An Appraisal of Trade Marketing as a Tool in Managing Distribution Channels in MTN Nigeria

Abstract

Production is not completed until goods and services get to the final consumer, in getting this goods and services across to the consumers, firms employ many channels of distribution. Hence, the traditional channel that involves the distributors and retailers require careful management by manufacturers and suppliers such that their goals and objectives will be aligned and this helps the manufacturer achieve their major objective of getting their goods across to the consumers through the channel. In the management of the channel – trade marketing is employed, that is why this study seeks to appraise the effectiveness of trade marketing in the management of distribution channel and how well this results into increased revenue generation using MTN Nigeria as a case study. The study uses primary data collected through the use of questionnaire which was analysed with simple percentage and ordinary least square with multiple variables. The study finds out that trade marketing activities contributes to increased revenue generation and also discovered that the use or non-use of retailers does not affect the survival of telecom firms due to the development and growth in information and communication technology which helps firm to reach out to their customers via other means different from retailers. The study concludes that telecom firms should balance budget allocation into trade marketing activities as well as other advertisement as a way of resonating their brand in consumer’s hearts.