Effect of mobile distribution application services on sales of fast-moving consumer goods: a case of Pz Cussons East Africa limited

Abstract

The Fast-Moving Consumer Goods industry is employing technology to solve some of its most pressing needs with the goal of remaining sustainably profitable. One of the areas of focus recently has been the potential of mobile apps services as a solution to overcome low levels of infrastructure development, that hinder full exploitation of business opportunities in developing countries like Kenya. It was with this in view the researcher chose to study the Effect of Mobile Distribution Application On Sales Of Fast-Moving Consumer Goods: A Case Of PZ Cussons East Africa Limited, with the primary objective of the study being to investigate the effect of mobile distribution applications services on sales of fast-moving consumer goods produced and sold by PZ Cussons. Specifically, the objectives of this study were: to determine the influence of memory support services on sales of fast-moving consumer goods; to examine the influence of transaction-based mobile app services on sales of fast-moving consumer goods; to examine the influence of location-based app services on sales of fast-moving consumer goods and establish the influence of information sharing services on sales of fast-moving consumer goods. The research design for this study was descriptive survey research design. The study was carried out at PZ Cussons East Africa along Baba Dogo Rd, Off Outering Rd, in Nairobi County. The study employed a census sampling method. The target population was small enough to conduct a census survey of 80 employees working in sales, finance, and supply chain at PZ Cussons East Africa. The Primary data was gathered through use of questionnaires. Quantitative data was analyzed through use of descriptive statistics such as mean, standard deviation, frequency and percentage and inferential statistics, Pearson correlation and regression analysis. Pearson correlation showed the effect of memory support services and regression depicted the nature of its significance. Data was presented in tables and figures and was analyzed using SPSS version 25.0. Out of 80 issued questionnaires, 45 (accounting for 55.25 percent) were filled and returned. Piloting was carried out and reliability coefficients were computed, and all were greater than 0.7 (an average of 0.744) which revealed that the research instrument was reliable. Regression analysis revealed positive and significant effects of memory support (β=0.899, t=6.191, F (1, 43) = 88.257, p<0.05). Regression analysis revealed positive and significant effect of transaction-based app services (β=0.689, t=5.176, F (1, 43) = 29.591, p<0.05). Regression analysis revealed positive and significant effect of location-based app services (β=0.796, t=15.373, F (1, 43) = 47.229, p<0.05). Regression analysis revealed positive and significant effect of information sharing app services (β=0.793, t=7.090, F (1, 43) = 53.416, p<0.05). It was concluded that data gathered in the sales operation have the highest effect on the growth of Fast-Moving Consumer Goods. The study recommended that Fast Moving Consumer Good industry invest in capturing and retaining data gathered in the sales process, to support and inform future growth. Further research can be carried in other companies that exhibit similar traits, clustered and studied in a manner to provide even better generalised results. These could take the form of consumer goods clusters like food manufacturers, toiletries, personal care and so on.