Nelson, J. H. (Professor of business)||Butcher, Benjamin B.
M.S. (Master of Science)
College of Business
Service stations; Sales promotion
Problem: The purpose of this study was to determine the degree and comparative effectiveness of various sales promotional items designed to increase gasoline sales in established Phillips 66 service stations in Kankakee County, Illinois. This investigation sought to determine what types of promotions were offered, their effect on gallonage, and their relationship to one another in terms of their ability to increase gasoline sales. Quantitative factors, in the form of gallonage figures, as well as qualitative factors, in the form of dealer opinion, were considered. Procedure: Established dealers, being thoroughly familiar with their individual operations and its peculiarities were interviewed and asked to rank each promotion and to give the approximate number of new customers each promotional item attracted into his station. Sales figures of the Baron-Huot Oil Co., jobber for Phillips 66 in Kankakee County, were also consulted. All data obtained were presented in tabular form to facilitate their handling and the formulation of conclusions. Conclusions: The majority of promotional items offered were items that appeal to children. The types of promotions vary with seasons and holidays. All promotions required a customer purchase to receive or purchase a promotional item. All but two of the promotions offered sold for less than $5. The majority of promotions were accompanied by extensive advertising. A "Power Yacht" was the most popular promotion in terms of the number of stations offering it. With the exception of stamps, none of the promotions were offered for any interval longer than 2 months. When the various stations used similar promotional items, they were offered simultaneously. There is a direct correlation between total gasoline sales and the number of promotions offered. There is no correlation between the quantitative and qualitative measurements of degree of effectiveness. When only the effect on gallonage is considered, the majority of promotions had a positive effect on sales. In the opinion of dealers, sales promotions have little effect on increasing sales. There is only a slight correlation between the quantitative and qualitative measurements of comparative effectiveness. In terms of positive effect on sales, stamps were the most effective. Trading stamps, in the opinion of dealers, is also the most effective.
Huot, Gerald W., "The degree and comparative effectiveness of sales promotional items in selected service stations" (1967). Graduate Research Theses & Dissertations. 5399.
v, 89 pages, 2 unnumbered pages
Northern Illinois University
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