING SALES PROMOTIONS.....................17

2.1.10 PRETESTING AND IMPLEMENTATION OF SALES PROMOTION......................................................17

2.2 EMPIRICAL LITERATURE REVIEW.........................17

CHAPTER THREE............................................19

RESEARCH METHODOLOGY....................................19

3.1Area of the study....................................19

3.2Research Design......................................19

3.3Units of inquiry.....................................19

3.4 Sampling of respondents..........................20

3.4.1 Probability Sampling..........................203.4.2 Non-Probability sampling......................20

3.5 Data collection methods.............................20

ii

3.6 Sample size.........................................223.7 Data analysis methods...............................22

CHAPTER FOUR.............................................23

4.0 DATA ANALYSIS, INTERPRETATION AND DISCUSSION OF THE FINDINGS................................................23

4.1    Introduction.....................................23

4.1 The History of Kilimanjaro Premium Lager............23

4.2 Why Kilimanjaro Premium Lager Re-Launch?............24

4.3 What were the tools which were used in Kilimanjaro re-launching campaign?.....................................25

4.3.1 Product upgrading...............................25

4.3.2 Promotion.......................................25

4.4. What impact does the Kilimanjaro re-launching have oncustomer’s response?....................................27

4.5 Was Kilimanjaro re-launching a threat to performancein Serengeti breweries?..................................34

CHAPTER FIVE.............................................36

5.0 CONCLUSION AND RECOMMENDATION.......................36

5.1 CONCLUSION..........................................36

5.2 RECOMMENDATION......................................36

BIBLIOGRAPHY.............................................39

Appendix 1...............................................40

iii

Appendix 2...............................................42

LIST OF TABLES

Figure 1: Proposed Distribution of Respondents in the sample...................................................22

Graph 1; The Product Life Cycle……………………………………………………….…3 Graph 2; The Gender analysis graph…………………………………………………….27

Graph 3; Age analysis....................................28

Graph 4; Age-sex analysis................................28

iv

Graph 5; Occupational analysis...........................29

Graph 6; Educational analysis............................30

Figure 2: Educational level..............................30

Graph 7; Profile for PSL consumers who shifted...........31

Figure 3: What people liked and dislike in the new Kilimanjaro Premium Lager................................32Graph 8; What people liked in the new Kilimanjaro Premium Lager....................................................32

Graph 9; What people disliked in the new Kilimanjaro PremiumLager....................................................33

Graph 10; Likability of the new pack.....................33

Figure 4: Sales of both Kilimanjaro premium lager and SBL brands...................................................34

Graph 11; Sales of the brands of SBL and re-launched Kilimanjaro..............................................35

v

DECLARATIONI TUMAINI JOSEPH C. declare that the research paper is my

own work and to the best of my knowledge. It has never been

submitted for the award of any degree in any University.

Field Supervisor

MR J.S. KIKULA

Signature……………………………………

Date…………………………………………

External Examiner……………………………..

Signature………………………………………

Date…………………………………………..

vi

Student

TUMAINI JOSEPH C.

Signature………………………………………..

Date…………………………………………….

DEDICATION

This research work is sincerely dedicated to my lovely

heavenly God the almighty, my entire family, relatives and

friends who devoted their ceaseless support and courage

morally, spiritually and financially. I pray that Almighty

God protect and give them success and long life.

vii

COPYRIGHT

©Tumaini Joseph C, 2008

All Rights Reserved

viii

AKNOWLEDGEMENTWriting an academic report is extremely tough work to be

accomplished by a single hand. It requires help, support and

inputs from different sources. I am therefore duty bound to

express my sincere and heartfelt gratitude to whoever helped

ix

me in anyway to accomplish this work. However, whatever long

I may acknowledge the list is not exhaustive.

First of all I would like to thank the heavenly God the

almighty for his tender love towards me

I am highly indebted to express my special sincere and whole

heartedly thanks and appreciation to my field supervisor Mr.

J.S.Kikula for his appreciated ceaseless and reasonable help

fullness, support and positive criticisms which made this

work accomplishable and successful.

It’s my great concern to extend my heartfelt appreciations

to Mr.Shantanuu(Director of Marketing),Mr. Vijay

Josh(National Sales Manager),Mr. Sameer Dashputre,(National

Brand manager)Mrs. Teddy Mapunda,(Public Relation and

Communication Manager)Mr. Nico Mosha(Regional Sales

Manager)Mr. Jaffery Rashid and Mr. Yohana Manoli (Marketing

Executives)who were my host supervisors.

Special thanks to Mr. Felix and the entire Staff of

Serengeti Breweries Limited for their endless cooperation

they accordingly offered to me.

x

LIST OF ABBREVIATIONS

ABL Associated Brewery Limited.

BBL Bonite Bottlers Limited

UK United Kingdom

URT United Republic of Tanzania

PSL Premium Serengeti Lager

TTCL Tanzania Telecommunication Company limited

SEC Social Economic Class

xi

ABSTRACTIt is important that products get re-launched if in

comparison to competition. It could be that the brand is

looking tired and old fashioned that it is loosing its

relevance in consumer’s minds, so that this could be a

reason to re-strengthen the brand communication, in addition

to making changes to the product. The re-launch of such

products to customers will also increase customer’s

awareness and brand re-modification.

The purpose of this research was to find out what was theimpact of Kilimanjaro re-launching as a promotional tool tothe performance of SBL

The research report comprises of five chapters that entails

the research problem identified, the research objectives,

the methodology adopted and the results of the analysis,

which are in essence answers to the research question

developed.

xii

A sample of 230 respondents (both customers and staff) from

head office were visited and interviewed. Both probability

(stratified random sampling) and Non-probability (Judgmental

and convenience) were used. Multitudes of approaches were

applied to gather data; these included personal interview,

observation, and questionnaire administration being the

focal. Discussion and documentation were qualitative and

quantitatively analyzed.

The study recommended that – SBL should provide training toits employees.

. SBL should increase the promotion activities

SBL should increase supply and distribution of the

Premium Serengeti Lager.

SBL should add value to its employees who meet face to

face with the consumers.

SBL should consider improving the quality of their

existing products and introduce the new products to

the market.

People under marketing department should be considered

by been given more time to have access to internet to

read more on the matters related to their day to day

activities.

There should be constant feeding of information in the

organization’s website to enable more people who have

access to internet, learn more about the organization

and its functions.

xiii

SBL should also improve employees’ welfare by

providing them with improved remunerations, short and

long term courses, bursaries, e-learning, on job

training and coaching. The training should be from

both within and outside the country. SBL should

continually remain focused on finding the right

employees, developing them and treating them with

respect and equal opportunity

xiv

CHAPTER ONE.

BACKGROUND OF THE COMPANY.

SERENGETI BREWERIES LTD

In a short span of half a decade the company has seen growth

many times over. It all started in September 2002, when the

present management took over the ailing ABL (Associated

Brewery Limited) brewery and begun a revival plan.

In Jan 2003 the complete brand portfolio was rejuvenated.

The new management changed the brand portfolio, created a

team of qualified professionals, invested in infrastructure,

quality control & marketing strategy.

Today, it has a portfolio of one of the most popular and

fastest growing Premium Serengeti Lager, a strong beer

called The KICK, the international powerhouse brand Stella

Artois which is produced locally, and a non – alcoholic malt

drink Vita malt plus.

A new Greenfield brewery at Mwanza was built recently to

meet the growing demand. A strong team of more than 350

employees are raring to deliver more.

At a glance

Two breweries within 4 years

Premium Serengeti lager is among the top 3 beer brands in

Tanzania.

1

Market share of 15%

Countrywide distribution network.

Portfolio of successful brands in each category

Main sponsor of Tanzania’s National Football team.

Licence partnership with InBev world’s largest brewer by

volume. Only the 4th company to brew Stella Artois outside

of Europe.

Licence partnership with Denmark’s 2nd largest Brewery

- Royal Unibrew for Vitamalt Plus.

Achievements:

Won the International award for Best On & Off – trade

sales promotion for Stella Artois in 2004 across

America & African zones from InBev.

Won the DLG Bronze medal for premium Serengeti Lager in

2006.

Won the Monde selection 2006 & 2007 silver medal for

premium Serengeti Lager.

Won two silver medals for “The KICK” at the prestigious

DLG international beer quality competition held in

Germany in 2006 and 2007.

Successfully exported Premium Serengeti Lager to Kenya,

Australia and the UK.

SUPERBRAND status for premium Serengeti Large in 2007

2

Corporate social responsibility fuelling the Football

Passion

Football is much more than just a game in Tanzania.

Serengeti Breweries identified this as a way to nurture

local talent, direct youth energies and bring opportunities

to the masses.

The company is committed to the improvement of the national

football team of Tanzania.

By this, the company intends to raise the game to

international levels and bring about a high level of

professionalism in the game. In turn, the talent can go to

places over the world. This will make football a viable

career option to the youth of the country.

Serengeti Breweries is also nurturing the talent at the

grass root levels by sponsoring local football clubs.

1.1 BACK GROUND TO THE RESEARCH PROBLEM.

In really situation if customers are left alone, will

ordinary not buy enough firm’s products. The firm must

persuade the customers to buy and consume the products,

therefore undertake aggressive promotion efforts.

As a result of increasing competition, most of the business

firms are trying to differentiate their marketing strategies

3

from competitors on the basis of branding, advertising and

packing.

It has been established that every product has a life cycle.

It is launched, grows, matures and may at some point die. A

fair comment is that-at least in the short term- all

products are not expected to die. Most products follow a

sort of life cycle, brands behave like wise. From the launch

they grow rapidly, and then level off as they reach

maturity; after a time, they begin a slow decline, which

becomes more rapid as they reach obsolescence. Profits

follow the same pattern, after a suitable lag. In general,

sales growth is easier in the growth stages of the market.

However, these stages are characterized by intensive

competitive entry and profits may be hard to earn. In mature

markets, brand positions become established and there is

normally a shakeout of weaker competitors. Those who survive

can earn good profits. Decline can lead to over capacity and

downward pressure on the prices and profitless competition.

However, the product life cycle can only be used as a rough

guide as it is often to re-launch a product. A company find

the previous positioning faulty or ineffective, as a result

might want to reposition the brand. Here will be, of course,

the fact that the brand will not have that much of equity to

boost of. In case of a strong brand repositioning itself,

the new positioning will make less sense.

4

Graph 1; The Product Life Cycle.

Source; www.netmba.com(2007)

In recent years firms are facing more competition than in

the past years due to globalization, free trade, change in

life styles, exposure etc. This has created higher demand

for more product options than those produced by individual

companies.

On the other hand, consumers tend to try any new brand

offered into the market, hence different measures and

strategies must be used to remind them of a brand and

capture their taste and preference.

In brewery industry there are substitute products

specifically traditional beers such as Ulanzi and Kimpumu,

Mbege etc which are sold at a cheaper price leading

customers who have low income, to demand these drinks more.

5

It is perhaps this reasons that has led Tanzania Breweries

Ltd to re-launch their Kilimanjaro brand in order to

increase its market share in the beer market. As a result,

Serengeti Breweries Ltd experiences a challenge to asses the

impact of this re-launching and minimize efforts made by the

competitor. Meanwhile SBL is trying to maximize their market

share.

1.2 STATEMENT OF THE PROBLEM.

In today’s competitive business environment firms are

competing for their market shares. Different marketers look

for different strategy for capturing the same, but at the

same time only few succeed in their goal. In this regard

different marketers start raising questions on possible

business strategies and one of them is “re-launching of

product” Brand re - launch thus

incorporates research that identifies the elusive

motivators among brands target group (Customers) that will

motivate them to use the brands rather than those of the

competitor. It can identify the most valued attributes and

why are valued, provide perception, advantage and

disadvantages of the brands compared to competing brands.

The introduction of new companies as well as the free

movement of trade has increased competition between

products thus contributing to the poor performance of such

products in the market.

6

Bearing the stiff competition in the brewing industries,

Tanzania Breweries Ltd is placing promotion as the major

aspect of bringing the customers to the brand awareness;

make a company be competitive in the market by conquering

the major distribution channels of the services offered by

Tanzania Breweries Ltd, thus raising the sales volume. The

researcher found that there is a need of carrying out the

research on the effects of re-launching of Kilimanjaro beer

on the Serengeti breweries Ltd`s sales as recently there is

no study conducted to asses the impact of re-launching of

Kilimanjaro beer as a promotional tool to the performance

of Serengeti breweries ltd.

1.3 RESEARCH OBJECTIVES.

The objective of this report is two folds, general and

specific objectives.

1.3.1 GENERAL OBJECTIVE.The general objective was to asses the impact of re-

launching of Kilimanjaro beer as a promotional tool to the

performance of Serengeti breweries Ltd.

1.3.2 SPECIFIC OBJECTIVES. To examine the reasons for re-launching of Kilimanjaro

Premium Lager.

To identify the tools in the re-launching of Kilimanjaro

Premium Lager

7

To assess influence of the Kilimanjaro re-launching on

customers response.

To examine whether Kilimanjaro re-launching has been a

threat to performance in Serengeti breweries.

1.4 RESEARCH QUESTIONS.

What impact does the Kilimanjaro re-launching have on

customer’s response?

Are there reasons that forced the organization to re-

launch its product?

What were the tools which were used in Kilimanjaro re-

launching campaign?

Was Kilimanjaro re-launching a threat to performance in

Serengeti breweries?

1.5 SIGNIFICANCE OF THE RESEARCH

The study as part of the researcher academic course, as

it provides opportunity to practice the research theories

of what has been leant in classes, also it will enable

the researcher to qualify for award of degree in Bachelor

of Business Administration at Mzumbe University.

The findings will help Serengeti Breweries on the best

way of competing with their competitors and increase

their market share.

The research findings, suggestions and recommendations

will assist the organization to know its strength,

8

weakness so that they can develop a mechanism to increase

organizational performance.

1.6 AREA OF STUDY.

The study was conducted at Serengeti breweries limited (SBL-

Tanzania Ltd), Dar es Salaam.

1.7 LIMITATION OF THE STUDY.

The researcher lacked enough experience on research which

may have resulted to improper conducting of the study.

Some of the people refused to provide appropriate data

when asked by a researcher hence resulted to

insufficiency of data and lack of proper information.

The time which was used was very limited hence the

researcher was not able to cover all the areas of the

study.

The researcher lacked enough fund for support during data

collection which required the researcher to travel in

different areas in collecting data.

Employees in the Marketing department have limited rights

to give important sources of information due to the

Company’s policy.

9

CHAPTER TWO.

LITERATURE REVIEW

2.1 THEORETICAL LITERATURE REVIEW.

Introduction.

It provides meaning of different key terms on the topic

researched by different authors of different

literatures. The researcher went through different books and

came up with following information.

2.1.1 Re-launchingRe-launching of product can be defined as the process, when

an existing brand changes or modifies the key element of the

marketing mix without materially changing its target

consumer group (www.mktwire.com).

Re-launch means that the product, perfume and packaging have

been modified or even changed substantially and the change

is communicated through media advertising and at the point

of sale (www.mktwire.com )

Re-launch means reintroducing a product into specific

market. The term implies that the company has previously

marketed the product but stopped marketing it a re-launched

10

product has usually undergone one or more changes. It may

for example, be technically modified, re-branded, or

repositioned. (www.brandchannel.com).

2.1.2 Branding According to Evans, Joel R (1990), branding is defined as

the process that involves researching, developing and

implementing brand names, brand marks, trade characters and

trademarks. It is an important part of product planning; the

procedure a firm follows in researching, developing and

implementing its brands. By establishing well-known brands,

companies are usually able to obtain acceptance, extensive

distribution and higher prices.

N.A Saleemi and E.K Njoroge (1997), defines branding as the

management process of branding a name to a product,

designing a brand mark, establishing it as well as

popularising it.

2.1.3 Promotion, The key tool in Re-launchingThe brand of a product, a service or a business is more than

a name. It is a statement to the company’s customers,

shareholders, employees and trade partners. Not only must

the statement be clear, it must also incorporate something

distinctive that marks out the sustainable competitive

advantage of the company or the product.

Effective branding can be valuable source of strategic

competitive advantage but it needs to be properly managed.

Brand management requires regular and systematic measurement

11

of the market place. Decision to invest in “brand building”

should not be driven by short-term opportunism; such

investment should only be taken if the expenditure will help

to ensure a longer-term contribution to sales and

profitability (according www.allabout branding .com)

Bigger and faster growing companies pay more attention to

branding strategy. They view marketing expenditure as an

investment, and invest time and effort into establishing a

long-term strategy for their marketing. Branding is viewed

as a source of strategic competitive advantage. So branding

issues are regularly discussed, the value of its brands is

widely recognized within the company and there is less

reluctant to spend money on marketing and promotion.

Building a brand requires promotional activities. In many

companies, senior managers make decisions about the best

forms of promotions on a subjective basis. Bigger and faster

growing companies take decisions about the promotional mix

on a much more scientific basis. They formally assess the

relative importance of the various promotional tools, track

the success of promotional activity and operate a carefully

integrated marketing and communication strategy.

Marketers on the other hand have different concerns.

Marketers help consumers understand the benefits of a

product. Marketers are closer to the front line of

competition, charged with making good products – and even

some not so good products successful. David Ogilvy, a U.S.

12

advertising executive, once said; “It has taken more than a

hundred scientists two years to find how to make the product

in question; I have been given thirty days to create its

personality and plan its launching. If I do my job well, I

shall contribute as much as the hundred scientists to the

success of the product”.

Peterson (1997:436) defines promotion as any marketing

effect whose function is to inform, or persuade actual or

potential consumers about the merits of a product or service

for the purpose of including a consumer either to continue

or to start purchasing the firms product or service at some

(given) price.

(Baker 1991) defines sales promotions as a facet of

marketing which is adding value, usually of a temporary

nature, to a product or service in order to persuade the

user to purchase that particular brand.

Sales promotions objectives are to stimulate product demand

and improve the marketing performance of sales people

(Clancastec et al 1993) defines sales promotions as

immediate or delayed incentive to purchase expressed in cash

or in kind and having only a short term or temporary

duration. Its objective is to encourage customers to switch

brands, encourage customers to try a new product and

encourage behavior purchase. Major forms of sales promotion

are contest games, sweepstakes premiums, rebates, coupons,

exhibitions and tradeshow and free sample.

13

Stanton j. et al (1991:Pg 400 defined promotion as the

element in organizations marketing mix that services to

inform, persuade and remind the market of the organization

or/ and its products.

But in his new edition (1994:Pg 666), he defined promotion

as the element in an organization marketing mix that

services to inform, persuade and remind the market of

product and organization selling it in hopes of influencing

the recipient’s feeling or behavior.

Basically, promotion attempts to influence recipients’

choice or response. And this is done through the promotion

mixes which are:-

Advertising

Personal selling

Sales promotion.

Public relations

Sponsorship, and

Trade fairs and exhibitions.

Thus we refer to promotion as one of the marketing mix or

elements-sometimes called 4 P’s-aimed at increasing sales

and market share by informing, influencing, persuading and

reminding the market about the product through media of

communication and it can be done through the promotion mix

or elements, that is; advertising, personal selling, sales

14

promotion, public relations, sponsorship and trade fairs and

exhibitions.

2.1.4 NATURE AND SCOPE OF SALES PROMOTION.As with Neil H.Borden's marketing mix, marketing

communications has its own 'promotions mix.' Think of it

like a cake mix, the basic ingredients are always the same.

However if you vary the amounts of one of the ingredients,

the final outcome is different. It is the same with

promotions. You can 'integrate' different aspects of the

promotions mix to deliver a unique campaign

There are several factors in the marketing environment which

contribute the loosing popularity of sales

promotion. The following represent some of them,

Buyers’ expectations. Once they are offered purchases

incentives, consumers and channel members get used to

them and soon begin expecting them.

Competitive pressure. If competitors are offering buyers

price reductions, contests, or other incentives, a firm

may feel forces to retaliate with its own promotion.

Short-term result. Sales promotions such as coupon and

trade allowances produce quicker and more measurable

results. The critics of this strategy argue that these

immediate benefits come at the expense of building brand

15

equally; they feel that an overemphasis on sales

promotion may undermine a brands future.

2.1.5 OBJECTIVES OF SALES PROMOTION.

The most obvious objective marketers have for promotional

activities is to convince customers to make a decision that

benefits the marketer (the marketer believes the decision

will also benefit the customer).  For most for-profit

marketers this means getting customers to buy an

organization’s product and, in most cases, to remain a loyal

long-term customer.  For other marketers, such as not-for-

profits, it means getting customers to increase donations,

utilize more services, change attitudes, or change behavior

(e.g., stop smoking campaigns).

The objectives are as follows:

Build Awareness

New products and new companies are often unknown to a

market, which means initial promotional efforts must focus

on establishing an identity.  In this situation the marketer

must focus promotion to: 1) effectively reach customers, and

2) tell the market who they are and what they have to offer

Create Interest

As consumer and business buying behavior, customers must

first recognize they have a need before they actively start

16

to consider a purchase.  The focus on creating messages that

convince customers that a need exists has been the hallmark

of marketing for a long time with promotional appeals

targeted at basic human characteristics such as emotions,

fears, sex, and humor

Provide Information

Some promotion is designed to assist customers in the

search stage of the purchasing process, explain what the

product is, and in competition it helps with a product

positioning strategy.

Stimulate Demand

The right promotion can drive customers to make a

purchase.  In the case of products that a customer has not

previously purchased or has not purchased in a long time,

the promotional efforts may be directed at getting the

customer to try the product.  For products with an

established customer-base, promotion can encourage customers

to increase their purchasing by providing a reason to

purchase products sooner or purchase in greater quantities

than they normally do.

Reinforce the Brand

17

Once a purchase is made, a marketer can use promotion to

help build a strong relationship that can lead to the

purchaser becoming a loyal customer.

2.1.6 SELECTION OF SALES PROMOTION TOOLS

Marketers have at their disposal six methods of promotion. 

Taken together these comprise the promotion mix.  In this

section a basic definition of each method is offered while

in the next section are issues to be considered in selecting

the particular method of promotion.

Advertising.

Advertising is a 'paid for' communication. It is used to

develop attitudes, create awareness, and transmit

information in order to gain a response from the target

market. There are many advertising 'media' such as

newspapers (local, national, free, trade), magazines and

journals, television (local, national, terrestrial,

satellite) cinema, outdoor advertising (such as posters, bus

sides).

Personal selling.

Personal Selling is an effective way to manage personal

customer relationships. The sales person acts on behalf of

the organization. They tend to be well trained in the

approaches and techniques of personal selling. However sales

18

people are very expensive and should only be used where

there is a genuine return on investment.

Public Relation.

Also refers to as publicity, this type of promotion uses

third-party sources, and particularly the news media, to

offer a favorable mention of the marketer’s company or

product without direct payment to the publisher of the

information.

Trade Fairs and Exhibitions

Such approaches are very good for making new contacts and

renewing old ones. Companies will seldom sell much at such

events. The purpose is to increase awareness and to

encourage trial. They offer the opportunity for companies to

meet with both the trade and the consumer.

Sales Promotion.

Sales promotions tend to be thought of as being all

promotions apart from advertising, personal selling, and

public relations. For example the BOGOF promotion, or Buy

One Get One Free. Others include couponing, money-off

promotions, competitions, free accessories (such as free

blades with a new razor), introductory offers (such as buy

19

digital TV and get free installation), and so on. Each sales

promotion should be carefully put under cost evaluation and

compared with the next best alternative.

Sponsorship.

Sponsorship is where an organization pays to be associated

with a particular event, cause or image. Companies will

sponsor sports events such as the nation’s football team.

The attributes of the event are then associated with the

sponsoring organization.

The elements of the promotional mix are then integrated to

form a unique, but coherent campaign.

The selection of the appropriate tools must ensure the

effectiveness of tools in communicating set in terms of

sales and consumers ability to recall that particular brand.

(Paliwoda, S, 1993)

For effective sales promotional campaigns, the following

issues are to be considered:

(1)Promotional Objective

20

There are several different objectives a marketer may pursue

with their promotional strategy.  Each type of promotion

offers different advantages in terms of helping the marketer

reach their objectives.  For instance, if the objective of a

beer producer is to get customers to try a product, the use

of sales promotion, such as offering the free product, may

yield better results than promoting through Internet

advertising.

(II)Nature of the Product

Different products require different promotional

approaches.  For the consumer market, products falling into

the convenience and shopping goods categories are likely to

use mass market promotional approaches while higher-end

specialty goods are likely to use personalized selling.

(III) Target Market

As one might expect, customer characteristics dictate how

promotion is determined.  Characteristics such as size,

location and type of target markets affect how the marketer

communicates with customers.  For instance, for a small

marketer serving business markets with customers widely

dispersed, it may be very expensive to utilize a sales force

versus using advertising.

(IV) Product life cycle.

21

At introduction or early stage advertising and publicity are

very important so that to build awareness to the customers

which will lead to buying actions.

During the growth stage advertising and sales promotion are

mostly used to differentiate the products from their

competitors.

At maturity stage there is products which stating to fall so

at this stage may increase advertising to reduce that and

there is application of sales promotion and personal

selling.

(V) Availability of Resources

The amount of money and other resources that can be directed

to promotion affects the marketer’s choice of promotional

methods.  Marketers with large promotional budgets may be

able to spread spending among all promotion options while

marketers with limited funds must be more selective on the

promotion techniques they use.

(VI) Company Philosophy

Some companies follow a philosophy that dictates where most

promotional spending occurs.  For instance, some companies

follow the approach that all promotion should be done

22

through salespeople while other companies prefer to focus

attention on product development and hope word-of-mouth

communication by satisfied customers helps to create

interest in their product.

(VII) Price

The higher the price of a product the more likely a marketer

will need to engage in personalized promotion compared to

lower priced products that can be marketed using mass

promotion.

(VIII) Time scale.

The time which is specific by the firm to be used for

promotion affects the promotion tools, so the marketer will

choose the kind of promotion regarding to the time.

(IX) Distribution

Marketing organizations selling through channel partners can

reach the final customer either directly using a pull

promotion strategy or indirectly using a push promotional

strategy.  The pull strategy is so named since it creates

demand for a product by promoting directly to the final

customer in the hopes that their interest in the product

will help “pull” more product through the distribution

channel.  This approach can be used when channel partners

are hesitant about stocking a product unless they are

23

assured of sufficient customer interest.  The push strategy

uses promotion to encourage channel partners to stock and

promote the product to their customers.  The idea is that by

offering incentives to channel members the marketer is

encouraging their partners (e.g., wholesalers, retailers) to

“push” the product down the channel and into customer’s

hands.  Most large consumer products companies will use both

approaches while smaller firm may find one approach works

better.

2.1.7 MANAGEMENT OF SALES PROMOTION

Like most marketing decisions, an effective promotional

strategy requires the marketer understand how promotion fits

with other pieces of the marketing puzzle (e.g., product,

distribution, pricing, target markets).  Consequently,

promotion decisions should be made with an appreciation for

how it affects other areas of the company.  For instance,

running a major advertising campaign for a new product

without first assuring there will be enough inventory to

meet potential demand generated by the advertising would

certainly not go over well with the company’s production

department (not to mention other key company executives). 

Thus, marketers should not work in a vacuum when making

promotion decisions.  Rather, the overall success of a

promotional strategy requires input from others in impacted

functional areas.

24

2.1.8 DETERMINING SALES PROMOTION BUDGETSThe sales promotion budgets should be established as a

specific point of budget for the total promotion mix.

Setting a separate budget for sales promotion forces a

company to recognize and manages it. In developing an

integrated promotion strategy, the amount budgeted for sales

promotion should be determined by the task method. These

forces the management to consider objectives and sales

promotion techniques that used to accomplish them.

2.1.9 EVALUATING SALES PROMOTIONS Most sales promotions have definite starting and ending

points coupons must be redeemed by a certain date.

Contest entries must be submitted before a particular

deadline. This differs to the advertising where there can

be significant residue effects and results of one

campaign may overlap the other one.

Responses to a premium offer or coupon with a specified

closing data can be countered and compared to a similar

period when there were no premiums or coupons offered.

25

Most sales promotions are designed to impact sales

directly it is more difficult to measure a change in

altitude or an increase in information about a product or

brand than it is to count sales.

2.1.10 PRETESTING AND IMPLEMENTATION OF SALES PROMOTIONKotler p et al (1991) says pretesting helps to point out the

most appropriate tool, which is of the right incentive size.

It is advisable to pretest promotion before entering into

the market. But so many business companies don’t pretest the

sales promotion tools.

2.2 EMPIRICAL LITERATURE REVIEW

In the course of documentation, a researcher came about

different reports about the impact of promotion mix on sales

or/ and organization in general.

According to a research paper by Joseph.E.G (2002) of Mzumbe

University in his research on “The impact of promotion

techniques under competitive business environment” he

generally said that promotion tools are the most weapon(s)

used in the competition battle, and if they are effectively

used, they tend to affect sales positively.

According to Jaha (2004) in his research report “The Impact

of Effectiveness Promotion Techniques in Telecommunication

Company” 2003/2004 argued that TTCL should increase more

26

funds to boost promotion activities so as to create good

image, improve customer care and network expansion. He also

argued that there should be application of effective

promotion which means a promotion with all the necessary

messages and uniqueness, sales promotion campaigns should be

conducted frequently to overcome the activities of

competitors. New products in the market should have an

intensive sales promotion for public awareness.

Biseko (1999/2000) in his research report on effectiveness

of sales promotion at Bonite Bottlers Limited argued that

sales promotion should be include in a company’s promotion

plans along with advertising and personal selling. It

recommenced that BBL management must establish a policy for

evaluation of effectiveness of its sales promotions

activities. This will enable a firm to know the news of

consumers and retailers and therefore be on the next sales

promotions. Also the firm should employ the experts in

promotion activities who will be responsible to steer the

implementation of sales promotion activities.

Kimolo(1998) in her report on the “Promotion Techniques”

conducted at NSSF headquarters found out, some organizations

are not effective in sales because they are not aware of the

promotion tools when, where and how to employ them. She also

said that some techniques are not affecting sales because

they are wrongly implemented and lacks enough funds for

implementation.

27

CHAPTER THREE

RESEARCH METHODOLOGY

INTRODUCTION

This chapter outlines the methods which were used in the

collection of data in the field.

Area of the study

The research was undertaken at Serengeti Breweries Ltd (SBL-

Tanzania) Dar es Salaam.

28

3.2Research Design

In order to achieve the descriptive case study (Baker 1993)

said” It creates a conductive environment for combining a

variety of evidences including interviews, documents and

observation to conduct an in-depth inquiry into a social

phenomena in which research interest involves a range of

variables but always maintaining a unitary nature of the

unit of inquiry”.

This provides the guidance and forms the demarcation of the

scope of enquiry of the researcher with regards to

collection, organisation, analysis, and interpretation of

data pertaining to the research

The researcher has adopted case study research design. This

is justifiable as SBL was used together with its customers

and employees; the researcher was able to visit in the

course of his placement at SBL.

It is in researcher’s confidence that sufficient and

reliable information have been obtained as a result of data

gathering using this design. The design is also

argumentative as it offers facilitation to the management of

the units so required.

Unit of inquiry

The study unit of inquiry was Serengeti Breweries top

management whom I assessed as to why the Kilimanjaro premium

lager was re-launched, and whether the Kilimanjaro re-launch

29

had appeared to be a threat to the performance of SBL or

not. The SBL department managers, supervisors and the staff

assisted me to know the history of Kilimanjaro Premium

Lager, tools which where used in re-launching and the

response of some of the customers to the new Kilimanjaro

Premium Lager. From various consumers of the various

products and services offered by Serengeti Breweries ltd and

TBL I managed to obtain the data on the impact of

Kilimanjaro Premium re-launch on the customers response.

3.4 Sampling of respondents

Sampling can be defined as the use of definite procedure in

the selection of a part for the express purpose of obtaining

from its descriptions or estimates of a certain properties

and characteristics of the whole. (Mc McCarthy et al 1963;

23)

To realize the objectives of study, the sample of 200

customers and 30 people was drawn from population of

SBL departments’ staff members; they included the top

management, departmental Managers, and departmental workers.

Both probability and Non-probability sampling techniques

were used.

3.4.1 Probability Sampling Under this, stratified random sampling (sometimes called

proportional sampling) was employed due to the fact that it

accounts for the marked differences in the population when

30

a sample is selected. This method was employed in the

selection sample of SBL staff, where by the population was

divided from members of different departmental staff and the

selection were based on these departments.

3.4.2 Non-Probability sampling Under this context, Judgemental sampling was used due to

the reasons that the researcher knew the target population

well enough to choose a sample using expert judgement. And

convenience sampling was applied mainly to TBL’s and SBL`s

customers, that means the selection based on the willingness

of the respondents to participate.

3.5 Data collection methods

Data was collected by using primary and secondary data

collection methods.

(a) Primary Data Collection

In collecting primary data three methods was used .These are

questionnaires, interviews, and observations

Observations

In this respect the researcher participated in day to day

activities of SBL with the staffs and sometimes the

researcher observed and recorded critical incidents relevant

to the subject studied.

Questionnaire

31

This was data collection technique used by the researcher.

In specific terms, the researcher made use of personal

administration of the questionnaire. Personal administration

of this data collection instrument was adopted due to the

following reasons;

First, to enhance accuracy as this provides opportunity for

clarification and explanation of some aspects.

Second, to increase the level of response as compared to

mailing due to time limitation, and

Third, editing and compilation of data was achieved at the

same time of data collection.

In some instances however, due to unavoidable circumstances,

the questionnaires were left with the respondents to fill at

their convenient time

In designing the questionnaires, comments and feedback from

supervisor, and colleagues at SBL were elicited in an

endeavor to ensure that questions were clear and precise.

Interview

In special cases where particular information was required

unstructured, an interview method was used in connection

with the questionnaires, some of the respondents were of

concern in adding input to the work, their views were not

discredited. The questions basically spring from

researcher’s head when using this approach, but they are

basically in line with what is being researched The

32

researcher interviewed the head of departments, other staffs

and the consumers of the brand under investigation.

(b) Secondary Data Collection

Documentation

Under this the researcher surveyed various documents which

enabled him to get appropriate information. The documents

include; sales books, journals, magazines, newspapers,

newsletters, office files, reports and websites.

3.6 Sample size.

Figure 1: Proposed Distribution of Respondents in the sample.

Category of

respondent

No. of Respondents % of the

Respondents

category to the

sampleTop management 05 2.Departmental

Managers

06 3.

Departmental

Workers

19 8.

Customers 200 87Total Sample size 230 100

33

3.7 Data analysis methods

After the collection of data, the researcher analyzed them

through both qualitative and quantitative methods.

Qualitative Data

This was used to examine and interpret data that could not

be quantified e.g. behavior and views of consumers.

Quantitative Data

This was used to represent and manipulate quantifiable data

e.g. size and amount of sales volume.

CHAPTER FOUR

4.0 DATA ANALYSIS, INTERPRETATION AND DISCUSSION OF THE FINDINGS

4.1    Introduction.

This chapter presents the data collected during the study,

analyzes and discusses the findings. The data collected

include the impact of the Kilimanjaro re-launching to the

customers response, the factors behind Kilimanjaro Premium

re-launching, the tools which were used in Kilimanjaro re-

34

launch campaign and finally whether the Kilimanjaro re-

launching was a threat to SBL or not.

4.1 The History of Kilimanjaro Premium Lager.

The official launch of Kilimanjaro Premium lager was by Mr.

Fredrick Sumaye (by then a prime minister of URT) on Friday

October 1996 at Diamond Jubilee. This was the launch of

Premium Lager that is Kilimanjaro Premium Lager, of which

before the launch it was known as Kilimanjaro lager.

The brand itself was initially launched sometime in either

1961 or 1963, there is a dispute here, and it was launched

by Madvan Breweries owned by Madvan family in Arusha. The

breweries itself was known as Kilimanjaro Breweries.

During Madvan there were same changes made in the

Kilimanjaro brand. This includes both the change of bottle

shape and the change of the label.

The latest shape which was introduced on September 2007 (new

500ml long neck) Previously there were some other bottle

changes In 1996 a bottle sized 330ml, popularly known as

dumpy was introduced. In 2003 the new canning was added in

which another 340ml was introduced. In September 2005, there

was an introduction of 330ml, non returnable bottle format.

In the label change, during Madvad error, Kilimanjaro label

was upgraded three times. The first launch was in 1996, the

second in 2005, and the third one in the re-launch on

September 2007.

35

4.2 Why Kilimanjaro Premium Lager Re-Launch?

The Kilimanjaro re-launching did not just start on 2007, butrather the campaign had been introduced since before 2005.Inthe TBL annual report of the year 2006,page 14,the ManagingDirector’s report states that, ‘In march 2005 we introduced apackaging graphics upgrade to one of our leading brands Kilimanjaro PremiumLager.’ He continues ‘In September 2005 we reintroduced non returnablebottle format making both Kilimanjaro Premium Lager and Castle lageravailable in this pack.’

A re-launch is made when it is apparent to the marketer that

the brand in question is loosing share because its physical

qualities need a change. It is also possible that, in

comparison to competition the brand is looking tired and old

fashioned that it was loosing its relevance in consumer’s

minds, so that this could be a reason to strengthen the

brand communication, in addition to making changes to the

product

The key factors that marketers review in order to decide

whether a brand needs a re-launch are

a) A decline in its market share, and the

b) Brand strength (when measured through a suitable

research methodologies)

showing a decline.

Very often, it has been noticed that both these declines

occurs at the same time. Moreover, the idea of re-launching

a brand when it is still flourishing is a very good one and

should be a practice of good businesses and marketing

36

strategy. Unfortunately re-launches when a brand is

successful are rare.

It is more common to push a growing brand up the growth

curve by a re-stage rather than a re-launch; particularly if

the growth of the brand is threatened or likely to be

threatened by major competitors.

Kilimanjaro Premium Lager being one of TBL’s flagship brand

over years, had to be re-launched as it faced challenges

/competition from other products within TBL and EABL. Other

companies such as Serengeti Breweries with its high quality

brands placed a real challenge to Kilimanjaro. Some of the

other products that gave challenge to Kilimanjaro included

Red bull, Windhoek, Grolsch, Heineken, Faxe and Efes.

Therefore something was to be done for the brand to keep up

with the ever-changing landscape. Following the months of

consumer research, design and development, the brand was re-

launched with a new Kilimanjaro Premium Lager packaging into

the market.

4.3 What were the tools which were used in Kilimanjaro re-launching campaign?

4.3.1 Product upgrading.With the Kilimanjaro re-launching there was a change of two

particular areas in the product. The areas which were

changed include,

37

a) Label upgrading and

b) Bottle changing.

With the label upgrading there was a change in design, of

which it was made more modern; the bottle was changed into

the new long neck bottle. Both these changes were to make it

attract more consumers and hence improve its relevance in

consumer’s minds, so that this could be a reason to

strengthen the brand communication, in addition to making

changes to the product so that consumers may feel their

product moving with time and new technology.

4.3.2 Promotion. TBL promotional mix differs markedly in two respects

one of which is expected and that is to do with the amount

of promotion it does. Given the size of TBL and the number

of brands it owns or produces under licence one might expect

TBL to advertise more (electronic, print and out door), do

more personal selling, more direct marketing, more internet

and online marketing (this is done only on a very small

scale in the beer industry in Tanzania even by the main

player e.g. http://www.kilitimetz.com/) perform more sales

promotions and gain more publicity than any other brewer or

importer of beer; and so the scale is markedly different.

But one aspect that TBL deliberately emphasizes is events

which it organizes and sponsors widely but selectively.

Virtually all major TBL brands are associated as part of its

38

brand character and positioning with a particular type of

event or specific event. Kilimanjaro Premium Lager has for a

number of years now organized the Kilimanjaro Music Awards-

the premier popular music awards in the country, the

Kilimanjaro Marathon- an international marathon race held

annually around the foot of Mount Kilimanjaro in Moshi town;

and sponsoring the Dar es Salaam basketball competition

yearly.

These events and sponsorships are attempts at engaging the

consumer on a relevant platform (games, music and so on) and

also communications of positioning and repositioning and

opportunities for generating a great deal of public

relations publicity in the news media

Other means which went hand in hand with the Kilimanjaro

re-launching included,

Advertising.

Advertising is a 'paid for' communication. It is used to

develop attitudes, create awareness, and transmit

information in order to gain a response from the target

market. There were many advertising 'media' which were used

in re-launching of Kilimanjaro. These included, magazines

such as Bang released on December 2007, page 2, with the

words which said “THERE IS A NEW LOOK IN THE TOWN”. News

papers such as Nipashe and Daily news had the same advert.

39

In the local TV and Radio there was and advertisement

convincing people to try the new re-launched Kilimanjaro

premium Lager. The radio channels include, KISS FM, on its

favourite program BONGO BEATS. The TV advert was witnessed

in the 20:00 news hour program runned by ITV. Billboard was

seen along Morogoro road in Manzese area. The suburb vision

was observed in areas like Kigogo, Sinza Mori, opposite

Serengeti plant, and in Ilala opposite Regional officer’s

office. Others included posters in the bars, wall painting

and the vehicle brands.

Personal selling.

Personal Selling is an effective way to manage personal

customer relationships. The sales person acts on behalf of

the organization. With Kilimanjaro re- launching they hired

some few people to do the personal selling who were assisted

by the TBL sales people.

Sales Promotion.

40

Sales promotions tend to be thought of as being all

promotions apart from advertising, personal selling, and

public relations. With the Kilimanjaro re-launching, sales

promotion was also used. It involved the offering of

tablemates, t-shirts, tire covers and key holders. It also

included the promotion of the brand in the bars which had

the poor performance in the market.

These elements of the promotional mix were then integrated

to form a unique, but coherent campaign.

4.4. What impact does the Kilimanjaro re-launching have on customer’s response?

In analyzing whether the Kilimanjaro re-launching had an

impact to the customers response or not, the following

presented graphs, give the clear picture of the response

given by 200 customers who were interviewed concerning the

subject

Graph 2; The Gender analysis graph.

GENDER ANALYSIS

female39%

male61%

femalemale

41

The pie chart above shows that out of the 200 interviewed

persons,39%were females, while the remaining 61%represented

males.

Graph 3; Age analysis

From the above graph we can observe that 73% of the

Kilimanjaro premium drinkers are below the age of 35years,

and the average age of the drinkers is 32years.

42

Graph 4; Age-sex analysis.

From the age sex analysis, the following were observed.

69%of the female drinkers are below the age of 35years.

49%of the female drinkers are below the age of 30years.

86%of the female drinkers are below the age of 40years.

56% of the male drinkers are below 30years of age.

77% of the male drinkers are below 35years of age.

94% of the male drinkers are below 40years of age.

AGE - SEX ANALYSIS

20

29

2017

4

10

22

34

2117

4 3

0510152025303540

18-25 26-30 31-35 36-40 41-45 46+AGE

% OF DRI

NKER

S

Female Male

43

Graph 5; Occupational analysis.

OCCUPATION ANALYSIS

62

1519

25

18

9

2 4

0

510

15

2025

30

1 2 3 4 5 6 7 8 9OCCUPATION

% OF DR

INKE

RS

The occupation numbers on the x-axis on the graph above

stands for the following.

1 Housewives2 Students3 Unskilledlabour4 Skilledlabour5Supervisors6 Middle andJunior management7 Seniormanagement8 CEO&Directors9 Retired

44

From the above graph we can observe that, 67%of the drinkers

belong to Socio Economic Class (C1, C2, D, and E) and 29% of

the drinkers belong to SEC, ( A, and B).

Graph 6; Educational analysis.

EDUCATION ANALYSIS

68

1613

18

9

15

47

2

0

5

10

15

20

1 2 3 4 5 6 7 8 9 10EDUCATION LEVEL

% OF DR

INKE

RS

The education numbers on the x-axis on the graph above

stands for the following, as shown bellow

Figure 2: Educational level. No school 1Not completed Primary School 2Completed Primary School 3Not completed Secondary School 4Completed Secondary School 5Not completed Post Secondary 6

45

Completed Post Secondary 7Not completed University 8Completed University 9Refused to answer 10

From the data collected, 65% of consumers who had been found

drinking the new Kilimanjaro premium lager, had been

drinking the same beer before re-launching, 10%were drinking

Premium Serengeti lager, 8% were drinking tusker lager,

5%were drinking Castle lager before, 2%were drinking safari

lager before, 7%were drinking Ndovu and 3%were drinking

other types of beer before the re-launching.

In analyzing the shifting pattern of the consumers who were

drinking Premium Serengeti lager before, I found that, out

of consumers who were drinking Serengeti lager before 40%

were males and 60%were females. Their ages were distributed

as shown in the following graph.

46

Graph 7; Profile for PSL consumers who shifted.

PRO FILE FO R PSL CO NSUM ERS W HO SHIFTED

13

38

2621

2 00510152025303540

18-25 26-30 31-35 36-40 41-45 46+AGES

%OF

DRINK

ERS

PSL consumers between the ages of 26-30, are the highest

shifting group to new Kilimanjaro premium lager.

31-35 are the second shifting group to Kilimanjaro premium

lager.

Higher age groups of the consumers are the least group to

shift to Kilimanjaro Premium Lager.

47

As shown in the following two graphs, the numbers on the x-

axis represents what consumers like and dislike while

consuming Kilimanjaro premium lager.

Figure 3: What people liked and dislike in the new Kilimanjaro Premium Lager. The smooth taste 1The taste on the palate/tongue 2The bottle 3The packaging 4The availability 5The alcohol content 6The way it makes me feel 7The smell 8Refreshment 9No hangover 10Price 11Sugar level 12Other(Gas content of the beer and impurities) 13

Graph 8; What people liked in the new Kilimanjaro Premium Lager.

W HAT PEOPLE LIKE IN THE NEW KILIM ANJARO BEER

16

9

14

2 1

5

11

0

9

13

02 1

0

5

10

15

20

1 3 5 7 9 11 13LIKES

% OF DR

INKE

RS

48

Graph 9; What people disliked in the new Kilimanjaro PremiumLager.

W HAT PEOPLE DISLIKE IN THE NEW KILIM ANJARO

0 1 0 0 08 1 0 1 0 6 1

82

0

20

40

60

80

100

1 2 3 4 5 6 7 8 9 10 11 12 13 14DISLIKES

% OF DR

INKE

RS

In analyzing whether people preferred the new or old pack,

83%prefered the new pack, while 17%prefered the old pack.

the above information is shown in the following pie chart.

49

Graph 10; Likability of the new pack

LIKABILITY OF THE NEW PACK

like83%

dislike17%

4.5 Was Kilimanjaro re-launching a threat to performance in Serengeti breweries?

In assessing whether Kilimanjaro re-launch was a threat or

not to SBL, the researcher made a sales trucking in more

than 23 bars and restaurants to know the estimated sales of

various brands in these bars and restaurants. The bars were

from various parts of Dar es Salaam city. The collection of

the data from these bars lasted for three months namely

October, November and December. As the re-launch had taken

place on September 2007, the researcher found that it was

convenient to assess the performance of this brand for these

three months after re-launch. The following were the results

from the sales trucking;

50

Figure 4: Sales of both Kilimanjaro premium lager and SBL brands.   OCT 2007 NOV 2007 DEC 2007Kilimanjaro 67337 67946 78069PremiumSerengeti lager50cl 78986 90032 99096PremiumSerengeti lager33cl 3513 3750 4513Stella Artour50cl 2794 2980 3247Stella Artourcl33 2133 2287 2427The Kick 284 327 446

51

Graph 11; Sales of the brands of SBL and re-launched Kilimanjaro.

THE G RAPH SHOW ING SALES O F THE BRANDS O F SERENG ETI

BREW ERIES AND RELAUNCHED KILIM ANJARO .

020000400006000080000100000120000

OCT NOV DECM ONTHS

SALES

KilPsl 50clPsl 33clSA 50clSA cl33Kick

After the Kilimanjaro re-launching, there was the increase

in the sales Kilimanjaro Premium lager, while at the same

time the sales of the brands produced by SBL increased at

higher rate some even exceeding the rate of growth of sales

of Kilimanjaro Premium lager. The vivid example is depicted

by growth of Premium Serengeti lager.

52

CHAPTER FIVE

5.0 CONCLUSION AND RECOMMENDATION

5.1 CONCLUSION

The aim of this report was to assess the impact of re-

launching of Kilimanjaro Premium lager as the promotional

tool to the performance of SBL.

From the analysis of data in chapter four above, the

researcher found that the history of Kilimanjaro beer

started in either 1961 or 1963,under which ever since it was

firstly launched there have been some few re-launches under

which there was a change of both bottle, content, label and

the taste itself.

There were many reasons as to why the Kilimanjaro was re-

launched. Some of them include the loosing of the market

share of Kilimanjaro in the beer market, and the increased

competition both internally and externally which made the

brand look old and tired.

After certain months of consumer researches, design and

development, the brand was re-launched with a new package

and label.(Dogo ipange fresh sentence) There were many tools

which were used in ensuring the success of the program of

53

re-launching. They include product upgrading in terms of

bottle and label, and promotional tools like advertising,

personal selling, sales promotion and publicity. The tools

were successful; it was shown by increased sales of

Kilimanjaro lager.

There was a general increase in the sales of Kilimanjaro

Premium Lager in Dar es Salaam city as it was shown from the

graph showing the sales of this brand.

The increased sales of this brand mainly were from people

who had been drinking this brand before and for some reasons

had stopped drinking it, and some from other brands produced

by SBL, TBL and the local brews.

Though the sales of the brands produced by SBL increased, in

analyzing the individual customer response to the re-

launched Kilimanjaro, the researcher found that some

consumers from SBL have been shifting to Kilimanjaro Premium

Lager consumption.

The effect of the increased sales of Kilimanjaro Premium

Lager should not be looked without a keen eye. Serengeti

Premium lager while been viewed from product life cycle

point of view, we will discover that it can be said to be in

the growth stage, and hence has more power in gaining the

new markets. Kilimanjaro Premium Lager on contrary is in

maturity stage and the rate of capturing the new markets

increases at the decreasing rate.

5.2 RECOMMENDATION

54

Succcees due to promo tools.use prom,upgder commd

SBL should increase the promotion activities to ensure

the speed of the sales of new Kilimanjaro Premium Lager

is retarded.

Promotion should go hand in hand with increased supply

and distribution of the Premium Serengeti Lager. On 25th

of December 2007 customers in some parts of Dar es

Salaam, experienced the shortage of the products (which)?

As the product is in the growth stage, constant supply of

products to consumers should be maintained.

SBL should add value to its employees who meet face to

face with the consumers; value may be in terms of how

they present themselves to customers(in terms of

uniforms, and cleanness, how they talk and serve

customers ,should have training and short causes).

SBL should consider improving the quality of their

existing products and introduce the new products to the

market. To start with, the management may consider

introducing the PSL, in the canes package which will

increase more consumers. The consumers are expected to be

obtained from the playing grounds, night clubs and discos

and the travelers.

SBL may utilize some of their idle resources which have

not been utilized. To start with, the management should

consider utilizing Serengeti fence, which is located in

55

the four ways which can be used for advertisements hence

placing the product in the consumers’ minds.

Within the plant’s premises, the management should

consider placing the billboard which will also attract

more customers. In both receptions the management may

consider placing some screens which will be displaying

the product and any activity which will be considered

valuable to the consumers.

People under marketing department should be considered by

been given more time to have access to internet to read

more on the marketing issues, and there should be a

person who will be constantly observing competitors

activities on television and other areas.

There should be constant feeding of information in the

organization’s website to enable more people who have

access to internet, learn more about the organization and

its functions. Information should involve organization’s

mission, vision and company’s values, a word from various

departments, financial statements and any particular

information which may be found valuable in that

particular period of time.

SBL should also improve employees’ welfare by providing

them with improved remunerations, short and long term

courses, bursaries, e-learning, on job training and

coaching. The training should be from both within and

outside the country. SBL should continually remain

56

focused on finding the right employees, developing them

and treating them with respect and equal opportunity.

Employees should also be provided with medical treatment

facilities and dispensaries at the production centers,

free consultancy, assistance in the meals and drinks and

in order to support family culture the management should

consider building a pub allowing employees to socialize

at ease and get together with a view of exchanging ideas

and get together to get to know each other.

All the above recommendations aim at ensuring the production

of quality products, and increasing the competitive

advantage to SBL which will ensure greater performance and

hence minimizing the ability and competitiveness of the

competitors.

57

BIBLIOGRAPHYKotler, Phillip, Marketing Management Analysis, planning,

implementation and Control, prentice hall of India, New

Delhi 1997

Barry B and Evans J. R: Retail Management A Strategic

Approach, 5th ed. Macmillan Co, New York, 1992

William J Stanton, Michael J. et zel and Bruce J. Walker.

Fundamentals of Marketing 10th E d

Baker.M (1986) Marketing 4th Ed, Mac Millan Education Ltd

Hamphire, Great Britain.

Peterson Robin (1970) Marketing: A Contemporary

Introduction, Wiley

Lancaster, G. et al (2000) Marketing Fundamentals: Chartered

Institute of Marketing Examination Series, Butterworth-

Heinemann, Oxford UK

58

Jobber David (2004): Principles and Practice of Marketing

4th Ed, McGraw Hill London.

Stanson J.William et al. Fundamentals of Marketing 10th Ed,

McGraw-Hill Inc New York 1994

E. Jerome Mc Carthy and William D Perreault (2001) Basic

Marketing: A Managerial Approach 9th E d Home wood Irwin.

OTHER SOURCES

Know this.com, a knowledge source of marketing since 1998.

Sales promotion –Wikipedia

(www.mktwire.com

(www.brandchannel.com).

www.allabout branding .com)

. http://www.kilitimetz.com/)

www.netmba.com(2007)

Appendix 1

ASSESSMENT OF THE IMPACT OF RELAUNCHING OF KILIMANJARO BEER

AS A PROMOTIONAL TOOL TO THE PERFORMANCE OF SERENGETI

BREWERIES LTD.

QUESTIONNAIRE FOR STAFF

59

Dear interviewee,

I kindly request you to complete the following questions.

The information required is intended to serve for academic

purpose and would be treated as confidential.

You are required to tick the appropriate answer for the

closed ended questions and for open ended questions you are

required to according to instructions provided in each of

the question.

1. Designation………………………………. Gender……………………

2. Department………………………………

3. For how long have you been employee of Serengeti

Breweries ltd?

1 year ( )

2 years ( )

3 and above ( )

4. In your own opinions what do you think are the reasons

for Kilimanjaro re-launching?

……………………………………………………………………………………………

…………………………………………………………………………………………...

60

……………………………………………………………………………………………

5. On which way do you think customers will react to

Kilimanjaro re-launching?

………………………………………………………………………………………….

………………………………………………………………………………………….

6. Using your own experience what do you think were the

tools used in Kilimanjaro re-launching?

…………………………………………………………………………………………..

…………………………………………………………………………………………...

7. Do you view Kilimanjaro re-launching as a threat to your

organization’s performance?

YES ( )

NO ( )

Explain why…………………………………………………………………………….

………………………………………………………………………………………….

…………………………………………………………………………………………

I GREATLY THANK YOU FOR TAKING YOUR TIME ANSWERING THESE

QUESTIONS.

61

Appendix 2

ASSESSMENT OF THE IMPACT OF RELAUNCHING OF KILIMANJARO BEER

AS A PROMOTIONAL TOOL TO THE PERFORMANCE OF SERENGETI

BREWERIES LTD

QUESTIONS FOR GUIDED INTERVIEW TO CUSTOMERS

Date _____________________Bar___________________________Location_________________________________

Male Female

b) Could you please tell me your exact age?

____________________________

1) What Brand were you drinking before Kilimanjaro?

Castle KilimanjaroSerengeti BavariaHeineken Stella Artois

62

Pilsner WindhoekPilsner Ice NdovuMiller TuskerSafari CarlsbergKick Grolsch

2) Can you tell me what it is that you like aboutKilimanjaro?

The smooth taste 1The taste on the palate/tongue 2The bottle 3The packaging 4The availability 5The alcohol content 6The way it makes me feel 7The smell 8Refreshment 9No hangover 10Price 11Sugar level 12Other 13

3) Can you tell me what is it that you don’t like aboutKilimanjaro?The smooth taste 1The taste on the palate/tongue 2The bottle 3The packaging 4The availability 5The alcohol content 6The way it makes me feel 7The smell 8Refreshment 9No hangover 10Price 11Sugar level 12

63

Other 13

4) Can you tell me whether you like the old or new pack ofKilimanjaro?

Old pack 1New pack 2

SOCIO-ECONOMIC STATUS

5) Could you please tell me what is your education level?

No school 1Not completed Primary School 2Completed Primary School 3Not completed Secondary School 4Completed Secondary School 5Not completed Post Secondary 6Completed Post Secondary 7Not completed University 8Completed University 9Refused to answer 10

10) And finally, what do you do for a living?

Full time House wife 1

Student 2

64

Unskilled or casuallabourer/Unemployed/Maid/Messenger/Gardener/Watchman/Street Vendor/Subsistence Farmer 3

Skilled labourer and artisans (working forothers)/Cook/Shop assistant/Driver/Gamescout/Waiter/Steward/Owner of a small plotselling some products

4

Supervisory and Clerical Staff/Employees inOffices/Lower Grade Bank employees/Lower gradeCivil Servants. Skilled labourers and Artisanssuch as;Carpenters/Electricians/Plumbers/Mechanics/Partqualified technicians. Tailors (selfemployed)/Owners of small farms/Owners of smallfarms/Owners of very small companies such askiosk, small grocery stores/Chef/Chef assistant.

5

Middle and Junior Management/Managers of mediumsized companies/Junior Army Officers/MiddleGrade Civil Servants/Owners of small shops orbusinesses/professional of lower grade andQualified Technicians/Nurses/Primary orSecondary Teachers.

6

Senior Management/Professionalsself-employed/Professional employees/ SeniorCivil Servants/Owners of medium sizedcompanies/Higher Education Teachers/NursingOfficers

7

Directors/Chief Executive Officers/Owners oflarge farm/Owners of large companies/HighGovernment Officials 8

Retired (Specify Previous Occupation) 9

65

MZUMBE UNIVERSITY

(MU)

FACULTY OF COMMERCE

DEPARTMENT OF BUSINESS ADMINISTRATION

RESEARCH REPORT ON: ASSESSMENT OF IMPACT OF RE-LAUNCHING OF

KILIMANJARO BEER AS A PROMOTIONAL TOOL TO THE SALES OF

SERENGETI BREWERIES LTD.

CASE STUDY: SERENGETI BREWERIES LIMITED-(SBL- TANZANIA

LIMITED)

RESEARCHER: TUMAINI JOSEPH C.

BBA III MARKETING

66

A RESEARCH REPORT TO BE SUBMITTED TO FACULTY OF COMMERCE IN

PARTIAL FULFILLMENT FOR A BACHELOR’S

DEGREE IN BUSINEESS ADMINISTRATION

(MARKETING MANAGEMENT)

JUNE, 2008.

67