Analysis of Physical Distribution Influence on the Sales Volume of Sachet in Ibarapa Central Local Government Area, Oyo State

Abstract

The study looks at the influence of physical distribution on the sales volume of sachet water in Ibarapa central local government area, Oyo state. The understanding of the interplay between physical distribution and the sales volume becomes necessary, as result of spatial variation between point of production and point of consumption and some other factors that have a direct bearing on the sale volume. The study sought to understand: the physical distribution activities of sachet water company in the study area; examining the physical distribution influence on the sales volume; to assess the rate of daily demand for the product and finally identify the channel of distribution. Primary data was used for the purpose of this work. Questionnaire were administered to elicit information from respondents. The total numbers of respondents interviewed were 98. The data was analysed using uni-variable, bi- variable and multi-variable analysis. The findings indicate that physical distribution contributes to increase in the sales volume. Availability of transportation system, adequate storage facilities, good customer relations, emotional intelligence, adequate work force and bridging communication gap play a large role in increasing volume of sales. Conclusively, factories that have good transportation system, good customer relation and adequate storage facilities, has better chance of increasing sales volume. There is need for companies to employ professionals in the field of logistics operation to facilitate the chain of distribution process. This will ensure efficiency in the operative performance of company.

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