The Effect Of Advertising On Sales And Consumption Of Rwandan Coffee In Shandong Province China

The aim of this research is to investigate the effect of advertising on sales and consumption of Rwandan coffee in the Chinese Province of Shandong between 2015 and 2018.A case study research design was used with mixed methods(qualitative and quantitative)of data analysis.Using cluster and simple random sampling techniques,a sample size of 174 was drawn from Shangri-La Hotel(116)and Lion Mall supermarkets(58),where Rwandan coffee is sold and consumed.Questionnaires,interviews and desk research(review of documents such as databases)were used for data generation.Quantitative data were analyzed using descriptive statistics generated by usage of Microsoft Excel.Qualitative data were analyzed using content analysis where data was classified according to the objectives.In both firms,findings reveal that advertising has a very significant positive effect on demand and sales volume,a small positive effect on net sales and no effect on coffee consumption.It is important for Shangri-La and Lion Mall to intensify the use of low-cost advertising channels such as Facebook,linked in,flyers,posters,and the billboard in order to increase net sales.Free samples,credit offers,and discounts should also be controlled so as to eliminate experiencing negative net revenues.The study is significant because it will encourage Rwanda Coffee Development Authority to strengthen advertising and promotion of Rwandan coffee not only in China but other global markets as well so as to increase demand,sales volume,sales revenues,and consumption.It will contribute hugely in the structure of up scholastic information on advertising and sales as well as increasing the volume of academic materials in the University of Shandong Library.