Management of Business

The importance of promotional strategies to the success of a business

Name of Candidates: Candidates Number:

Tisha Miller 1001640923
Javaughn Lewis 1001640796
Kerice Grey 1001840532

Subject: Management of Business

Center: Jonathan Grant High School
Center #: 100164
Territory: Jamaica
Teacher: Ms. Craig
Year of Examination: 2023
 Table of Contents
Contents Pages
Introduction 3-4
Description of Venture 5-6
Review of Industry 7-8
Methodology 9
Presentation and Analysis of Data 10-14
Interpretation of Data 15-17
Recommendation 18
Conclusion 19
Bibliography 20
Appendices 21-24
 Introduction

Topic: The importance of promotional strategies to the success of Berger Paints Jamaica
Ltd

Thesis Statement: This research seeks to research the importance of promotional strategies to
the success of Berger Paints Jamaica Ltd. The researchers aim to conduct the research at Berger
Paints Jamaica Ltd. The research will:

1. Define the term promotional strategies

2. Outline four types of promotional strategies
3. Discuss the benefits of promotional strategies to the success of such business

Justification of the topic

The purpose for selecting this topic is to highlight the different types of promotional strategies as
well as the functions and roles they play to the success of a business venture.

In addition, the researchers are aiming to become future business owners and want to explore the
types of Marketing strategy of a business in order to educate themselves and others of the vital
role that promotional strategies have to the success of a venture.

Lastly, this investigation will allow the researchers and their peers to recognise the importance
and benefits of promotional strategies in terms of the success and development of a business.

Background of Project

In 2015, the Reseller Club conducted an investigation to determine the significance of promotion
strategies in all types of organizations and how they contribute to the success of a business. The
primary objective of this study is to examine the importance of promotional strategies and their
impact on business profitability.
According to the author, promotion is a critical component of effectively communicating the
benefits of a product or service to potential customers. By creating well-designed marketing and
promotional strategies, businesses can achieve long-term success, attract more customers, and
increase profitability. It is essential to note that promotion goes beyond advertising and
encompasses other aspects of marketing, such as public relations, personal selling, and sales
promotion.

The research project conducted by the Reseller Club is similar to other studies that have
investigated the importance of promotional strategies in business success. Such research findings
are beneficial to individuals studying business courses, entrepreneurs, and organizations.
Effective promotional strategies are necessary for businesses to remain competitive in the
marketplace and maintain customer loyalty. The researchers hope these findings will be
beneficial to those studying business courses as well as those aspiring to become entrepreneurs.
 Description of Venture

Berger Paints is a multinational paint company that is also based in Jamaica. This venture has a
Participative leadership by believing that “Leadership is an attribute that doesn't come with
designation or experience. At Berger, all of us, irrespective of age or profile, are leaders in our
own right”. Berger Paints Ltd is involved in secondary production as it is engaged in the
manufacturing and processing of paints, coatings and related products. Berger Paints Ltd sources
raw materials such as pigments, resins, and solvents from primary producers and then uses them
to produce paints, coatings, and related products. Berger Paints also operates at a large-scale
production level and follows a functional organisational structure with clear lines of authority
and communication. In this structure, employees are grouped by their job functions, such as
production, marketing, finance, human resources, etc., with each functional area being managed
by a department head who reports to the executive directors. Berger Paints Ltd. uses a
combination of equity and debt capital, along with its own retained earnings, to fund its
operations and growth initiatives.

Since 1953, Berger Paints Jamaica Limited has been providing innovative, cutting-edge paint
products and services, based on the Company’s long held ethos of delivering lasting beauty and
protection to homes and institutions across Jamaica. Berger Paints Jamaica Limited remains the
largest paint-manufacturing entity in the English-speaking Caribbean, with 95% of the
company’s products manufactured locally. Backed by a strong technical support team, Berger
Paints Jamaica Ltd. has conducted extensive research to develop paint products specifically for
the Caribbean environment. Such research has led to brands including Berger 303 Flat Emulsion,
404 Gloss Oil, Everglow Low Sheen Emulsion and Magicote Flat Emulsion to become brand
leaders in their respective brand categories.

Berger Paints Jamaica Limited holds the distinction of being the first regional company in the
paint sector to achieve the International Standards Organization (ISO) 9001:2000 Quality Mark
certification in 2002. In 2006, the company attained the ISO 14001:2004 Environmental
Management Standard. In the same vein of high achievement, Berger Paints Jamaica Ltd. has for
over 45 years rewarded exceptional performers in sports, culture and education by sponsoring a
number of annual awards and scholarships. Notable are Berger’s long-standing sponsorship of
the Jamaica Netball Association and the Gibson Relays. The company also sponsored the
Jamaica Basketball League for 30 years.

In 1992, Berger Paints Jamaica Limited, became a publicly listed company on the Jamaica Stock
Exchange recording some 6,000 local shareholders. Berger’s success is attributed to its strong
and competent team of employees, 60% of whom have served for more than 10 years. Today,
Berger Paints is considered as a global force to be reckoned with, as it has a strong presence
spanning right from Europe to Far East Asia, Caribbean islands, South Pacific, Middle East,
South Asia to East Africa. The Berger Group currently has 49 manufacturing plants in 32
countries around the world and marketing representatives in every continent of the globe which
service customers in over 60 countries.
 Review of Literature
Mba skool (2021) defined Promotional strategies as a method used by companies to advertise,
promote and sell their goods. A company chooses its promotional strategy based on factors like
product type, marketing budget, target audience etc. It is a critical activity to increase product
awareness and thereby increase sales. An effective promotional strategy gets more revenue as
compared to the marketing spend. Four of the functions of promotional strategies are traditional
advertising, social media marketing, brand promotional gifts and public relations.

Traditional advertising is the running sponsored advertisements of any form that will allow you
to reach a broader audience and help you generate quick interaction and transactions. This can
lead to more sales. This type of marketing is conducted on a one-to-one basis, and the costs
connected with it are decided by competitive bidding. For example: Print advertising, billboards,
TV, radio, etc.

Social media marketing is using a wide range of platforms available on the internet, each of
which grants you access to a sizable population of prospective buyers. The most popular social
media platforms used by companies are facebook , twitter and instagram. attract millions upon
millions of users on a daily basis. Examples of these websites include facebook and Twitter. The
social media environment provides a more relaxed atmosphere in which to advertise your
products and services. Your company may be able to connect with consumers on a more relaxed
and personal level thanks to social media, which enables you to engage with them.

Brand promotional gifts are another way in which companies promote their brand. This
marketing strategy involves printing the company name, logo, and contact information on a
practical present. This replaces the traditional method of passing out business cards. For
example, Japanese companies distribute millions of napkins with their brand name printed on the
envelopes of the napkins. These napkins are given away for free. The logic for this is derived
from the fact that most people will throw away a business card without even glancing at it. On
the other hand, people do not often throw away napkins since they are useful items, and there is a
strong chance that the person it is provided to will retain it for a longer time after getting it.
When using public relations as a promotional strategy You are able to handle both positive and
negative voices from customers if you supply appropriate information and do so in order to
construct a favourable image for your company and establish closer relationships with your
customers. If you do this, you can handle both positive and negative voices from customers.
Public relations, often known as the act of building a favourable brand image in the eyes of the
media, has continuously been recognised as one of the most effective marketing methods. When
using this method, you will be able to engage with the target demographic in a meaningful way if
by providing them with good information about your organisation and share that information
with them.

Promotional strategies are important as they can be used to determine how you should advertise
via social media and other channels. Through promotion strategies, it is possible to take your
business to the next level and see a significant increase in revenue. A promotion plan should
always take your target market into account.

In addition, creating a strategy for your promotion helps you reduce unnecessary promotion
costs. This is because you’ll target the right audience instead of marketing to anybody.
Promotion strategies ensure that your promotions yield more hits than misses. Without it, you’ll
be promoting blindly, and success will be few and far between.
 Methodology
The investigators at Jonathan Grant High School investigated Berger Paints Jamaica Ltd to
investigate the importance of promotional strategies to the success of this business.
Questionnaires were distributed to collect data from five (5) employee’s and one (1) manager.
The investigators visited the organisation on March 2,2023, issued the questionnaires and
received the responses on the same day.

The sample size that was selected for the investigation is the sample size of six respondents. This
sample size was used due to the availability of the employees at the given time, this is also cost
effective and allows us to spend less on resources. The information from the questionnaires
given were directly collected from the HRM manager and five employees. This study used the
convenience sample method due to the researchers' close vicinity and the workers' accessibility
and willingness to participate in the research.

A questionnaire was used as the research technique of choice. A questionnaire is a type of

research tool that asks a set of pertinent questions of respondents in order to gather information
at a swift rate. Two different sets of questionnaires were used to collect data from the manager
and the employees, one (1) questionnaire for the manager and five (5) separate questionnaires for
the five (5) employees. In contrast to the employees' questionnaire, which included three (3)
closed-ended questions and two (2) open-ended questions, the managers' questionnaire had
twelve (12) closed-ended questions and (1) open-ended question. The cost-effectiveness of a
questionnaire was the key factor in its selection.
 Presentation and Analysis of Data
Manager’s Questionnaire
Question #11 of Manager’s Questionnaire: How important are promotional strategies to
the success of the business?
OPTIONS RESPONSES

Increase brand awareness 

Drive sales 

Build Customer Loyalty 

Stay competitive 

In Table 1.1 above the manager stated that the importance of promotional strategies to the
success of the business are increased brand awareness, drive sales, build customer loyalty and
stay competitive.

Question #12 of Manager’s Questionnaire: What are the benefits of promotional strategies
to a business?
OPTIONS RESPONSES

Increased Sales 

Competitive advantage

Cost effective marketing

Improve public relations

The table 1.2 above shows the benefits of promotional strategies to a business which include
increased sales.
Question # 13 of Manager’s Questionnaire: Which of the promotional strategies is the most
effective?
OPTIONS RESPONSES
Sales Promotion 

Digital Marketing

Personal Selling

Advertising 

Table 1.3 above shows which promotional strategies is the most effective. These are sales
promotion and advertising.
Employee Questionnaire
Question #3 of Employees Questionnaire: What types of promotional strategies have you
used in the past?

Bar Chart showing What types of promotional

strategies have you used in the past?
4.5

3.5

2.5

1.5

0.5

0
Sales Promotion Diigital Marketing Personal Selling Advertising

Figure 1.1
The bar chart above shows the types of promotional strategies that the employees have used in
the past. 4 employees said sales promotion, 3 said digital marketing, 2 said personal selling and 3
said advertising.
Question #4 of Employees Questionnaire: How important are promotional strategies to the
success of the business?

Pie chart showing how important are promotional strategies to the

success of the business

15%

38%

23%

23%

Increased brand awareness Drive sales

Build Customer Loyalty Stay competitive

Figure 1.2
The pie chart above depicts the importance of promotional strategies to the success of the
business. It states that 39% of the employees said increased brand awareness, 23% said build
customer loyalty, another 23% said Drive sales. The last 15% said stay competitive.
Question #5 of Employees Questionnaire: What are the benefits of promotional strategies
to the business?

Bar chart showing the benefits of promotional strategies to

the business

Improve public relations

Cost effective marketing

Competitive advantage

Increased sales

0 1 2 3 4 5 6

Figure 1.3
The bar chart above shows the benefits of promotional strategies to the business. 5 employees
said increased sales, 2 said competitive advantage and 2 others said improve public relations.
 Interpretation of Data
Employee Questionnaires

Question #3 of Employees Questionnaire: What types of promotional strategies have you

used in the past?

The question asked the employees about the types of promotional strategies they have used in the
past. The data shows that there are four main types of promotional strategies that the employees
have used in the past: sales promotion, digital marketing, personal selling, and advertising. Out
of the employees who responded, 4 employees stated that they have used sales promotion in the
past. Sales promotions can be an effective way to boost sales and attract new customers. 3
employees mentioned that they have used digital marketing as a promotional strategy in the past.
Digital marketing can be an effective way to reach a large audience quickly and cost effectively.
3 employees stated that they have used advertising as a promotional strategy in the past.
Advertising can be an effective way to raise brand awareness and reach a large audience. 2
employees mentioned that they have used personal selling as a promotional strategy in the past.
Personal selling can be an effective way to build relationships with customers and persuade them
to make a purchase.

Question #4 of Employees Questionnaire: How important are promotional strategies to the

success of the business?
The largest segment of employees (39%) identified increased brand awareness as the most
important factor in the success of promotional strategies. This indicates that employees believe
that promoting the brand and increasing its visibility to potential customers is crucial for the
success of the business. 23% of employees stated that building customer loyalty is important to
the success of promotional strategies. This suggests that employees recognize the importance of
retaining existing customers and building long-term relationships with them through effective
promotional strategies. Another 23% of employees stated that driving sales is important for the
success of promotional strategies. This indicates that employees believe that promotional
strategies should be designed to generate sales and revenue for the business. The remaining 15%
of employees identified staying competitive as an important factor in the success of promotional
strategies. This suggests that employees recognize the importance of keeping up with
competitors and using promotional strategies to differentiate the business from its competitors.

Question #5 of Employees Questionnaire: What are the benefits of promotional strategies

to the business?

The largest segment of employees (5 out of 9) identified increased sales as the primary benefit of
promotional strategies to the business. This indicates that employees believe that effective
promotional strategies can help drive sales and increase revenue for the business. Two
employees stated that promotional strategies can provide a competitive advantage to the
business. This suggests that employees recognize the importance of using promotional strategies
to differentiate the business from its competitors and gain a competitive edge. Another two
employees identified improving public relations as a benefit of promotional strategies to the
business. This indicates that employees recognize the potential of promotional strategies to
improve the business's image and reputation in the eyes of the public.

Manager Questionnaire

Question #11 of Manager’s Questionnaire: How important are promotional strategies to

the success of the business?
Based on the table, it appears that the manager believes that promotional strategies are very
important to the success of the business. The manager states that promotional strategies can help
achieve several key objectives, including: Increased brand awareness: Promotional strategies can
help increase the visibility and recognition of a brand, which can be important in attracting new
customers and retaining existing ones. Drive sales: Promotional strategies can be used to
encourage customers to make a purchase, which can increase revenue and profitability for the
business. Build customer loyalty: Promotional strategies can be used to reward loyal customers
and incentivize them to continue doing business with the company. Stay competitive
Promotional strategies can help a business stay relevant and competitive in a crowded
marketplace by highlighting its unique value proposition and differentiating it from its
competitors.

Question #12 of Manager’s Questionnaire: What are the benefits of promotional strategies
to a business?

Based on the manager's response in the table, it appears that they believe that the primary benefit
of promotional strategies to a business is increased sales. While promotional strategies can offer
other benefits, such as improving public relations, providing a competitive advantage, and
offering cost-effective marketing, the manager may feel that increased sales is the most
important benefit for their business. This could be because the manager sees increased sales as a
key indicator of the success of their business, or because they are currently focusing on strategies
to drive revenue growth. It's also possible that the manager simply feels that increased sales is
the most straightforward and concrete benefit of promotional strategies, while the other benefits
may be more difficult to measure or quantify.

Question # 13 of Manager’s Questionnaire: Which of the promotional strategies is the most

effective?
Based on the manager's response in the table, it appears that they believe that advertising and
sales promotion are the most effective promotional strategies. This suggests that the manager
may view these strategies as having a strong impact on driving sales and achieving the other
objectives of the business. It's possible that the manager has experience with using these
strategies in the past and has seen positive results.

Recommendation

The researchers would like to recommend that the promotion team at Berger paints ltd:

· Have a customer appreciation day. This would further build brand loyalty with existing
customers as they would see that their support to the brand is appreciated and it would also bring
in new customers.

· Have an interactive day between the workers and the customers. This would also help to
increase brand loyalty as it would give customers the feeling of building a friendship between
them and the company.
 Conclusion
Based on the findings the researchers were able to conclude that the type of promotional
strategies a brand uses can heavily affect the success of the company. It is always best to use a
variety of promotional strategies to promote your business to ensure the business is successful.
A few of the promotional strategies that can be used to promote your business are sales
promotion, digital marketing, personal selling and advertising.

Additionally, the researchers learned that a few benefits of promotional strategies to a business
are: increased sales, competitive advantage, cost effective marketing and improve public
relations.
Bibliography
https://www.bergerpaintsintl.com/about-us/

https://www.bergerpaintsintl.com/about-us/

https://www.bergerpaints.com/why-berger-paints.html

https://www.mbaskool.com/business-concepts/marketing-and-strategy-terms/12823-
promotional-strategy.html
Appendices
Manager’s Questionnaire
1. How long have you been working in the promotional department?

Under 1 year
3-5 Years
7-10 years
Other

2. What is the legal structure of the company?

Sole Trader
Public Trader
Partnership
Private Limited

3. What kind of leadership style is used in the company?

Laissez-faire
Participative
Autocratic
Bureaucratic

4. What type of production is the firm involved in?

Primary
Secondary
Tertiary
All of the above

5. At what level of production does the company operate?

Domestic
Subsistent
Surplus
Other

6. What kind of organisational structure is used in the company?

 Matrix
Functional
Line
Divisional

7. What is the firm’s capital source?

Dividend
Retained Profit
Loans
Shares

8. Does your company use promotional strategy?

Yes
No

9. If you answered yes to the previous question, explain the significance of a promotional
strategy

10. Who is your major competitor?

Sherwin Williams
Edge Chem
Diamond Paints

11. How important are promotional strategies to the success of the business?

Increase brand awareness

Drive Sales
Build Customer Loyalty
Stay competitive

12. What are the benefits of promotional strategies to a business?

Increased sales
Competitive advantage
Cost-effective marketing
Improved public relations
 13. Which of the promotional strategies is the most effective?

Sales Promotion
Digital Marketing
Personal Selling
Advertising
Others

14. Do you encourage direct services to consumers?

If yes, what is the procedure:

Employee’s Questionnaire
1. In which department do you work
______________________________________________________________________
______________________________________________________________________
___________________________________________________

2. What duties do you perform at the company?

______________________________________________________________________
__________________________________________________________

3. What types of promotional strategies have you used in the past?

Sales Promotion
Digital Marketing
Personal Selling
Advertising
Others

4. How important are promotional strategies to the success of the business?

Increase brand awareness

Drive Sales
Build Customer Loyalty
Stay competitive

5. What are the benefits of promotional strategies to the business?

Increased sales
Competitive advantage
Cost-effective marketing
Improved public relations