The effects of sales promotion on sales performance: a case study of trade kings limited in Ng’ombe township of Lusaka district.

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Hambwalu, Mutinta
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The University of Zambia
This study was aimed at analysing the effects of Sales Promotion on the sales performance of Trade Kings Limited in Ng’ombe Township of Lusaka district. A descriptive research design was used in this study in order to understand the effects that exist. The sample size was 92 (ninety two) consumer households and thirty five retailers sampled using Slovin formula. Purposive sampling technique was used to assist select a sample size of thirty Trade Kings Limited Employees to support the study. Primary data were collected using self-administered structured questionnaires while secondary data were collected from literature of previous studies and other related literature. Descriptive statistics coupled with SPSS and Microsoft Excel were used to analyse data. It was found that the 100% of the retailers indicated that sales volumes of products under promotion increase due to sales promotion. 75% of the retailers usually experience an increase in sales volumes of products under sales promotion in the range of 30-50% while 25% indicated that they have above 50% increase in sales volume. However, Employees of Trade Kings Limited indicated that the company usually experience a marginal increase of less than 5% in profit in the short term because it takes a relatively long time to influence consumer buying behaviour to increase sales revenue. It was concluded that sales promotion does not necessarily improve sales performance in the short term as expected by employees of Trade Kings Limited, but in the long term sales performance improves. Further, it was recommended that Trade Kings Limited Management should identify how long it takes for sales volume to start increasing after any sales promotional activity in any target market.
Advertising. , Sales promotion. , Communication in marketing.