THE CONTRIBUTION OF SALES PROMOTION STRATEGIES TO THE FINANCIAL PERFORMANCE OF MANUFACTURING COMPANIES. CASE STUDY: BRALIRWA PLC PERIOD: 2019-2022

Abstract

The study is about the contribution of sales promotion strategies to the performance of manufacturing companies. A case of Bralirwa PLC within the period of 2019-2022. Specifically this study analyzed the effectiveness of sales promotion strategies applied by BRALIRWA PLC, and finding out the contribution of sales promotion strategies to the performance of BRALIRWA PLC. In virtue to the main purpose of this study, researcher designed an appropriate research methodology and used the interview, documentary and questionnaire techniques to collect and analyse relevant data which allowed the researcher to obtain the following findings: Regarding to the effectiveness of sales promotion strategies applied by BRALIRWA PLC, after observing all findings what researchers can note here is that sales promotion strategies applied by Bralirwa PLC are effective where the majority of respondents representing 64.9% agreed that Bralirwa PLC provides free samples whenever it introduces new products to the marketplace and 35.1% agreed with this statement. It was also observed that the majority of respondents with 50.9% strongly agreed that Bralirwa PLC some- times gives free gifts entice consumers to make a purchase by including a bonus along with the product. On the other side almost all respondents with 87.7% strongly agreed that Bralirwa PLC offer consumer‟s opportunity of buying products at lower price for a period of time or to those purchase in multiple quantities. It was also revealed that 89.5% strongly agreed that Bralirwa PLC cooperate with Influencers to attract their followers and 10.5% agreed with this. The performance of Balirwa PLC also were assessed and results shows that from 2019 up to 2022 the ratios of net profit margin were 1.18%; 8.41%; 12.56% and 14.30%respectively. From 2019up to 2022.The ratio of Return on Assets are 1 %; 7.08 %; 13.34% and 14.45% respectively. From 2019 up to 2022 the ratio of Return on Equity are as following: 3.44%; 21.14%; 30.37% and 40.16% respectively. Regarding the relationship between the variable correlation analysis shows that there is a positive correlation between Sales promotion and performance of Bralirwa PLC during the period of the study. This is indicated by the value of Pearson coefficient of correlation (.728) which is positive and strong. The value of P-value (.000) which is less than the level of significance 5%, this is evidence that the correlation is statistically significant.